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Home My WebLink About710005 • AUTHORIZING OIL AND GAS LEASE #570 COVERING CERTAIN COUNTY MINERAL LANDS TOWN OF DACONO - SECTION 6, TOWNSHIP 1 NORTH, RANGE 67 WEST of the 6th P.M., WELD COUNTY AMOCO PRODUCTION COMPANY: EXPIRES DECEMBER 15, 1976 WHEREAS, the County of Weld, State of Colorado, is the owner of vast acres of mineral lands in Weld County, and WHEREAS, a portion of said mineral acres presently are not leased, and WHEREAS, the Amoco Production Company, Security Life Building, Denver, Colorado, has offered to lease a certain block of County mineral lands, containing 25.13 acres, more or less, and to pay therefore $5.00 per net mineral acre, for the execution of the necessary leases with annual delay rentals of $1.00 per net mineral acre after the first year, and WHEREAS, it is desirous and in the best interest of Weld County to accept said offer to lease the requested mineral acreage. NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Weld County, Colorado, that the offer of Amoco Production Company, as hereinabove recited, be and it is hereby accepted, for a term of five years, and BE IT FURTHER RESOLVED, that the County mineral acreage in each are as listed below: That portion of the Town of Dacono, Colorado situated in the NW4 of Section 6, Township 1 North, Range 67 West of the 6th P.M., Weld County, Colorado, described as follows: Block 1: Lots 4 and 5 Block 2: Lots 1 through 8 Block 3: Lots 6 through 8 Block 8: Lots 6 and 8 Block 9: Lots 1 through 8: 10 through 12 Block 16: Lots 1 through 3: 5 through 8: 10 through 12 Block 17: Lots 5 through 8: 10 Block 19: Lots 15 through" 18 -Block 20: Lots 5 through 15 Block 28: Lots 1 through 3: 7 through 18 Block 29: Lots 2, 3, 5, 6: 9 through 18 1 Block 30: Lots 1 through 4: 10 through 14 �a � Block 31: Lots 1 through 12 � �s ' Block 32: Lots 1, 4: 5 through 8: 10 Block 33: Lots 1 through 3: 6: 10 through 12 The above and foregoing resolution was, on motion duly made and seconded, adopted by the following vote: AYES \6( (1;‘)-7((//1_ THE BOARD 0T COUNTY COMMISSIONERS DATED: DECEMBER 15, 1971 WELD COUNTY, COLORADO „� 2,14fo ICn1n4 - � � IQ �5 S59 �' 158( 13 Producers 88(272)3-s3—Colorado - OIL, GAS AND MINERAL LEASE /,SiO 9/3 THIS AGREEMENT made this 2 th day of......................October 19_.71,between Wept 'znty.,•_a....nalitical subdivision of the...State...of-Colorado, by the Board of-County Corasiaaioners,._for its-respective-interest C/o Ord-of-.County Coamdssioners,-Wald County..eeert...House,-Greeley,--Colorado I.Lessor(whether one or more),nd..,Amoco...-Production_.Coupany,._.Security__Life_.t ,dg.,....➢®nver,...Colorado 1ttt--, Lessee,WITNESSETH: V' 1. Lessor in consideration of T u...and-.More a '* •• + •• ,• . •• •• •• ,! ,.,,,,- r...+....,,i, — ,...w wr Dollars ($1Q4oa...&..mare..),in hand paid,of the royalties herein provided,and of the agreement of Lessee herein contained,hereby grants,leases and lets \ exclusively unto Lessee for the purpose Cpose of investigating,exploring.prospecting,drilling and mining for and producing oil,gas,other hydrocarbons and. without restriction to such enumerated minerals,all other minerals whether similar or dissimilar to those particularly specified herein,laying pipe lines, building tanks,power stations,telephone lines and other structures thereon to produce,save,take care of,treat,transport and own said products,and housing its employees,the following described land in Weld County,Colorado,to-wit: (See attached description rider) • In addition to the land above described,Lessor hereby grants, leases and lets exclusively unto Lessee to the Name extent as it specifically described herein all lands owned or claimed by Lessor which are adjacent,contiguous to or form a part of the lands above particularly described,in- cluding all oil,gas,other hydrocarbons and all other minerals underlying lakes,rivers,streams,roads,easements and rights-of-way which traverse or adjoin any of said lands.For rental payment purposes,the land included within this lase shall be deemed to contain .u+.1 6.77 J.3 acres whether it actually comprises moreless. ��++ or 2. Subject to the other provisions herein contained,this lease shall be for a term of.,}}pp Pears from this date(called"primary term")and as long thereafter as oil,gas,other hydrocarbons,or other mineral is produced from said land hereunder,or drilling or reworking operations are conducted thereon. 