HomeMy WebLinkAboutContract 42969CITY SECRETARY
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MEMORANDUM OF OIL AND GAS LEASE
STATE OF TEXAS
§ KNOW ALL MEN BY THESE PRESENTS:
COUNTY OF TARRANT
_ ....
BE IT REMEMBERED that on thearA day of , 2012, a Paid Up Oil
and Gas Lease was made and entered into by and between the CITY' OF FORT WORTH, a
home rule municipal corporation of the State of Texas, 1000 Throckmorton Street, Fort
Worth, Texas 76102, hereinafter called "(LESSOR)"; and XTO Energy Inc., 810 Houston
Street, Fort Worth, Texas 76102, hereinafter called ("LESSEE"), where LESSOR hereby grants,
leases and lets exclusively to LESSEE for the purpose of exploring for, developing, producing
and marketing oil and gas, together with any liquid or gaseous substances produced in
association therewith, from the following described land situated in Tarrant County, Texas, to-
wit:
SEE EXHIBIT "A" ATTACHED HERETO AND MADE A PART HEREOF
Subject to the other provisions therein contained, said lease provides for a primary term
of two (2) years, from the date thereof, and as long thereafter as oil or gas or other substances
covered therein are produced in paying quantities from the leased premises or from lands pooled
therewith, or this lease is otherwise maintained in effect pursuant to the provisions therein.
An Executed copy of said Oil and Gas Lease is in the possession of LESSEE at its
address indicated above.
Executed this th
LESSOR:
CITY OF FORT WORTH
By: Fernando Costa
Title: Assistant City Manager
day of eh , 2012.
APPROVED AS TO FORM AND LEGALITY:
nA By: LMiu
Assistant Citttorney U
OFFICIAL RECORD
CITY SECRETARY
woRTH, TX
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ACKNOWLEDGEMENT
THE STATE OF TEXAS
COUNTY OF TARRANT
BEFORE ME, the undersigned, a Notary Public, on this day personally appeared Fernando Costa,
Assistant City Manager of the City of Fort Worth, a home -rule municipal corporation of the State of
Texas, known to me to be the person whose name is subscribed to the foregoing instrument and, that he
has executed the same for the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this.2D
My Commission/�Expires:
day o$hhLi 2012.
.421,01:046/ Notary Public in and for the *•
State of Texas , ,4 ,,"
LESSEE:
XTO ENERGY INC.
By: 4,411Cse
Edwin S. Ryan Jr.
Sr. Vice President — Land Administration
n% ,NINUWLEDGEMENT
THE STATE OF TEXAS
COUNTY OF TARRANT
•,_.
EVONIA DANIELS
MY COMMISSION EXPIRES
July 10, 2013
Print Name of Notary Public Here
•
1 •
BEFO ME, the un ersigned, a Notary Public, on this day personally appeared
Piitti i n i . n . . . on behalf of XTO Energy, Inc., known to me to be
the person whose name iL subscribed to the foregoing instrument and, that he has executed the same for
the purposes and consideration therein expressed.
GIVEN UNDER MY HAND AND -,SEAL OF OFFICE this
[SEAL
)1eIx.i&).L L/ll4tary Public in and for the
My Commission E pire
State of
Print Name of Notary Public Here
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
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, 2012.
