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HomeMy WebLinkAbout899249 BOOK___5_5~]~ p,~ gfi ~8-8 RECEIVED LINCOt_N COUNTY CLERK 8 9 9~]~INE ~dqD POWE~f~ 13 ~'110:28 AGREEMENT THZS AGREEMENT, is made and e~uered'znb'~-e~ect~ve bhe Zst day of March, 200~, by and between BELL BUTTE GP~ZNG ~A~TNERSHZ?, A LZMZTED PAR?NERSHZ~, whose address ±s % Mr. Edward M. Bown, Attorney at ~aw, Z0Z5 Bast 3900 South, Salt Lake City, Dtah 8~Z2~(hereinafter referred bo as "Bell Butte") and Chevron U.S.A. Znc, whose mailing address ±s ~. O. Box 36366, ~ouston, Texas ??236 (hereinafter referred to as "Chevron"). W Z TNB S SETH: THAT WHEREAS, Bell Butte is the owner of the S~SWN and SW~SE~ of Section 20, Township 19 North, Range 119 West, 6th P.M., situated in Lincoln County, Wyoming; and WHEREAS, Chevron has requested Bell Butte to grant to Chevron the non-exclusive right to construct, install and maintain a pipeline, and a powerline crossing certain portions of said S~SW~ and SW~SE~ of said Section 20, in connection with its oil and gas drilling and producing operations in connection with the Chevron Federal 4-29M Well in the N~/fNE~ of Section 29, Township 19 North, Range 119 West, 6~n P.M., Lincoln County, Wyoming; and WHEREAS, Bell Butte and Chevron desire to enter into this Agreement ~n accordance with the terms and conditions hereinafter set forth. -' 189 HOW, ?HRRRPORR, in consideration of the premises, and the sum of Ten and No/100 Dollars ($10.00), and other valuable consideration, in hand paid to Bell Butte by Chevron, the receipt whereof is hereby acknowledged by Bell Butte, and in consideration of Bell Butte entering into this Agreement with Chevron, and Chevron s agreement with Bell Butte to keep and perform all of the covenants and agreements on Chevron.s part to be kept and performed hereunder, as hereinafter set forth, the parties hereto covenant and agree as follows, to-wit: 1. Bell Butte hereby grants to Chevron the non-exclusive right: (a) to install and maintain one pipeline 50 feet wide and 2,228.05 feet or 135.033 rods in length crossing the S~SW~ and SW~SE~ of said Section 20; and (b) to install and maintain one powerline 10 feet wide and 2,411.82 feet or 146.171 rods in length also crossing the S~SW~ and SW~SE~ of said Section 20; which pipeline and powerline are to be utilized in connection with Chevron's oil and gas drilling and producing operations with the said Chevron Federal 4-29M Well in said Section 29. The lands on which the pipeline and powerline are located are more particularly shown, identified and described on Exhibits "A" and "B" annexed hereto and by this reference specifically made a part hereof, and which lands are sometimes hereinafter referred to as the "premises" . 2. During the life of this Agreement, Bell Butte, and other parties similarly authorized by Bell Butte, shall have the right to use and enjoy the said premises as the r~.ghts herein granted to Chevron with respect to said premises are not exclusive. 3. The consideration paid by Chevron to Bell Butte concurrently herewith represents the consideration payment for the execution of this Agreement by the parties and for the use of said premises for the said pipeline, and powerline through the 28th day of February, 2005, such date constituting for the purposes hereof the last day of the first license year of this Agreement. 4. Subject to all of the terms and conditions of this Agreement, this Agreement shall remain in full force and effect for a term of five years from March 1, 2004, and so long thereafter as said premises, or any portion thereof, is used by Chevron for or in connection with any of the purposes stated or referred to in Paragraph 1 above; provided, however, any interruption of use shall not cause this Agreement to terminate. If Chevron's use of said premises should terminate, Chevron may surrender this Agreement by mailing or tendering to Bell Butte a release and be relieved of all obligations under this Agreement excepting those obligations to be kept and performed at the time of such termination, as herein provided and including the provisions of Paragraphs 10 and 17, hereof. 