nO()X 409 ri.:a 367

VIRGINIA<

BEFORE THE VIRGI IIA GAS AND OIL BOARD

SUPPLENENTAL ORD ER REGARDING

ELECTIONS, UgITc Y-9(herein "Subject Drilling Unit" ) DOCKET NUMBER VGOB-90-10/10-00) 1

REPORT OP BOARD

PINDINGS AND ORDER

1. This Supplemental Order is entered by the Board sua sponte i theform authorised by the Board at its hearing held at 9<00 a.m. on Octobe 20,1992, Board of Supervisors Room, Courthouse, Grundy, Vi.rginia, and pur <antto authority Sr< nted to the Board's Chairman at the hearing of the Vir niaGas and Oil Board on June 16, 1992, at 9>00 a.m. at the Rhodode ronRestaurant at the Breaks Interstate Park, Breaks, Virginia; and hisSupplemental 0sder is being recorded for the purpose of (1) complying

isith

the requiremlsntc of 8 7.c of the Virginia Gas and Oil Board Regulationg VR480-05-22. 2 by supplementing the Order previously issued by the Boar) forthe subject Docl:et on November 8, 1990 and recorded at Deed Book 367, age326 in the Off,.ce of the Clerk of Buchanan County,'irginia on Novembe) 19,1990 (herein "8 >ard Order" ) to complete the record regarding elections. TheBoard Order ipoo .ed all interests in Subject Drilling Unit including tho s ofthe Respondents more particularly set forth and identified by the Deslg) stedOperator inI the affidavits attached hereto and made a part hereof.'heBoard finds it ws jurisdiction over the subject matter pursuant t() theprovisions of the Virginia Gas and Oil Act, 8 45.1-361.1EL HER. ~ Vlrf lniaCode, 1950 as asended.

2. Findin rsi The Board finds that:

(a) The Board Order directed Oxy USA, Inc., (hereir( the"Designated Operator" ), to mail copies of the Board Order to all Respond entswhose interests, if any, were pooled by said Board Order;

(b) The Designated Operator filed its affidavit of mailingFebruary 15, 1591 disclosing that it had mailed a true and correct cothe Board's Order to all Respondents whose interests, if any, were poosaid Board brdk r;

.atedy of

od by

(c) The Board Order required each Respondent whose interesany, were poo .ed by the terms of said Board Order to make his oelection with) n thirty (30) days after the date of mailing or recordiapplicable, of said Order; the Designated Operator has filed its sf f1dated Nay 5, .993 in accordance with 7.c of the Virginia Gas and OilRegulations an< VR 480-05-22.2 (herein 'Affidavit of Election" ), wherehas, for eSch Respondent whose interests, if any, were pooled by saidOrder, statlsdi (i) whether each Respondent has made or failed totimely ellct Lon; (ii) the nature of the election made, if any;

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()OOL( 409 PAtt 368

whether, by ress sn of a failure to elect or to timely elect one or foreRespondents «re learned, under the terms of the Board's Order, to have le sedall their rights, title, interests, estates and claims in Subject Dril ingUnit to the Assign«ted Operator;

(d) The Board Order further required the Designated Operat.'or,after expiratic u of the election period, to file with the Board a stat/ mntof the interqsts subject to escrow under the terms and provisions of theBoard Order, iu light of the elections made or deemed to have been mde(herein "Stat«su nt of Interests'; that the Designated Operator (filed aidStatement of Ir ter«st dated December 23, 1992) or (furnished said Stat mntof Interests as part of its Affidavit of Election.) A copy of whic isattached her9to as Exhibit (A);

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(e) (,urrent Board standards requiring the escrow of funds anBoard's agreemsnt with its Escrow Agent, Taxewell National Bank, P. 0909, Taaewel)., vicginia 24651, or any successor named by the Board, reqtthe entry of a Supplemental Order establishing of record the elections)or deemed to hai e been made and specifying the sums or percentage thsubject to eecriw.