3. The royalties to be paid by Lessee are:(a)on oil,one-eighth of that produced and saved from said land,the same to be delivered at the wells,or to the credit of Lessor into the pipe line to which the wells may be connected;Lessee may from time to time purchase any royalty oil in its possession,paying the market ce produced refor prevailing lin for thefield where e produced on the date of purchase; (b) on gas,including ca'inghead or y sa sold or off premises or in the manufacture of gasoline or other products therefrom. the market value at the well of one-eighth of the gas so old or used,provided that on gas sold at the wells the royalty shall be one-eighth of the amount realized from such sale;(c) all other minerals mined and marketed,one-tenth either in kind or value at the well or mine,at Lessee's election,except { that on sulfur the royalty shall be fifty cents(501')per long ton.Lessee shall have freeof oil,gas,coal,wood and water from said land,except water from Lessor's wells,for all operations hereunder, d the royalty on oil and gas shall use be computed after deducting any used.If a well capable of producing gas in such quantities is completed on the above described land and is shut in,this lease shall continue in effect for period of one rentals,ear from pay or tender to Lessor asas shut royalt Lessee or before one assignee from the date thereafter, suchwell is shut in,provided se sum herein of$100.0000 the payment or such payment of delay y, per well,and,if , or ortender is made,this i lease shall lime n effect for a further srled of one year.nt In like manner and upon like payments cos f tenders annually,e,made on or before each anniversary of the shut-in date of such well,this lease shall continue in effect for successive periods of twelve(12)months each. 4. If operations for drilling are not commenced on said land as hereinafter provided,on or before one year from this date,the lease shall then terminate as to both parties,unless on or before such anniversary date Lessee shall pay or tender to Lessor or to the credit of Lessor'..�.}.. a_.,J.. "dhd Cift}'Cditlin itI2rJ0�ir IOW I}$}ab, i�rs retliklAnActanges in ownership(of satin airtfaessors are Lesonveagent /�M or the rentals either b yance or by the death or incapacity of Lessor)the sum of Went si're_.en.I3ls*"-' W....,a Dollars (s 2K.. ),(herein called rental),which shall cover the privilege of deferring commencement of operations for drilling for a period of twelve(if)months.In like manner and upon like payments or tenders annually the commencement of operations for drilling may be further deferred for successive periods tr option lY(12Lessee;nths each the depositing the primary term.The payment r tender of rental herein referred to may be made in currency, aft on checkbefore the tion of such currency,draft or check in any post office,properly addressed to the Lessor,or said ceded orb fore the rental pfyirngndate,shall be deemed payment as herein provided.If such bank(or any successor bank)should fail,liquidate or be succeeded until another (bank, after any reason or refuse deliver to to Lessee rental.Lessee shall not be held in default for failure to make such payment or tender of or utiltender,The 50)days ssh proper recordable instrument,naming another' bank agnt to receivesuch pay- mentspayment is consideration for this lease according to its terms and shall of be allocated as mere rental for a period. Lessee portions of the at anyab ime described premises liver dothereb Lessor or to surrender he depository sitoryabos ve named or place of record a release or releases covering any portion or acreage surrendered,and thereafter the rentals thereby hereunder shall be reduced in the or at and be relieved of all b is obligations as to thd release o releases. Pays proportion that the acreage covered hereby is reduced by said If Lessee shall,on or before any rental date,make a bona fide attempt to pay or deposit rental to a Lessor entitled thereto under this lease cording to Lessee's records or to a Lessor who,prior to such attempted payment or deposit, in has given Lessee notice,in accordance with the terms of this lease hereinafter set forth,of his right to re ceive ivy rental,and if h payment or deposit shall be erroneous any regard(whether deposited in the wrong depository,paid to persons other than the parties entitled thereto as shown by Lessee's s i records, incorrect amount, otherwise),Lessee shall be unconditionally obligated to pay to such Lessor the rental properly payable for the rental period involved,but this lease shall be maintained in the same manner as if such erroneous rental payment or deposit had been properly erroneous made,provided that the r oneo s rental payment or deposit be cor- rected rected within 30 days after receipt by Lessee of written notice from such Lessor of such error accompanied by any documents and other evidence neces- sary to enable Lessee to make proper payment. 