HomeMy WebLinkAbout20162420.tiffNADOA Model Form Division Order (Adopted 9/95)
DIVISION ORDER
To: Bonanza Creek Energy, Inc.
410 17th Street, Suite 1400
Denver, CO 80202
Attn: Erin Pettigrew
Property Number: CO045189
Property Name: NORTH PLATTE K21-O24-34HC
Operator: BONANZA CREEK ENERGY INC
County and State: Weld County, Colorado
Property Township 5 Nortl, Ran 63 West
Description: Section 34: E2W2, W2E2
Cpl 05-123-11-1S15.
Production:
Oil
Gas
Date: July 7, 2016
Effective Date: September 1, 2015
YOUR COPY
Other: ALL PRODUCTS
Owner Name OWNER NUMBER: 1041
and Address:
WELD COUNTY BOARD OF COMMISSIONERS Type of Interest: RI
P O BOX 758 Decimal Interest: 0.07553248
GREELEY, CO 80632-0758
The undersigned certifies the ownership of their decimal interest in production or proceeds as described above payable by
Bonanza Creek Energy, Inc. (Payor).
(Company Name)
Payor shall be notified, in writing, of any change in ownership, decimal interest, or payment address. All such changes
shall be effective the first day of the month following receipt of such notice.
Payor is authorized to withhold payment pending resolution of a title dispute or adverse claim asserted regarding the interest in
production claimed herein by the undersigned. The undersigned agrees to indemnify and reimburse Payor any amount attributable to
an interest to which the undersigned is not entitled.
Payor may accrue proceeds until the total amount equals $100.00, or pay yearly whichever occurs first, or as required by applicable
state statute.
This Division Order does not amend any lease or operating agreement between the undersigned and the lessee or operator or any other
contracts for the purchase of oil or gas.
In addition to the terms and conditions of this Division Order, the undersigned and Payor may have certain statutory
rights under the laws of the state in which the property is located.
SIGNATURE:
BOARD OF raaliZTYQIZLONER
ATTEST:.•SIIiCC..
CLER
BY:
DEPUTY CLERK li' H BOARD
4t6
Weld County Government
1150 "O" Street
Greeley, CO 80634
Phone: 970-336-7204
Fax: 970-336-7233
Tax ID: 84-6000-813
Federal Law requires you to furnish your Social Security or Taxpayer Identification Number.
Failure to comply will result in 31 % tax withholding and will not be refundable b'
EKP
Retain this copy for your records
ConamtAioykt /1-11"-c4
01:1-
2016-2420 (I)
LE0110-1 [EOM -3
Loll°Z
CO045189
NORTH PLATTE K21-O24-34HC
E2W2; W2E2-34-5N-63W
WELD COUNTY, CO
SPACING UNIT = 317.85 ACRES
TRACT 1 , LEASE NO. 22 ON TITLE OPINION:
WELD COUNTY LEASE - RECEPTION #3572171
LEASE CONTRIBUTES 44-°° ACocc
20% ROYALTY RATE CLOUD ' 1
TRACT 3, LEASE NO. 35 ON TITLE OPINION:
WELD COUNTY LEASE - RECEPTION #3870919
LEASE CONTRIBUTES 30.43 Acflc:S
20% ROYALTY RATE LEO/7o2-
TRACT 33, LEASE NO. 38 ON TITLE OPINION:
WELD COUNTY LEASE - RECEPTION #3883079
LEASE CONTRIBUTES a R- ACRFC
20% ROYALTY RATE LE 031 3
20% * 120.04 J 317.85 = 0.07553248
80.00
39.43
0.61
120.04
BEATTY & WOZNIAK, P.C.
ATTORNEYS AT LAW
216 SIXTEENTH STREET, SUIT1E, 1 100
DENVER, COLOR ADO 80202-51 15
TELEPHONE. 3O3 -4O7-4499
FAX 1-8OO-886-6566
www.bwenergylaw.com
RYAN MCKEE
303-407-4449
RMCKLF swENERGYLAw,coM
October 20, 2015
Bonanza Creek Energy, Inc.
Attention: Alexander Newell
410 17`h Street, Suite 1500
Denver, CO 80202
COLORADO
NEW MEXICO
NORTH DAKOTA
UTAH
WYOMING
Re: Updated Drilling and Division Order Title Opinion
Section 33: E/2E/2, Section 34: All, Township 5 North, Range 63 West, 6th P.M.
Weld County, Colorado
Our File No.: 3017.0042
Ladies and Gentlemen:
Pursuant to Bonanza Creek Energy, Inc.'s ("Bonanza Creek") request, we have examined
the materials listed below and based upon that information we submit this Updated Drilling and
Division Order Title Opinion ("Opinion") covering the following described lands and wells
("Subject Lands" or "Subject Section" and "Subject Wells"):
LANDS COVERED BY TITLE OPINION
Township 5 North, Range 63 West, 6th P.M.
