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HomeMy WebLinkAboutRES 10-188 RESOLUTION NO.10-188 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to grant a four(4) acre Easement and Surface Use Agreement, as described in Exhibit "A" and shown on Exhibit "B" attached hereto, to Cimarex Energy Company for the purpose of drilling one (1) or more oil and/or gas wells. The four (4) Acre Drillsite Easement is specifically for wellsite "Jefferson Airplane No. 4." By granting this Easement,the City grants Cimarex permission to install pipeline, above and below ground appurtenances and devices as needed for the operation and transmission of all products produced. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 20th day of July, 2010. ��```` Phil -qAayor Becky Ames - l�� Si 11+11` `�� j' A NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER. EASEMENT AND SURFACE USE AGREEMENT STATE OF TEXAS § § KNOW ALL MEN BY THESE PRESENTS: COUNTY OF JEFFERSON § That, this EASEMENT AND SURFACE USE AGREEMENT (hereinafter referred to as "Agreement")is made and entered into by and between the City of Beaumont,whose address is 801 Main Street, Beaumont, TX 77701 (hereinafter referred to as "Surface Owner" whether one or more), and Cimarex Energy Co.,its successors and assigns (hereinafter referred to as"Operator"),whose address is 15 E 51h Street,Suite 1000,Tulsa,OK 74103. For the sum of Ten and no/100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged,Surface Owner GRANTS,BARGAINS,SELLS and CONVEYS exclusively unto Operator,per the FAA Guidelines and Regulations,the right,privilege and easement for the purpose of drilling for and producing oil,gas and other minerals,injecting gas,water and other fluids, and air into subsurface strata, laying pipelines, land farming, building roads, tanks, power stations, telephone lines and other structures thereon and on,over, across, through and under that certain tract of land being situated in the Ashael Savery Survey, Abstract 46,Jefferson County,Texas, and being more particularly described to wit:(hereinafter referred to as"Surface Owner Lands") (Legal Description) "SEE EXHIBIT A FOR PLAT" NOW,THEREFORE,Surface Owner and Operator hereby agree as follows: (Drillsite Tract) 1. Operator shall have the exclusive right to use that certain Drillsite Easement tract,being 4.0 acres of land,more or less,depicted on a plat marked as Exhibit"A"attached hereto and made a part hereof and identified as the"4.0 Acre Drillsite Easement"(hereinafter referred to as"Drillsite Tract'),for a surface drillsite location for the purpose of drilling one(1)or more oil and/or gas wells. (Access Road) 2. Notwithstanding anything herein contained to the contrary,it is understood and agreed that Surface Owner reserves the right to use the Access Road for ingress and egress across the Surface Owner Lands in a manner and for purposes that will not interfere with Operator's full enjoyment of its rights, and that Surface Owner shall not permanently obstruct the Access Road and the Surface Owner reserves the right to have the Access Road removed after the termination of this Agreement. (Pipelines) 3. Surface Owner grants Operator permission and the right to lay,construct,maintain,operate,repair, replace,protect,relocate,alter,remove or abandon in place one(1) or more pipeline(s)including, cathodic protection equipment, above ground and below-ground appurtenances, and any and all other devices, equipment with the use and convenient operation of said pipeline, for the transportation of oil,gas,petroleum products or gaseous hydrocarbons,including products thereof, water and anv other materials,through a pipeline on,over, through,across,and under the Surface Owner Lands_ All such lines shall be constructed in a manner that is usual, customary and reasonable based on the practice in the oil and gas industry for the area. Operator agrees to bury