0S S24 · 191 5. Upon execution of this Agreement, Chevron shall pay to Bell Butte, at its address above set forth, or at such other address as Bell Butte may designate by written notice to Chevron, the sum of $3,282.10, for the pipeline, and, the sum of $1,315.53, for the powerline, and shall pay to Bell Butte the sum of $1,641.09, for the pipeline and the sum of $657.76 for the powerline subject to adjustment as herein after set forth, on or before the 1st day of March, 2005, and shall pay like amounts to Bell Butte on or before the 1st day of March, of each year thereafter so long as this Agreement remains in effect. The following formula shall be utilized by the parties to determine the annual payments under this Agreement as to Chevron's use of the Premises for additional one (1) license year periods after the first license year: Ra = $ 1,641.09 x Ia for the pipeline Ib Ra = $ 657.76 x Ia for the powerline Ib where Ra above set forth is the annual rental payments due on or before March 1, 2005, and on or before each March 1, thereafter to be used in determining the amounts required to renew this Agreement for the next succeeding renewal year under this Paragraph 5; Ia is the Consumer Price Index - All Urban Consumers, U.S. City Average, All Items (1982 84 Base = 100) published by the U.S. Department of Labor, for the 192 month of December immediately preceding the 1st day of March of the applicable renewal year of adjustment. %b is the consumer price index (as defined above) for the month of March, 2004. In the event the consumer price index is discontinued or revised, such other governmen5 index with which it is replaced shall be used in order to obtain substansially the same results as would be obtained if the consumer price index had not been discontinued or revised. Provided, further, however, that in the event the consumer price index published for the month of December immediately preceding the end of any license year of this Agreement shall disclose that the purchasing power or value of the United States dollar has increased above the purchasing power or value of said dollar as of December of the preceding year, then the sums to be paid by Chevron to Bell Butte under this Paragraph 5, to extend this Agreement as to said powerline and pipeline for the next succeeding license year, shall be the sums paid for the prior license year. 6. Without the written consent of Bell Butte being first had and obtained, Chevron shall not have the right to assign this Agreement, or any part or portion thereof; or any part or portion of the rights granted to Chevron hereunder. 0S S24 .... 7. Bell Butte shall pay all County taxes assessed against said premises, based upon the present valuation thereof. Chevron shall pay all County tax assessments based upon any and all improvements whatsoever placed upon said premises by Chevron. Chevron shall also pay all County taxes, if any, assessed against said premises because of additional value placed thereon for tax purposes by reason of improvements placed upon said premises by Chevron, and Chevron shall, within thirty (30) days after written notice from Bell Butte, reimburse it for Chevron's share thereof. 8. Bell Butte makes no warranties or representations hereunder with respect to its title to said premises, and Chevron's rights hereunder are expressly subject to all superior rights, in law and equity, including, but without limitation, the following, to-wit: (a) (b) (c) Ail reservations, limitations, and conditions of the underlying Patents covering said premises and the rights of any party, or parties pursuant thereto; Ail grants, conditions, limitations, and reservations, if any, of record, or arising by operation of law, and the rights of any party or parties pursuant thereto; Ail easements or rights of way of record and all easements or rights of way, if any, not recorded, but which have been established and now exist by operation of law upon said premises or any portion, or portions, thereof; (d) ,.:, 194 The right of Bell Butte to graze, or authorize the grazxng of livestock on, near or around said premises; and the rxghts of the owner(s) of the mineral estate(s), and the terms and conditions of and the rights of Bell Butte and all party, or parties, under all existing and future Bureau of Land Management or other grazing