Section 33: E/2E/2
Section 34: All
Weld County, Colorado
containing 795.94 acres, more or less
WELLS COVERED BY TITLE OPINION
North Platte E14 -AI 1 -341 -NC
North Platte 14-11-34HNB
North Platte J 14-F1 1-34HNC
North Platte J-F-34HNB
North Platte J-F-34HC
North Platte E--A-34HNB
North Platte E-A-34HC
North Platte 14-11-3411C
North Platte 21-24-34HNB
North Platte K21 -O24 -3411C
North Platte K21-O24-34HNC
North Platte K31-O34-34HNB
North Platte 31-34-341riNC
North Platte P31-T34-34HNB
North Platte P31-134-34HC
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. - 3017.0042
October 20, 2015
Page 3 of 286
11. Unrecorded Extension Letter, dated October 26, 2011, from Bayswater
Exploration & Production, LLC to Sally Ann Hooks, provided by Alexander Newell of Bonanza
Creek Energy, Inc.
12. Unrecorded Farmout Agreement, dated effective November 17, 2000, between
CFG Energy, Inc. and Sovereign Energy LLC, provided by Alexander Newell of Bonanza Creek
Energy, Inc.
13. Assignment, Bill of Sale and Conveyance, recorded August 31, 2015, at
Reception No. 4137934, from Anadarko E&P Onshore LLC to Noble Energy, Inc., provided by
Alexander Newell of Bonanza Creek Energy, Inc.
14. Online well information available from the official website of the Colorado Oil
and Gas Conservation Commission as of October 1, 2015, accessible at http://cogcc.state.co.us/.
15. Online acreage information available from the official website of the Bureau of
Land Management as of October 1, 2015, accessible at http://www.blm.gov/1r2000/sitemap.ht.m.
Unless otherwise indicated, book and page recording information shown in this Opinion
pertains to the records of the Office of the Clerk and Recorder of Weld County, Colorado.
OWN ERSHIP
Based upon the Materials Examined and subject to the Comments and Requirements set
forth herein, we find title to the Subject Lands and leases, as of August 6, 2015, to be owned and
encumbered as follows:
TRACTS
For purposes of identification and convenience, we have divided the Subject Lands into
the following Tracts':
Tract I: Section 34:
Tract 2: Section 34:
N/2NE/4, SW/4NE/4
Containing 1 19.25 acres of land, more or less
SE/4NE/4, SE/4, less the Cottonwood P.U.D. as described at
Reception No. 2990418 and those metes and bounds tracts herein
described as Tract Nos. 16.33
Containing 166.23 acres of land, more or less
' See Prior Comment and Requirement Nos_ 2-3 regarding this Opinion's reliance on outside surveys and deed
plotting software for the determination of the acreage totals given to the below described Tracts.
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6'h P.M. — 3017.0042
October 20, 2015
Page 4 of 286
Tract 3:
Tract 4:
Tract 5:
Tract 6:
Tract 7:
Tract 8:
Tract 9:
Tract 10:
Tract 11:
Tract 12:
Tract 13:
Tract 14:
Tract 15:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
Section 34:
NE/4NW/4
Containing 39.43 acres of land, more or less
NW/4NW/4, S/2NW/4, and a 32.00 acre tract
Containing 152.65 acres of land, more or less
Those lands described in the Right of Way Deed, recorded in the
records of Weld County, Colorado at Reception No. 6909
Containing 18.38 acres of land, more or less
Lots 13-15 of Block 2 in the Town of Hardin
Containing 0.96 acres of land, more or less
43.51 acre tract more particularly described in that Warranty
Deed, recorded in the Records of Weld County, Colorado at
Reception No. 172820.
Containing 43.51 acres of land, more or less
Blocks 4, 5, C, & D in the Town of Hardin
Containing 46.10 acres of land, more or less
Lots 16-18 of Block 2 and Lots 1-2 and 28-29 of Block 3 in the
Town of Hardin
Containing 2.22 acres of land, more or less
Lots 11-12 and 19-20 of Block 2 in the Town of Hardin
Containing 0.97 acres of land, more or less
Lots 1-8, 23-30 of Block 2 in the Town of Hardin
Containing 4.20. acres of land, more or less
Lots 9 and 22 of Block 2 in the Town of Hardin
Containing 0.48 acres of land, more or less
Lot 10 of Block 2 in the Town of Hardin
Containing 0.25 acres of land, more or less
Lot 21 of Block 2 in the Town of Hardin
Containing 0.23 acres of land, more or less
Section 34: Lots 3-27 of Block 3 in the Town of Hardin
Containing 6.56 acres of land, more or less
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Page 6 of 286
Tract 29: Section 34:
Tract 30: Section 34:
Tract 31:
Tract 32:
Tract 33:
Tract 34:
Tract 35:
Tract 36:
Tract 37:
Section 34:
Section 34:
Section 34:
Open Space Cottonwood Falls, P.U.D.
Containing 7.10 acres of land, more or less
A 3.25 acre metes and bounds tract located in the SE/4SE/4 more
particularly described at Reception No. 2440048
Containing 3.25 acres of land, more or less
A 3.02 acre metes and bounds tract located in the SE/4SE/4 lying
East of tract more particularly described at Reception No.
2440048, North of Tract No. 33, and West of Tract No. 32
Containing 3.02 acres of land, more or less
That portion of a strip of land fifty feet (50') in width lying
between Sections 34 and 35, the same being twenty-five feet
(25') on each side of the Section line, less that portion lying
within the NW/4 of Section 35 and that portion of Tract No. 33
lying in the SE/4SE/4 of Section 34
Containing 2.97 acres of land, more or less
A strip of land fifty feet (50') in width off the entire South side of
the S/2SE/4 of Section 34, except those portions vacated by
Resolution adopted by Weld County Board of County
Commissioners on August 12, 1996, recorded at Reception No.
