HomeMy WebLinkAboutContract 57374 CSC No.57374
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March 31, 2022
Brett Austin
Vice President—Land
TotalEnergies E&P USA Barnett 1, LLC
301 Commerce Street, Suite 3700
Fort Worth,Texas 76102
RE: ESCROW AGREEMENT FOR MINERAL PROCEEDS RELATED TO 2844 CANTON DRIVE, FORT WORTH, TEXAS
76112
Dear Mr.Austin:
The City of Fort Worth (the "City") has been asked whether it will enter into an oil and gas lease with
TotalEnergies E&P USA Barnett 1, LLC (hereinafter, "Total") related to the property known as 2844 Canton Drive,
Worth Texas, 76112, Tarrant Appraisal District Account Numbers 42064838 and 00739758 (hereinafter,
the "Property")from which Total intends to extract mineral products.
The City owns a fifty percent (50%) undivided interest in the Property pursuant to that Special Warranty Deed
filed in the deed records of Tarrant County,Texas as instrument number D220315892 and the whereabouts of the
concurrent Property owner are unknown.
Due to the current nature of Property's ownership,the City does not warrant title to the associated mineral estate
and does not wish to enter into a mineral lease with respect to the Property, but instead proposes the following
terms and conditions:
• Include the Property within the Ella drilling unit, but require no mineral lease between the City and Total;
• Hold a twenty-five percent (25%) royalty in escrow for the Property based upon its acreage within the drilling
unit and with no cost, risk or obligation to the City. The escrow funds would be subject to disposition in the
manner provided by law or a future lease agreement;
• Ensure the surface of the Property shall never be used for drilling, seismic testing, pipelines or any other
surface use without the express,written consent from the City;
• Provide the City with an initial report and, thereafter, an annual report of the actual property acreage
included within the drilling unit and the acreage and revenues attributed to the Property within ten (10)
business days of request; and
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
1 Page
FOR*T WORTH .
• Ensure compliance with all requirements of the Railroad Commission of Texas, the City's gas drilling
ordinances, and any other applicable regulations.
The City believes the conditions set forth above to be an acceptable alternative to entering into a mineral lease
related to the Property.
Please note your concurrence in the space provided below.
Sincerely,
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ana Burghdoff
Assistant City Manager APPROVED AS TO FORM AND LEGALITY:
Assistant City Attorney
ATTEST: oO� FO 0000
By: Wette S.Goodall(Apr 7,202211:3//DT) Oq
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Jannette S. Goodall, City Secretary tag °
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Concurrence: � °°°°°OO°°°° p
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TotalEnergies E&P USA Barnett 1, LLC
a Delaware Limited Liability Company
By: Brett Austin
Vice President—Land
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OFFICIAL RECORD
CITY SECRETARY
DB/ms FT. WORTH, TX
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