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HomeMy WebLinkAbout1.3 Supplemental Application Materialsö\oLssoN ASSOCIATES April29,2015 Glenn Hartmann Garfield County Community Development 108 8th Street, Suite 401 Glenwood Springs, CO 81601 RE: Completeness Review Watson Ranch B lnjection Well (File No. GAPA-8224) Dear Glenn This letter is provided to you in response to your completeness review comments dated March 3, 2015for the Watson Ranch B lnjection Well. 1. The Application needs to clarify how the mineral rights research was completed. The Application needs to indicate if research with the County Clerk and Recorder or Assessor was completed or if title work reviewed. Response: While not required by the Land Use Development Code, the mineral rights information was provided by Ursa's land department after a search of recordswith the Garfield County Clerk and Recorder's andAssessor's offices. 2. The list of adjacent property owners within 200ft. needs to be reviewed/checked for accuracy in particular the address for adjacent property owner Ellen Gibson. Response: This address was changed in the County Assessor's records after the initial list was researched. O/sson's standard operating procedure is to do a final search of the County Assessor's records when sending out public noticing to verify and correct any addresses fhaf may have changed afterthe application submittal. 3. A statement of authority is needed from Watson Ranches Ltd. for James Watson, General Partner. Response: A Statement of Authority from Watson Ranches LTD for James L Watson to represent them is included in this submittal partied County reception #861496 dated 4/16/2015). 4. The Application needs to provide documentation that Antero approves of the Application or provide evidence acceptable to the County Attorney's Office that the Antero assets including leases for the site have been purchased by Ursa Operating Company LLC. A linked title commitment if available would expedite the County's review of this issue. Response: Please see copy of Ursa's Assignment and Bill of Sale, dated January 1,2013, included in this submittal. 760 Horizon Drive, Suite 102 Grand Junction, CO 81506 TEL 970.263.7800 FAX 970.263.7456 www.olssonassociates.com Ursa Operating Company Completeness Review Watson Ranch B lnjection Well (File No. GAPA-8224) April29, 2015 5. The site plan needs to be updated to shown all details of the proposed use including the following: . Details on the pump house building, type of construction and any sound attenuation proposed. Response: The electric pump will be installed in a metal fabricated pump house. Additional sound attenuation is not required as the electric pump is inherently quiet. Delineation of any sound wall installations or other buffering/screening proposals. Response: The sound wall installation will be installed around the perimeter of the well pad and portions of the access road. Use of the sound wall is designed to buffer the adjacent residences from noise only during the drilling and completions activities on the well pad. The injection well will be drilled during this interval. After completion activities are finished and the well pad goes into the production phase, the sound wall will be removed. Any noise associated with the injection well is attributed to the electric pump and vehicles visiting the site. The pump will be installed in a fabricated metal pump house. See response above for construction details. Pipeline locations or general layout. v Response: Please see the Pipeline section of the original submittalforthe pipeline layout. n r Traffic circulation and facilities for off-loading water trucked to the site. Response: Please see revrsed Site Plan included with this submittal. Approximate tank sizes for the injection well tanks. Response: Please see revrsed Site Plan included with this submittal. Labeling of the injection well location. Response: Please see revised Site Plan included with this submittal. Location of relocated ditches per the grading and drainage plan. ,/ Response: See Construction Layout Drawing included in the Site Plan Secfion of the original submittalfor location of relocated ditches. 6. The Roadway Assessment needs to be reviewed for consistency with the Traffic Study especially in regard to truck hauling traffic estimates. Response; O/sson has reviewed both documents and determined that the Roadway Assessment narrative rs consrsfent with the Traffic Study as rT uses traffic volume esfmafes directly from the Traffic Study. 