2507157
Containing 1.72 acres of land, more or less
Section 33: E/2NE/4 Lying North of the Railroad Right of Way
Containing 70.7769 acres of land, more or less
Section 33: SE/4NE/4 South of Weld County Road 380
Containing 3.3358 acres of land, more or less
Section 33: Railroad ROW/Fee Lands in N/2
Containing 2.9430 acres of land, more or less
Section 33: Lots A and B of RE2599 in NE/4
Containing 2.1732 acres of land, more or less
3 Lot 13 was initially conveyed as platted in the Cottonwood Falls P.U.D. recorded at Reception No. 3128714;
however, in subsequent conveyances, Lot 13 was described as Lot 13, Amended Cottonwood Falls, P.U.D. See Prior
Comment and Requirement No. 30 regarding the assumed ineffectiveness of the Amended Cottonwood Falls,
P.U.D.
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Page 7 of 286
Tract 38:
Tract 39:
Tract 40:
Section 33: Weld County Road 380 in S/2NE/4
Containing 0.771 I acres of land, more or less
Section 33: SE/4SE/4
Containing 40.00 acres of land, more or less
Section 33: NE/4SE/4
Containing 40.00 acres of land, more or less
SURFACE
Per the instruction of Bonanza Creek, the surface ownership has not been determined for the
drafting of this Opinion. If Bonanza Creek would like a surface ownership determination, it
should contact this office so that the surface ownership may be determined and added to this
Opinion.
OIL, OAS AND OTHER MINERALS (EXCLUDING COAL)
Tract 1: N/2NE/4, SW/4NE/4 of Section 34, T5N, R63W, 6th P.M.
Owner
Weld County, Colorado
TOTAL
Interest
100.000000%
100.000000%
Tract 2: SE/4NE/4, SE/4 of Section 34, T5N R63W 6th P.M., less Tract Nos. 16-33
Owner
Interest
Rex Monahan Family Trust, dated June 16, 1979, Doris L. 49.000000%
Monahan Trustee
The Prospect Company
70 Ranch, LLC
Full Sea Equities, L.L.C.
DAX 2020, LLC
25.500000%
20.461200%
2.519400%
2.418624%
BF;ATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Page 8 of 286
Owner Interest
Alex Speros
TOTAL
Tract 3: NE/4NW/4 of Section 34, TSN, R63W, fith P.M.
Owner
0.100776%
100.000000%
Interest
Weld County, Colorado 100.000000%
TOTAL 100.000000%
Tract 4: NW/4NW/4, S/2NW/4 and 32 Acre Tract of Section 34, T5N, R63W, 6th P.M.
Owner Interest
Dorothy Baldwin and Ernest Baldwin, as joint tenants 20.000000%
James Robert Mondt, as Trustee of the James Robert Mondt Trust 20.000000%
Jack R. Mondt 20.000000%
William E. Mondt and Jo Ann W. Mondt, as joint tenants 20.000000%
Ervin L. Mondt and Patsy H. Mondt, as joint tenants 20.000000%
TOTAL 100.000000%
Tract 5: Railroad Lands of Section 34, T5N, R63W, 6th P.M.
Owner Interest
Anadarko Land Corp. 100.000000%
TOTAL 100.000000%
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
Et2E/2 of Section 33, AU of Section 34, TSN, R63W, 6th P.M. — 3017.0042
October 20, 2015
Page 21 of 286
Tract 32: That portion of a strip of land fifty feet (50') in width lying between Sections 34
and 35.r the same being twenty-five feet (25') on each side of the Section line, less that
portion lying within the NW/4 of Section 35 and that portion of Tract No. 33 lying in the
SE/45E/4 of Section 34, TSN, R63W,6th P.M.
Owner
Weld County, Colorado"
TOTAL
Interest
100.000000%
100.000000%
Tract 33: A strip of land fifty feet (5a') in width off the entire South side of the S/2SE/4 of
Section 34, T5N, R63W, 6th P.M. except those portions vacated by Resolution adopted b_y
Weld County Board of County Commissioners on August 12, 1996, recorded at Reception
No. 2507157
Owner
Weld County, Colorado'$
TOTAL
Interest
100.000000%
100.000000%
Tract 34: E/2NE/4 Lying North of the Railroad Right of Way in Section 33, TSN, R63W,
6th P.M.
Owner Interest
Dorothy Baldwin and Ernest Baldwin, as joint tenants 20.000000%
James Robert Mondt, as Trustee of the James Robert Mondt Trust 20.000000%
Jack R. Mondt 20.000000%
William E. Mondt and Jo Ann W. Month, as joint tenants 20.000000%
Ervin L. Mondt and Patsy H. Mondt, as joint tenants 20.000000%
TOTAL 100.000000%
11 See Prior Comment. and Requirement No. 26.
IS See Prior Comment and Requirement No. 26.
