~ions · ~c)ost u pnrtkoiystiay oyasccter elocos to yartieiyate snd fail~ or to yap his...

16
V I R 0 I 5 I kc AFFLICRNT c CCLCS RSLISF OCCNSIT c SSFCRS TSS VIROINIh 055 RND OIL SCRRD R NRTDRRL RSSOCSIC55 g INC. 1) 55$ unc»yeuwnwv CN'SS DRXLLISO DNXT 4521732 ~~caen IN SSSISIT a ~ RND S)SN)SD Sr NSLL m. 1732 {herein "Ouhjest DrillinO Snit») l%p)OSRNT TO 65.1 341 20, COS)) OF VIROXSIA, A%I {2) SCDLXNO CF INSSSSSTS IN SWOT SRILLINO SNIT yoRSc)RNT TO 5 65 1-361.21, CDSS OF ~ISXR» 90R TSS PRODDCT ION OF c»»«»»«»» cCH&s MTSRRL 055 t%$l 505450T ~IONS herein referred to as «Oas») VIROXNXR 0$5 RND OIL SDISD DOCRST ND. VO05 9~621-0656 DRILLINO T 4521'732 SSNIISD SI NSLL 21732 TD SS DSILLSD IN ~ ZDCRTION DSFXCSSD ON SSSXSIT A ~i SXi IXSTSRXAL DISTRICT, CSN ORAL, VIRSINIA {ths «~a Lands» are ears particularl) 4sserihsd on Sahib).t «h» attaebcd hereto an4 nude a part hereof) 1. Oaav u nato aud nlaooc Thi. ~ natter oaas on for bearin0 before the Vir0inia Oas and Ol.l Soard {hereafter»Seard ) at 9c00 a.a. on June 21, 1996, at Southeast VieSinia 4W Center, hbin0dong VirOinia. 2 ~ >~~a Nark h Owartn of Xay, Canto, Chessy g Love 6 Nina appeared I or tbe 1 Oplioant j Sandra 5 RICN)sg Resistant Attorney Oensra1 g wae present to advise che Soard. 3. Juris& Lotiou aud Notieac Pursuant to 5 6$ .1 361~ 1 SL SSS.~ VirOinia code, 1950 ae ' —, tbe soard finds that it bae jwriediotion over tb ~ eubjeot ~atter. Saeecl upoa ths evi4eaea presented by RSFlieant, the Soard also finds that the Rsplieaat haa (I) eaeroised due dilisesee in ooadaotinp a ~c~ful ~saroh of r ~>]y available souroee bo deteradas ths identity and whowsbeute of sash Sas cu) oi) owner, ooal owner, or niasral owner havtn0 an interest in Subjeot DrillkcO )hilt underlyin5 aad oeaprieed of Subject Landsg (2) bas Sivsn notion to those ) ertiee eo identified who have not heretofore laasecl or voluntarily aSreed to pool their oae interests in tbe Subject Drillino Dent { hereafter eccabtinc s»person { ~ whetbeF ref«ria5 to individuals, oorporat iona, partnershipe, aeeo @otiose, eonpaaies, businesses, trusts, joist ventures oc other le5al eatitie ~ ) entitled by 5 65.1-341.19, VirOinia Code, 1950 ae ~, to notion of this cppiioatieng and {3) that the persons set forth in sehibit 5 hereto have been id nctified by applioant ae owners ef Oae or oil, ooal or ataeral interests undsrlyi a5 Subjsot DrillinO Snit, )cceludin5 those who have not ROrstofeee lesOed cr velunbarily aOreed to pool their Oae interests in Subject Drillino oait. Further, the soard has ennead nation of this hsaria0 to be published as reSukred by 5 6$ .1-361.19.5, VirOinia Code, 1950 ae aeended.

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Page 1: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

V I R 0 I 5 I kc

AFFLICRNT c CCLCS

RSLISF OCCNSIT c

SSFCRS TSS VIROINIh 055 RND OIL SCRRD

R NRTDRRL RSSOCSIC55 g INC.

1) 55$unc»yeuwnwv CN'SS DRXLLISODNXT 4521732 ~~caen IN SSSISITa ~ RND S)SN)SD Sr NSLL m.1732 {herein "Ouhjest

DrillinO Snit») l%p)OSRNT TO65.1 341 20, COS)) OF

VIROXSIA, A%I {2) SCDLXNO CFINSSSSSTS IN SWOT SRILLINOSNIT yoRSc)RNT TO 5 65 1-361.21,CDSS OF ~ISXR» 90R TSSPRODDCT ION OF c»»«»»«»» cCH&s MTSRRL055 t%$l 505450T ~IONS

herein referred to as «Oas»)

VIROXNXR 0$5RND OIL SDISD

DOCRST ND.

