Loading...
HomeMy WebLinkAbout952577D orm 3100 -1Ib (.August 1988) The undersigned (reverse) offers to lease all or any of the lands in Item 2 that are available for lease pursuant to the Mineral Leasing Act of 1920. as amended and supplemented (30 U.S.C. 181 et seq.). the Mineral Leasing Act for Acquired Lands of 1947. as amended (30 U.S.C. 351 -359), the Attorney General's Opinion of April 2, 1941 (40 Op. Airy. Gen. 41), or the I Name Street 2 This application /offer /lease is for: (Cheek only One) X: PUBLIC DOMAIN LANDS Surface managing agency if other than BLM: Unit /Project Legal description of land requested: *Parcel No.: *SalqTtia (id /y); 'SEE ITEM Z IN INSTRUCTIONS BELOW PRIOR TO COMPLETING PARCEL NUMBER AND SALE DATE. t; it T. R. Meridian State Ciir F G Y U, ED STATES DEPARTMENT OF THE INTERIOR BUREAU OF LAND MANAGEMENT OFFER TO LEASE AND LEASE FOR OIL AND GAS Celsius Energy Company Box 11070 City, State. Zip Code Salt Lake City, UT 84147 RECEIVED 3/16/2010 at 2:06 PM RECEIVING 952577 BOOK: 744 PAGE: 76 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY READ INSTRUCTIONS BEFORE COMPLETING Amount remitted: Filing fee S Rental fee 3. Land included in lease: T 019ON R. 1 130W 06th Mendian sec. 022 ALL; DO•NOT WRITE BELOW THIS LINE WY state Lincoln ACQUIRED LANDS (percent U.S. interest (Title) County THE UNITED STATES OF AMERICA Serial No WYW126990 Total acres applied for Total Total acres in lease 640.000 Rental retained g60.00 This lease is issued granting the exclusive -right to drill for. mine. extract. remove and dispose of all the oil and gas (except helium) in the lands described in item 3 together witb the right to build and maintain necessary improvements thereupon for the term indicated below, subject to renewal or extension in accordance with the appropriate leasing adthority' Rights granted arc subject to applicable laws. the terms, conditions, and attached stipulations of this lease, the Secretary of the Interior's regulations and formal orders in effect as of lease issuance, and to regulations and formal orders hereafter promulgated when not inconsistent with lease rights granted or specific provisions of this lease. NOTE: This lease is issued to the high bidder pursuant to his /her duly executed bid or nomination form submitted under 43 CFR 3120 and is subject to the provisions of that bid or nomination and those specified on this form. Type and primary term of lease: Noncompetitive lease (ten years) by (Signing Officer) Xi Competitive lease (five years) Supervisory Land Law Examiner (Date) 7 irti) U Other EI FECTIVE DATE OF LEASE I rgi rr:3IA,0 '.3 4. (a) Undersigned certifies that (1) offeror is a citizen of the United States; an association of such citizens; a municipality; or a corporation organized under the laws of the United States or of any State or Territory thereof; (2) all parties holding an interest in the offer are in compliance with 43 CFR 3100 and the leasing authorities; (3) offeror's chargeable interests, direct and indirect in either public domain or acquired lands do not exceed 246,080 acres in Federal oil and gas leases in the same State, of which not more than 200,000 acres are held under option, or 300,000 acres in leases and 200,000 acres in options in either leasing District in Alaska; (4) offeror is not considered a minor under the laws of the State in which the lands covered by this offer are located; {5) offeror is in compliance with qualifications concerning Federal coal lease holdings provided in sec. 2(a)(2)(A) of the Mineral Leasing Act; (6) offeror is in compliance with reclamation requirements for all Federal oil and gas lease holdings as required by sec. 17(g) of the Mineral Leasing Act: and (7) offeror is not in violation of sec. 41 of the Act. (b) Undersigned agrees that signature to this offer constitutes acceptance of this lease, including all terms, conditions. and stipulations of which offeror has been given notice, and any amendment or separate lease that may include any land described in this offer open to leasing at the time this offer was filed but omitted for any reason from this lease. The offeror further agrees that this offer cannot be withdrawn, either in whole or in part, unless the withdrawal is received by the proper BLM State Office before this lease. an amendment to this lease, or a separate lease, whichever covers the land described in the withdrawal, has been signed on behalf of the United States. This offer will be rejected and will afford offeror no priority if it is not properly completed and executed in accordance with the regulations, or if it is not accompanied by the required payments. 