licenses and permits, oil, gas, mineral or other lease(s), access road agreements, or surface owner(s) or other agreement(s), and all other agreements and licenses and permits of every kind and nature, covering any portion, or portions, of the lands included in the subject premises, and the right of Bell Butte to renew or extend said leases and agreements, or enter into new leases and/or agreements and licenses and permits referred to under this sub-paragraph (d) above, at the sole discretion of Bell Butte. (e) The rights of any party, or parties, under any underlying deed constituting the record chain of title from Patentee to Bell Butte. 9. At Chevron's sole cost and expense, and during the construction, repair and maintenance of said premises, and during the life of this Agreement: (a) Chevron shall maintain and keep said premises clear of refuse and litter caused by Chevron. (b) Range improvements, such as fencing or reservoirs, etc., if any, within the premises, will not be disturbed; or, where disturbance is necessary, Chevron shall leave such improvements in the original or better condition, as determined by Bell Butte and Chevron; (c) Chevron shall construct and maintain adequate water breaks on all disturbed slopes, if any; (d) Chevron shall effect a minimum of vegetative or soil disturbance, consistent with practical maintenance operaticns, and will smooth and maintain all disturbed areas to conform as nearly as practical with the adjacent terrain, and provide and maintain adequate water drainage to minimize erosion; (e) (f) (9) (h) (i) 195 Chevron shall comply with all Federal, State and local Laws, ordinances, and enactments, and with all lawful rules, regulations and orders of all regulating agency, or agencies, applicable to Chevron's use and maingenance of the premises and operations under this Agreement, including, but withoug limigation, environmental, water, noise and air pollution control, erosion control, toxic waste, hazardous substances and material issues and matters. Chevron shall hold Bell Butte and its partners, officers, agents and employees harmless from and indemnify and defend them, and each of them, against (a) any and all damages, claims, costs and expenses resultin9 from Chevron's failure to comply with said Federal, State and local Laws, ordinances and enactments and rules, regulations, and orders set forth in preceding Paragraph (e) above; and (b) any and all damages, claims, demands costs and expenses arising out of damage to livestock and property or injury to or death of Chevron,s employees or any other person(s) whomsoever, where such injury, death or damage arises out of, results from, or is in any way connected with Chevron!s rights and operations under this Agreement. Chevron shall indemnify and hold Bell Butte free and harmless from and against any and all claims and liens upon the premises for labor or materials furnished to Chevron; its agents, or contractors and shall take all necessary actions to forthwith remove such liens from all public records or otherwise, as requested by Bell Butte. Ail gates shall be left closed, and in those instances where said premises shall cross existing fence lines, cattle guards shall be insgalled by Chevron in accordance with specifications agreed to by the parties. Ail operations hereunder shall be conducted by Chevron in a fair and reasonable manner, and all necessary precautions shall be taken to avoid damage to gates, bridges, culverts, cattle guards, fences, dikes and other stock watering facilities. All damage to the above-named facilities shall be immediagely reported to Bell Butte and shall be forth with repaired by Chevron, as nearly as possible to the condition existing prior to such 8 operations. Any public hazard, such as damaged bridges or culverts, caused by Chevron's use of the premises, shall be marked or barricaded, and proper steps taken for the repair thereof by Chevron; and j) Chevron shall not have the right to fence the whole or any part of the premises included in this Agreement, without the written consent of Bell Butte being first had and obtained. (k) Chevron shall take reasonable steps to control all infestation of noxious weeds on the subject premises caused or aggravated by Chevron's activities hereunder. (1) Chevron will take reasonable steps to not permit any dogs or other animals to be kept in the area which could cause any death or damage to livestock grazing on, near or around said premises. (m) Chevron will take reasonable steps to inform its employees, agents, and contractors of the presence of livestock on, near and around the premises and of the need for caution when livestock are present. 