VO05 9~621-0656

DRILLINO T 4521'732 SSNIISD SI NSLL21732 TD SS DSILLSD IN ~ ZDCRTIONDSFXCSSD ON SSSXSIT A ~i

SXi IXSTSRXAL DISTRICT,CSN ORAL, VIRSINIA

{ths «~a Lands» are earsparticularl) 4sserihsd on Sahib).t«h» attaebcd hereto an4 nude apart hereof)

1. Oaav u nato aud nlaooc Thi.~ natter oaas on for bearin0 before theVir0inia Oas and Ol.l Soard {hereafter»Seard ) at 9c00 a.a. on June 21, 1996, atSoutheast VieSinia 4W Center, hbin0dong VirOinia.

2 ~ >~~a Nark h Owartn of Xay, Canto, Chessy g Love 6 Ninaappeared Ior tbe 1 Oplioant j Sandra 5 RICN)sg Resistant Attorney Oensra1 g waepresent to advise che Soard.

3. Juris& Lotiou aud Notieac Pursuant to 5 6$ .1 361~ 1 SL SSS.~ VirOiniacode, 1950 ae ' —, tbe soard finds that it bae jwriediotion over tb~ eubjeot~atter. Saeecl upoa ths evi4eaea presented by RSFlieant, the Soard also findsthat the Rsplieaat haa (I) eaeroised due dilisesee in ooadaotinp a ~c~ful~saroh of r ~>]y available souroee bo deteradas ths identity and whowsbeuteof sash Sas cu) oi) owner, ooal owner, or niasral owner havtn0 an interest inSubjeot DrillkcO )hilt underlyin5 aad oeaprieed of Subject Landsg (2) bas Sivsnnotion to those ) ertiee eo identified who have not heretofore laasecl orvoluntarily aSreed to pool their oae interests in tbe Subject Drillino Dent{hereafter eccabtinc s»person {~ )» whetbeF ref«ria5 to individuals, oorporat iona,partnershipe, aeeo @otiose, eonpaaies, businesses, trusts, joist ventures ocother le5al eatitie ~) entitled by 5 65.1-341.19,VirOinia Code, 1950 ae ~,to notion of this cppiioatieng and {3) that the persons set forth in sehibit 5hereto have been id nctified by applioant ae owners ef Oae or oil, ooal or ataeralinterests undsrlyi a5 Subjsot DrillinO Snit, )cceludin5 those who have notROrstofeee lesOed cr velunbarily aOreed to pool their Oae interests in SubjectDrillino oait. Further, the soard has ennead nation of this hsaria0 to bepublished as reSukred by 5 6$ .1-361.19.5, VirOinia Code, 1950 ae aeended.

Page 2: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

~ @5m 20

Whece¹yon, tbo Lord bocoby finds that tbs notices Olven heroin satisfy allstatutory ceOakreaonts, Scard rule reOukrsaents and tbe aknkaca standards ctstate 4N Dreams

i. tas Vbo detailed wll estlasto (ecaetkau referro4 tc uDWS aad eeaStScca referred to as «SPS«) aatacho4 to tbs Application as Schkhkt

c uas revkmd to retloct actual costs incurred rather than outlasted costs.$ nlc ~l aa«1 ~ g Wcno

6. nulia! aasasateda spplkcant nywsts {I) that pucsuant tc 5 4$ .1-361.20, Code ef Vkryknka, 1950, as caeadod, tbe herd establLeb Subject Drkllkn0Unit tc bo served !pe wall Sc. 21732) {2) that pucesaat tc 5 4$ .1-361.21« Code ctVkrykaka, 1990 as ———,ths Soar4 1 the rk0bts, interests ud eotatm cftbe baaw md " ~ yoroeas listed Xn Sahkhkt ~, Pope 7, Section III, hereot,and their bmWn oa I uabaow heirs, emcvdaes, eOeknkstratcrs, 4evisess, trustou,

md resets, la acd tc the Oas tor thedrilllay and Oken, kaoludkuy yes4ustlen, of Oa~ trm the Suhjest DcllllepUaLt ~ }oc'h ~ SaCea 0 atom aa4 Deveakm Shako foraatlces {herein"Subject Pac kcNI S«) undoclykny aa4 oeayckmd of the Suh jest Sanda (hereafter~cautions ookkeetlvely identified an4 cedocred te as "wll deva~~ and/oroperation la tbe Subject DrLlllat Unit«) g udg {3) that the Ssard dmk0nateSyplkcaet u Salt Operator.