18 U.S.C. Sec. 1001 makes It a crime for any person knowingly and willfully to make to any Department or agency of the United States any false, fictitious or frawtulent statements or representations as to any matter within its jurisdiction. Duly executed this day of 19 Sec. 1. Rentals Rentals shall be paid to proper office of lessor in advance of each lease year. Annual rental rates per acre or fraction thereof are: (a) Noncompetitive lease, $1.50 for the first 5 years; thereafter 52.00; (b) Competitive lease, $1.50; for primary term; thereafter 52.00; (c) Other, see attachment, or as specifier) in regulations at the time this lease is issued. if this lease or a portion thereof is committed to an approved cooperative or unit plan which includes a well capable of producing leased resources, and the plan contains a provision for allocation of production, royalties shall be paid on the production allocated to this lease. However, annual rentals shall continue to be due at the rate specified in (a), (b), or (c) for those lands not within a participating area. Failure to pay annual rental, if due, on or before the anniversary date of this lease (or next official working day if office is closed) shall automatically terminate this lease by operation of law. Rentals rainy be waived, reduced, or suspended by the Secretary upon a sufficient showing by lessee. Sec. 2. Royalties— Royalties shall be paid to proper office of lessor. Royalties shall be compute in accordance with regulations on production removed or sold. Royalty rates are: (a) Noncompetitive lease, 121/2 (b) Competitive lease, 121/2 (c) Other, see attachment; or as specified in regulations at the time this lease is issued. Lessor reserves the right to specify whether royalty is to be paid in value or in kind, and the right to establish reasonable minimum values on products after giving lessee notice and an opportunity to be heard. When paid in value, royalties shall be due and payable on the last day of the month following the month in which production occurred. When paid in kind, production shall be delivered, unless otherwise agreed to by lessor, in merchantable condition on the premises where produced without cost to lessor. Lessee shall not be required to hold such production in storage beyond the last day of the month following the month in which production occurred. nor shall lessee be held liable for loss or destruction of royalty oil or other products in storage from causes beyond the reasonable control of lessee. Minimum royalty in lieu of rental of not less than the rental which otherwise would be required for that lease year shall be payable at the end of each lease year beginning on or after a discovery in paying quantities. This minimum royalty may be waived, suspended, or reduced, and the above royalty rates may be reduced, for all or portions of this lease if the Secretary determines that such action is necessary to encourage the greatest ultimate recovery of the leased resources. or is otherwise justified. An interest .charge shall -be assessed on late royalty payments or underpayments in accordance with the Federal Oil and Gas Royalty Management Act of 1982 (FOGRMA) (30 U.S.C. 1701). Lessee shall be liable for royalty payrnents on oil and gas lost or wasted from a lease site when such loss or waste is due to negligence on the part of the operator, or due to the failure to comply ''vith any auk. reptulauon. order, or citation issued under FOGRMA or the leasing authority. Sec. Bonds -A bond shall he filed and maintained for lease operations as required under regulations. Sec. 4. Diligence, rate of development, unitization, and drainage— Lessee shall exercise reasonable diligence in developing and producing. and shall prevent unnecessary damage to, loss of. or waste of leased resources. Lessor reserves right to specify rates of development and production in the public interest and to require lessee to subscribe to a cooperative or unit plan, within 30 days of notice, if deemed necessary for proper development and operation of area, field. or pool embracing these leased lands. Lessee shall drill and produce wells necessary to protect leased lands from drainage or pay compensatory royalty for drainage in amount determined by lessor. Sec. 5. Documents. evidence. and inspection— Lessee shall file with proper office of lessor. not later than 30 days after effective date thereof, any contract or evidence of other arrangement for sale or disposal of production. At such times and in such form as lessor may prescribe. lessee shrill furusit detailed statements showing amounts and quality of all products removed and sold, proceeds therefrom. and arnountustd for production purposes or unavoidably lost. Lessee may be required ro provide plats and schematic diagrams showing development work and improvemerus, and reports with respect to parties in interest, expenditures, and depreciation costs. In the form prescribed by lessor, lessee shall keep a daily drilling record, a log, information on well :,ur'vevs and tests, and a record of subsurface investigations and furnish copies to lessor when required. Lessee shall keep open at all reasonable times for inspection by any authorized officer of lessor, the leased premises and all wells, improvements, machinery, and fixtures thereon, and all ta..sUs. ;accounts, maps. and records relative to operations, surveys, or investigations on or in the leased lands. Lessee shall maintain copies of all contracts, sales agreements. accounting ..eat, :eel .i,:rume-nranun such as billings. invmees, or similar documentation that supports LEASE TERMS (Signature of Lessee or Attorney -in -fact) 0.00077 costs claimed as manufacturing, preparation, and /or transportation costs. All such records shall be maintained in lessee's accounting offices for future audit by lessor. Lessee shall maintain required records. for 6 years after they