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HomeMy WebLinkAbout951466.tiff AR2443745 DIVISION ORDER (COMBINED OIL AND GAS) TO: K.P. KAUFFMAN COMPANY, INC. ("KPK") 1675 Broadway, Suite 1970 /� / Denver, Colorado 80202 Division Order No. -/ +� P�< " ,J -1 ATTN: Division Order Dept. Date The undersigned, and each of us, certify and guarantee that we are the legal owners of and hereby warrant the title to our respective interests in the proceeds derived from the sale of Oil and Gas (as more individually defined herein) produced and saved from the SPINDLE 4 NORTH FACILITY located in the County of Weld, State of Colorado more particularly described as follows: FIRESTONE UNIT Ell SE/4NW/4-30-T2N-R67W NET REVENUE WORKING CREDIT INTEREST INTEREST WELD COUNTY .07849750 RI TIMOTHY T. PETRAS AND .00058300 RI PATRICIA G. PETRAS LAURA J. PAULETICH AND .00208010 RI JOE E. PAULETICH ELLEN DEBREY .00144200 RI LEROY J. BOURDREAU AND .00058300 RI AND ROSEANNE R. JESUS MARTINEZ .00149730 RI ROBERT OZZELLO AND .00149730 RI PHYLLIS SHARLENE DEAN P. FORREST .00085910 RI ROBERT EARL LEE AND .00338730 RI AND VIRGINA MAE LEE SHIRLEY MAE ONORATO .00058300 RI VAUGHN R. TUMBLESON .00094500 RI JACK LEE, JR. AND .00184100 RI AND ELVIRA LEE ANTHONE E. ONORATO .00205570 RI AND IRENE M. ONORATO MARK A. MCNEILL .00027310 RI TERRANCE J. CRANNELL .00180410 RI CHARLES D. NICHOLS .00106770 RI CARLO GONZALES AND .00058300 RI ANGELA GONZALES LVONA K. TREJO .00027300 RI MARIA NEVAREZ .00058300 RI MARIA NEVAREZ .00094500 RI SHARON L. RUMERY .00222130 RI 951466 - 1 - DOC 24431°5 B-]4�i>; P-25�. 06/23/95 02:57P PG ] OF 4 REC0 00 Weld County CO Clerk & Recorder L EC/GS DIVISION OF INTEREST - CONTINUED NET REVENUE WORKING CREDIT INTEREST INTEREST CHRISTINE L. GOMEZ .00070570 RI SUSAN E. MARKUSIC .00027310 RI SELMA L. MARTIN .00070570 RI LILLIE G. MCNEILL .00081920 RI RONALD J. MORRISON AND .00085910 RI ALICE M. MORRISON ESTATE OF DAVID MARINOFF .00072850 RI ROBERTA A. TAYLOR .00263550 RI MAGGIE BERTRON .00149730 RI FIRST CHURCH OF HOLY BIBLE .00122100 RI MARY E. BURGESS .00263560 RI ROGELIO I. MALDONADO AND .00058310 RI MARTHA MALDONADO BENITO VELA AND .00067500 RI ORA VELA JACOB W. HAYS AND .00085900 RI JULIETTE M. HAYS JOE E. MARTINEZ AND .00180410 RI AND AGNES MARTINEZ ROSINA CINEA AND .00067500 RI AND DOMINIC CINEA ROGER A. TRUJILLO .00116590 RI AND BEVERLY RAE TRUJILLO JOHN D. STEPHENSON FAMILY .00042955 RI TRUST LEONARD H. BARTELS .00042955 RI CITY OF FIRESTONE .00030670 RI H.L. WILLETT .29960590 WI .3424069 WI RICHARD N. DODGE .00918150 WI .0104932 WI K.P. KAUFFMAN CO. , INC. .56860250 WI .6470999 WI Effective 8:-00 a.m. March 1, 1995, and until further notice, you are hereby authorized to take or retain possession of all Oil and Gas from said property(ies) on and after the effective day and to give credit as set forth above for all proceeds derivedm the ahe sale direction from s set out sabeid property(ies) subject to the conditions, covenants FIRST: It is understood that the Gas produced from the above-described property(ies) is being sold under that certain Gas Purchase and Processing Agreement dated November 8, 1991, between KPK as "Seller" and Associated Natural Gas Inc. as "Buyer" , and that all terms and covenants contained therein, and in any amendments, extensions, or renewals thereof shall govern and be binding upon the parties hereto in all respects which shall include, but not be restricted to, the price to be paid for said Gas and the time when such payments are to be made. As used in this Division Order, the term "-Gas" shall be deemed to include casinghead gas, gasoline and all products which KPK may receive and/or recover by processing from Gas produced from wells on said property(ies) . 