7. ask& orauaodc Tbe reOuoetod relief in this cause bo aad hereby isUrante4 uds )1) Iuceuaat tc 5 6$ .1-301.20, code ct v isla, 1960 u ~,tbs heard bauch, i establishes Subject Drill lap Ualt g {2) puxocsaet tc5 6$ .1 361.21,0 3, Soda ot Vkr5knka, 1%PS as~~ Coluabia Satural Resources,Inc. (boceettsr 1 lait Cyocatcr ) is deslynatod as tbs Operator autberkmd tcdrill md operate the wll in tbe ect Drilllny Salt to pcudum Obs frmsubject yacaetkemp subject to tbo t ycevlslcos contained la 5 4$ .1-361.27SL M., code of v)rokaka, 1950 as~~ te 5 ~-22.1oh ~., oas aad oil

atleas md to 5 4SH$ -22.2 g5, m~, Vlryinia Oas aa4 Ol.l Scacd heOukatkcns,all u .:.. te % ties tc tkas) and (3) tbo Ou interests and estatesSubject Drkkkkay 1kt of the bmw and uabaew Dorsum listed ln Sahkhkt 0, Pays7, Section IIS, a%ached bomte ae4 sado a yart hereof, and their )nkwa anduabmw heirs, em mature, «a L~Mrators, 4avisees, trustees, asslOes andsuecemecsg both )aaodkote an4 roasts, leased cc wleaeedg bo and hereby aroyOOle4 ln the Sub',eet yeraatkom in the Subjeot Drkklkn0 UnLt underkykn0 andccayrkoed ct ths Ssbject Iands.

Tba Secea Saa4stcae andDovcalaa Shaletocastlcns.

Unit also

~1$.~crecirculardrillin0 unit

PecakttedSall 1««cetkcu

21732 {SmScbkbkt Afor locationdsytbsayyceeiaately$ ,660 test

yield aadWell Cluaakf kcutkcn

Wc ayyllcable fieldrules)

Fur tbo Subject Drillln0 Unitundorlyin0 aad ccayrksed of tbe Subject

Lend Served by Well Wo. 21732

Suchanan County VkcOknka

S. Slocticu ucd Rtuctkuu soricde In the event any gas cr cll conornosed in Sabkbkt S, yuye 7, Section III, bas nct heretofore reubad a voluntaryaSramont to abaca:.n tbe operation of tbe wll tc bo located in Subject DrLllleSUnit at a rate of }ayaent actually eyrud tc by uid Oas or oil conor and tbe

Page 3: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

oyerater, thea such yerson ac@ sleet oas of Ao options set foeth ia pnesorsyb9 below snd east 9 Lvo written notioo 0!his olootisn of the option eelosuod lenderPareyreyh 9 boeeic to the 40SLOaotod Walt Operator st As address showa belowwithin thirty {2O'4aps fccm tbo date this OS40r ie — ia the oouatp shoconoaod. b tbaplp ~ Isotisa shall bs ~ te haua hssa «040 Lf, oa or befere tbolast daqr ef cbcid ~ yeri04, each eleetkay e ~ bss 40LLweuod his writtenolootiea ts ~ cb ebyciabf4 Walt Oyersber et tbo oddeose shone below or has dulp

oacl ylcccbd hie wrLttea eldstiea la first olaes waited Stetee sail,pootsyo yeofcuidg lc94rossod to tho Wsit Operator nt tho n44ross shown below

9.1»cc~i 1 - wn suukkcck»cLS xu ebs aueac~ aud onurutiou sf tboa u.z.» ~tc fccy wss er oil owaer naasd la wohihlt y, puoe 7,Oootfccc III, who has net -:--:=s uelasbnrf ay — —— with tbooyorel or anp oloot to psstiolynbe Ln Ao duwoloyaaot snd operationog thc subSeot orLILLSW waLt lbsrsnftor "partLOLyatino oysrntoe') bp~Wrooiny to ynp SOA Psrtiokyotiay Oysretor ~ c ~tiosate port ofAs actual ead r W~ sects, Losludiaw n reasonable suyorrLSLonfso. cd the well 4euec~ na4 operation La tbs sub]est wrillio9Waitc ao sere yartieularlp Set forth ia VLSWLSLS OSS aad Oil beardRoyalc *lou cd ~22.2, oestion 10 {hereia ooayletod for

Lon Osots ). Purthco, n Partioiyntiny Operator uyroos to pnp~eoh I artloiyatinw oyerotee ~ ~-Loaste ysrt of the ~~~f~ eduouien ooots as eet forA below te tbo walt operator withinforty-five {49) dope fnm ths later of the date of aaillny or tbodsto of rooordiny of thLS Order. 9bo Ocscyieted-for-production onstsfsr tl ~ Sub)Sot Wrilliay Ibcit are no followsc

cuaflletod-for Produotion Costs c

92$$,149.00

b Part Leiyntiaw oyerssor'e proyortiessto Soot bereun40r shall bo tberesult obtained bp aultiylyino Ae Partioiyatiuo oyountce" e wivLSLOOof Iasuroot as sst ferA La yahibit \, poye 7, yootien III, tlassths sects cussed ~~y obsco. 0 ~.=——=——,tbnt Ln tbe~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail ~ or

to yap his yreyertlesste pal of tbo ousyletod forpuodue cion oeete as eet fdrth choco, all within tbo ties eet forthboooia aced in tbe =—"ysooerib04 in porswrayh 9 of Ale ordec,tboa ouch partLOLystiaw oydraton shall be:: to bnvs olsote4 notto ya rtioiyote sa4 to boca sleeted ~~Lou in lieu o!ysutisiyntion yursueot to yursyreyh 9.2 herein.