10. Upon the final termination of this Agreement for any cause or reason, or upon Chevron's release and surrender of a portion of said premises, Chevron, at its sole cost and expense, shall surrender the entire premises, or released portion of said premises, as the case may be, to Bell Butte, and shall leave said entire or released portion of premises in a condition which complies with all laws, including applicable environmental laws, and all other lawful regulations and orders; and the said entire or released portion of said premises will be restored and reseeded by Chevron, as~soon as conditions permit, the reseeding to be done by drilling with a drill equipped with a depth regulator, to assure 9 197 even depth of planting. Seeding will be done during the months of September and/or October, or at such other time as agreed between the parties. The seeding shall be repeated until a stand is obtained that is reasonably satisfactory to Bell Butte. All such restoration and reseeding is to be completed by Chevron in a timely manner using specifications designated by Bell Butte. Upon the final termination of this Agreement from any cause or reason, and upon Chevron's release of a portion of said premises, Chevron shall also forthwith prepare, execute, acknowledge and deliver to Bell Butte for its approval such document for recording with the proper County Recorder by Chevron, as the case may be, as will fully release and terminate all of ~Chevron's rights hereunder or all of Chevron's rights hereunder with respect to a released portion of said premises. 11. This Agreement is made upon the condition that Chevron shall perform all the covenants and agreements herein set forth to be performed by it, and if at any time there shall be any default on the part of Chevron hereunder, this Agreement shall not terminate, except as hereinafter provided to-wit: (a) In the event Chevron shall default in the payment of any annual rental payment promptly on the date when the same shall become due and owing hereunder, and Chevron shall fail to pay the same to Bell Butte within twenty (20) 10 198 days after written notice of such default being given by Bell Butte to Chevron at its address above set forth; or (b) In the event Chevron shall default in the performance of any other covenant and agreement hereunder on its part to be kept and performed, and if Chevron shall fail to cure such default or to commence steps reasonably designed to cure such default within thirty (30) days after written notice of such default being given by Bell Butte to Chevron at its address above set forth, or after weather and soil conditions first permit repair, if the default be of such a nature, then and in such event, or evenns, this Agreement at the option of Bell Butte, shall forthwith terminate and end and cease to exist, and the subject premises shall revert to Bell Butte; provided, however, such termination shall not release Chevron from all Covenants, agreements and obligations hereunder on its part to be kept and performed at the time of such termination, including, without limitation, the provisions of Paragraphs 10 and 17 of this Agreement, or Bell Butte's right of specific performance with respect to Such accrued obligations as hereinafter provided under Paragraph 12 hereof, and all of such covenants, agreements and obligations shall all survive the termination of this Agreement for any cause or reason until fully performed by Chevron in all respects. 