3. ~r : By this Order, the Board orders the Designated Operattender, conisistent with and in accordance with the findings set forparagraph 2. ab >ve and the annexed Affidavits, any funds subject to eand instructs the Escrow Agent, Tasewell National Bank, P. O. BoxTasewell, Virginia 24651, or any successor named by the Board to catainterest-bear> ng escrow account(s), IRS Tax Identification Numbe1629506, in ace srdance with the inf'ormation set forth in said Affidavireceive such fu xds and account to the Board therefore.

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4. Mailin s of Order and Pilina of'ffidaviti The Designated 0under the Capt ioned order or its Attorney shall file an affidavit wSecretary oi tbs Board within ten (10) days after the date of recthis Order stt ting that a true and correct copy of this Order wawithin seven (7) days from the date of receipt of this Order to eachwhose interest or claim is subject to escrow and whose address is kn

5. Concltsion: Therefore, the findings and all terms and provifset forth above be and hereby are granted and IT IS SO ORDERED.

6. Effective Date: This Order shall be effective on the date ofexecution.

DONE AND j~au this ~t day of June 1993, by a majority oilVirgfmia Nae ms( Oil Board.

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the

STATE OP IIII&)OONT OP NESE )

Ngmmy E. Wse~er

800K 409 oct 369

'" L"ptp

day of 1 9$ ,'IR llew b ' yy blf tetf th C 1t f9 f ~ a ~ sd Reasy %Rapier ~ bedog daly saora did depose aad sap hat

j'ehR~so ef the Virgiaia Qas aod Oil Board, that he executed tbe

imam

4/lk 4%LOrissd to do so.yc'

Sassa O. TlsrcettRotary Public

%%fgkssioa R pires 7/$ 1/94

',,:lggf,!i, ''ikea ~ a~~ ~e r w~issgsCheaas RLlaac/

Pr ipal Raecatigf to ths Seam I

Virgiaia Oas sad il Poard

STdXR OP ~1R[dsCOSNPF OF~os 9~

LckaoVle<Red oa this RW day of (7j~~ ~ ].)9$,psrsoaally bef ore ae a aotary paiblic ia aad for th+Comoaoealtli of

I

irRiaia, Appeaead Syroa Vhmsas Psdasr, befog daly seers did depose aal say.u'hat he is Pris 9$pal Rxecotivs to the staff of the Virgiaia Cas aatl Oilt he ssecated the ~ asd m athorised tao

Diaae J.Rotary Fable

i/fl. Vlf" „gli"Qjlfk l4 leh: 9ISOI97O ~. II@'0 ' %g,

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VIRGINIA: Exhibit A

BEPORE THE VIRGINIA GAS AND OIL BOARD

Apptieafioa 9f B ubsasa mductiim Camesav for Parsed Poolmg of~ in Unit Number J~VGOB Doclqst Ni i. 1010-31 in the Saulh Gnmdv Dbttcha of Bucbsaaa Cd! xcty,

Virginia

AFFIDAVIT OP OXY USA Iuc. (herein "~Operator') REGARDING EI2ICTIONS +GgfAND SUPPIjEbg INTAL ORDER

Ssnmsl E. dont a (herein Alfisnt), bemg first duly sworn oa oath, depone sad says:

1. lief yoi r AIRmt is employed by OXY USA Iac., Ihs~Operator, sl its of5ce sated

st M00 inmt Street. gaits 200. P.O..Drawer O. i'cblsadc. Vuuinia 24641, that your mt isthe Desi tssisd Operstor's Rssutstocv!Atgcim Coonlinstor, snd is uthorisd Rtr give tint davit

in ils be udf;

2. Tilt tbc Order cntemd oa November S. 1990,by Ihe Virginia Gsc esd Oil Based Q cdiagtbe capt oned (CBM af ccmvsnnomd) Unit ccctuhcd Ihe Apphcsut to nmil ~ Inie imd

of Caid ~ )rder to ecch person pooled by said Order,

Thpt wi hin seven (7) days of tbe receipt ofsa executed copy of Ihe Order cegccced lo st Pm i gmph2. bbav i, your Affisnt caused s true ssd conect copy of caid Order to bs mailed via Bte! )agedSX(tcu P mnd Service to each Bscpondent asamd in tbe cptianed Applicaliaa, whose atbhc i s wsshupwa, snd to sll persons, if say, wba wme added as Respondents at Ibs bnmag hchl, ia Ihe

d msner, gmt annexed bemto sad hmocpocated herein ace ocpies of tbe Q us of'al, receipts for certified mail, and cenun cecmpat ptsiaing to said msiTiag;