9.2 ~c~ 2 - Os snueiwn b ouub aueuu cc c~cccnc In lieu ofyartio Lyntlno ln tbe deuolhyaeat nnd oyirstioa of sub20ot orillinoWccit under parayusyh 9.1 shove, nag was or oil oweee nuasd inWnbihil: W, Pays 7, dootiea III, whe bas aot ~ u vo1uatarp

wLA tbe 0 or aap Sleet to soooyt 0 oeoh beaus~location ef 92.OC) yer aet CCLasrsl aors ouaod bp snob person,~ Lny uyen oatrg of cocLS order sa4 ooatinwinw annually untilof yreduotLOO fuoa sub)sot Drilllay wait, nnd

tbessnl tor a repnltp of I/@ «4 9/WAO !tweluo sod ~f~——tiy.stl ) of tho net ——:—::neeeiccsd bg thu wait oyuroter for tbo~OLo ol'o oas yr ~ froa aog well dsue~ ~ ~ bf thisorder caltiyll04 bf tho wss er oil owner~ ~ wioiclion of Istoeost as

fcw'Ch in yrhihit W, Pays 7, Soatioa III (for yneyeeee of thisaet yr shall ho astaal c = roooiuod loss yoet-

yes4aot isa oosts Laourrod dswsstsosa ef Ao wellb004, Lnoladlay, butnst lia Leod to, Ostboriay,: -'::m, trestisy, traaeyertstion an4anrbot)SO ooots, whether ~louaud hp waLt oyeretor or a third

Page 4: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

9.3

parsec) «o fairy can»enable and oOuitshls soap»enation to ho paid tosaid i)ss or oil owner. The Laitial sash bonus shall ——dus aadowiny when eo olsoted snd shall be t———,yaid or osorowed within~Lstp (40) dope of reoocdiay of this Order. Thereafter, annual oashbonus w, Lf snp, shall ~ 4ue an4 owiny on cash anniversary oftha dcts of ceoosdiny of thL» order La the oueat ycoduoti»n facy~abler Drillisy Wait has not tbecatodoce »~need, an4 ossa 4uo,~hall be tea4ered, paid or eeoaaa4 witbia siutp (40) dogs of saidanaiw~ 4ate. Ones ths initial sash beaus sad tho aaasal sashheasea, Lf any, are so yai4 or ~ said pspooat(s) shall bo~atiefsetion Ln full for the riyh4 Lntecaelm, sn4 elaine of such~Lest,'»0 Oss or oil eever La snd to tho Oas ~~ fmm Webfootpecoel:Lon Ln the Webfoot Lands, esoeyc, boweooc, for the I/0throyal'I:Lse due hereunder.

The e],asti»a nods under this Parayroyh 9.2, when eo sado, shall bo~atis>'notion Ln full for tho riyht, istoceeC», an4 elaine of suchelect>»O yeseaa La aop well deceloyasat and operation severed hereby~nd «eh oleetiao yore»a shall be to and bacehT does lassoan4 aesiyn his cLOht. interests, and olaias Ln an4 to the Oasproduced fram Subject Tocaation Ln tbs Sub]est Drilliny Wnit to tboWait (yerator.noaioc 3 - To abaca In Thn Ihmaal~ Aud noocnkiou ke a Oon-P~ta i~leo aaemaa ~ R serried naai» and Tn.noeniua ~~(nnzn x.mu oc nacho In lieu of yartfe Lso Ln chs dose~ and'»a of Oub)eot Drilliay Wait uadec psraycsyh 9.1 abase snd inli»u c if rssoiviny s ossh beaus oonsideration undec parsyrsyh 9 2shoes, any Os» or oi.l owner nosed ia u I shit ~, pays 7, Oeotioa III,wbo tw» not reached a voluntacT sosemeat with the Oyorscoc nay»loot Co share La tho deco aad operation of Dub~ Drillinyonit on s serried basis (ss ~ Carried Nell Operator~) so that theyeeyoc CLeaato pact of tho ~1 Co4 foc Produotien Waste bocabgaliens c)~ to suoh oacried Nell Oyorator ' iateceet Ls obaeyo4~()aine t snob Worried Nell Oyoretor' »baca of prado»Cion fryoub)oo 1 Drillino wait. Wuoh carr)»4 Nell Operator's riohcs,Let»sects, and oloias Ln aa4 to tbe Oas in sub]est Dri.lliny Waftshall se ~ and becebT aco assioae4 to the wait operator uatilthe c —:— —f~ the sale o! »ueh do»ried Nell Operator ~ share ofpcedse:Loa furca Ouhfeet DOLLLL»O Onit (esolusice of anp royalty,~noose or ouecridiny cofsIC)/s oc oChsr non~yacatiny or aon ooet-hesrin) burden cesecued Ln aap Lease, ase4~w thereof or~O

