S~;...Petitioner's couasc 1 ts Mark A. Swartz, Sekafz LAw otttcdtd, lsLLc, 601 l kdh Avenue, suite...
Transcript of S~;...Petitioner's couasc 1 ts Mark A. Swartz, Sekafz LAw otttcdtd, lsLLc, 601 l kdh Avenue, suite...
VIII GINIA: BEFORE THE GAS AND OIL BOARD
as Company LLC on behalf ofa-Wyatt LLC and Dorlis Cook snd',ook; Hsmson-Wyatt LLC andI Living Trust, ct al inchtdhtg
Living Trust and Naaman J.Trust; ~Wyatt LLC andCook
'j',,':Iji""",>'i,llE'rjj~s,,BIII»,Ijjtjrra
'PPLICANTS:
RELIEF SOUGHTSls stance: A Suppleasntal Order for Disburmment ofEscrowed Fuads
Action: Amending Prior Orders Aigsctbtg Driifing X-11.Teats 3A, 3Band 3C(Refiuenced bcmin as "tbe Subject Drilling UniT)
LI cation: Bucbsnsa Coustv. Vkaima
A Cbm Dssags:
(I)To provide a calculation of funds, Unit Operator bas deposited into the Escrow Accountfor Drillbtg Unit Xl I by Tract S~;
(2) To provide each applicant, in simple tenne, a complete month over month RoyaltyAccounting ofunit production, costs, taxes end proceeds. dcptcnng varnrbks usrdthe calculation ofmyalty paymeats to the uait escrow account.
(3)To disburse uait fimds to the Appliomts, in~with their Unit OwnenhipInterests rebttive to these fimds deposited by tbc Unit Operator into Sbbjcct Drifiing
m ul Pineal This maker came on for final boning before the Virginia Gas and Oil Board (herein"BcertP)l at pd(g aa B on Janumy Ig, 2011 at tbe Russell county Governmem complex, confcream center, snd 139Highbmd
DryLCI anon, VA.
kaaasaaaaa:MMA.saaaslhqs~l OBB PIAC~s ll IBBBMM .~$ MB.Pigeon, Assista at At nmcy General, was prescm to advise thc BoartL
3. J= natl Nndhsm pmsuaat to VL Code H 45.1-361.1cr self., snd in psrtictdm Va. Code H45.1-3610I ebs l 45. I-36122, thc Board finds that it bas jurisdiction over tbe sbhlislmcru eod meiateaence of enescrow aclmat, wni I neet subeccosmts, Ssr cash of ths coagrcd methane gas drfifiag salts cNI44AI4 by thc Boardthmugh kb Bek rtde l thu are subject to a Board poofiag order. Furtbtc, tbe Unit Operator is rerpdred to deposit, asapplicabI4, thae feeds sprcified in Vu Code g 45.1-361.21.DM 45.1-36122.A2, 45.1-36I22A.3 snd 45.1-36122&j4 inul the applicable escrow tract subaccounts. 'Ibc Board fiads thaL (I) whih it does aot have
j isdictkm to usol u~cbdms to tbe ownership of tbc Coalbsd Methane Gas I by the UnitOpennor 'fium welk located on Subject Drilling Unit, and (2) while it dace aet have ju 'o 'ntcrpretRgtecmenh by Ind 1 ctwaen tbc Gm ~clalauts SOdlor the Untt Operators or to cudgel or contravene theprovbkuuj of ss ch ai reements, (3) pmsuant to Va Code g 45.1-36122%.5,Ihe Beard does haec j lswctloa aad~utherityl to dh drest ~ funds Bum the Escrow Account provided the Board has been provided with a final decision
of a cottrt ofc)ahnsnte tgintwest there
sent jurisdiction adjedicstmg the o~ of coalbed methane gss as between tbe coaghshtg~mong all clahamm ownisg onegetbtg estmm bt ths tracts in question or any undivided