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/202 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Page 153 of 286
VII. OWNERSHIP OF OIL AND GAS, AND THE PROCEEDS FROM THE SALE OF
OIL AND GAS, AS TO THE NORTH PLATTE K21-O24-34HC, THE NORTH PLATTE
K21-O24-34HNC, AND THE NORTH PLATTE K31-O34-34HNB WELLS, LOCATED
WITHIN A UNIT COMPRISED OF THE W/2E/2 AND E/2W/2 OF SECTION 34,
TOWNSHIP 5 NORTH, RANGE 63 WEST, 6TH P.M. FROM THE SURFACE TO THE
BASE OF THE CODELL FORMATION:
The total proceeds of production from the subject spacing unit have been apportioned in our
Division of Interest according to each Tract's participation factor ("PF"), as follows:
Tract 1:
Tract 3:
Tract 4:
Tract 5:
Tract 11:
Tract 8:
Tract 7:
Tract 2:
Tract 33:
As to Oil Production
Owner
0.25169105
0.12405223
0.16240365
0.01635992
0.00072361
0.05619003
0.13688847
0.24977190
0.00191914
Bonanza Creek Energy Operating Company,
LLC
Tract 1
(1.00 WI x 0.80 NRI OGL x 0.25169105 PF)
Tract 3
(1.00 WI x 0.80 NR1 OGL x 0.12405223 PF)
Tract 4
(0.97070312 WI x 0.8750 NRT OGL x 0.16240365 PF) -
(0.97070312 WI x 0.0650 ORI x 0.16240365 PF) -
(0.97070312 WI x 0.01 ORI x 0.16240365 PF) --
(0.3515625 WI x 0.0085 ORI x 0.16240365 PF) -
(80.00 acres/317.85 acres)
(39.43 acres/317.85 acres)
(51.62 acres/317.85 acres)
(5.20 acres/317.85 acres)
(0.23 acres/317.85 acres)
(17.86 acres/317.85 acres)
(43.51 acres/317.85 acres)
(79.39 acres/317.85 acres)
(0.61 acres/317.85 acres)
Working
Interest
0.90345 864
Net Revenue
Interest Type
0.73473665 WI
Lease
No.
2-6, 8-
13, 16,
18, 20,
22, 35,
38, 43-
50,51,
53-55,
57-60
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6(11 P.M. — 3017.0042
October 20, 2015
Page 163 of 286
Owner
KLB Energy, LLC
Tract 8
(0.00005052 WI x 0.01583334 ORI x 0,05619003 PE)
(0.00008337 WI x 0.01583334 ORI x 0,05619003 PF)
Tract 7
(0.00002526 WI x 0.01583334 ORT x 0.13688847 PF)
(0.00004168 WI x 0.01583334 ORI x 0.13688847 PF)
Madant Energy,
Tract 8
(0.00280644 WI
(0.00463158 WI
Tract 7
(0.00140322 WI
(0.00231579 WI
LLC
x 0.01583334 ORI x 0.05619003 PF)
x 0.01583334 ORI x 0.05619003 PF)
x 0.01583334 OR! x 0.13688847 PF)
x 0.01583334 ORI x 0.13688847 PF)
Westco Family Limited Partnership
Tract 8
(0.00280644 Wi x 0.0025 ORI x 0,05619003 PF)
(0.00463158 WT x 0.0025 COI x 0,05619003 PF)
Tract 7
(0.00140322 Wi x 0.0025 OR! x 0.I3688847 PE)
(0.00231579 WI x 0.0025 ORI x 0.13688847 PF)
Weld County, Colorad' a
Trnnt 1
! IQLL 1
(1.00 MI x 0.20 LOR x 0.25169105 PF)
Tract 3
(1.00 Mix 0.20 LOR x 0.12405223 PF)
Tract 33
(1.00 MI x 0.20 LOR x 0.00191914 PF)
Dorothy Baldwin and Ernest Baldwin, as joint
tenants
Tract 4
(0.20 MI x 0.1250 LOR x 0.16240365 PE)
Working Net ReveirUe Lease
Interest Interest Type No.
0.00000026 OR1 21
0.00001468 ORI 21
0.00000232 ORI 21
0.07553248
RI 22, 35,
38
0.00406009 RI 5
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Primary Term:
Royalty:
Delay Rental:
Shut-in Clause:
Pooling/Unitization Clause:
Entireties Clause:
Pugh Clause:
Special Provisions:
Extension:
Affidavits of Production:
OIL AND GAS LEASE NO.22
Dated:
Recorded:
Lessor:
Lessee:
Lands Covered:
Primary Term:
Royalty:
Delay Rental:
Shut-in Clause;
Five (5) years, and as long thereafter; option to extend
the primary term for three (2) [sic] additional years by
mailing a bonus consideration equal to one hundred fifty
percent (100%) [sic] of the bonus consideration
originally paid for this lease.
1/8th
None; Paid -up lease
One Dollar per year per net royalty acre
Yes; broad form pooling and unitization clause with a
provision for a cooperative or unit plan of development
or operation approved by applicable government
authority.
None
None
This lease shall cover all Lessor's right, title and interest
in the above described lands including streets, roads,
alleys and any reversionary or after acquired interest
therein.
Top lease clause
By Affidavit of Lease Extension dated November 8,
20I1, recorded December 2, 2011, at Reception No.
3809507, by Bayswater Exploration & Production, LLC
stating that it has extended the Lease.
See Exhibit C of this Opinion for the Affidavits of
Production covering this lease as to the Subject Lands.