——~ cslatiny theeeCe oouariny ouch Lstscest) eOssls three~l yareoet (3OOC) foc a 3»seed interest or 'Cwo ~~ par»ant(yooc) foc ea unloosed Layocoot (wbiehoioc Le syplisebls) of oushCarrie) Nell Oyeratoc's sh»ce of ths n 1~far Produotioa Oostsalloeal >le to tbe interest Of euoh Worried Null Oyerator. When thewait 0) orator ca»supe sad cooowace f~ suoh Worried Nell Operator'~o»L(pcs) internet che ~ ycocidsd for »boca, thea, tho aesioned

interwed

of sash Carried Nail Oyecstor shall auteostioallp resorthash to snob Oarcisd COLL Operator, and freed an4 after suchracer»J»a, sash decried Nell Operator shall bo treated as Lf Lt hsd

Le)pated initially undec paceoceyh 9.1 shows) and thereafter,au h «atioiyatlny yecam shall bo ohacyed with and shall yey hisprayer( Loaate yart of all further oosts of such well dovokoyaent.

Tbe ale»Cion aude under thi» paceorsyh 9.3, when oo ands, shall bo~atlsfaetlon in full for tbe riyht, Lab»rests, snd elaine of snob~le»tie 0 person Ln awf well deceleyaoet and oyecatioa — hocobgsa4 sech ale»tiny yes»os shall bo::: to have and hocobf 4sesa»sion hie ciohc, Lncososcs, and elaine Ln aa4 to the oas yceduoodfew «hoot pocaation Ln tho Ouhgoet Drilliny Wnit to the unit

Page 5: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

ayers CAR fsr tbe yoris4 of tkea derley ebkoh his interest Ls oscrksdas sieve yrovkdsd yrkoc to Lts reversion bash to oesb oleetinyyarns c

IO. ~m ea tn —=-- L» akonta Ia tbs scent a yeroea yOO104 hereby fnilnto oloot ekthka tie tkws, La ths ~ aad La asoenlasoo eLth the tares of thisOrder oas of ths altosaaC1ves 00C ferCh Ln yarajyeyh 9 above for shish bisLnceceet onalkfiec, thee each yacaoa shall be ~ co have elsot04 aoc toynrtko 10 W 5 i = ——- — 40Ve'= - —:. 004 syyreakea of Oebjeet Drill Oaitaa4 1 hs: ~ sehjaot to ear fkssk loyal:::.i~Los of ———~ tobaVS sleeted ts aS eat eetkea La tall fer snob r- —-- ' rh~asce, 004 eh des ia 004 te ths oas cbs osaskdsratkoo peek404 Ln yoraorsyh9.2 above fsr vhkrb Lts ic " Osskkfkss 004 shall be::'o have Leasedaad/or . k~ his r, ksoscayts< 004 clakes ia aa4 to oae La tbs eDckllkay ~t to Cbe t Oyessh~. ~——eho fail to yreyarly sleet bo::::::to base ~~ ~ed cba = isa 004 tecas sec forth beceka sc yscaocsyb9.2 ka scaksfast&a Ln fall fec tbs rkyht, LsteceeC0, aed olakss of cash eoain nnd to tha oas ycodneed fcw ~jest 10aeatkoa eaderkykno ssbjost Laacks.

ll. ~~o.ag'*~a~~~ aaaaasag 30 tbe oveat 0 yersoa yeo104 hereby~loots to yarcksky kco nader ysslcIroyb 9.1,bst fails er cafesas to yay, to seancetbs yayaew or to csh ~ aa acc—— -t ektb tbs lait oyoracoo for ths. ~t of~ech ~~'0 ~=~ yart of Cbo ~~~der-~~~ ossCs asforth ~~a, all nkthka Che tkay 004 ka cba 00 r ~kbed La thLs Osdar,thea Sash 0 ~ ~ hekk be CO haW ekhhdraea hke akeetkea ts kyate004 shall Ce to bene okasced te esesyc as oacledasckea ka fall foc oeob~'0 r ~ kaCecesCs, asd slake ~ ia csd to thn Oas Cbs eessk&eehkonycovkdsd La yl 9.2 above fec which hks iatareec osakkfkas -—4~ ea tho

becdsas ~ hhsehe4 to sech ketseeet = - sef oseh0 k~ackw oss ss a cesslt of each —.—.:— okeockon shnfl hst, yak4 or~eocew4 hg sake ol seater vkthka skate .{N) days after tbe last an shish aeobdofaeltkey .==—:::endor thL0 order shcskd hase yakd hks ~i~ ysrt, of~esh ooet or absehl hsvs 0040 satisfactory are=-::. ~ for che~ thcssof.~ awk ~ 1aeN eagle t oc, la e1ELl M malstaeElet 11 ~ W Ig4 QAMIQ, 144 at «NOI

' W ~ W annderly sehjest yrkklkay wait ka tha onbjest lands c ced beseby~

~ay li 4th refaltkes vbkob «0014::::des yurseaac to ~yrsyh %.2boresf .

