Tract 17; TRMS2920

Weld County, CO
Colorado State Land Board Oil, Gas, and Helium Lease Sale, May 18, 2023

SOLD

Property Schedule

Due Diligence Began 5/1/2023
Bidding Started 5/11/2023
Bidding Ended 5/18/2023 10:32 AM
Please log in as a buyer to view registration status.
You have not bid on this lot
Tract 17; TRMS2920
640.00
640.00
Auction has ended
5/11/2023 9:32 AM MDT / 10:32 AM CDT
5/18/2023 9:32 AM MDT / 10:32 AM CDT
-
$33/acre
$0/acre
$1
$23,274.40
(Bonus + Agency Fees + Advanced Rental + 2% Buyer Premium)
Tract Details
Tract No.
Tract 17; TRMS2920
County, State
Weld, CO
Legal Description
T7N, R62W
Sec. 36: ALL
Gross Acres
640.00
Net Acres
640.00
State Owns Surface
Partial
Royalty Rate
20.00%
Rental/Acre (Per Year)
$2.50
CO Application Fee
$100.00
Buyer Premium
2.00%
Lease Terms and Conditions

Purchase price includes the lease bonus and 1st year rental and buyer's premium. Buyer will be responsible for paying rental payments for years 2 through 5.

Data represented on these maps is for REFERENCE USE ONLY and is not suitable for legal, engineering, or surveying purposes. Neither Colorado nor EnergyNet.com shall be liable for any direct, indirect or consequential damages to any party arising out of or in connection with the use of data on these maps.

There is no assurance that there is any potential for production on any tract offered for leasing by the State Board of Land Commissioners.

Click here to view the lease form.

Lease Royalty Rate Information Colorado State Land Board oil and gas leases will be initially offered at a 20% royalty rate. If a lease does not sell at auction, it will be available at the next subsequent auction at a 18.75% royalty rate. If a tract is unsold at the 18.75% rate, it will be placed back into the State Land Board inventory and can be nominated for future auctions starting at the 20% royalty rate. For questions about this process please contact Catie Stitt at 303-866-3454 ext. 3326.