4. Paine P.
4.1 (a) ()a 17, 1990tbe Bomd executed its order pooling interests in thc Subject Drilliug Unit. TbcPodling nas Ebtd with the Chsk of the Chcuit Court of Buchanan County on October 26, 1990 in DeedBoqk Pag t 429 to44L(b) Oa bg ty 5, l993 the Boa«i execmsd ns Supphsnental Order. 3bc Supplemental Order wasClerk oi't m G mt ofBuchanan County on Jtmc 10, 1993 st Deed Book 409, Pages 362 to 366
42 To tbc ets ent c isims to the gas were in conEict, pursuant to Va Code S 45.1-361-22psymenm attit1nekle tosaid conE ethq cbdms were ordered deposited by the Unit Operatm into tbe escmw accouat tsblisbtd by tbePoo)ing C rden (homin "Escmw Account" ). Aeaedhg to tbe Foogng Otdstu snd testhnony, Harrison-WyattLLC sad l 3orli i Cook and Arms Cook; Harrhsm-Wyatt LLC sad Morgan Living Trust, et al 'ncluding MoqpmLiving Te us m d Naaman J.Morgue Trust, Hmrison-Wyatt LLC and Rachel Cook in the Subject Drilling Unitwert in ctIntgc, and became subject m tbc cscmw requhements of thc Pooling Order
4.3 Thai Unit I)pcn tor's Miscelbmcous Petition eagadhe Tracts 3A, 3Bsnd 3C, a copy ofwhiCh is attached to snd~a ps a be eof, states under oath that ths Applicants have enssred into an~wbb regards to Tracts3A, 3Baa d 3C md that by the terms of the agteemcam escmw reganbng these individual ~claimsdctaBed b nein ls no longer requhed for these parties.
4.4 Tbq Unit nor gave notice to ~Wyatt LLC and Dorlis Cook and Arron Cook; Herrhon-Wyatt LLCand Moqp n Li ing Trust, ct al inch«Rug Moqpm Living Trust and Nsamsn J. Moqpm Thug Harrison-WyattLLC and 1 tacbt I Cook duu tbe Board would qonsider its di~ ~on at its hearing an January1g, 2011 s ad o nsider whether to: (1)emend Ihe Fooling Order to pmvidc for tbe disbursement of fimds on
snow Account~to,Ttatm 3A, 38 aad 3C ideugged m tbe Hacked mtscellastouste tbe mqshemsat that tbe Unit Operator place future myalties attttletable to Tract 3A, 3B andnts ofAppgcsnts idcnggsd in the mhcelhmeom pethhm in the Escmw AccuunL aad (3) 0)040ant under gds docket number btesuse thee mu no other pmtics subject to cscmw.
4.5 nr fded tbe attached ~for Subject Drilling Unit's Escmw Account with thc Board
4.S.l.Vm Cbde $1-3 ilMS pmvidas:
poolfor whtchd'rig
order payment ofprincipal and accrued interests, less escrow account fess, frost ihs arcrowtoting dattnants within thhty days ofreceipt ofnotification of (i) afinal decision ofa court ofAction atlledtcattng the ownership of coulbsd tnsthane gas as between them or (ii) anat ag clabnants owning ~icttng ertates in the tracer in qesrtlon or any nndivhlsd interesttaunt to be paid to the conjltcting ~shag be determined based on the percentage ofst of the congicttng oiabnunts as shown in the operator
's stgpdsstcntul)JJhtg studs part ofthctt established the user ow acotwnt, the cpsratar 's rscorth ofdeposits attrtbtuhbls to those tractsars being requested, and the recon& of the ercrow accosnt for the coalbcd tnsthanu gas
v interests ofany ootsnonts who have not entered into an agtvtsnent shaN rslnain in the escrow
5.2
W utt LLC snd Dorlis Cook and Anon Cook; Harrison-Wysu LLC and Morgen Living Trust, ct14orgsn Livhg Trust asd Naaman J.Morgtm Trust; Hsmson-Wyau LLC and Rachel Cook are