12. ~= =- ef Xntonwta In tbs eveat 0 yersoa yoole4 berehf issaeble to reach a vekeecdry ~ —-- te ehnco ia the oysrackoa of the «oll~~aced by thLs ocdsr ac 0 rats of:: aycce4 te entnally bf said onsor oil waar ead tbs OyscsCor, aad yereoa olosts or fails to to doother tbss yactisil ace nader yaraycafh 9 1 above kn ths deev~ aa4 eyscatkenof tbe wlk ka ashier yrkllkey ynkt, sech ycsaoa shelf be ———te haveaad shall hoes eda sacs Qakt oye sech yocsoa' rkdbc, Lececwcs, aadclakes Ls aed to mid cell, ia onbjest yeceockeas k,a ash~ bckkkkey oakt, 004othnc share kn aef to 4oe yceds&kea to shish cash yareoa Oaf ho escickad byroasoa ef aay ale&ken or oleetken he~ ia aemnrdaaoo «Lth tboyceviskoas of thL0 Order v——~ oakd olestkeas.~ n ~ ~~——<s ealwhka oacnral ossonroes, Ino., boand becebf ks 0 ~;~~ es Obkt ~~ sethsckaod te drill aad ~ MollSo. 21722 ka ~~R yssaatkeas k Orkllkay Saith all ~ to tboyeeekt ycevkekoss <eecskasd La ossckoa 49.1 241.27 w, ends of v Lain,1904 as ——,yk =-= 22.1 + ., Oas aad Oil~~ ksas 004 yj22 2 W ~e V ek'0 Oas 004 KX Oeyakat~ all 00:: free tiesto tkjca. 004 all «Snstkoas c ~ hy hhLs Order shall be ~~sated to oaiteyocecer ia «rktkec at tho a4kese shoes bolwc

Page 6: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

Coluebia Satucal Recourses, Inn.P. 0 Dus 4070CharloeCea, Wr 24342-0070Phoask {304) 3$3-$14$Pans {304) 3$3 $331httas Saith 0 Nsffott

ll. ala a I eelto ==——=- oosrhl Lens for tho drillido of aey eall oovored hereby within threebW4n4 Oad S flue {34$} days trk« tbe 4ate ef tbLS Ceder ne4Oball v

———WOthe owe WLth dae lil30enee. If walt 00erocor shall aot have eo === aadfor

ma a Iea eel t ep aa ~RoanpWMo = eaalaE Islam aaa ~~ a oea tthis OnOrr I ieLre at 12k00 P N. oa thedebe oa vhiob snp eall = bytbLs order ie = — = -My ~ —= ead ~~. =——.=-,la tho orant oa oyyealLa tsbua f~ Clubs 4rdar, thea hhe tioe tho tilin0 of tbe petition tor

I aa4 Iiho f Loci Or4es ot ths oiroeit oaurt shall bo secluded La oaleulatin0tbe oeo year Per&id referenced herein.

1$ ~~'e kkamk Wait OPareter, ia ad4itiOa te tha Other riObteafforded ', shall have n lien aa4 a ridht of oet ott oa tbe Oss estates,ri0btsg sed Late roots oone4 by any psrauh «dr)eot boreCo Who siesta toPartiniyato under Par ~ 9.1 Le ths Ouh2oec Drillin0 wait to tba «steat thatooete Lllsaared La the 4rLLLLa0 or o0oratiea os tbe Duhjoot Drillia0 wait euo nohoe0a ~~ «sub Person' intoeeot Dueb liens ond rLObt o! eat ott shell he~u0umable ae te Cash ~~e Derean aa4 Shell reaaia linea until the Wait00arator drLLLLa0 or eporobkai aey ueLL === hereby bas hoes pnL4 tbs tull~seance 4eo under tbo tor«s ot tbLo o«lor.