7. The Geologic Hazard Study needs to be updated to address potential for seismic hazards associated with the injection well activity. Response.' See Sersmic Activity Addendum dated March 12, 2015 prepared by Olsson Assocrafes that is included in this submittal. Page 2 Ursa Operating Company Completeness Review Watson Ranch B lnjection Well (File No. GAPA-8224) April29,2015 8. The Application needs to clarify if the site will be covered by COGCC Bonds for reclamation or if separate reclamation bonds with the County will be provided. Response: The sife rs covered by Btanket Surface Bond 2012-0126 hetd by the COGCC. A copy of the information is included with this submittal. 9. The various sections that deal with nuisance impacts from noise including the Sound Study and Standards Section (Section 7-1001) need to clarify whether a sound mitigation barrier will be constructed and whether it will remain in place during operation of the injection well. The Sound Study also needs to clarify details on the building proposed to house the injection well pump and whether it will be comparable to the fabricated metal enclosure indicated as in place at the site used for noise modeling (Valley Farms F lnjection Well). Response: The sound wall installation will be installed around the perimeter of the well pad and por-tions of the access road. Use of the sound wall is designed to buffer the adjacent resrdences from noise only during the drilling and completions activities on the well pad. The injection wellwill be drilled during this interual. After completion activities are finished and the well pad goes into the production phase, the sound wallwill be removed. The noise generating equipment will be an electric triplex pump identical to the one used in the Sound Study. The pump will be housed in a fabricated metal enclosure similar to the one at the Valley Farms F location. No additional sound While not a technical completeness item, further clarification regarding the COGCC Form 33 lnjection Well permitting would be most helpful as a supplement to the project desciiption section on safe operation and emergency controls. My understanding from previous reviews is that the COGCC will require a variety of water quality tests, evaluation of the formations proposed for injection, assessment of the well in terms of its adequacy for injection, and establishment of appropriate limits on injection pressure. Response: While not required by the Land Development Code, Ursa is providing additional information required by the COGCC permitting process for an underground injection well. The injection well, if approved by Garfield County, will be appropriately permitted through the COGCC Form 31 and Form 33 process. This process reviews the formation into which water is to be injected and all underground sources of drinking water which may be affected by the proposed operation. The COGCC requires a water analysis and a fracture pressure or fracture gradient analysis of the injection formation. lf remediation is required for drinking wells within a quatrter of a mile of the injection well, a remediation plan must be filed with the COGCC The construction of the well casing is highly regulated by the COGCC who requires a resistivity log and full description of the casing of the well. The minimum and maximum amounts of water to be injected daily with anticipated injection pressures in required to be reported to the COGCC at the time of permitting. Page 3 Ursa Operating Company Completeness Review Watson Ranch B lnjection Well (File No. GAPA-8224) April29,2O15 Prior to application approval, the proposed dr.sposal well must satisfactorily pass a mechanical integrity test. The proposed injection well must continue fo pass mechanical integrity testing throughout the life of the well. Thank for the opportunity to respond to your questions. Please contact us if you have any further questions. Sincerely, l1Å"-'6ra,*f, Tilda Evans Assistant Planner Cc: Ursa File Enclosures:Watson Ranch B Adj Owners 03-12-15 Watson Ranches LTD Statement of Authorization 4-16-2015 Ursa Assignment and Bill of Sale 2013-01-14 Watson B Site Plan 03-16-15 Seismic Activity Addendum FNL 03-2015 COGCC Bond2012-0126 Page 4 Ursa Operating Gompany LLG Watson Ranch B lnjection Well Adjacent Land Owners and Mineral Rights Owners December 26,2014 Revised March 12,2015 ADJACENT LAND OWNERS (from