Lease UTU93023
Parcel UT0318 - 036

San Juan County, UT
BLM Utah Federal Lease Sale, March 20, 2018

SOLD

Property Schedule

Due Diligence Began 12/4/2017
Bidding Started 3/20/2018
Bidding Ended 3/20/2018 11:58 AM
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Lease UTU93023
Parcel UT0318 - 036
1,550.59
Auction has ended
3/20/2018 9:58 AM MDT / 10:58 AM CDT
3/20/2018 10:58 AM MDT / 11:58 AM CDT
-
$60/acre
$2/acre
$1
$96,942.40
(Bonus + Agency Fees + Advanced Rental + 1.5% Buyer Premium)
Parcel Details
Parcel
Lease UTU93023/Parcel UT0318 - 036
County, State
San Juan, UT
Legal Description
UPDATED 3/13/2018
T. 40 S., R. 23 E., SLM
Sec. 15: E2, E2NW;
Sec. 22: NE;
Sec. 27: W2NW, SENW, S2;
Sec. 28: SWNE, SWNW;
Sec. 34: Lots 5-9, NENE;
Sec. 35: Lots 8-11, N2NE, SWNE, N2NW, SENW and the unsurveyed accreted lands in front of Lots 8, 10 and 11, more particularly described in the Metes and Bounds section below.
Area/Project
Monticello Field Office
Acres
1,550.59
Rental (1st Year)
$2,326.50
Royalty
12.50%
Administrative Fee
$160.00
Additional Information

METES AND BOUNDS

T. 21 S., R. 16 E., SLM Sec. 27: Lots 5, 6, 8, S2SE, and the unsurveyed accreted lands in front of Lots 5, 6, and 8, more particular described as follows:

COMMENCING at the witness comer to the meander comer of sections 34 and 35 on the right bank of the San Juan River, marked with an iron post, 2 1/2 inches diameter, marked as described in the official record of the 1980 resurvey; THENCE, South 0°05' East, on line between sections 34 and 35, a distance of .37 chains to the point for the meander comer of sections 34 and 35, on the right bank of the San Juan River; THENCE, South 60°50' East, on the 1980 meander line, a distance of 15.24 chains, to a point on the right bank of the San Juan River and the POINT OF BEGINNING; THENCE, along the 1980 meander line of the right bank of the San Juan River the following six (6) courses:
1. South 60°50' East, a distance of 7.64 chains;
2. South 65°20' East, a distance of 17.82 chains;
3. South 58°51' East, a distance of 4.58 chains;
4. North 64°20' East, a distance of 9.94 chains;
5. North 62°04' East, a distance of 6.02 chains;
6. North 57°19' East, a distance of 2.84 chains to a point on the 1980 meander line;
THENCE, along the right bank of the San Juan River the following seven (7) courses:
1. South 25°26' West, a distance of 1.91 chains;
2. South 57°58' West, a distance of 6.61 chains;
3. South 71 °05 ' West, a distance of 10.85 chains;
4. South 84°03' West, a distance of 6.38 chains;
5. North 76°24' West, a distance of 10.71 chains;
6. North 57°53' West, a distance of 6. 73 chains;
7. North 27°41' West, a di stance of 9.23 chains to the POINT OF BEGINNING.

The area described aggregates 1550.59 acres.

The meanders described within the land description are for the convenience of computing mathematical closure and computing acreage for the described parcel. Actual ownership is to the ordinary high water mark, and the acreage delineated may or may not include the area between the meanders and ownership boundary.

LEASE TERMS AND CONDITIONS

All bidding and lease sale on BLM parcels listed on this website shall be subject to the statutes, administrative rules and regulations of the BLM per the authority of the Mineral Leasing Act of 1920 as amended and the Mineral Leasing Act for Acquired Lands of 1947, as amended.

A lease issued as a result of this sale will have a primary term of 10 years. It will continue beyond its primary term as long as oil or gas in paying quantities is produced on or for the benefit of the lease. Advance rental at $1.50 per acre for the first 5 years ($2 per acre after that) is due on or before the anniversary date each year until production begins. Once a lease is producing, you must pay a royalty of 12.5 percent of the value or the amount of production removed or sold from the lease. You will find other lease terms on our standard lease form (Form 3100-11, October 2008).

LEASE STIPULATIONS

Stipulations are part of the lease and supersede any inconsistent provisions of the lease form. Some parcels are subject to surface use stipulations. They are requirements or restrictions on how you conduct operations. They become part of the lease and supersede any inconsistent provisions in the lease form. The stipulations can be found by clicking here.

THE FOLLOWING STIPULATIONS AND NOTICE WILL BE ATTACHED TO ALL ISSUED LEASES:
Cultural Resource Protection Stipulation

This lease may be found to contain historic properties and/or resources protected under the National Historic Preservation Act (NHPA), American Indian Religious Freedom Act, Native American Graves Protection and Repatriation Act, E.O. 13007, or other statutes and executive orders. The BLM will not approve any ground disturbing activities that may affect any such properties or resources until it completes its obligations under applicable requirements of the NHPA and other authorities. The BLM may require modification to exploration or development proposals to protect such properties, or disapprove any activity that is likely to result in adverse effects that cannot be successfully avoided, minimized or mitigated.