c ftbe coal aml gss amesge estme derlyisg Tmsat 3A, 38 aad 3C of the Std')ect Drillbtg Unit;
(2) Net sts auributablc and to be disbtuscd to Applicants are shown in Table 1,
VGC . I'I NX.lI
Toms I3/LSLSC
'estaX" "Tousl
To/ah
Frmloosest
Aotmss Spat Ssaeeed st ofIntaest Atestestn Antes pro/oem Feast
Dihersod Tahl
Horns/a WvmLLCSAnnndmmwvdaIIC/ POH 011000/Dtavtan VA 24543
0~Os otalSAhlorls Ctndt21274 Qo dsa V so Dr.. Ahiasdoa. VA 24211SAIAssmD.Coos.SIShhustr adDr tnuta.VA 24179
Bamssa WetaILC3BRttssistnswwlt LLc/ po 8 n 110N / Dansant YA 24543
hsotma 14vtda Ttau I
Snnsarsm Itvhth Tsen M) nt nl 34msm. 1093Pm Taaa SI.Ormdv. VA %014Hnnsansa J. llanos m a.ats carl ponos Trmtns 513sms OL mass YA 342m
HmisotewtmkLC3C HalrhnneWvouLIC/ Pont a IION/Doavtae.vA 245l3
3C naohsl Ctnds F.O, aa t OL 1 teresa VA 2l0$4
IANOO
I 14.SNO 50.NI 7.290 4L0704tt
I I.SON $00% l 0.7$0
I/2 7.29N 50.NI 3.445 20.53$2ttI/2 7.2000 50.0N 3.445 2053$2tt
1.4NOI.OIN Se.su 0.035 4.7042st
19P17 $0.0% 0.494 3.9202$II/O 03003 Ss.tni 0.139 0.7NNI
I.SONI 1.5000 SO.OII 0.7$0 4.22$4$t
in Table 1 sbcv
fort I in~4 and 5 above, and based upon the Accounting and Table 1 above, the Escrowwis dn 10 days of receipt of this executed order to disburse fimds for the unit snd applicants detailed
Exhibit E Oo tbcthis order. Ftjlther
the gupplem~extent not speci
Order, showing owners subject to escrow, is debrtod aad replaced with the Exhibit E attached tospplemeatal Order tfied in this cause is bamby modified to delete the luttuhament that paymtunsicting coalbod megume gas ~ hneouns of those applicants indicascd in Table 1 beuraoor inm tbe Estxow Account, gItL bcctmse those Nu no ofier mades subjstn N sstxuw underthc Estxow Agent is dheotcd to Qggg tbe Escmw Account for Subject DrBling Unit. To thesated herein, any other or fiumr reficf is denied.
gunned and grelief and all terms and provisions set forlh above in~6 above be and hereby are
RDERED.
kssamanlat
Appeals of thisof the Botud ~gaS OPOlaturr Srthe court ~bear
governed by the pmvisions ofVIL Code g 45.1-361.9which ptovides that any order or decisionSided to the~circuit court and that whenever a coal owner, coal operator, gas owner,ofa gas snnngc fichl owtificslsd by the Sate C porstion Commission is 0 party in such action,tppeal de novo.
g. RSsa8vo Igtsant i Sider shall be effective on tbc date of its execution.
DONE AND EXEC TE ) this ~day of P~Z2011 by a majority of the Virginia Gas and Oil BoartL
/
DONE AND PERIPOR MED this~day og/ I~4),2011 by an Order of this Board.
COMMONWRALQ ( gr VIRGINIA )COUPPFY OF R )
David E.Asbury Jr.,Principal Executive to theVirginia Gas and Oil Board
AcknovtlCommonwealth of
V'he
Virginia Gas land
to tbe Staff of tbe
V'ndus )L day of /XktlA, 2011,~begun me a notary public in and for theappeared Bradley C. Lambert, being duly sworn did depose snd say that be is the Chairman of
Bc ud and David E, Asbury Jr.,being duly sworn did depose end say that he is Prmcipal Exccudve( las snd Oil Board, that he executed tbe same and was a thorized to do so.