July 16, 2008
August 14, 2008
tecet_ttion No. 3572171
Weld County, Colorado, a political subdivision of the
State of Colorado, acting by and through the Board of
County Commissioners of the County of Weld
Bonanza Creek Energy Operating Company, LLC
Township 5 North, Range 63 Wee,`ufti P.M.
Section 34: N/2NE/4, SW/4NGp+
Containing 120.00 acres, more or less
Three (3) years, and as long thereafter
20.00%
$120.00 per year, computed at the rate of $1.00 per net
mineral acre or fraction thereof per year
Yes, upon Lessor approval, with payment of $2.00 per
A-28
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017 0042
October 20, 2015
Pooling/Unitization Clause:
Entireties Clause:
Pugh Clause:
Special Provisions:
Affidavits of Production:
acre of lease per annum in addition to the annual rental.
The minimum amount of such shut-in royalty payment
shall be $240.00. The maximum extension of the leases,
due to the existence of a shut-in well, shall be five years
beyond the extension term as described in the Extension
paragraph included within the oil and gas lease.
Yes, requires recording of declaration in addition to
mailing a copy of any such declaration to the Lessor or
to the depository bank. Unitization only upon approval
of Lessor.
None
None
-Lessor reserves the right to conduct exploration on the
leased land provided such exploration does not interfere
with the rights granted herein
-Lessee, with prior written consent of Lessor, shall have
the right to assign the entire leasehold interest of said
Lessee in all or part of the land covered hereby, butnot
less, however, than contiguous tracts of approximately
forty (40) acres or Governmental lot corresponding to a
quarter -quarter section for any partial assignment, and
for approval of such assignments Lessor shall make an
assignment charge in an amount to be determined by
Lessor.
-Lessee shall notify Lessor of all other assignments of
undivided percentages or other interest, though no
approval is required.
-Any and all reservations or assignments or [sic]
overriding royalties shall be subject to approval by
Lessor. The total of said overriding royalties shall not
exceed fve per cent (5%), including any oerric ling
royalty previously provided for unless production
exceeds a monthly average of fifteen (l 5) barrels per
day or ninety thousand cubic feet of gas per day (90
MCF/D). In the event production drops to this amount
or less, any overriding royalties which exceed five
percent (5%) may be suspended.
-Upon discovery of oil and gas or either of them on the
leased land, Lessee shall proceed with reasonable
diligence to develop said land at a rate and to an extent
commensurate with the economic development of the
field in which the leased land lies.
See Exhibit C of this Opinion for the Affidavits of
A-29
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Production covering this lease as to the Subject Lands.
OIL AND GAS LEASE NO.23
Dated:
Recorded:
Lessor:
Lessee:
Lands Covered:
Primary Term:
Royalty:
Delay Rental:
Shut-in Clause:
Pooling/Unitization Clause:
December 1, 2009
November 15, 2011
Reception No. 3805724
Anadarko E&P Company LP and Anadarko Land Corp.
Kerr-McGee Oil & Gas Onshore LP
Township 5 North, Range 63 West, 6th P.M.
Section 33: N/2SE/4, Limited to those depths and
formations from the surface to the
stratigraphic equivalent of 7,322 feet, as
found in the Hergenreder 13-33U well
located in the NW/4SW/4.
Containing 80.00 acres, more or less
Twenty-four (24) months, and as long thereafter
20.00%
None; paid -up
$10.00 per net acre which payment shall be made to
Lessor at P.O. Box 173779, Denver, Colorado 80217-
3779, ATTN: Manager, Land Administration, on or
before the 90th day from and after the date on which
such well is or was shut-in, and annually thereafter a
similar payment may be made on or before the
anniversary date on which such well was shut-in. If such
payment, or payments, are timely made, it shall be
considered that gas is being produced in paying
quantities from the Leased Premises under all the terms
and provisions of this Lease (but only for so long as the
well continues to be capable of producing in paying
quantities). Notwithstanding the foregoing, Lessee may
not maintain this Lease by making Shut-in Well
Payments as to any well more than three (3) cumulative
years during any five (5) year period.
Yes; Lessee may not commit the Leased Premises or
any portion thereof to a federal unit without prior
written consent of Lessor. Any such pooling shall be
into a well unit or units not exceeding forty (40) acres
plus an acreage tolerance of ten percent (10%), for oil,
and not exceedingone hundred sixty (160) acres, plus
acreage tolerance of ten percent (10%), for gas, except
that larger units may be created to conform to any
spacing or well unit pattern that may be prescribed by
A-30
Pr. A ?Tv .es Jul/n7?VIAL" P f
TT 1Ji11litin, 1 .41..r.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, T5N, R63W, 6th P.M.. - 3017.0042
October 20, 2015
OIL AND GAS LEASE NO.35
Dated:
Recorded:
Lessor:
Lessee:
Lands Covered:
Primary Term:
Royalty:
Delay Rental:
Shut-in Clause:
Pooling/Unitization Clause:
Entireties Clause:
Pugh Clause:
Special Provisions161:
August 27, 2012
September 5, 2012
Reception No. 3870919
Weld County, Colorado
Bonanza Creek Energy Operating Company, LLC
Township 5 North, Range 63 West, 6th P.M.