are generated or, if an audit or investigation is underway, until released -of the obligation to maintain such records by lessor. During existence of this lease, information obtained under this section shall .be.closed to inspection by the public in accordance with the Freedom of Information Act_(5 U.S.C. 552). Sec. 6. Conduct of operations— Lessee shall conduct operations in a manner that minimizes adverse impacts to the land, air, and water, to cultural, biological, visual, and other resources, and to other land uses or users Lessee shall take reasonable measures deemed necessary by lessor to accomplish the intent of this section. To the extent consistent with lease rights granted, such measures may include, but are not limited to, modification to siting or design of facilities, tinning of operations, and specification of interim and final reclamation measures. Lessor reserves the right to continue. existing uses and to authorize future uses upon or in the leased lands, including the approval of easements or rights -of -way. Such uses shall be conditioned so as to prevent unnecessary or unreasonable interference with rights of lessee. Prior to disturbing the surface of the leased lands, lessee shall contact lessor to be apprised of procedures to be followed and modifications or reclamation measures that may be nrcessary. Areas to be disturbed may require inventories or special studies to determine the extent of impacts to other resources. Lessee may be required to complete minor inventories or short term special studies under guideline& provided by lessor. If in the conduct of operations, threatened or endangered species, objects of historic or scientific interest, or substantial unanticipated environmental effects are observed, lessee shall immediately contact lessor. Lessee shall cease any operations that would result in the destruction of such species or objects. Sec. 7. Mining operations —To the extent that impacts from mining operations would be substantially different or greater than those associated with normal drilling operations, lessor reserves the right to deny approval of such operations. Sec. 8. Extraction of helium--Lessor reserves the option of extracting or having extracted helium from gas production in a manner specified and by means provided by lessor at no expense or loss to lessee or owner of the gas. Lessee shall include in any contract of sale of gas the provisions of this section. Sec. 9. Damages to property— Lessee shall pay lessor for damage to lessor's improvements, and shall save and hold lessor harmless from all claims for damage or harm to persons or property as a result of lease operations. Sec. 10. Protection of diverse interests and equal opportunity— Lessee shall: pay when due all taxes legally assessed and levied under laws of the StatSortthe United States; accord all employee complete freedom of purchase; pay all wages' t lea,8t twice each month in lawful money of the United States; maintain a safe working envinoarient into with standard industry practices; and take measures necessary to protect,the hdalth aid) o the public. t', Lessor reserves the right to ensure that prods. tdo R spk it ble,prices and to prevent monopoly. If lessee operates a pipeline ;ter o i�iitrMing reeieis tka pipeline or a company operating a pipeline, which may be operat ccessible"i'o cjjveyt frf om these leased lands, lessee shall comply with section 28 of the Min Ltait s(Jtf tkof t 0. Lessee shall comply with Executive filer fad ;e -'.-J'� f_.September 74. 14Ci5, as amended, and regulations and relevant orders of`the Seen r(r}+QY itr issued prirsa thereto. Neither lessee nor lessee's subcontractors shall'<tneuntsin`,segregattet facilities. Sec. 11. Transfer of lease interests and radian ighment of lease —As required by regulations, lessee shall file with lessor any assignment or other transfer of an interest in this lease. Lessee may relinquish this lease or any legal sub division' by 'filing in the proper office a written relinquishment, which shall be effective as of the date of filing, subject to the continued obligation of the lessee and surety to pay all accrued rentals and royalties. Sec. 12. Delivery of premises -At such time as all or'portions of this lease are returnee' to lessor, lessee shall place affected wells in condition for suspension or abandonment. reclaim the land as specified by lessor and. within a reasonable period of time, remove equipment and improvements not deemed necessary by lessor for preservation of producible wells. Sec. 13. Proceedings in case of default —If lessee fails to comply with any provisions of this lease, and the noncompliance continues for 30 days-after written notice thereof, this lease shall be subject to cancellation unless or until the leasehold contains a well capable of production of oil or gas in paying quantities, or the lease is committed to -an approved cooperative or unit plan or cornmunitization agreement which contains a well capable of production of unitized substances in paying quantities. This provision shall not be construed to prevent the exercise by lessor of any other legal and equitable remedy, including waiver of the default. Any such remedy or waiver shall not prevent later cancellation for the same default occurring