Garfield Countv Assessor's Records) Parcel Number: 240708100152 Parcel Number: 240717300176 Battlement Mesa Land lnvestments Ellen Gibson 73 G Sipprelle Drive 3405 E 128th Place Parachute, CO 81636 Thronton, CO 80241 Parcel Number: 2407 17300128 AlexN&BrendaSYater 7281 County Road 300 Parachute, CO 81635-9451 Parcef Number: 240717300129 Watson Ranches, Ltd PO Box 586 Meeker, CO 81641-0586 Parcef Number: 240717300158 Barbara Lou & Donald Max Allred 0421 County Road 303 Parachute, CO 81635 Parcel Number: 240717300159 Michelle L Foster 600 Ponderosa Circle Parachute, CO 81635-9534 Parcel Number: 240717300175 Scott & Lauralee C Patton 1697 W 2450 N Vernal, UT 84078 Parcef Number: 240717300177 William P & Stephanie Dominguez 304 County Road 303 Parachute, CO 81635 Parcef Number: 2407 17 400039 Sharon I Gardner 1236 County Road 302 Parachute, CO 81635 Parcel Number: 240720200048 MarkE&Daniel RGardner 250 County Road 303 Parachute, CO 81635-9210 Parcel Number: 240720200178 Steven C Leuallen 0318 County Road 303 Parachute, CO 81635 Parcef Number: 240720226005 Brian S Trani 45 Pine Tree Place Parachute, CO 81635 MINERAL RIGHTS OWNERS (from Garfield Gountv Glerk & Recorder's Records via Ursa Land Office) Watson Ranches, Ltd PO Box 586 Meeker, CO 81641-0586 ïilHr.,f T[,tül-!|I¡l{rtltf th\tl}r,lf Flillillþd/l[ï],;tttlRaceptlonü:86143604/16/2q15 lQ:32:04 RIt Je¡n A¡bðrlÈð1 or 1 Reè Fdâr$ll 00 ooc Fes:0.00 GâRFIELO COUNIY CO Statement of AuthorÌt¡r wauohnancdes l.tp James L wartson, "r ã g*or.l partner rn w#on BartúEs tf¡r, hæ tha authorrty b rqresentw¡tson Ranches t¡d ln anyand alltraricacrior¡sorbuñneù r¡ilatd declslons. Genen¡l Partnersl APPEIRSTOEEA COFYATTTIEOf RECOfiDIIIG .leeC.W¡bn ËvaDernWaþn -.1 Jamesl. Wåtsan 5 llll lll¡r I ¡tïltJl I l¡TJ lltl ltMllÍl Ll!: f# Ë l¡ilil t\rl ll{ "1 I ll t Receotlon$t 829916øift1tlt2ø13 @2:13¡45 Plf Jean Êlberiç9 i'åi-iıö'ñ"ã-råãid6st.øø-oıô Feê:ø:ıø GÊRFIELD couNrY c0 : ASSIGN'TT,IUVT AND BILL OF'SALE (UPSTREÄM ASSETS) STATE OF COLORADO COUNTY OF GARFIELD This Assignment and Bill of Sale (this'i4ssigzment') is from Antero Resources Piceance LLC, aDelaware iimited liabìlity comfany ("Antero Pieeanèe"), and Antero Resources Pipeline LLC, a Delaware limited liability company ("Antero Pipeline" and, together with Antero Piceance, "A,rsignor"), whose address is 1625 17th Street, Denver, Colorado 80202, to Ursa Piceance LLC, a Delaware limited liability company ('Ássígnee'), whose address is 602 Sawyer Street, Suite 710, Houston, Texas 77007, and is effective as of 7:00 a.m. Central Time on October 1,2012 (the*Effictíve Time"). Capitalized terms used herein but not otherwise defined shall have the meanings given such terms in Article 2 of this Assigrunent. ARTICLE 1 ASSIGNMENT OF ASSETS Section 1.1 Assiqnment. For good and valuabl'e consideration, the receipt and sufñciency of which are hereby acknowledged, Assignor hereby GRANTS' BARGAINS, ASSIGNS, CONVEYS AND TRANSFERS unto Assignee all of Assignor's right, title and interest in and to the assets described in Sections 1.1(a) thror¡gh Q) below (such assets, less and except the Excluded Assets (as hereinafter defined), collectively, the 'ol,ffefs"): (a) any oii and gas lease, mineral interest, royalty interest, oveniding royalty interest, payments out of production, revercionary rights, contractual rights to production or other interests in and to the lands identified in Exhibit A or in the instruments described in Exhibit A-1 (rhe "Lands"), including the oil and gas Leases describcd in Exhibit A-1, together with any and all other right, title and interest of Assignor in and to the leasdhold estates or other rights and interests created thereby subject to the terms, conditions, covenants and obligations set forth in such leases and/or Exhibit A-I (all such interests, the"Leases")', (b) all wells located on any of the Lands, Leases or on any other land with which any Lease has been unìtized (such interest of Assignor in such wells, including the wells set forth nExhibit A-2, the 'oWells"'¡; (c) all rights.and interests in, under or derived from all unitization and pooling agreements in effect with respect to any of the Leases or'Wells and the units created thereby (the "Units'?)) (d) all Applicable Upstream Conhacts and all rights thererrrder, including each transportation agr"rmènt and other Applicabte Upstream Conüacts identifi.ed in the Purchase Agreement as a Firm Transportation Agteement (the o'Firm Transportation Agreements")i $ $ $ \01 Illl lh l{h¡Ulil,ültrÆ Uff l*rt I ilF lil ¡iklf llhhll{'ú tl I I tReeeption*; 829918ø1t741?q1? Ø2r13¡45 Pf4 JÉan ntb6rico2 of 1@9 Rec Fee:9551.