2 - 2443 8-1-W; P-28 06/2.3/95 02:5-F. Pc; , OF 4 951.466 SECOND: The word "Oil" as used herein shall include, but is not limited to, condensate and all marketable liquid hydrocarbons produced and saved hereunder, but excluding that recovered from processing of Gas. All Oil received and purchased hereunder shall be merchantable Oil and shall become the property of • APE as soon as the same is received into its custody or that of any carrier it designates. KPK shall not be expected to receive Oil in definite quantities, nor for fixed periods, nor to provide storage. THIRD: The Oil received and purchased hereunder shall be delivered f.o.b. to any carrier EPA designates which gathers and receives said Oil and EPA agrees to pay for such Oil to the undersigned according to the division of interests herein specified at the price agreed upon between APR and the lease operator. FOURTH: Quantities of Oil purchased hereunder shall be determined by the method of measurement and computation employed by EPA or EPA's agent designated to receive such Oil including but not by way of limitation, the gauging of storage tanks using regularly compiled tank tables, the use of certified tank gauges, and the use of meters or any other reasonably accurate method of measurement and computation. APR shall correct the volume and gravity to a temperature of 60° Fahrenheit and shall deduct from such corrected volume the full percentages of basic sediment, water and other impurities as shown by its test. APR may refuse to receive any Oil it considers to be not merchantable. FIFTH: Payments are to be made monthly by checks of APR for Oil and Gas to be delivered or mailed to the parties thereto entitled at the addresses above given, provided that if the amount due to any owner is less than Twenty-five and 00/100 Dollars ($25.00) per month, EPA at its option, may defer the making of such payment until such time as the aggregate amount due exceeds said sum. The undersigned authorize EPA to withhold from the proceeds of any and all Gas and Oil referred to herein, the amount of any tax placed thereon, or nthe production thereof, including but not limited to any severance, production occupation tax, by any governmental authority, local, state and/or federal, and to pay the same in our behalf with the proceeds so withheld. SIXTH: In the event of any adverse claim of title or in the event title shall not be satisfactory to EPA at any time during the term of this Division Order, each of the undersigned agrees to furnish complete abstracts of title and other evidence of title satisfactory to EPA and authorizes same to withhold payment without obligation to pay interest on the amount so withheld, until satisfactory indemnity shall be furnished to APR. Each undersigned party as to the interest of such party hereunder respectively agrees, in the event suit is filed in any court affecting title to said Oil and/or Gas, either before or after severance, to indemnify and save harmless EPA against any and all liability for loss, cost, damage and expense which APR may suffer or incur on account of receiving and paying said party the proceeds derived from the sale of said Oil and/or Gas. Where APR, pursuant to the provisions hereof, withholds payment or any part thereof, each undersigned party from whom payment is withheld severally agrees to indemnify and hold EPA harmless of and from all liability for any tax, together with all interest and penalties incident thereto, imposed or assessed against or paid by them on account of the sum or sums so withheld from payment to said party and deduct all such taxes, interest and penalties so paid by them from any sums owing by them to said party. If suit is filed affecting the interest of the undersigned, written nnotice tice thereof shall be given APE at the above address by the undersigned, toga a certified copy of the complaint or petition filed. If APE is made a party to such proceedings, the undersigned agrees to indemnify same against any judgment rendered therein and to reimburse APR for any costs, attorney's fees or other expenses incurred in connection therewith. SEVENTH: The undersigned severally agree to notify EPA of any change of ownership and no transfer of interest shall be binding upon EPA until transfer order and the recorded instrument evidencing such transfer, or a certified copy thereof, shall be furnished to APR. Transfer of interest shall be made effective 8:00 a.m. on the first day of the calendar month in which proper notice is received