My commission exptnsI: 0I ~ / 30 / 2013
g~c72M~Diane J.DavisNotary Public ¹174394
BEFORE THE VIRGINIA GAS AND OIL BOARD
PETIItIONERr CIIXS 's Compsay
RELIEF~t (I) IHSBURSEMENT PROMDIN STRACT(S) 3A, 3B,aad 3C
(2) AN3) vA TE GRI 854 DUE To ALLPARTTES tXA IED AND ALL
REBSLV ItS Reytdttm ~heing~ader iJ3,1'GOB 004321-1898)
DRILLING UNIT: X-11
DIVISION OF GAS AND OILDOCKET NO: VGOB 9049SS4017%1
HEARING DATE: December 14, 2010
BUCHANAN' VIRGINIA
l. sr aud ih caunseb P titianer is CNX Gas Company LLC, 2481 Jobs Nash Blvd.,We& VI 24701 304/3234500. Petitioner's couascBtueficM, Ebtb 1 ts Mark A. Swartz, Sekafz LAw
otttcdtd, lsLLc, 601 l kdh Avenue, suite 201, P.o.Box 1808, st Albaas, wv 25177-1808.
2. Bsdaf r suuhb (1) the disbmscment of escrovvM funds bcrctofine eposissd wbh the Board'sEscrow ~) fie to Tract(s) 3A, 3B,aad 3C as depicted upon the annexed Exhibit A-1; ajtd (2) Vacate
all paries being hssed sad all confiicts resolved. (Royalties ~ being paid under
VPSSGU3, V+B 3: 1-1598)
3., M ml d asharttv: Va. Code Ann. 8 45.1-361.1R tgR., 4 VAC 25-160-140.,snd relevant VirginiaGas aad Oil Bomd O xhrs fShuutP) heretofom proamlgntsd pursumt to law
5. Fa Seal bash dsr relet nuaestudr Hturhon-Wyatt LLC snd Dcrlis Cook and Arron DorlisCook; Harrison-Wya t LL .and Morgaa Living Trust, et al including Mortpm Livhtg Trust, and Naaaem J. MorganTrust; ~Wyu t LLi: and Rachel Cook have edcrcd hdo a myalty spR agreement. The mmcxed Exhibit A-l,fmther, specfi14s bov sebi royalties are to be divided and paid. Exhibih B-2*B-3 ismisscs all psrtibs previouslypooled~to 1'scat i the Order.
6. A~ aur The fmegoing Petition to the bast of my knowledge, nformation, and~belief is true
CNX GAS COMPANY LLCBYTPS PROFESSIONAL
~~1k ruty
CNX Gss Cmnpany LLC2481 John Nmh Blvd.Btuefield, West Virgiaia 2470
grdrgrg $4Ung Xrli
VODD fk ~ 17M
5. Da. A raasr
Interest In letsraM InSagest Stgsst Reason for
24 7NN% tRSSSN% DMedsssl
(1) DorSs Cook, el al
28274 Drdden)neAINngdon, VA 24211
gr) Anon DorSs ~515 aplewced DriveVlntsn, VA 241PS
14.5$ ares
7.28 seesir2 of i4.55 sores
72$ sores1/2 of 14.N sores
IS.2260% 4.50152% 2.56164%
$.1125% 2.26N1% 1.27587% Leased
$.112S% 2.250S1% 1.27587% Leased
(1) Morgan Lkdng
(R. Morgan(ICCC 7r.
(a) Megan LMngore gged V10$$ )foef)nrndy, VA
(0) Itaornsn JCad Puokrnt51$ gkgsgdskd, VA
5
freer)
1.87 sores
1.$$ soresSIB of 1.87sores
0.28 sores175 of 1.87sores
2.0675% 0.51N2% 0.28226%
1.7SN% 042$N% 0.24656% Lareel
0.$47S% 0.086$4% O.ON71% Leased
(1) RaolNI CookP.O. Sdx SlVansant, VA 2(SN
1.8760% 0.46616% 0.28248% Leased
Pago 1 of I IOI27)201 0
0 a IIIue 37 tg.'tO'-
l
uM
aes s
a.~~sos stTTs N a
ji gypis Ii I
sr'. l,4,",) 'I" I3'I'>I8zI
! I a essa~: ~ col s stl/
" - ', cNyhXott ott
l l.t~'yysr tbtttttrbN%
Terai ~ I
sOO
NtbAta 'NI Iye
caAL~oalsFIetTIIITII%I-4asba PaaarsCTY I-ISIS
b
coaaosea7%o ass 4@assbt tlsl tbbestot
Raoaaalsaa teaIT 5 gNI +4fts 7+~ ~ —— ssFApaca 4 tboralslas4 lyebNI es:
IOIIIsoaaL 4. ~ales cAONIC cubi case
&See IoaI ee Iese ss ~ %Is~
IIeasII Isr I a ~ erMO
Tale Slee I ~ ~seaTies Slat~le~a asaearalsas ~ stale% eels)OI Ias er ~I( leoellas.