5. Should any well drilled on the above described land during the primary term before production is obtained be a dry hole,or should production be obtained during the primary term and thereafter cease,then and in either event,if operations for drilling an additional well are not commenced or orerations drilling or r reworking ork n o aid well o wells, an old well are not then d on said this leaseand on or shall terminatere the first unless Lessee,on or bieforeate next said date,shalldrea me the e payment of production Upon resumption of the payment of rentals,Section 4 governing thep Ymut n talc. inter- ruption In the rental payments.If during the last year of the payment ter anand prior, th e discovery in force ,or though there had seen Lessee should drill dry hole thereon, if after discovery of oil,gas.or other hydrocarbonsyn before ror duriln g the lastther hydrf ocarbons on said land t gthe primary rdrt term the production force dui g the h cease during the last year of said term from any u o rental term, s operations are necessary der lli gear the lease in force during ld remainder of see primary term.shall at the expiration s the primarysuch trim,Lessee is conducting operations for drilling after a new well or reworking an and well,this production c nevertheless lease t force as long r as drilling continue reworking force drilling reworking o,or if, the ar comet of the ma primary term, on this ti shallr cease,this lease nevertheless r shall ddi in force if drilling or veredasresult esultoof are commenced within rr sixty g operations,days after such ce swoon f essationo if reothan si iy Cored o lease ha d contin a slongr th r f say of a drydro o ins or nealproduced without cessation of more than sixty ew days. e lions shall continue as long on of such c as l- gas,other hydrocarbons on other 1 is produced and as long as additional drilling or reworking operations are had without cessation of drill- ing or reworking operations for more thansixty(60)consecutive days. 6. Lessee,at its option,is hereby given the right and power to pool or combine the land covered by this lease,or any portion thereof,as to oil and gas,or either of them,with any other land,lease or leases when in Lessee's judgment it so necessary or advisable to do so in order to properly develop and operate said premises,such pooling to be into a well unit or units not exceeding forty '(40)acres,plus n acreage tolerance of ten per cent of forty(40)acres,for oil,and t e c exceeding six hundred and forty 1640)acres.plus an acreage tolerance of ten per cent(10 1 of six hundred and forty 1640)acr s,for gas,except that larger units may be created to conform to any spacing or well unit pattern that may be prescribed by govern- mental authorities having jurisdiction.Lessee may pool or combine acreage covered by this lease,or any portion thereof,as above provided,as to oil or gas n any one or more strata,and units so formed need not conform in size or area with the unit or units into which the lease is pooled or combined as to any other stratum or strata,and oil units need not conform as to area with gas units.The pooling in one or more instances shall not exhaust the rights of the Lessee hereunder to pool this lease or portions thereof into other units.Lessee shall execute in riting and place of record an instrument or instru- ments identifying and describing the pooled acreage,The entire acreage so pooled into a unit shall be treated for all purposes,except the payment of royalties,as if it were included in this lease,and drilling or reworking operations thereon or production of oil or gas therefrom,or the completion thereon of a well as a shut-in gas well,shall be considered for all purposes,except the payment of royalties.as if such operations were on r such production wei-e from or such completion were on the land covered by this lease,whether or not the well or wells be located on the premises covered by this lease. In lieu of the royalties elsewhere herein specified.Lessor shall receive from a unit so formed,only such portion of the royalty stipulated herein as the amount of his acreage placed in the unit or his royalty