at any other time. Lessee shall he subject to applicable provisions and penalties of FOGRMA (30 U.S.C. 1701). Sec. 14. Heirs and successors -in- interest- -Each obligation of this lease shall extend to and be handing upon. and every benefit hereof shall inure 10 the heirs. execntb ddmm} trfrtors. successors, beneficiaries. or assignees tit the respective pares hereto. __JNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF LAND MANAGEMENT COMPETITIVE OIL AND GAS OR GEOTHERMAL RESOURCES LEASE BID 30 U.S.C. 181 et seq.; 30 U.S.C. 351 -359; 30 U.S.C. 1001 -1025; 42 U.S.C. 6508 THE BID IS FOR (Check one) Oil and Gas Parcel Number PARCEL NUMBER Geothermal Parcel Number Name of Known Geothermal Resource Area (KGRA) BUR 't The appropriate regulations applicable to this bid are: (1) for oil and gas leases -43 CFR 3120; (2) for National Petroleum RFserve- Alaska (NPR -A) leases -43 CFR 3132; and (3) for Geothermal resources leases -43 CFR 3220. (See details concerning lease qualifications on reverse.) I CERTIFY THAT I have read and am in compliance with, and not in violation of, the lessee qualification requirements under the applicable regulations for this bid. 1 CERTIFY THAT this bid is not in violation of 18 U.S.C. 1860 which prohibits unlawful combination or intimidation of bidders. I further certify that this bid was arrived at independently and is tendered without collusion with any other bidder for the purpose of restricting competition. IMPORTANT NOTICE: Execution of this form, where the offer is the high bid, constitutes a binding lease offer, including all applicable terms and conditions. Failure to comply with the applicable laws and regulations under which this bid is made shall result in rejection of the bid and forfeiture of all monies submitted. CELSIUS ENERGY COMPANY Print or Type Name of Lessee P. 0. Box 11070 (Continued on reverse) Address of Lessee Salt Lake City ,UT 84147 City State INSTRUCTIONS FOR OIL AND GAS BID (Except NPR -A) Zip Code 1. Separate bid for each parcel.is required. Identify parcel by the parcel number assigned in the Notice of Competitive Lease Sale. 2. Bid must be accompanied by the national minimum acceptable bid, the first year's rental and the administrative fee. The remittance must be in the form specified in 43 CFR 3103.1 -1. The remainder of the bonus bid, if any, must be submitted to the proper BLM office within 10 working days after the last day of the oral auction. Failure to submit the remainder of the bonus bid within 10 working days will result in rejection of the bid offer and forfeiture of all monies paid. 3. If bidder is not the sole party in interest in the lease for which the bid is submitted, all other parties in interest may be required to furnish evidence of their qualifications upon written request by the authorized officer. 4. This bid may be executed (signed) before the oral auction. If signed before the oral auction, this form cannot be modified without being executed again. 5. In view of the above requirement (4), bidder may wish to leave AMOUNT OF BID section blank so that final bid amount may be either completed by the bidder or the Bureau of Land Management at the oral auction. State BY- Preside t ATTEST: INSTRUCTIONS cr FORM APPROVED OMB NO. 1004 -0074 Expires: Feb. 28, 1991 ry Signature of Le see or Bidder A si? tant Secretary Date of sale i.�0o AMOUNT OF BID (See Instructions below) TOTAL BID PAYMENT SUBMITTED WITH BID INSTRUCTIONS FOR GEOTHERMAL OR NPR -A OIL AND GAS BID 1. Separate bid for each parcel is required. Identify parcel by the number assigned to a tract. 2. Bid must be accompanied by one -fifth of the total amount of bid. The remittance must be in the form specified in 43 CFR 3220.4 for a Geothermal Resources bid and 3132.2 for a NPR -A lease bid. 3. Mark envelope Bid for Geothermal Resources Lease in (Name of KGRA) or Bid for NPR -A Lease, as appropriate. Be sure correct parcel number of tract on which bid is submitted and date of bid opening are noted plainly on envelope. No bid may be modified or withdrawn unless such modification or withdrawal is received prior to time fixed for opening of bids. 4. Mail or deliver bid to the proper BLM office or place indicate "in the Notice of Competitive Lease Sale. 5. If bidder is not the sole party in interest in the lease for which bid is submitted, all other parties in interest may be required to furnish evidence of their qualifications upon written request by the authorized officer. Title 18 U.S.C. Section 1001, makes it a crime for any person knowingly and willfully to make to an department or agency of the United States any false, fictitious or fraudulent statements or representations as to any matter within its jurisdiction. Form 3000 -2 (October 1989) 1. SURFACE DISTURBANCE STIPULATION (used on all leases) GUIDANCE: a. Slopes in excess of 25 percent. C.: 0i:14079 Surface disturbance will be prohibited in any of the following areas or conditions. Modifications to this limitation may be approved in writing by the Authorized Officer. b. Within important scenic areas (Class I and II Visual Resource Management areas). c. Within 500 feet of surface water and/or riparian areas. d. Within a quarter mile or visual horizon (whichever is closer) of significant sites along