12. In addition, the parties also agree that this Agreement is specifically enforceable and in the event of Chevron's default' with resPect to any of the covenants and agreements hereunder on 11 0 9249 199 its part to be kept and performed, Chevron shall pay to Bell Butte all costs and expenses of specifically enforcin9 this Agreement, or in pursuing any remedy provided hereunder or by the statutes of the State of Nyoming, whether such remedy is pursued by filing suit or otherwise, includin9 a reasonable attorney's fee. 13. This Agreement does not in any manner constitute a conveyance of any title, interest or estate in and to any part of said premises but the rights herein 9ranted to Chevron are in the nature of a license, only, and shall not ripen into an easement of any kind or nature. 14. Chevron shall have ninety (90) days after the termination of this Agreement to remove all of its personal property, if any, from said premises.. 15. Chevron shall not have the right to use, and shall not take and use, any water from said premises above described during the entire life of this Agreement without the written consent of Bell Butte being first had and obtained. 16. Notwithstandin9 anything conEained herein to the contrary, this Agreement shall forthwith terminate and end upon said premises no longer being required for the purposes aforesaid by Chevron. 17. This Agreement records of the Lincoln shall be recorded by Chevron in the County Clerk and Recorder, Kemmerer, 12 Wyoming, and a copy of said Agreement showing the recording date thereon furnished to Bell Butte on or before June 15, 2004. 18. Subject to the provisions of Paragraph 6 above, the terms, conditions, and provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their successors and assigns. 19. Any notice contemplated to be given to Chevron or Bell Butte sha~l be in writing and shall be mailed in the United States Mail, Registered or Certified Mail, Return Receipt Requested, at the addresses of Chevron and Bell Butte above set forth in the first paragraph hereof, and shall be effective and complete upon the date of posting and mailing. 20. This instrument covers the entire agreement between the parties, and no representation or statements, verbal or written have been made modifying, adding to, or changing the terms of this Agreement. 21. Time is of the essence of this Agreement, and of each of the terms and conditions hereof. 22. No waiver by either party of any breach or default by the other party on any occasion, and no election by either party to exercise or forego any right or remedy hereunder or relating hereto on any occasion, shall be deemed to be a waiver of any other breach 13 or default or to be an election to pursue or forego any right or remedy on any other occasion. 23. This Agreement shall be jurisdiction of the State of Wyoming. governed by the laws and IN WITNESS HEREOF, the parties have executed this Agreement as of this ~/~ ~ - day of , 2004, but effective as of the day and year first above written. Tax Identification No.: Bell Butte: 87-0424682 Bell Butte Livestock Grazing Partnership, a Limited Partnership Its Managing General Partner CHEVRON: Chevron U.S.A. Inc. c:\dana\Bell Buttelchev\pipe&powerline.agr 14 STATE OF UTAH ) ) SS COUNTY OF ~~ ) ~__,~~ Th~ foregoing instrument ~as acknowledged before me this ~ , day of ~ , 2004, by SIMEON WESTON, Managing General Partner of Bell Butte Livestock Grazing Partnership, a Limited Partnership, on behalf of said Limited Partnership. WITNESS my hand and official seal. NOTARY PUBLIC Residing at Salt Lake City, Utah STATE OF '-[-e,,c~$ ) ) SS COUNTY OF ~r'~$ ) Before me, the undersigned authority, a Notary Public in and for said County, personally appeared M.K. 0f~eff~ to me personally known, who being by me duly sworn did say that he, with the capacity designated by his signature on the document to which this certificate is attached, is an officer or agent, of Chevron U.S.A. Inc., a corporation organized and existing under and by virtue of the laws of the State of PA , and that he as such officer or agent and in such capacity being authorized by its Bylaws and /or Board of Directors so to do, signed, sealed, executed and acknowledged before me the foregoing instrument on behalf of said Corporation as his voluntary act and deed and the voluntary act and deed of said Corporation for the uses, purposes and consideration therein expressed and contained by signing the name of the Corporation by him as such officer or agent and that the seal, if any, affixed to said instrument is the Corporate'seal of said Corporation, and he further acknowledges to me that said Corporation executed the same. 15 ..