by EPA. EPA is hereby relieved of any responsibility for determining if and when any of the interests hereinabove set forth shall or should revert to or be owned by other parties as a result of the completion of discharge of money or other payments from said interests and the signers hereof whose interests are affected by such money or other payments, if any, agree to give APR notice in writing by registered letter addressed to EPA at the above address, directed to the Division order Department, when any such money or other payments have been completed or discharged, or when any division of interest other than that set forth above shall, for any reason, become effective and to furnish transfer order accordingly and that in the event such notice shall not be received, EPA shall be held harmless in the event of, and are hereby released from any and all damage - 3 - F-149 06r23/05 02:5'Y Po 951.466 or loss which might arise out of overpayment. Should adjustments be necessary, KPK shall have rights (but no duty) to set off any and all individual or joint liabilities the undersigned has with the same, including but not limited to proceeds from this and other lease interests owned by the undersigned. • EIGHTH: If any portion of the proceeds derived from the sale of Gas is subject to refund under any order, rule or regulation of the Federal Energy Regulatory Commission or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1978, KPK may hold without interest the portion of the proceeds subject to refund unless indemnity satisfactory to KPK has been furnished, or until KPK's refund obligation has been finally determined. If any portion of the proceeds derived from the sale of Gas is paid over by KPK under any order, rule or regulation of the Federal Energy Regulatory Commission or the provisions of the Natural Gas Act or Natural Gas Policy Act of 1978, KPK is authorized to recover the amount of the refund applicable to the interest of each of the undersigned from future payments (Oil and Gas) or at KPK's election, it may invoice the undersigned therefor, plus the legal rate of interest KPK is or may be required to pay in connection with undersigned's portion of the refund. NINTH: If the undersigned is a working interest owner and/or operator, he or she guarantees and warrants that all Gas and Oil tendered hereunder has been or will be produced and delivered in compliance with all applicable federal, state and local laws, orders, rules and regulations. TENTH: This Division Order shall become valid and binding upon each and every owner above named upon execution hereof by such owner regardless of whether or not any of the other above-named owners have so signed. No termination of this Division Order shall be effective without giving thirty (30) days prior written notice. If the provisions of this Division Order are in conflict with the provisions of any oil and gas lease covering the above-described property(ies) , the provisions of this Division Order shall prevail. Each undersigned owner ratifies and confirms his oil and gas lease as being in full force and effect as of the date hereof. In consideration of the purchase of Oil and Gas daGas hereunder, consent is given KPK and any pipeline company which same may ne with the wells and tanks on said land, to disconnect and remove such ppelines, in case of termination by either KPK or the undersigned of any purchases this Division Order. In the event of conflict between the provisions of this Division Order and applicable law or regulations, the provisions of this Division Order shall be deemed modified so as to comply with such law or regulation. The undersigned expressly waive any claim against KPK for any and all amounts which may be due us from others for production prior to the effective date hereof. . 3IGNA OWNERS SIGN BELOW TAX PAYER ID I OR SOCIAL SECURITY 8 • ITNES E :-'" (ENTER MAILING ADDRESS) �• iES : 84-6000813 r r , . HALL, AIRMAN '/ ' WELD COUNTY BOARD' OF COMMISSIONERS BY:/2, y � ,f C\ --' (6/21/95) ' r- _ ADDRESS PO BOX 758 GREELEY, CO 80632 2443795 b-1492 P-288 06/23/95 02:57P PG 4 OF 4 - 4 - 951466 Hello