historic trails. e. Construction with frozen material or during periods when the soil material is saturated or when watershed damage is likely to occur. The SURFACE DISTURBANCE STIPULATION will be included on all BLM authorizations. The intent of this stipulation is to inform interested parties (potential lessees, permittees, operators) that, when one or more of the five (a through e) environmental conditions exist, surface disturbing activities will be prohibited unless or until the permittee orhis designated representative and the surface management agency (SMA) arrive at an acceptable plan for mitigation of anticipated impacts. This negotiation will occur prior to development and become a condition for approval when authorizing the action. Specific threshold criteria (e.g., 500 feet from water) have been established based upon the best information available. However, geographical areas and time periods of concern must be delineated at the field level (i.e., "surface water and/or riparian areas" may include both intermittent and ephemeral water sources or may be limited to perennial surface water). "Significant sites along historic trails," refer to those trail segments and sites which have been enrolled in or are eligible for enrollment in the National Register of Historic Places. These decisions, where possible, should be documented in the land use planning documents. Modification or waiver of this stipulation must allow for additional requirements to be applied on a site specific basis, if necessar the impacts of concern. Waiver of this stipulation must be 11p demonstration, through environmental analysis, plans of deve operation, Application for Permit to Drill (APD) processing' adverse affects will be mitigated or avoided. male J n il copy e an f BUREAU NAGEMENT 2. WILDLIFE STIPULATION GUIDANCE: 0.0 a. To protect important big game ungulate winter habitat, drilling and other surface disturbing activity will not be allowed during the period from November 15 to April 30 within certain areas encompassed by this lease. This limitation does not apply to maintenance and operation of producing wells. Modifications to this limitation in any year may be approved in writing by the Authorized Officer. The WILDLIFE STIPULATION is intended to provide two basic types of protection, seasonal restriction (a and b) and no surface occupancy (c). A legal description will ultimately be required and should be measurable and legally definable. There are no minimum subdivision requirements at this time. The area delineated can and should be refined as necessary based upon current biological data at the time the APD or Sundry Notice is processed. It should eventually become a condition for approval in these permits. The seasonal restriction section of the stipulation identifies three groups of species and delineates two similar timeframe restrictions. These two restrictions are big game ungulate and raptors /grouse. The big game ungulates including elk, moose, deer, antelope, and big horn sheep all require protection of crucial winter range between November 15 and April 30. Sage and sharp tailed grouse and raptors such as eagles, accipiters, falcons, buteos, osprey, burrowing owls, also require nesting protection during periods between February 1 and July 31. The no surface occupancy section of the stipulation is intended for protection of unique wildlife and wildlife habitat values (e.g., sage grouse strutting grounds, known threatened and endangered species habitat, etc.) which cannot be protected using seasonal restrictions. NOTICE TO LESSEE 00 081 Provisions of the Mineral Leasing Act (MLA) of 1920, as amended by the Federal Coal Leasing Amendments Act of 1976, affect an entity's qualifications to obtain an oil and gas lease. Section 2(a)(2)(A) of the MLA, 30 U.S.C. 201 (a)(2)(A), requires that any entity that holds and has held a Federal coal lease for 10 years beginning on or after August 4, 1976, and who is not producing coal in commercial quantities from each such lease, cannot qualify for the issuance of any other lease granted under the MLA. Compliance by coal lessees with Section 2(a)(2)(A) is explained in 43 CFR 3472. In accordance with the terms of this oil and gas lease, with respect to compliance by the initial lessee with qualifications concerning Federal coal, lease holdings, all assignees and transferees are hereby notified that this oil and gas lease is subject to cancellation if: (1) the initial lessee as assignor or as transferor has falsely certified compliance with Section 2(a)(2)(A), or (2) because of a denial or disapproval by a State Office of a pending coal action, i.e., arms length assignment, relinquishment, or logical mining unit, the initial lessee as assignor or as transferor is no longer in compliance with Section 2(a)(2)(A). The assignee, sublessee or transferee does not qualify as a bona fide purchaser and, thus, has no rights to bona fide purchaser protection in the event of cancellation of this lease due to noncompliance with Section 2(a)(2)(A). Information regarding assignor, sublessor or transferor compliance with Section 2(a)(2)(A) is contained in the lease case file as well as in other Bureau of Land Management records available through the State Office issuing this lease.