-~ 20o,., 08~:924~ IN WITNESS WHEREOF, I have hereunto set my official signature and affixed my notarial seal of office on this the Z{$~ day of A?~41 , 2004. MY COMMISSION EXPIRES II Public My Commission Expires: c: \data'%Bel 1 But[e\chev\pipe&powerl ine. agr 16 OWNER: BELL BUTTE GRAZING Sl/2 SWl/4 & the SWl/4 SEl/4 of Section 20) SECTION 20 T19N, R119W 2~20tt~ WELL 1-20M WI~LL ~'~' %~' ii .., ¢' ' ~¢ ~: S89~20'29"E, 2646.62' '~' 1/4~ /- ¢.__ JPIPELINE P.O.E.''x S89°27~2~."E, 2638.fl5' ......... WELL ,.04 Found 1909 GLO Brass Cap (typical) Certificate of Surveyor State of Wyoming ) County of Uinta ) ss I, Stanton G. Taggart, of Wasatch Surveying Associates, L.LC., hereby state that I am by occupation a Professional Land Surveyor employed by ChevronTexaco to make the survey of the tract described and shown on this plat; that the survey of said works was made under my supervision and authority and that such survey Is accurately represented hereon. ANY CHANGE, ADDITION OR DELETION OF ANY PART OF THIS DESCRIPTION .HA WILL ACT TO VOiD ANY WARRANTY OR RESPONSIBILITY. EXPRESS OR IMPLIED, T I MAY HAVE TOWARDS THE SUBJECT PROPERTY. Legal Description A tract of land located In the SWl/4 and the SWll4 $El/4 of Section 20, T19N. R119W, 6th P.M.. Lincoln County, Wyom/ng, said tract being 50.00 feet wide, 25.00 feet on each side of the following descr/bed centedine: Commencing al the Southwest comer of said Section 20. thence S 89°20'2g' E, 1324.37 feet along the South line thereof*, thence N 0°39'31- E, 483.67 feet to the Point Of Beginning; thence S 20°25'47' E, J40.48 feet: thence S 59°31'26" E, 264.64 feet: thence S 81°31'~8' E. 75g.74 feet: thence S 88°53'56'' E, 919.70 feet: thence S 39°5 ~'23' E, 143.4g feet to the Point Of Ending. Said cenledlne being 2228.05 feet or 135.033 rods, more or less, in length. The sidelines of said tract are to begin and arid upoq the same line the centedlne Map Showing Chevron USA In~. Federal 4-29M Well Pipeline across the SW'I/4 & the SW1/4 SE1/4 of Section 20, T19N, Rl l9W, 6th P.M. Lincoln County, Wyoming 906 Main Street Evanston, Wyoming 82930 Phone No. (307) 789-4545 Project No. 03-06-07 Date: 03/03/04 205 NO" I SECTION 20 T19N, R119W I . I I OWNER: BELL BUTTE GRAZING Sl/2 SWl/4 & the SWl/4 SEll4 ?-., 2-20MWEEL of Section 20) /7 ~-20M WELL ~'!' ;/.";~ ~"L.....,.'::, /- ¢p_ POW.~B~!~~ '3i"~ ~&~'~~;~¢ ' /'rs~'~'~"~, S89"20'29"E '264~.62' ~1/4 P ........ ' ........... ' .... X; 4:~6M WELL / 1981.04' · Found 2638.85' · 1909 GLO Brass Cap (typical) Certificate of Surveyor Slate of Wyoming ) County of Ulnta ) ss I, Stanton G. Taggart, of Wasatch Surveying Associates, L.L.C., hereby state thai I am by occupalion a Professional Land Surveyor employed by ChevronTexaco to make the survey of the tract described and shown on this plat: that the survey of said works was made under my supervision and authority and that such survey is accurately represented hereon. ANY CHANGE, ADDITION OR DELETION OF ANY PART OF THIS DESCRIPTION WILL ACT TO VOID ANY WARRANTY OR RESPONSIBILITY. EXPRESS OR IMPLIED, THAT I MAY HAVE TOWARDS THE ~UBJEC T PROPERTY. Legal Description A tract of land located In the sW1/4 and the SW1/4 SE1/4 of Section 20, T1 R119W, 6th P.M., Lincoln County, Wyoming, said tract being 10.00 feet wide, 5.00 feet on each side of the following described contadina: Commencing at the Southwest comer of said Section 20, thence S 89°20'29" E, 933.34 feet along the South line thereof; thence N 0°39'31- E, 262.71 feet to the Point Of Beginning, sam point being an existing power pole: thence S 81°31'18' E, 1433.59 feet; thence S 88°53'56- E, 900.11 feet; thence S 39°51'23· E, 78.12 feet to the Point Of Ending. Said contadina being 2411.82 feet or 146.171 rods, more or lees, in length. The sidelines of said tract are to begin and end upon the same line the contadina begins and ends upon. Chevron USA Inc. Federal 4-29M Well Powerline across the SW1/4 8, the SW1/4 SE1/4 of Section 20, T19N, R119W, 6th P.M. Lincoln County, Wyoming VEYING 906 Main Street Evanston, Wyoming 82930 Phone No. (307) 789-4545 Project No. 03-06-07 Date: 03/03/04