Section 34: NE/4NW/4
Containing 40.00 acres, more or less
Until August 27, 2015
20%
$40.00, computed at a rate of $1.00 per mineral acre per
year.
$2.00 per acre of the lease per annum in addition to the
annual rental. The minimum amount of such shut-in
royalty payment shall be $240. The maximum extension
of the lease, due to the existence of a shut-in well, shall
be five years beyond the extension term.
Yes; broad form pooling and unitization clause with
provision for the issue of a separate lease for lands not
committed thereunder.
None
None
Assignments: upon payment of a $25 fee and prior
written consent of Lessor.
Overriding Royalty: subject to approval by Lessor and
shall not exceed five percent (5%), including any
overriding royalty previously provided for unless
production exceeds a monthly average of fifteen (15)
tarre .lsper day or ninety thousand cubic feet of gas per
day (90 MCF/D)
Extension: A) No lease term will be extended for more
than six (6) months from the original expiration date, B)
Lessee shall pay to the Lessor the sum of one-third of
the original bonus, with a minimum bonus of Ten
Dollars ($10.00) per acre, C) Lessee must pay to the
Lessor the sum of One Dollar ($1.00) per acre leased as
delayed rental for the term of the extension, and D) the
royalty will remain the same.
161 There are numerous non-standard provisions incorporated in this lease agreement. See lease agreement for full
descriptions of all such provisions.
A-42
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E/2 of Section 33, All of Section 34, TSN, R63W, 6th P.M. -- 3017.0042
October 20, 2015
Lessee:
Lands Covered:
Primary Term:
Delay Rental:
Royalty:
Shut-in Clause:
Pooling/Unitization Clause:
Warranty of Title:
Lesser interest Clause:
Pugh Clause:
Other/Special Provisions:
Affidavits of Production:
OIL AND GAS LEASE NO.38
Dated:
Recorded:
Lessor:
Lessee:
Lands Covered:
Primary Term:
Delay Rental:
Royalty:
Shut-in Clause:
Pooling/Unitization Clause:
Bonanza Creek Energy Operating Company, LLC
Township 5 North, Range 63 West, 6th P,M.
Section 34: A strip of land fifty feet in width lying
between Sections 34 and 35, Township 5
North, Range 63 West, the same being 25
feet on each side of the section line (insofar
as same lies within said Section 34)
Containing 2.97 acres, more or less
Three years and so long thereafter as oil or gas of
whatsoever kind or nature are produced
N/A, paid -up lease
20%
One dollar per year per net mineral acre
Yes
No
Yes
No
-Lessor's consent to assignment required. Shall not be
unreasonably withheld.
-Lessor to give 45 -day notice of claimed default.
-Lessee shall not conduct operations of any kind upon the
surface of the lands herein described without the express
written consent of Lessor. Such consent shall not be
unreasonably withheld.
See Exhibit C of this Opinion for the Affidavits of
Production covering this lease as to the Subject Lands,
October 10, 2012
October 23, 2012
Reception No. 3883079
Weld County, Colorado
Bonanza Creek Energy Operating Company, LLC
Township 5 North, Range 63 WestL6`h P.M.
Section 34: A strip of land fifty feet in width off the
entire south side of the SE/4
Containing 3.00 acres, more or less
Three years and so long thereafter as oil or gas of
whatsoever kind or nature are produced
N/A, paid -up lease
20%
One dollar per year per net mineral acre
Yes
A-44
BEATTY & WOZNIAK, P.C.
Bonanza Creek Energy, Inc.
E/2E./2 of Section 33, All of Section 34, T5N, R63W, 6th P.M. — 3017.0042
October 20, 2015
Warranty of Title:
Lesser Interest Clause:
Pugh Clause:
Other/Special Provisions:
Affidavits of Production:
OIL AND GAS LEASE NO.39
Dated:
Recorded:
Lessor:
Lessee:
Lands Covered:
Primary Term:
Royalty:
Delay Rental:
Shut-in Clause:
Pooling/Unitization Clause:
Entireties Clause:
Pugh Clause:
Special Provisions:
Affidavits of Production:
No
Yes
No
-Lessor's consent to assignment required. Shall not be
unreasonably withheld.
-Lessor to give 45 -day notice of claimed default.
-Lessee shall not conduct operations of any kind upon the
surface of the lands herein described without the express
written consent of Lessor. Such consent shall not be
unreasonably withheld.
See Exhibit C of this Opinion for the Affidavits of
Production covering this lease as to the Subject Lands.
July 1, 2012
December 7, 2012
Reception No. 3894189
William D. Thompson, Tina R. Thompson, and Jason J.
Thompson, as joint tenants
Bonanza Creek Energy Operating Company, LLC
Township 5 North, Range 63 West, 6th P.M.
Section 34: Lot 13, Cottonwood Falls PUD,
according to that certain map or plat
thereof recorded March 29, 2007 under
Reception No. 3465185, being located in
the E/2 of Section 34
Containing 1.6963 acres, more or less
Three (3) years, and as long thereafter
1 /6th
None, Paid -up Lease
Yes, $ 10.00 per year per net mineral acre
Yes
None
None
Notwithstanding anything to the contrary herein
contained, this is a non -surface use oil and gas lease and
no operations of any kind shall be conducted on the
lands herein -above described.