Thttt tb I Order of tbe Virginia Gss aad Oil Bosnl in Ihe cspthmsd matter mcpdmdpooled hmeby to tender gmir writma elecdoas to gte Unit operator wilhia Ibhty (30)

sa d Order wss recorded in ths couaty shove named; that said Order was recordedvsc hsr 19. 1990

!be Desigasted Operator, OXY USA Inc., bss ~ m losll mail received aud sll wtiuea ~mcmved by nmsas ader fitan!by I! cml to

sclmtat n wbsglef psnms whose mtccccm blive bess poolccl have unde ~ wnnsn tdectb I I In ~

y Muon, as tequimd by Ihe csptioasd Order, that said pcacsdmm wme fofiawed to i hmlifygtj: ele ciaac, if say, made with mgsnl to Subject Unit; that tbe~persons dsfiw i ed, bymttii e ogterwhte, wrinca elections to the Unit Opemtor, within Ihe gthty day ehclhm ) uiod:

None.

Tint tl e intsnuts snd/or dsims of tbe following pmsaas (who made timely lectiaas„or I dm aieddems I under tbs terms of tbe Board's Order to have leased, or wbo,~Ccilha tooling~, I bcdd in gm cspthmsd mauefi have leased af alhmwise ccncced isla mi spa~ I iilh Ibe

'gc stml Opemtor) sce subject to escrow under tbs Baaed's Onhr pooling Ihe !d Unit,Regulations sad tbe Cods of Virginia;

Mold YAGt 3Vi

Mary IAutsr 1/8 X 40.37/$0 ~ 6.30781%

Rt. 1, Bm 04Vsasant, Vh

Bva103 Ai e.BhwheM, 3fA 2 615

1/8 X 40.37/80 ~ 6.30781%

AudreyRL 1, Rm 104

1/8 X 40.37/80 ~ 6.30781%

Cfayuut Etjen p skinsRt. 1, Baal 104Vaaeant, gA 2 656

Bdd BoydRt. 1, Roy 109Vanseat, VA 2 l656

1/8 X 40.37/80 ~ 6.30781%

1/8 X 4L37/80 ~ 6.30781

7hst s her tbe pooliag bearing bald in the cepliaad nuuer, dts 8@owing parsonsbtve 1 need or catered huo a voluatsry ~with Ibe~Opssutor with f geld Iokeir i uswats ead/or dsitue which sts not Ndgect to eewow sad ebouM, Ssnahua, hs -

—,=-' —c

sjt Rei poadetus: Noae

8. 75uu i ursuetu to tbs poviehueof VR 48005-22.27.C snd VR 48045-22.2.$,saasssd g sso sndstaled bcNln ls s proposed suppfeaunlsl otdsl'o bs ealuad lo~Q tsootdiug elections; that said Nmeaed suppletuctutd order seO fotlh snd idhsufffca Stu ~i and/or ishmael which tequha esctow of fhnds punuuua to Ihe Ianna of jf 45~'I-$ 1.21.D,

.1-l61.22.A.3aad 4.;

Dated st Rich soda, Virginia, dds~day of yso~ . 1993.

Taken, sbbso ibad snd swum to bsfhtu ae by Sssuud B.Qoula, Ihs aahaarv Afgdruof 03&I US < lac., a —— '-- mbebslf of%Is orporution, ddt~ day of nsdgnul 1993.

+ '.~ My co 'm as ': issua/8 31. 1997

VIRGINIA. I t tbe Clerk'e Ofgce of Chcuit Court of Buchanan County. The fo 'nstruutentdyps M ~a m thQ t M b

Deed Book Nouui~Tand Page No.A l..TEBTE:......t. ~ Clerk