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COU?'ISSION EXPIItau:
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Exhibit A
Being a description of three (3) City of Fort Worth tracts located in the J SPILLMAN SURVEY, ABSTRACT 1377,
J WATSON SURVEY ABSTRACT 1666, J.F. HEATH SURVEY 641 and the N. PROCTOR SURVEY,
ABSTRACT 1230 as herein below described:
Tract 1
A 30.848 acre tract of land conveyed to the City of Fort Worth by deed recorded in Volume 8334, Page 651 of the
Deed Records, Tarrant County, Texas (D.R.,T.Co.,Tx.) being more particularly described by metes and bounds as
follows:
BEGINNING at a '/2 inch iron pin found being a corner of the east line of this 30.848 acre tract, said corner also
being the southwest corner of Lot 2 Block 8 of Cityview Addition recorded in Cabinet A, Slide 3395 of the Plat
Records, Tarrant County, Texas (P.R.,T.Co.,Tx.), THENCE with the boundary of this 30.848 acre tract the
following courses:
North 34 degrees 32 minutes 01 seconds West a distance of 332.84 feet to a point for corner,
South 81 degrees 25 minutes 21 seconds West a distance of 193.09 feet to a point for corner,
South 30 degrees 18 minutes 42 seconds West a distance of 193.80 feet to a point for corner,
South 21 degrees 01 minutes 06 seconds West a distance of 289.77 feet to a point for corner;
South 30 degrees 20 minutes 37 seconds East a distance of 138.62 feet to a point for cornea,
South 40 degrees 24 minutes 05 seconds West a distance of 501.09 feet to a point for corner;
South 48 degrees 41 minutes 02 seconds West a distance of 271.58 feet to a point for corner;
South 27 degrees 14 minutes 07 seconds East a distance of 462.56 feet to a point for corner,
South 17 degrees 42 minutes 11 seconds East a distance of 318.65 feet the beginning of a curve
to the right, with a radius of 768.08 feet, whose long chord bears South 76 degrees 21 minutes 13 seconds West, a
distance of 228 18 feet;
With said curve to the right, an arc length of 229.03 feet, to the beginning of a nontangent curve to the left, with a
radius of 939.59 feet, whose long chord bears North 14 degrees 42 minutes 54 seconds West, a distance of 540.44
feet;
With said curve to the left, an arc length of 548.18 feet, to the beginning of a compound curve to the left, with a
radius of 780.62 feet, whose long chord bears North 35 degrees 37 minutes 38 seconds West, a distance of 77.46
feet;
With said curve to the left, an arc length of 77.49 feet, to the beginning of a compound curve to the left, with a
radius of 884.34 feet, whose long chord bears North 44 degrees 28 minutes 54 seconds West, a distance of 201.06
feet;
With said curve to the left, an arc length of 201.50 feet, to a point for corner;
North 00 degrees 09 minutes 55 seconds West a distance of 1512.86 feet to a point for corner;
North 89 degrees 24 minutes 27 seconds East a distance of 1101.74 feet to a point for comer,
South 33 degrees 05 minutes 21 seconds East a distance of 511.89 feet to a point for corner;
South 28 degrees 43 minutes 50 seconds West a distance of 208.59 feet to the point of BEGINNING, and containing
30.848 acres.
Tract 2
A 0.477 acre tract of land known as Lot 2, Block 13, Bellaire Park North, Phase 3 conveyed to the City of Fort
Worth by plat recorded in Volume 388-195, Page 50 (P.R.,T.Co. Tx ), being more particularly described as follows:
COMMENCING at a % inch iron pin found being the southwest corner of Lot 2, Block 8 of Ci ew Addition
recorded m Cabinet A, Slide 3395 of the Plat Records, Tarrant County, Texas (P.R ,T.Co.,Tx.):
THENCE South 54 degrees 24 minutes 30 seconds West a distance of 1568.86 feet to the point of BEGINNING;
THENCE with the boundary of this 0.477 acre tract the following courses:
With a curve to the left, with a radius of 809.85 feet, whose long chord bears North 56 degrees 51 minutes 28
seconds West a distance of 172.80 feet
With said curve to the left, an arc length of 173.13 feet, to a point for comer;
North 35 degrees 35 minutes 44 seconds East a distance of 247.12 feet to a point for corner;
South 00 degrees 09 minutes 55 seconds East a distance of 295.42 feet to the point of BEGINNING and containing
0.477 acres.