all permanent pipelines at least thirty-six(36)inches below the surface and restore the ground surface as nearly as practicable to the original contour which existed immediately prior to the commencement of any work. Page 1 of 3 EXHIBIT "A" (Surface Considerations and Indemnifications) 4 Operator agrees to use reasonable care at all times in all of Operator's operations on the Surface Owner Lands to prevent injury or damage to buildings, fences, or other property belonging to Surface Owner. Operator agrees to pay Surface Owner for all additional damages,if any,caused by its operations or activities,other than damages to the land in conjunction with use of the Drillsite Tract,and Access Road,including other damage done or caused to be done to all buildings,fences, and other improvements. In this regard, Operator shall pay the reasonable and actual damages caused by Operator's operations based upon the reasonable value of the damaged property at the time the damage occurs. 5 Surface Owner and Operator agree that for and in the consideration herein stated,Surface Owner does hereby release Cimarex Energy Co.,its successors,partners,agents and assigns from any and all claims, demands and causes of actions which the undersigned may have or may be entitled to assert for damages to crops,timber and all other things growing or situated upon the Surface Owner Lands, caused by or resulting from operations in connection with said Drillsite Tract and Access Road. 6 OPERATOR AGREES TO AND SHALL INDEMNIFY AND HOLD HARNEESS SURFACE OWNER AND SURFACE OWNER'S TENANTS,HEIRS,SUCCESSORS AND ASSIGNS AND THEIR OFFICERS,AGENTS,SERVANTS,AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS,LOSSES, DAMAGES, CAUSES OF ACTION, SUITS,AND LIABILITY OF EVERY KIND,INCLUDING ALL EXPENSES OF LITIGATION,COURT COSTS,AND ATTORNEY'S FEES,FOR INJURY TO AND/OR DEATH OF ANY PERSON AND/OR FOR DAMAGE TO ANY PROPERTY (INCLUDING WITHOUT LIMITATION ENVIRONMENTAL DAMAGE OR POLLUTION)DIRECTLY OR INDIRECTLY ARISING OUT OF OR IN CONNECTION WITH OPERATOR'S USE OR OCCUPANCY OF THE PREMISES OR OPERATIONS HEREUNDER,IF SUCH INJURIES,DEATH,OR DAMAGE ARE CAUSED IN WHOLE OR INT PART BY THE NEGLIGENCE, OTHER FAULT, AND/OR STRICT LIABILITY OF OPERATOR, OPERATOR'S HEIRS, SUCCESSORS, ASSIGNS, CONTRACTORS, OR SUB-CONTRACTORS OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES. THIS INDEMNITY AGREEMENT SHALL PROTECT SURFACE OWNER AND SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS AND ASSIGNS AND THEIR OFFICERS. PROVIDED, HOWEVER, THAT THE ABOVE INDEMNITY AGREEMENT SI-LAJ—L NOT PROTECT SURFACE OWNER, SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS OR ASSIGNS, OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES AGAINST THE CONSEQUENCES OF THEIR OWN GROSS NEGLIGENCE OR INTENTIONAL INJURY_ OPERATOR HAS INSPECTED THE PREMISES AND COVENANTS NOT TO SUE SURFACE OWNER, SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS OR ASSIGNS, OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES BECAUSE OF ANY PRESENTLY EXISTING DEFECTIVE CONDITION IN,UPON,OR AROUND THE SURFACE OWNER LANDS. (Miscellaneous Provisions) This Agreement shall be interpreted under the laws of the State of Texas- 7 Operator may assign its rights and interests acquired by virtue of this Agreement. This agreement shall extend to and be binding upon the parties hereto,their successor and assigns. 8 That the undersigned warrant and represent that he/she is entitled either as Surface Owner(s),or as otherwise stated, to execute this Agreement and release and receive said consideration and hereby covenant to account to any other person legally due any portion of the consideration herein paid. 2010. IN WITNESS WHEREOF,this Agreement is executed as of the day of SURFACE OWNER: City of Beaumont Kyle Hayes,City Manager Page 2 of 3 STATE OF TEXAS COUNTY OF JEFFERSON � This instrument ,xas acknowledged before me on the _ day of 2010, by Kyle Hayes,City Manager,for the City of Beaumont. Notary Public,State of Texas My Commission Expires: Page 3 of 3 Sbine k J4bnetan,Inc. PmDnIn11Ve1Irm4A JMUmIAMwIe Na4 P.D.B"19 1 NAp 21 CmNZ- S'.