interest therein bears to the total acreage so pooled in the particular unit involved.Should any unit as originally created hereunder contain less than the maximum number of acres hereinabove specified,then Lessee may at any time thereafter,whether be- fore or after production is obtained on the unit,enlarge such unit by adding additional acreage thereto,but the enlarged unit shall in no event exceed the acreage content hereinabove specified.In the event a s existing unit is enlarged,Lessee shall a execute and place of record a supplemental declara- tion of unitization identifying and describing the land added to the existing unit; provided, that if such supplemental declaration of unitization is not filed until after production is obtained on the unit as originally created,then and in such event the supplemental declaration of unitization shall not become effective until the first day of the calendar month next following the filing thereof. In the absence of production Lessee may terminate a unitized area by filing of record notice of termination. ' 7.Lessee also shall have the right to unitize,pool,or combine all or any part of the above described lands with other lands in the same general area by entering into a cooperative or unit plan of development or operation approved by any governmental authority and,from time to i time,with like approval,to modify,f change e terminate any such plan or agreement and.in such vent,the terms.conditions,and provisions of this lease shall be deemed modified to conform to the terms,conditions,and provisions of such approvedcooperative or unit plan of development or operations d,par- ticularly,all drilling and development requirements of this lease,express or irnplied,shall be satisfied by compliance with the drilling and development requirements of such plan or agreement,and this lease shall not terminate or expire during the life of such plan or agreement. In the event that said dove described lands or any part thereof,shall hereafter be operated under any such cooperative or unit plan of development or operation whereby the production therefrom is allocated to different portions of the land covered by said plan,then the production zllocated to any particular tract of land shall,for the purpose of computing the royalties to be paid hereunder to Lessor,be regarded as having been produced from the particular tract of land to which it is allocated and not to any other tract of land; and the royalty payments to be made hereunder to Lessor shall be based upon production only as so allocated.Lessor shall formally express Lessor's consent to any cooperative or unit plan of development or operation adopted by Lessee and approved by any governmental agency by a eating the same upon request of Lessees e.Lessee shall have the right at any time without Lessor's consent to surrender all or any portion of the leased pee se and be relieved of all obligation as to the acreage surrendered.Lessee shall have the right at any time during or after the expiration of this lease to remove all properly and fixtures placed by Lessee including v said land, the right to draw and r e all casing. When required by Lessor. Lessee will bury all pipe lines below ordinary plow depth.and no well shall be drilled within two hundred 12001 feet of any residence or barn now on said land without Lessor's consent.The Lessee agrees to promptly pay to the owner thereof any damages to crops, or improvements, caused by or resulting from any op erations of Lessee, 12. Notwithstanding any provision of this lease to the contrary, no operations shall . be conducted on the above described land without the written consent of lessor. • 13. Upon the termination of this lease in whole or in part by election or by failure to make payments as aforesaid, lessee or his assigns shall within 30 days release by • written instrument the land or portion thereof which said lease terminates, and said notice shall also be sent to the lessor giving the book and page of said lease. It is expressly understood that this lease is subject to and controlled by any law of the State of Colorado now in effect restricting or limiting the powers of Counties or boards of0County Commissioners and provision herein in conflict therewith shall be inoperative and void. • 9. The rights of either party hereunder may be assigned, in whole or in part, and the provisions hereof shall extend to the heirs. successors and assigns of the parties hereto, but no change or division in ownership of the