Tract 3
A 0.978 acre tract of land within the right-of-way Oakmont Boulevard and Oak Bend Trail
being more particularly described as follows:
COMMENCING at a '/2 inch iron pin found being the southwest corner of Lot 2, Block 8 of Ci
recorded m Cabinet A, Slide 3395 of the Plat Records, Tarrant County, Texas (P.R.,T.Co.,Tx.):
THENCE South 54 degrees 24 minutes 30 seconds West a distance of 1568.86 feet to the point of BEGINNING;
THENCE with the boundary of this 0.978 acre tract the following courses:
With a curve to the right, with a radius of 884.34 feet, whose long chord bears South 44 degrees 28 minutes 54
seconds East, a distance of 201.06 feet;
With said curve to the right, an arc length of 201.50 feet, to the beginning of a compound curve to the right, with a
radius of 780.62 feet, whose long chord bears South 35 degrees 37 minutes 38 seconds East, a distance of 77.46 feet;
ew Addition
With said curve to the right, an arc length of 77.49 feet, to the beginning of a compound curve to the right, with a
radius of 939.59 feet, whose long chord bears South 14 degrees 42 minutes 54 seconds East, a distance of 540.44
feet;
With said curve to the right, an arc length of 548.18 feet, to the beginning of a nontangent curve to the left, with a
radius of 768.08 feet, whose long chord bears North 76 degrees 21 minutes 13 seconds East, a distance of 228.18
feet;
With said curve to the left, an arc length of 229.03 feet, to a point for corner;
South 17 degrees 46 minutes 07 seconds East a distance of 4.01 feet to a point for comer,
South 21 degrees 20 minutes 30 seconds East a distance of 30.00 feet to the beginning of a curve turning to the nght,
with a radius of 802.08 feet, whose long chord bears South 77 degrees 46 minutes 48 seconds West, a distance of
276.22 feet;
With said curve to the right, an arc length of 277.60 feet, to the beginning of a nontangent curve to the left, with a
radius of 905.59 feet, whose long chord bears North 13 degrees 30 minutes 41 seconds West, a distance of 556.44
feet;
With said curve to the left, an arc length of 565.58 feet, to the beginning of a compound curve to the left, with a
radius of 746.62 feet, whose long chord bears North 35 degrees 38 minutes 55 seconds West, a distance of 73.84
feet;
With said curve to the left, an arc length of 73.87 feet, to the beginning of a compound curve to the left, with a
radius of 849.94 feet, whose long chord bears North 44 degrees 26 minutes 48 seconds West, a distance of 192.56
feet;
With said curve to the left, an arc length of 192.98 feet, to the beginning of a compound curve to the left with a
radius of 775.85 feet, whose long chord bears North 56 degrees 49 minutes 30 seconds West, a distance of 166.84
feet;
With said curve to the left, an arc length of 167.16 feet, to a point for corner;
North 27 degrees 14 minutes 42 seconds East a distance of 33.50 feet to a point for comer;
North 35 degrees 35 minutes 44 seconds East a distance of 0.50 feet to the beginning of a curve to the right, with a
radius of 809.85 feet, whose long chord bears South 56 degrees 51 minutes 28 seconds East, a distance of 172.80
feet;
With said curve to the right, an arc length of 173.13 feet, to the point of BEGINNING, and containing 0.978 acres.
(CITY VIEW PARK)
(TIMBERCREEK MW UNIT)
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City View Hark
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Approve acceptance of
lease agreement with
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FORT WORTH®
Copyright 2011 City of Fort Worth. Unauthorized reproduction is a violation of applicable
laws This product is for informational purposes and may not have been prepared for or be
suitable for legal, engineering, or surveying purposes. It does not represent an on -the -
ground survey and represents only the approximate relative location of property
boundaries. The City of Fort Worth assumes no responsibility for the accuracy of said data.