Lease Stipulations
  • 1. OG STIP 1- JOINT ESTATE WITH BIOLOGICAL ISSUES: Lease contains Colorado Parks & Wildlife (CPW) mapped High Priority Habitat (HPH) and/or occurrences of Federally-listed Endangered, Threatened, or Candidate wildlife or plant species as mapped by Colorado Natural Heritage Program (CNHP). Prior to surface access for operations and in connection with any Location Assessment for oil and gas operations, or the submittal of an Application for Permit to Drill (APD) with the Colorado Oil and Gas Conservation Commission (OGCC), Lessee shall consult with and obtain approval of the Lessor’s District Manager, or his designee, for operations, including without limitation, exploration activities, well siting and access, and facilities locations. In connection therewith, Lessee shall consult with CPW and CNHP representatives regarding appropriate design measures and best management practices (BMPs) to avoid and minimize adverse impacts to biological resources, species, and habitats. Lessor’s conservation mandate may require Lessee’s compliance with site specific measures to address CPW and CNHP concerns relating to the siting of facilities and the implementation of BMPs to avoid, minimize, and mitigate adverse impacts. Site specific requirements may include, but are not limited to: 1) restricted or prohibited surface occupancy, 2) noise limitations or mitigation measures, 3) seasonal operations restrictions, 4) biological resource mapping, 5) ground or surface water testing, 6) air quality testing and 7) adoption of a comprehensive soil management plan. Lessor does not waive any OGCC consultation requirements with the surface owner, and Lessee shall not seek a variance to any required consultation without the advance written approval of the Lessor. Without excluding other penalties or remedies available under this Lease or as provided by law, Lessor shall impose penalties, subject to the applicable Lease notice and cure rights, including Lease cancellation and fines of up to $10,000 per day, for any violation of this special stipulation or the resulting BMPs, in whole or in part, arising directly or indirectly from the use, occupation or control of the Leased Premises by Lessee, Lessee’s contractor or operator under this Lease. If Lessor determines any oil and gas operations pose a risk of immediate damage to public health, safety or welfare Lessor may order the immediate suspension of operations to investigate and remedy the issues.
  • 3. OG STIP 3- SEVERED ESTATE WITH KNOWN BIOLOGICAL ISSUES: Lease contains Colorado Parks and Wildlife (CPW) mapped High Priority Habitat (HPH) and/or occurrences of Federally-listed Endangered, Threatened, or Candidate wildlife or plant species as mapped by Colorado Natural Heritage Program (CNHP). Lessee must notify Lessor’s District Manager prior to surface access and proposed surface occupancy and in connection with any proposed oil and gas operations, including, without limitation, the submittal of a Location Assessment or an Application for Permit to Drill (APD). Lessee is encouraged to notify CPW and CNHP in connection with the required surface owner notice.
  • B.1 HISTORICAL, PREHISTORICAL AND ARCHAEOLOGICAL RESOURCES (FEB, MAY 2023) This Stipulation shall replace in its entirety Paragraph 40(j) of the Lease. Under no circumstances may any person injure, destroy, disturb, mar, appropriate, collect, remove, alter, or excavate any historical, prehistorical or archaeological site or resource (collectively, “cultural resources”) on state lands. Discovery or indication of cultural resources shall be immediately brought to the attention of the Lessor and the State Archaeologist. Lessee shall comply with the requirements of C.R.S. § 24-80-401 through 411, as the same may be amended from time to time. Prior to any surface disturbance or before submitting an Application for a Permit to Drill (“APD'') or a spacing application, Lessee shall arrange for a Class III archaeological survey of all sites subject to surface development. The surveyor shall provide the completed survey, including site management recommendations, to Lessor and the Office of Archaeology and Historical Preservation (“OAHP”). If the Class III survey or OAHP identifies any cultural resources on the Leased Lands, Lessor shall consult with OAHP and determine whether any specific site management activities will be required. Lessor, in its sole and absolute discretion, may impose additional requirements, conditions, restrictions, or stipulations under this Lease to protect or preserve cultural resources. Lessee acknowledges that Lessor is under no obligation to refund any bonus payment, rental or fee paid under this Lease.
  • B.2 WETLANDS AND RIPARIAN RESOURCES STIPULATION (MAY 2023)
    Lessee shall not disturb surface land within 100 feet of any wetland, riparian area, or the 100-year floodplain without the written consent of the Board/Lessor.
    • Wetland areas are defined as areas that display wetland characteristics as determined by vegetation, hydrology, and soils (including areas identified by the National Wetland Inventory and/or the Colorado Wetland Information Center Wetland Inventory Mapping Tool https://cnhp.colostate.edu/cwic/).
    • Riparian areas are defined as all perennial and intermittent streams and creeks, as well as any ephemeral drainages (including areas identified and mapped by the National Wetland Inventory and/or Colorado Wetland Information Center Wetland Inventory Mapping Tool https://cnhp.colostate.edu/cwic/).
    Prior to any surface disturbance, Lessee shall provide to the Lessor/Board project manager either:
    • A map (with topography and/or aerial photography) demonstrating that no wetlands, riparian areas, or 100-year floodplains exist within 100 feet of the area subject to disturbance; OR,
    • A request to disturb surface land within 100 feet of identified wetlands, riparian areas, or 100-year floodplains. Such request will include a map identifying the boundaries of any wetlands, riparian areas, or 100-year floodplain within 100 feet of the proposed disturbance; the total area subject to proposed disturbance; and the reason for the request.
  • C. BURROWING OWL ACTIVE AND POTENTIAL NEST SITES STIPULATION: This tract potentially contains a burrowing owl nest site. Lessee must conduct a pre-construction survey to identify burrowing owl nest sites. If a burrowing owl nest site is identified, Lessee shall consult with the State Land Board Staff regarding their results prior to drilling operations.
  • D. SWIFT FOX POTENTIAL DENNING HABITAT STIPULATION: Prior to drilling operations, Lessee must conduct a Swift Fox survey for active den sites. Lessee shall consult with the State Land Board regarding their results prior to drilling operations.
  • E. MOUNTAIN PLOVER POTENTIAL NEST SITES STIPULATION: If initial surface disturbance is planned between April 1 - August 15, Lessee must conduct a pre-construction survey for Mountain Plover. Lessee shall consult with the State Land Board regarding their results prior to drilling operations.
  • F.1. PRONGHORN ANTELOPE WINTER CONCENTRATION AREA STIPULATION: This lease falls within mapped Pronghorn Antelope Winter Concentration Area. There shall be No Surface Occupancy (NSO) between January 1 - April 30 to protect winter habitat. CPW recommends a surface facility density limit of one facility per square mile. Lessee shall consult with the State Land Board prior to APD or surface disturbance, whichever occurs first, to discuss best management practices and potential habitat mitigation requirements.
  • F.3. PRONGHORN ANTELOPE WINTER CONCENTRATION AREA STIPULATION: This lease falls within mapped Pronghorn Antelope Winter Concentration Area. CPW recommends No Surface Occupancy (NSO) between January 1 - April 30 to protect winter habitat and a surface facility density limit of one facility per square mile. Lessee shall consult with the State Land Board prior to APD to determine best management practices to address Pronghorn Antelope concerns.

Seller Acquisition Agreement(s)

The Colorado State Land Board forms associated with Oil and Gas leasing may be found at https://slb.colorado.gov/lease/oil-gas/.

Notice(s)

Any Colorado State Land Board lease obtained at the May 2023 Lease Auction will be issued electronically via DocuSign for signature. If you have any questions on this process, please contact Sherry Lee at 303-866-3454 x 3322 or sherry.lee@state.co.us.

Successful Bidder Notification and Buyer Premium

After all auctions have closed, the successful bidder will be notified via email with closing instructions, including total amount due.

Payment must be made within two business days.

A 2% Buyer Premium, calculated as 2% of the total bonus plus rental, will be added to the cost of this lease.

Colorado State Land Board Points of Contact

Minerals Director
Christel Koranda

Email
Christel.Koranda@state.co.us

Office
(303) 866-3454 ext 3321


Oil and Gas Specialist
Catie Stitt

Email
Catie.Stitt@state.co.us

Office
(303) 866-3454 ext 3326

EnergyNet Point of Contact

Government Resources

Email
government@energynet.com

Office
(877) 351-4488

Bid History (Top 10)

Bidder

Placed

Amount

Bidder #965

5/18/2023 10:32 AM

$33

Bidder #797

5/18/2023 9:21:22 AM

$32

Bidder #965

5/18/2023 10:31:50 AM

$30

Bidder #797

5/18/2023 9:21:22 AM

$29

Bidder #965

5/18/2023 10:31:41 AM

$28

Bidder #797

5/18/2023 9:21:22 AM

$27

Bidder #965

5/18/2023 10:31:34 AM

$26

Bidder #797

5/18/2023 9:21:22 AM

$25

Bidder #965

5/18/2023 10:30:56 AM

$24

Bidder #797

5/18/2023 9:21:22 AM

$23

View 9 earlier bids...

1