14. ==— naaakakaaa g

14.1 -- =- ~c Dy this Cedar, the Dea!4 instructs tho ~- 30entnnae4 heuein or aa} aueeioeoa nosed hy tha Deord co establish na Lacereot~in0~eo~ ooeeuat, (hi «sin tbo Deorew ~")te reaeLve and aoeouat te tbe beardPurouaaC to Lte sv;~ tor the — — fua4s hereafter dooorlbedc

Wssauell Rational DeabP 0 Des %00Taa«eall, lh 24401{herein "Door«k %Dante)

14,2,~ 1uewkekama sac~ea a k~~~a Sarasssg If aay Pspaontof bonus, reyblty I eykkeat or usher ~1die uad ooin0 under this Ceder aaaaocbo na4o haeauea the yersk«sacitle4 tbe0eho eanaoc be located ar Ls unbaoun, thea~ueb sash beaus< «0«lty ~, or o0ber })e0oesc shall nec be ~~~'kod uitbaey toads of tho Wa tt ~er aed shelly perauaac to Cooties 4$ .1-341.2i.Dy codeof virOLeia, 1000 w

——,-=, asd «abf sam ohall hs do00sicad by the operatorLace the 0aoroa Dku ~, ———Ln0 aL0bL eincp ldo) dap w;=—-~ ot thiscr4or, oad ocaciaai a2 ~car oa ~ aOniblp basis sich sash dayosit to he n«lo,

Paid to each ~ (s) er uncLL cbs 30nnnko 00$«c rolinonishes suoh tends noseekired hy lau er Dsr«a«c co Ceder ot ths Dosed Ln aeoordaaoo olth $ 4$.1-341 21.0, Cede ot ALrOLnin, 1000 as

17~ aaeakel Pkaskmaas Tba Dour4 eyeeitioally nnd syeoially findok

17.1 300lioknc Lo a Tunas ~atioa 4uly authorised nnd Cuulitiod totransact buoinooe in tbo a:ltb of VLrWLnieg

Page 7: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

17.2 llyyliaaat oleies owecehip of Oss leases oa 99.0077 yorwnt ofSahQrt Scilliay unit ask tbs riyht to osylore for, deeelop sndpcedooe Oas frw ~.

17.3 SyyLL~ Ls aa syecetor La the ~ ——--~ ef VLryiaia aad has~etio Nod ths Sosr4' swyaireaeats for operations La VLryiaiag

17.4 lyyli Iaaf bos 4cilled of Nell M 21732 oa ths Nsltgeot Srilliny Snitto de~op ths yoni of oss in sah9eot Torestioos.

17.9 set Smth ia Sshihit 0 Ls th ~ aws sad last hesw e44esss of oaobyeesei of sosec4 Ldssaifisk hT the Least ss ~ Oae oc oil ~,boric i aa L ie the Oee La ScL12Lao Tait asdeelgiso

~ Leek of leh$ eet Leaks of shish .1003 ~ — rwainsaaleeek hT or to tbs Oyseatoc.

17.5 The Syplieeat hss dcilleid ssd ~, yeresaat to Nell NnrbpeeaQ ATI 42000 Leaned oe ec shseb oetobw 21, 1903, a yes wll toan s'yiieesieato 4eyth of 5,440 sees oa sahpeet asak ~ to test fernohecl4, yee in ths Noses'.~~ sa4 ssooaian Shale psreatiossaa4sri,yiao tbs subject Scillisy oait.

17.7 Ths eW™~pcodaetloa eoer tbs pro)octad ~ lifo oS ther:—:=::Wll Le 20.%4K . Ths acti~~ Sonant ef reeorWS inplass La tbe ~est Sriliiay Snit is O.229 bsf.

17.0 lypkke saa's «oidores estshliehod chat ths fair, r ~' sad~Oslke hle::—:—:~Lesto ho yeid to sag psreea ia lies of ths rto ysr LLoipste La set wll ~ — — bsrehf ace these oytieas prcnrLa Susdreyh 9 shoes.

11.~ ~ %15ME I llMW DELI A ~ ~lt~ ~ ~achitr srT oaocoiss of SppLisoat~ ~ riybt to esplore for orOas.

17.10 Ths o slief —:—::~ sak Toasted Le gast aad =, ~le, isLek bT ~ tisl mideaoe aa4 rill affer4 sash Teresa Ln thec pcLLLLay Salt ths ~mitT to ——~ sc roeeLM, obtheat

pscesa as ~ sfk Saic shoes ofycokeeiiea of the Ose so4/or oil fere deb(est peillieo snit. Ths~4e M ~ lwlleEEiel ~~let:::—Neea4 Mll ~~se ~ ———waTa ae- —,oeall,: = IW%rt hl laa ~ ~leer ~ af ~Tech i& ~ hy stskaW ead ysetset oroocceb ILLw riohte of aLL ~ La tho soh seehsa ~ of

Y Ls ths sah2eet Ohesefeso, heard Ls eateciao sni ireatia0 tbe relief est forth.

~%a~i.ef.conor and~1~ er affidavits inset or Lts attorney~hall Sile ss'eg& hcit oith the eiNiiltesy ef the oibbia sistp tSO) days~fter the 4eae eC loeaiyt Sf this Oeker ~ that a tree ead wwa-~ copy OfsaLd order we Nailed «Lthia sesen {7}days free tho dabo of ~ of thisOrder to snob perwo yoolo4 hy this Sskoc obese address is bnow.