-T-77656 YGOadnale 19a92S65 Pn-(409)385.5266 %Gawdmle ]921,059.76 Faxa(AN)385-09]6 lao°tle 03 .N lagMde 9/'1380.2011CW Fie name:090115 FA4 BMT 1.pWG CBS EXHIBIT LLBf7 NQ275olNi CVed 7anN Pb14a14 tllshoa111:00 YC—hns SI2.WI� JeBeeson Gaunt/.Tams %C—wu ]512.697.12 G9mrd Gana HAD 83 lA6wie 30-nS7.x192YN Lamle Bi't 99 ALMONZER HUSTON SURVEY A-33 S g s Bay S�cz ter 1-��J000 Bt H°61 PA cIL � ma Lne v 1Y0a° Runway 12 E 16 End S+ in \ ,Proposed Well Location RamwY34En4 'Cirnarex Energy,Co., Jefferson Airplane No.4" hp d ` amo° 6 E,y99PP Feoa°�' � T1ea�wro Traa�°`0 ASHAEL SAVERY SURVEY Surtace n A-46 'Gmarex Fm—9y,gy,Co., JeRelso i Aarpl—No.1' NAD 27 Cowdinales(Cen"I Zone): Y=198,025.68 X=3.934, .76 Latitude=30603'53.68461'N longitude=94.13'00.39209'W HA0 n Cmm°a°19ow eema lme7: 9y221J19 x.3.slzasts9 Sketch Showing NOTE Proposed Well Site At Tne ALL THE HORIZONTAL CONTROL IS REFERRED TO THE TEXAS Beaumont Municipal Airport STATE PLANE COORDINATE SYSTEM.LAMBERT PROJECTION, CENTRAL ZONE(PER CLIENT REOUEST). For The DI -0 27 DATUM.ALL BEARINGS. "Cimarex Energy,Co., STANCES AND ACREAGES ARE GRID. Jefferson Airplane No.4" TRACT INFORMATION SHAWN HEREON In She WAS DONE 60 AND LBY DEED RECORD INFORMATION ASHAEL SAVERY SURVEY O]r1E0 SURVEY DATA AND DOES NOT REFLECT AN ACTUAL SURVEY. Abstract 46 THIS IS COPYRIGHTED MATERIAL AND THE PROPERTY OF }� If—+ THIS ISCf NSTON,INC.ALL RIGHTS RESERVED.02010. Prepor.d in the offices of shine&Johnston,Inc. i I � I RICH WITH OPPORTUNITY r T • E • x • A • S City Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager �l4 PREPARED BY: Tom Warner, Director of Public Works r MEETING DATE: July 20, 2010 REQUESTED ACTION: Council consider granting an Easement and Surface Use Agreement with Cimarex Energy Company. RECOMMENDATION Administration recommends granting a four (4) acre Easement and Surface Use Agreement to Cimarex Energy Company at the Beaumont Municipal Airport. BACKGROUND The Surface Use Agreement grants Cimarex a 4.0 Acre Drillsite Easement for the purpose of drilling one(1) or more oil and /or gas wells. This Drillsite Easement is specifically for wellsite "Jefferson Airplane No. 4." By granting this easement, the City grants Cimarex permission to install pipeline, above and below ground appurtenances and..Oevices as needed for the operation and transmission of all products produced. Attached is a copy of the Easement and Surface Use Agreement for your review. BUDGETARY IMPACT' The original land lease agreement provided Cimarex with the right to access the airport property. There is no monetary consideration for granting the Easement and Surface Use Agreement. r` A � NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER. EASEMENT AND SURFACE USE AGREEMENT STATE OF TEXAS § § SNOW ALL MEN BY THESE PRESENTS: COUNTY OF JEFFERSON That, this EASEMENT AND SURFACE USE AGREEMENT (hereinafter referred to as "Agreement") is made and entered into by and between the City of Beaumont, whose address is 801 Main Street, Beaumont, TX 77701 (hereinafter referred to as "Surface Owner" whether one or more), and Cimarex Energy Co., its successors and assigns (hereinafter referred to as "Operator',whose address is 15 E 511,Street,Suite 1000,Tulsa, OK 74103. For the sum of Ten and no/100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Surface Owner GRANTS, BARGAINS, SELLS and CONVEYS exclusively unto Operator, per the FAA Guidelines and Regulations, the right,privilege and easement for the purpose of drilling for and producing oil, gas and other minerals, injecting gas, water and other fluids, and air into subsurface strata, laying pipelines, land farming, building roads, tanks, power stations, telephone lines and other structures thereon