Eeoc s saaa. SEC
ssaasa, ~bw '5l o N. t
IRr NIILK Qi @ ~ be
',LRJNtNtt, 444yir ..TNrlaI aoaoa. INal eases» ssosa e~ sssoo
e==- le I, Ny, Nsaass
ywttN l RNT, tN.M Ntt
WELL LOCATIO'tt MAP
WELLNO. ChM X"Xfl
+tt aaotoe teeottea ot IraN oa Uattey stotee'ayyyeyloa Ncaa, scale I la RosOttttl Jet- ~
lteI4tecosy teayttade Itau belay reareseatlt'.:bt baroer Ilass as showa.
cENTIFIckTIntt Qf WELL jILAT',
Is ~ ~ sees ~ Isss ~, across eetslrr IaelIar ~ ~ IOI I ~ sertesI le ~ ssrSssoleeee ese SOII ~ I, ~"
'""Qib"il ~'~.: j:...
ExMhlt $4UNI I001
Dosaet 0 VQINI- VJwust st Utdeaesd OwaetaCIdawds
lhls snit Is 100%Leased
Peas 1 st110/27/10
Exhhrh EUnNMt
Dochet N VOOS - 17MUsl of C- . —
w OwrwruICIshnente that re%she escrow
E rcruw Account Is no lonyer requbed, eN crndhcts hove been resolved
Pege1of11$27/1 0
~rrhtbtt ddUnh)hf 1
Doohet 0V(SM .~74)fUet el Cnnfdottnd (hsneeC)a(mar M uMt thayatty dyrth A
———=
(1) Hentsorvuytmttr'LC.
Dsnvts, VA 2LH3
14.M ames 102260% 4.M102% 2.55184% 41.N04%
(1) Dorys Cook, et ol 14.68 ames
7.20 acrestry ol ohde ames
18.2260% 4.60102% 2.551S4%
0.112S% 2.25081% 1.27587% 20.M82%
(b) Amm Dortts Codsd16~l DriveVhecn, VA 24178
ymmaaa. c.aye
7.20 ames1I2 cf 14.Manes
0.11M% 2.26N1% 1.27587% 20.5262%
(1) Hmrteonchfyeth LLC,P.D. herr 11000,Concha, VA 24548
Dh. a man acta(aar
(1) tScrden Uvtnd T~ ot ).(flMorden,ot )(CCC Tr. 216-"4e.oog 7 oct)
l.d7 sass 2.N76% 0.51502% 0.2022S% 4.7042%
2.0676% 0.51502% 0.2022S%
(s) htordsn Uvlnd Tr(rstclo Shel V. Syorden1008 Poo Town gthundy, VA 24014M
(b) %eamon 8 hhud(m TCarl Pucheth Trusteed18 dtate Sheetdeslol, VA 242084rt 20
1.$0 ames 1.7808% 0 420M% 0.24858% 80202%die of 1.07ames
0.28 ames 0.8470% O.OM04% O.N071% 0.7040%118 of 1.07ames
CCSSL C
LLC 1.8780% OAOS1S% 0.28248% 4M$ 4%
CCCL 8 CS48i~(1) ccncnnl cook
P.Ck Snx81Vnnnnnt, VA IC48$8
1.8780% OA8919% 0.28248% 4.2284%