land, rentals, or royalties, however accomplished, shall operate to enlarge the obligations or diminish the rights of Lessee. No change in the ownership of the land. or any interest therein, shall be binding on Lessee until Lessee shall be furnished with a certified copy of all recorded instruments. all court proceedings and all other necessary evidence of any transfer, inheritance, or sale of said rights. In event of the assignment of this lease as to a segregated portion of said land, the rentals payable hereunder shall be apportionable among the several leasehold owners ratably according to the surface area of each, and default in rental payment by one shall not affect the rights of other lease- hold owners hereunder. In case Lessee assigns this lease, in whole or in part. Lessee shall be relieved of all obligations with respect to the assigned por- tion or portions arising subsequent to the date of assignment. 10. All express or implied covenants of this lease shall be subject to all Federal and State Laws, Executive Orders, Rules or Regulations, and this lease shall not be terminated, in whole or in part, nor Lessee held liable in damages_ for failure to comply therewith, if compliance is prevented by, or if such failure is the result of, any such Law. Order, Rule or Regulation. or if prevented by an act of God. of the public enemy, labor disputes, inability to obtain material, failure of transportation, or other cause beyond the control of Lessee. If, during the term of this lease, oil or gas or other hydrocarbons or other mineral is discovered upon the leased premises, but Lessee is prevented from producing the same by reason of any of the causes set out in this Section, this lease shall nevertheless be considered as producing and shall continue in full force and effect until Lessee is permitted to produce the oil. gas, other hydrocarbons. or other mineral and as long thereafter as such production continues in paying quantities or drilling or reworking operations are continued as elsewhere herein provided. 11. Lessor agrees that Lessee at its option may discharge any tax, mortgage or other lien upon sat an . er e • t s e . t shall be subrngated to such lien with the right to enforce same and apply rentals and royalties accruing hereunder toward satisfying same. Without impairment of Lessee's rights under the warranty in event of failure of title, it is agreed that if Lessor owns an interest in said land less than the entire fee simple estate. then the royalties and rentals to be paid Lessor shall be reduced proportionately. All of the provisions of this lease shall inure to the benefit of and be binding upon the parties hereto, their heirs, administrators, successors and assigns. This agreement shall be binding on each of the above named parties who sign the same, regardless of whether it is signed by any of the other parties. IN WITNESS WHEREOF, this instrument is executed on the date first abo�vree written. � �rq�rls� A!+ nnA M n qtr rrrrrn T w TtfTCTMt O-b ,risl WCafW_li�V+alyy...4iVLcolor .ti €".'++14.t.1+�A1+...x3W 1-Y i+�1�.1Y ATTEST: /O14 1CCf'( OF 3'FI STA.I'F_CFjCCLCP.ADG BY._TH," FI:ARD OF 0CVN Y1 F3Yt E7Cf" c `-e� —// .CU ?t'Y C,L !r7 raGG?B 131t;! - zs t STATE OF'COLORADO, 1 i 1 SS. Colorado Acknowledgment County of ;OLD The foregoing instrument was acknowledged before me this 15th day of December , A.D., 19 71 by Marshall H. Anderson, Glean...K....Billings,...Hany S, Ashley,.._The...Board...of..County CRmmie5i,oners Weld County_x Colorado Witness my hand and.t icial seal: My commission expires Notary Public. That portion of the Town of Bacono, Colorado situated in the NW/h Section 6, Township 1 North, Range 67 West of the 6th PM described as follows: Flock 1: Lots It and 5 Block 2: Lots 1 thru 8 I Block 3: Lots 6 thru 8 Block 8: Lots 6 and 8 Block 9: Lots 1 thru 8; 10 thru 12 Block 16: Lots 1 thru 3; 5 thru 8; 10 thru 12 1 Block 17: Lots 5 thru 8; 10 Block 19: Lots 15 thru 18 Block 20: Lots 5 thru 15 hook 28: Lots 1 t₹:ru 3; 7 thru 18 Block 29: Lots 2, 3, 5, 6; 9 thru 18 Block 30: Lots 1 thru u; 10 thru 14. Block 31: Lots 1 thru 12 Shock 32: tots 1, 4; 5 thru 8; 10 Block33: Lots 1 thru 3; 6; 10 thn: 12 • ba to L T ° ° ° b o an os V ° A 4 as r.:y v v. ° W co c _ v a c _ 4c u c ° 0 i W 0 a "�y CL c� Z sE C! to (T" O O y_' .c �r-. n U Ct. a F a z = ati 5 ti Z 3 A u " a a c. ° ci Q H a � �° 0 ° h 0 v L` `� f1. ,ZO E ' ° c% w 8 6 O c `o m � a W s �`� o.0 7 Cu tim O ° ° F Z o B vC Q v. 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