and on, over, across, through and under that certain tract of land being situated in the Ashael Savery Survey, Abstract 46,Jefferson County, Texas, and being more particularly described to wit: (hereinafter referred to as "Surface Owner Lands' (Legal Description) "SEE EXHIBIT A FOR PLAT" NOW,THEREFORE,Surface Owner and Operator hereby agree as follows: (Drillsite Tract) 1. Operator shall have the exclusive right to use that certain Drillsite Easement tract,being 4.0 acres of land,more or less, depicted on a plat marked as Exhibit"A" attached hereto and made a part hereof and identified as the"4.0 Acre Drillsite Easement" (hereinafter referred to as "Drillsite Tract', for a surface diillsite location for the purpose of drilling one(1) or more oil and/or gas wells. (Access Road) 2. Notwithstanding anything herein contained to the contrary, it is understood and agreed that Surface Owner reserves the right to use the Access Road for ingress and egress across the Surface Owner Lands in a manner and for purposes that will not interfere with Operator's full enjoyment of its bights, and that Surface Owner shall not permanently obstruct the Access Road and the Surface Owner reserves the right to have the Access Road removed after the termination of this Agreement. (Pipelines) 3. Surface Owner grants Operator permission and the right to lay, construct, maintain, operate,repair, replace, protect, relocate, alter, remove or abandon in place one (1) or mote' pipeline(s) including, cathodic protection equipment, above ground and below-ground appurtenances, and any and all other devices, equipment with the use and convenient operation of said pipeline, for the transportation of oil, gas, petroleum products or gaseous hydrocarbons, including products thereof, water and any other materials, through a pipeline on, over, through, across, and under the Surface Owner Lands. All such lines shall be constructed in a manner that is usual, customary and reasonable based on the practice in the oil and gas industry for the area. Operator agrees to bury all permanent pipelines at least thirty-six (36)inches below the surface and restore the ground surface as nearly as practicable to the original contour which existed immediately prior to the commencement of any work. Page 1 of 3 (Surface Considerations and Indemnifications) 4 Operator agrees to use reasonable care at all times in all of Operator's operations on the Surface Owner Lands to prevent injury or damage to buildings, fences, or other property belonging to Surface Owner. Operator agrees to pay Surface Owner for all additional damages, if any, caused by its operations or activities, other than damages to the land in conjunction with use of the Drillsite Tract, and Access Road, including other damage done or caused to be done to all buildings, fences, and other improvements. In this regard, Operator shall pay the reasonable and actual damages caused by Operators operations based upon the reasonable value of the damaged property at the time the damage occurs. 5 Surface Owner and Operator agree that for and in the consideration herein stated, Surface Owner does hereby release Cimarex Energy Co.,its successors, partners, agents and assigns from any and all claims, demands and causes of actions which the undersigned may have or may be entitled to assert for damages to crops, timber and all other things growing or situated upon the Surface Owner Lands, caused by or resulting from operations in connection with said Drillsite Tract and Access Road. 6 OPERATOR AGREES TO AND SHALL INDEMNIFY AND HOLD HARMLESS SURFACE OWNER AND SURFACE OWNER'S TENANTS,HEIRS,SUCCESSORS AND ASSIGNS AND THEIR OFFICERS,AGENTS,SERVANTS,AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS, LOSSES, DAMAGES, CAUSES OF ACTION, SUITS, AND LIABILITY OF EVERY KIND, INCLUDING ALL EXPENSES OF LITIGATION, COURT COSTS,AND ATTORNEY'S FEES,FOR INJURY TO AND/OR