19. an «~ »~or ~ S The niseetsr Shall prerido Sll parennenot eakrJoet to b M sa eath r 'h ~ to all rssocds for ashiest hrilliasoaLt ohiob aes seiekttes by tho Tait operator to said sirootoc aad/er hisInspector {~) ~

20. n 1~ 4 i Therefore, the reooesoek relief sn4 ell torse sndprorisione set forth nhcwo ho and herohg sre TINlntod snd IT Is so ==::=::==

Page 8: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

21.~seoetisa.

kwexme this ~4 dsF of ~~, 1094, byvirVLaia oas aad oil Noar4. as/ D

DCWS ~ oaa as/ority of the

~XMhae ~ Ro

SSSeo&» uaaaS %hie Oaler Shall be effeetire Oa the 4ate Of ite

lNRR NNI am~ thisOrder of this Soa4.

~,.r A-

. aia ~eo~OCatfVL~ Oss aa4 OL1 heard

1994, by

~9%%5 OF ~3NIR )OOONFy OF NXNN )

*edysd oa this ~ 4ay of(ypj

' before se a artery gleblio La aa4 for CNI1994,

altb of VLeyiaia,, beisg 4sly esses did —:aed say that he is oI

aa4 Oil heard, that he esesste4 the ~ and seas astherised

7/31/99

Sssba O. OarrettNotary Fsblio

ke49ed oa this 4 4ay of 1994,I really ~ ~ MME lehli I ~ t Ale =lah 1 V~.ayyearsd Nyrea Vhe ass Falser, beiep 4aly seers did =-=-: asd eay that ha is

LNa1 ~+e> to the ~t ef VLefiaia Sas Oil Nosed, that be:— ths Oms <ed wae sstberised

xckn ~WIyisd ~ 3. NaeisWNotary PublioV'~

esFLI 9/30/91

Page 9: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

SCALE: 1" ~ 4CN'

'. icer 'sed professional rnoineer

Page 10: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

IO0347NWOOAer0e in Dna: 92.I42Dim,,sion of Intaraats 7343242

Aerie in snit: ~ 282Pearcenta!ya of Tract 2 in Unit: .2244

CWR IXNNW4 IeNVOO3~ z

! IN/LNAN NN I 11/Nl 41Nt

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NI/LN,OON,II44 I Ll/Lll X 1/10,04141

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Page 11: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

VQC Q%4/2 04544M% a

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Page 12: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

Sales/m[-0686SISE44hkg 0II050 3

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les Oxsstlwk

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Tret 3 OHC I0aae g: 105374~O i5 Unit: 12.794

ES'OlaiOn Of Inte20eett 10.1811%

it: 3.760of Tc'act 4 in Uhit: 2.99218

3077~2:1 1 700/Xls NNS Nl I 1/XO INSO

307M@1:4 I ROOM

It NSNONX 1,704/Xls NNS $01 I 1/1 X 1/XO .N$70

ig;;:~4$',

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1/1 I X/'0 04NO

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Page 13: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

1HNO SOI/00%ssL4lit 03IONN 4

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CHL LOjOOO l'lt 1103077-005t

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CAR t~ ilt 1003077~5$

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Page 14: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

NlXT 1. NIINNPSLOP, tt 14010NTIN41 SC xstuutP LTN/335 440 3 Nl I 1/3 I 1/10 ONTl

h g9 1RO3O77~cf!I Wltttt

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CSR Leae 0t 1448074-OO4lAcww in R@t: 4.488ffivI IiQh of X~t 3 ~ 57144

, tt 14010~ EOhae $4~4~7,Aaae in Qakkf lI.198ltCf&WllCS4JO Of ~ 6 ill Ullit'f ~ 7G484

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1st N3373NONP 11 1'N/115 su 9.7044 I 34/1004,usst

Stttsts I Ok I0$0NNP 1Llu/lu 440 ~ Tut I 10/10N PD341

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Page 15: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

I S 104/OSAN 0 70N I 14/14N 77741

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QOLSNIXA '%P. O. N88I 6CRARLIRRTQN 7 5362-0070

Peeeaat ofUalte

TRACT 1

TRACT 2

1063679-000

106?003-000 - 006Clew~

92.142 73.3242

.2218.iX@5

1063742 000 12.794 10.1811

Page 16: ~IONS · ~c)ost u Pnrtkoiystiay OyaSccter elocOS to yartieiyate snd fail~ or to yap his yreyertlesste pal of tbo ousyletod for puodue cion oeete as eet fdrth choco, all within tbo

%NO $6/yg/gt 5"

1203077-000 - 009~&ae4 lkllly R. Stil~

LRASR 1203076-000

8 1062622-000

TPBL

3.760

4.488

12.198

125.664

2.8924.0997

3.5714

9.7068

100.0000

III

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60/125.664m2.9928 X 1/3 X 1/10~.0997%

.1023%