See Exhibit C of this Opinion for the Affidavits of
Production covering this lease as to the Subject Lands.
ALM'S TAYLOR
do DUKE, LW
11110 An- wall
t.l...•• N0/0
an) 130 One �r•�
/0r.0M • al 14•WIS -1
EXHIBIT F
SECTION 34: W/2167
er
ainiziinninumentivin
1O4Ltr•409'
ALL UNEAR DISTANCES ARE MEASURED
IN FEET AND DECIMAL. FEET UNITS
fan
it$42
Anna
I
SW
' MO COMM
4,64.4511
ISLd9
CDT
alit
X3.31
MITICMIMMIRIRS
INAM6
US
IAIIJIUAD
751.'IS3
6.56
CAL' MANT
SLIM
136
LUIZM.
41fl
MS
XOIWAN
♦1400f
LUTZ
R4T
=VOL DIST. a 811-7
11AN
IPA —4.—
i
625
fX1
tan
VIM
6A5
11ANf1n
16,f14
4.110
MOM
2.100, 13
1& W
MIN CH
1,a2a
31134
summit WM:
1) This arw A*wa1Wr way aar►Alld gran Oa end *Ws 01
.f0M01. Na need siereern an robs.
I I44XS rya -f
167 The tract numbers given in this plat do not correspond with the tract numbers used in this Opinion. This plat has been included for acreage determination
purposes only. For more information concerning the method used for determining the tract acreage used for the drafting of this Opinion please see Prior
Comment and Requirement No. 2.
EXHIBIT G
SECTION 34: E/212
N/2NE/4, SW/4NE/4, NVV/4SE/4
AREA Ape0C6TION
PART OF SECTION $4.
TOWNSNIF S NORTH, WOE 63 MST OF TIM CII ISINCWALIMUMAN,
coons OF WELD. STATE CFCOLORADO
AST
.110aff Par
AU. MAR D1STAMCES ME 11EAS1 KO
IN FELT MO O£OMI. FUT m m
AREA A1iOCAMON TAXI MOOS
2 MSC(
afEAtEflirt
Slat
TRW
an
IttetCOSITY
.._,_.....
UMW7i!!
4 NSLOODI�IY
TOTM.
4713A P
39.14
ALGSS TAYLOR
& DUKE, LLC
dww.w•
ono
tortra<s +w
7U1a.
1) Iles a SS a Insistitil *we lillb ad *midi se
rapt smernathe wry Ma.
•r..• re tarn
i
M I+A CM.0C'3a
74
MIMS
MIS Off.
3!M Area
74
I
cot ffic
,,,... III.• w...wRr 1.y,,.{.+.. . . •-•••...w...rr.-r .
MAW
Ts
1, WMAt.
saw
73
MA1 ACS
COUNTY ROAD
tARCl1p1
n
168 The tract numbers given in this plat do not correspond with the tract numbers used in this Opinion. This plat has been included for acreage determination
purposes only. For more information concerning the method used for determining the tract acreage used for the drafting of this Opinion please see Prior
Comment and Requirement No. 2.
SE/4NE/4169
AREA ALLOCATION
U.
Mr
SEIMNE11a OF SECTION
TOWNS1IIP S MOOR, MHO 63 WEST OF TIM ifli ?*DOAS,1aRfl *
COUNTY OF man. STATE OF COLORADO
sem
emit
Ar S ritARY
A.I. LINEAR DISTANCES ARC MEASURED
IN FEET AND DECRIAL FEET UNITS
AREA ALLOCATION TAMA
71lACT
3Ql1ARA FEW
At fSl► IE
Ow1,Ilnt
2
32,101
US
MILD COWIT
5
l"23r1a5
, 1a.31
TOMAN CH.U.C
31
10.101
IA2
HLLIM
LI
53,1*)
1.22
NMAGUS CITA*SAM MA.
'LI
4S,t$
LOS
1 A12010 3
L3
33,171
I.70
GUM IL VRIONN
la
63.211
1 A5
SARA IL WAIMER
41A00 I
Ln
.RE INOICIA
,S
Ld
32,M2
0,74
TREY D, lM OY
L7
61.470
1.44
MIRY i MARY C UTTER
Li
MVP
1.14
GOT Ic. DIXON
IS
WIT
LA4
MC 1ThIL LOANS IIIIRVICING, Lt
LID
SIMI
1.13
WITEMA a =NW SULLIYAw
LII
SI,fl
LI?
VOOY&JORDANUMW ,
L12
30414
11T
11AOTI!Y i TRACY MIRY
L13
SOAP'S
IS
�RILLamanitasnoQnow
O18N St
MITIt
e
lX?TSOIiI4"11OUyaws sari
'
TOTAL
- 1.712,911
3L32
AL ass 7W YLOR
& DUKE, LLC
ANe! aey, b.. WI
faw ar..ra f#rrr
b107 Mara
arra a aSWISS
3AMR &- iREEL.
t) nil a rllrrr * n Ina 1lrlr a 4 IrrN S
mare+! Ms 1b1/ saran Wi «nn an.
L12
T5
T5
C..
E 1/4 COR SEC 34
COUNTY ROAD
PARCEL#2
17
169 The tract numbers given in this plat do not correspond with the tract numbers used in this Opinion. This plat has been included for acreage determination
purposes only. For more information concerning the method used for determining the tract acreage used for the drafting of this Opinion please see Prior
Comment and Requirement No. 2.