Threatened and Endangered Species Act Stipulation

The lease area may now or hereafter contain plants, animals or their habitats determined to be threatened, endangered, or other special status species. BLM may recommend modifications to exploration and development proposals to further its conservation and management objective to avoid BLM-approved activity that would contribute to a need to list such species or their habitat. BLM may require modifications to or disapprove proposed activity that is likely to result in jeopardy to the continued existence of a proposed or listed threatened or endangered species or result in the destruction or adverse modification of a designated or proposed critical habitat. BLM will not approve any ground-disturbing activity until it completes its obligations under applicable requirements of the Endangered Species Act as amended, 16 U.S.C. 1531 et seq. including completion of any required procedure for conference or consultation.

Notice to Lease

Provisions of the Mineral Leasing Act (MLA) of 1920, as amended by the Federal Coal Leasing Amendments Act of 1976, affect an entity’s qualifications to obtain an oil and gas lease. Section 2(a)(2)(A) of the MLA, 30 U.S.C. 201(a)(2)(A), requires that any entity that holds and has held a Federal Coal Lease for 10 years beginning on or after August 4, 1976, and which is not producing coal in commercial quantities from each such lease, cannot qualify for the issuance of any other lease granted under the MLA. Compliance by coal lessees with Section 2(a)(2)(A) is explained in 43 CFR 3472.

In accordance with the terms of this oil and gas lease with respect to compliance by the initial lessee with qualifications concerning Federal coal lease holdings, all assignees and transferees are hereby notified that this oil and gas lease is subject to cancellation if: (1) the initial lessee as assignor or as transferor has falsely certified compliance with Section 2(a)(2)(A) because of a denial or disapproval by a State Office of a pending coal action, i.e., arms-length assignment, relinquishment, or logical mining unit, the initial lessee as assignor or as transferor is no longer in compliance with Section 2(a)(2)(A). The assignee or transferee does not qualify as a bona fide purchaser and, thus, has no rights to bona fide purchaser protection in the event of cancellation of this lease due to noncompliance with Section 2(a)(2)(A).

Information regarding assignor or transferor compliance with Section 2(a)(2)(A) is contained in the lease case file as well as in other Bureau of Land Management records available through the State Office issuing this lease.

THIS PARCEL IS SUBJECT TO THE FOLLOWING STIPULATIONS:
  • UT-S-01: Air Quality
  • UT-S-16: NSO - San Juan River ACEC
  • UT-S-45: NSO - San Juan River SRMA (Except Segment #5WSR)
  • UT-S-98: NSO - Fragile Soils/Slopes Greater Than 40 Percent
  • UT-S-106: CSU - Fragile Soils/Slopes 21-40 Percent
  • UT-S-128: NSO - Floodplains, Riparian Areas, Springs, and Public Water Reserves
  • UT-S-170: CSU - Cultural
  • UT-S-275: CSU/TL - Bald Eagles
THIS PARCEL IS SUBJECT TO THE FOLLOWING NOTICES:
  • UT-LN-25: White-Tailed and Gunnison Prairie Dog
  • UT-LN-37: Bald Eagle Habitat
  • UT-LN-44: Raptors
  • UT-LN-45: Migratory Bird
  • UT-LN-49: Utah Sensitive Species
  • UT-LN-67: Historical and Cultural Resource Values
  • UT-LN-68: Notification & Consultation Regarding Cultural Resources
  • UT-LN-72: High Potential Paleontological Resources
  • UT-LN-96: Air Quality Mitigation Measures
  • UT-LN-99: Regional Ozone Formation Controls
  • UT-LN-102: Air Quality Analysis
  • UT-LN-117: Shallow Ground Water Protection Zone
  • UT-LN-125: Light and Sound (Sensitive Resources)
  • UT-LN-128: Floodplain Management
  • T&E-23: Colorado River Endangered Fish
  • T&E-25: Mexican Spotted Owl
  • T&E-26: Southwestern Willow Flycatcher Habitat (Riparian Areas)
  • T&E-27: Yellow-Billed Cuckoo
  • T&E-28: California Condor (Potential Habitat)
  • T&E-29: Jones Cycladenia (Potential, Suitable and Occupied Habitat)

OFFSET ACTIVITY

Completions from the last 365 days in San Juan County, Utah

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Drilling Permits from the last 365 days in San Juan County, Utah

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SUCCESSFUL BIDDER NOTIFICATION

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

On the day of the sale, you must pay at least the minimum bonus bid of $2 per acre or fraction of an acre; the first year's advance rental of $1.50 per acre or fraction of an acre; and a non-refundable administrative fee of $160, to the BLM State Office by the close of business.

BUYER PREMIUM

A 1.5% Buyer Premium, calculated as 1.5% of the total bonus, will be added to the cost of this lease.


CONTACT INFORMATION


BLM - Utah

Bureau of Land Management, Utah
Email: blm_ut_lease_sales@blm.gov

EnergyNet

John S. Munroe
VP of Engineering / Government Lease Sales
(832) 403-3122
Email: John.Munroe@energynet.com

Gus Rivero
Manager of Government Lease Sales
(806) 463-3616
Email: Gus.Rivero@energynet.com

Brandon Savage
Assistant Manager of Government Lease Sales
(806) 463-3621
Email: Brandon.Savage@energynet.com


Bid History (Top 10)

Bidder

Placed

Amount

Bidder #8

3/20/2018 11:57:43 AM

$60

Bidder #7

3/20/2018 11:29:26 AM

$51

Bidder #8

3/20/2018 11:57:26 AM

$45

Bidder #7

3/20/2018 11:29:26 AM

$16

Bidder #8

3/20/2018 11:57:03 AM

$15

Bidder #7

3/20/2018 11:29:26 AM

$2

1