DEATH OF ANY PERSON AND/OR FOR DAMAGE TO ANY PROPERTY (INCLUDING WITHOUT LIMITATION ENVIRONMENTAL DAMAGE OR POLLUTION) DIRECTLY OR INDIRECTLY ARISING OUT OF OR IN CONNECTION WITH OPERATOR'S USE OR OCCUPANCY OF THE PREMISES OR OPERATIONS HEREUNDER, IF SUCH INJURIES, DEATH, OR DAMAGE ARE CAUSED IN WHOLE OR IN PART BY THE NEGLIGENCE, OTHER FAULT, AND/OR STRICT LIABILITY OF OPERATOR, OPERATOR'S HEIRS, SUCCESSORS, ASSIGNS, CONTRACTORS, OR SUB-CONTRACTORS OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES. THIS INDEMNITY AGREEMENT SHALL PROTECT SURFACE OWNER AND SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS AND ASSIGNS AND THEIR OFFICERS. PROVIDED, HOWEVER, THAT THE ABOVE INDEMNITY AGREEMENT SHALT. NOT PROTECT SURFACE OWNER, SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS OR ASSIGNS, OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES AGAINST THE CONSEQUENCES OF THEIR OWN GROSS NEGLIGENCE OR INTENTIONAL INJURY. OPERATOR HAS INSPECTED THE PREMISES AND COVENANTS NOT TO SUE SURFACE OWNER, SURFACE OWNER'S TENANTS, HEIRS, SUCCESSORS OR ASSIGNS, OR THEIR OFFICERS, AGENTS, SERVANTS, OR EMPLOYEES BECAUSE OF ANY PRESENTLY EXISTING DEFECTIVE CONDITION IN,UPON,OR AROUND THE SURFACE OWNER LANDS. (Miscellaneous Provisions) This Agreement shall be interpreted under the laws of the State of Texas- 7 Operator may assign its rights and interests acquired by virtue of this Agreement. This agreement shall extend to and be binding upon the parties hereto,their successor and assigns. 8 That the undersigned warrant and represent that he/she is entitled either as Surface Owner(s), or as otherwise stated, to execute this Agreement and release and receive said consideration and hereby covenant to account to any other person legally due any portion of the consideration herein paid. fF 2010. IN WITNESS WHEREOF, this Agreement is executed as of the 21 day of TOO 11 SURFACE OWNER: City of Beaumont Kyle Hayes, City Manager Page 2 of 3 STATE OF TEXAS COUNTY OF JEFFERSON This instrument was acknowledged before me on the day of Jul, ! 9010, by Kyle Hayes,City Manager,for the City of Beaumont. r Notary Public,State of Texas My Commission Expires:_ -1_ 8 / KRYN t ice'/ • ``` Page 3 of 3 Shine & Johnston, inc- Pr0Paled WdI Lomft,JelktsatAirplade No.4 P.Q.Box 391 NAD 27 t SUS17 c,Tex"77656 Y Caa6 198,321.68 Ph:(409)385-5266 x COdrdpute 7 934 M976 Fax V(409)385-0936 L..l 56.66977•N File name:090115 FAA BMT 1.DWG CBS Lor4 W9 94'13'0020448'W Plot date;1115/10 at 11:00 NAD 2T SaJth �Z00e Jefferson County,Texas y Coardnate 842.637.55 x c0otdhate cent©I Zone Exhibit "A" W83 3512,697.72 Lamwe 30'0357.47 ii ' Londdde 94.1 ,3%10•W ALMONZER HUSTON SURVEY A-33 S Bar Scale 1" = 1000, Ex.A4abi PIL C/L Tract Line Broad Runway 13 End •t''� ___---=a'. Ex.20•wide(/ ' *ha Roads N .fi` 1 I91 ••...`\ ``mot'.• , _Runway o '•.16End Proposed Well Location Runway 34 End `'• 1 t� "Cimarex Energy,Co., Jefferson Airplane No.4" sti p5° �`tt Aaato?d t,o � 1 0. Trail f�e Tca+� g ASHAEL SAVERY SURVEY Surface Location 'Cimarex Energy,Co.. A-46 Jefferson Airplane No.1' NAD 27 Coordinates(Central Zone): Y=198,025.68 X=3.934,059.76 Latitude=30.03'53.68461"N Longitude=94°13'00.39209"W nwo 27 Coordinates(Sauln Central Z_N y-8:2.337.60 X e 3.512.69150 Sketch Showing NOTE: Proposed Well Site At The ALL THE HORIZONTAL CONTROL IS REFERRED TO THE TEXAS Beaumont Municipal Airport STATE PLANE COORDINATE SYSTEM,LAMBERT PROJECTION, CENTRAL ZONE PER CLIENT REQUEST). For The NAO 27 DIST NC S DATUM,ALL BEARINGS ARE GRID. co.,n TT13Ye$Energy,CO TRACT INFORMATION SHOWN HEREON Jefferson Airplane No.411 In The WAS DONE$O BY DEED RECORD INFORMATION N ASHAEL SAVERY SURVEY D LIMITED SURVEY DATA DOES NOT REFLECT N ACTUAL SURVEY. AUStraCt 46 THIS 15 COPYRIGHTED MATERIAL AND THE PROPERTY OF x71-- kc-1. .7 SHINE 8 JOHNSTON,INC.ALL RIGHTS RESERVED.02010. Prepared in the offices of Shine & Johnston, Inc. i I I I I i i