SW/4SE/417+
AREA ALLOCAnor
SWUM a»34
TOWNSHIP 5 NORM RAIL* $3 WEST CIF THE 1TH flD CD'AL AORIDIAW,
COMM OF W&.D, STAID Of COLORADO
4107
SOY
31".rtLS"Mir
AU. LINEAR DISTANCES ARC MEASURED
IN PEST AND DCCP 4L FEET UNITS
AMA ALLOCATKIN A*L$
J
�
- .....
2604
aa`
ao�n�+v
2
lain
24.79
"MANCH, U C
min.
1,716,314
19.40
A/ RS rAYLOP
ft DUKE, LLC
Nit S......I
s.... an a a..
p..)
.,.M... IIMP .wslt tie
a) 7W, owe ea.« a ....11 its .IN..«d GIs of
..&M1. Os OS Mse.rr fl 1 *m„ mo.w.
15
ROAD ABANDONMENT
T3
- COUNTY ROAD
PARC \
50.0'
altt
S 1/4 CUR SEC 34
C.R 50
170 The tract numbers given in this plat do not correspond with the tract numbers used in this Opinion. This plat has been included for acreage determination
purposes only. For more information concerning the method used for determining the tract acreage used for the drafting of this Opinion please see Prior
Comment and Requirement No. 2.
COGIS - WELL Information
Page 1 of 1
COGIS - WELL Information
Scout Card Related (-44 Insp. R MIT 4) GIS a Doc [i COA Wellbore
Surface Location Data for API # 05-123-41885
Well Name/No:
Operator:
Status Date:
County:
I
Field:
Planned Location
FrFocus
Status: PR
North Platte #K21-O24-34HC (click well name for production)
BONANZA CREEK ENERGY OPERATING COMPANY LLC - 8960
11/1/2015 Federal or State Lease #:
WELD #123 Location:
WATTENBERG -#90750 Elevation:
1136 FSL 2463 FWL Lat/Long: 40.36634/-104.42244
Job Date: 10/26/2015
Job End Date: 10/29/2015
Chemical Disclosure Registry
Wellbore Data for Sidetrack #00
Spud Date:
v'elibore Permit
Permit #:
Prop Depth/Form:
Mineral Owner:
Unit:
Formation and Spacing:
Casing:
Cement:
Casing:
Cement:
Casing:
Cement:
Wellbore Completed
Completion Date:
Measured TD:
True Vertical TD:
Top PZ Location:
Bottom Hole Location:
8/21/2015
Orders
11/1/2015
SESW 27 5N63W 6 PM
4,541 ft,
Lat/Long Source: Field Measured
Reported: 11/11/2015 Days to report: 13
Status: PR 11/1/2015
Spud Date is: ACTUAL
HORIZONTAL
Expiration Date: 7/12/2017 9:24:19 AM
11261 Surface Mineral Owner Same:
FEE Surface Owner: FEE
Unit Number:
Code: CODL . Formation: CODELL , Order: , Unit Acreage: 320, Drill Unit: GWA
String Type: SURF , Hole Size: 13.5, Size: 9.625, Top: 0, Depth: 1640, Weight: 36
Sacks: 800, Top: 0, Bottom: 1640, Method Grade:
String Type: 1ST , Hole Size: 8.75, Size: 7, Top: 0, Depth: 6980, Weight: 26
Sacks: 500, Top: 2500, Bottom: 6980, Method Grade:
String Type: 1ST LINER , Hole Size: 6.125, Size: 4.5, Top: 6880, Depth: 11261, Weight: 11.6
Sacks: , Top: , Bottom: , Method Grade:
NIA
Sec: 34 Twp: 5N 63W
Sec: 34 Twp: 5N 63W
Formation Log Top
Completed information for formation N-COM
1st Production Date: N/A
Status Date: 11/1/2015
Commingled:
Formation Name: NOT COMPLETED
Tubing Size:
Tubing Packer Depth:
Open Hole Top:
No Initial Test Data was found for formation N-COM
No Perforation Data was found for formation N-COM
Measured PB depth:
True Vertical PB depth:
Footage: 531 FFNLL 2226 FFWLL Depth
Footages: 470 FFSLL 2256 FFWLL Depth
Log Bottom
Choke Size:
Open Hole Completion:
Production Method:
Status:
Tubing Setting Depth:
Tubing Multiple Packer:
Open Hole Bottom:
Cored OSTs
Status: PR 11/1/2015
PR
http://cogcc.state.co.us/cogis/FacilityDetail.asp?facici=12341885&type=WELL 7/20/2016
COUNTY ATTORNEY STAFF APPROVAL
This is to affirm the attached Division Order and authorization to receive payment for an
oil and gas well has been reviewed by the County Attorney's staff as to form and legal
description.
Well Name(s): NORTH PLATTE K21-O24-34HC File Location(s): LEO170-1
NORTH PLATTE K21-O24-34HNC LEO170-2
NORTH PLATTE K31-034-34HNB LEO310-3
BY:
17.);11.#
Bruce Barker - County Attorney
DATE:
NOTES: Three leases = 120.04 mineral acres/ 1317.85 acres spacing unit * 20% = 0.07553248 MATCH
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