General Location
i
City View Park
M&C Review
CITY COUNCIL AGENDA
Page 1 of 2
Official site of the City of Fort Worth, Texas
FORT WORTII
DAT
CCU UNCOL ACTION: Approved on 2/14/2012
2/14/2012 REFERENCE NO.: L-15323
CO IL. L TYPE:
LOG NAM
NON -CONSENT PUBLIC
HEARING:
062050 CITY
VIEW PARK
NO
SUBJECT: Approve Acceptance of Lease Agreement with XTO Energy, Inc., in the Amount of
$161,515.00 for Natural Gas Drilling Under 32.303 Acres, More or Less, of City -Owned
Properties Known as City View Park Located at 7900 Oakmont Boulevard (COUNCIL
DISTRICT 3)
RECOMMENDATION:
It is recommended that the City Council approve the acceptance of a lease Agreement for natural gas
drilling under 32.303 acres, more or Tess, of City -owned properties known as City View Park to XTO
Energy, Inc., in the amount of $161,515.00 for a two-year primary term.
DISCUSSION:
In April 2009, the City was approached regarding leasing of City View Park for subsurface drilling and
extraction of natural gas. Upon review of the deed language conveying the property to the City, it was
determined that conditions included in the deed by the heirs could prevent subsurface development
of natural gas Subsequent to that time, on November 20, 2011, the heirs provided legal
documentation to verify that the deed language does not prevent subsurface development of natural
gas.
On February 7, 2012, (M&C L-15314) City Council authorized the use of City View Park for the
purpose of subsurface drilling and extraction of natural gas from an off site location.
XTO Energy, Inc., has requested to lease the City View Park property and has offered a bonus of
$5,000.00 per acre for a total bonus of $161,515.00, 25 percent royalty and the City's standard two-
year primary lease term.
The offer by XTO Energy, Inc., was evaluated by staff. In addition to the lease bonus rate and
royalties paid to the City, the drilling plan was also evaluated. XTO Energy, Inc., has leased the
majority of the surrounding area and has a drill site to access the minerals. The bonus offer of
$5,000.00 per net mineral acre is consistent with offers to the property owners in the surrounding
neighborhoods. Timely award and execution of this lease will allow for inclusion of this property in the
drilling unit currently being formed.
The City has established a Minority Women Business Enterprise (M/WBE) participation goal of three
percent on City -owned property of 40 acres or more without an investment goal On leases of City -
owned property of 700 acres or more, the City has established an option of either a three percent
M/WBE goal or the inclusion of an M/WBE investor. This lease is Tess than 40 acres therefore no
M/WBE participation goal is required.
Revenues received from this lease will be deposited according to the current Financial Management
Policy Statements (M&C G-17470 approved December 13, 2011) which direct 100 percent of the
bonus to the Parks and Community Services Capital Improvements Fund to be used for capital
improvements at this park. This park has not received funds from Federal and/or State grants
therefore the mineral revenue is unrestricted. Other revenue received from this lease will be allocated
as follows: i. Fifty percent of the revenue will be allocated to the Capital Projects Reserve Fund, and
ii. Fifty percent of the revenue will be allocated to the Fort Worth Permanent Fund.
The property is located in COUNCIL DISTRICT 3, Mapsco 88P.
http://apps.cfwnet.org/council_packet/mc review. asp ?ID=16460&councildate=2/14/2012 02/15/2012
M&C Review Page 2 of 2
FISCAL INFORMATI I N/CERTIFICATIO-. N:
The Financial Management Services Director certifies that the Planning and Development
Department is responsible for the collection and deposit of funds due the City under this Agreement.
TO Fund/Account/Centers
C282 446100 801929968100 $161.515.00
FROM Fund/Account/Centers
Submitted for Citv Manager's Office bv: Fernando Costa (6122)
Co)riginaginq Department Head: Randle Harwood (6101)
Additional Information Contact: Jean Petr (8367)
ATTACHMENTS
MC Citv View Park.pdf
http://apps.cfwnet.org/council packet/mc_review.asp?ID=16460&councildate=2/14/2012 02/15/2012