ØØ Doc Fêerø.ø@ GARFIELD COUNTY CO (e) all permits, licenses (including seismio or geophysical licenses), servitudos, easements and rights-of-way to the extent used pdmadly in connection with the ownership or operation of any of the Leases, 'Wells, Unìts or other Assets, including, but not lirnited to, those described on Exhibìt B attached hereto; (Ð all equipment, machinery, fixtures and other personal, moveable and mixed property, operational and nonoperational, known or unknown, located on any of the Leases, Wells, Units or other Assets or primarily used in connection therewith, including saltwater disposal wells, manifolds, well equipment, casing, rods, tanks, boilers, buildings, tubìng, pumps, motors, fixtures, machinery, comprèssion equipment, flow lines, processing and separation facilities, platfonns, structures, materials, SCADA system assets, temporary office buildings and the contents thereol and other items primarily used in the operation of the Assets (coilectively, the " Upstre am P ersonal Pr operty"); (g) all Imbalances relating to the Assets; (h) ali of the files, recordsr information and dat4 whether written or electronically stored, primarily relating to the Assets in Assignor's or its Affiliates' possession, including: (A) land and title records (including abstracts of title, title opinions and title curative documents); (B) Applicable Upstreaur Contract ßles; (C) correspondence; (D) operations, environmental (including environrnental studies) and production records, @) facility and well records ârld (F) geologic technical data including logs, maps and Assignor's interpretations thereof (collectively, "(Jpstream Records"), but in each case excluding any of the foregoing items (A) through (F) that are Excluded Assets; (Ð seismic data which is proprietary to Assigtror, ìncluding any interpretations, analysis and reports related thereto; CI) all Hydrocarbons produced from or attributable to the Leases, Lands, Units or Wells afrer the Effective Time, including all oil, condensate and scrubber liquids inventories and ethane, propanè, iso-butane, nor-butane and gasoline inventories of Assignor from the Assets in storage or as linefill as of the Effective Time, and all production, plant and hansportation imbalances as of the end of the Effective Time; (k) all sums payable to Assignor (to the extent not paid under the Final Settlement Statement) or rights tð payment arising out of or attributable to the Assets accruing or attributable to any period after the Effective Time and all rights, claims, refunds, causes of action or choses in action relating to the foregoing, in each case unless relating to a Retained' Obligation; and 0) ail rights, insurance claims, unpaid insrxance awards, liens (whether choate or inchoate) and any other claims, choses and causes of action against any Third Party ansing, occuning or existing in favor of any Seller Indemnified Parly to the extent such rights, claims and causes of action are arisirg out of or relatcd to the Assumed Obligations assumed by Assignee under Section t3.l of the Purchase Agreement (including rights of contribution or natural resources damages undq applicable Environmental Laws, and including full power and rights of substitution and subrogation in and to all covenants and waûanties (including -2- ll I I [lF¡ I ïllrFl¡ I il I ü þ, lilÍ lï'ï I il I'l D{f !l'11 lfiL lt{ "t I I I t I Recept ion*: 82ggt6ø11l4t2ø13 Ø2t 13:46 Pl*l Jean Êlbgrloo3 of lØ9 Rec FEe:$551.0Ø Doo FeerÍl.@O GARFIELD COUNTY C0 wananties of title)) given or made with respect to the Assets or any part thereof by preceding owners, v€ndors, or others that do not constitute Third Parties; provided, however, notwithstandìng the foregoing, there shall be no assignment of any insurance claims ot other rights, claims or causes of action to the extent related to or arising out of the Ret¿ined OÈHgations or insurance claims or proceeds expressly not transfened in connection with any Casualty Losses that a¡e correred under Section //.3 of the Purchase Agreement. Section 1.2 EXCEPTING AND RESERVING to Assignor, however, all of the Excluded Assets. TO HA\18 AND TO HOLD the Assets, together ìMíth all and singular the rights, privileges, conhacts and appurtenances, in any way appertaining or belonging thereto, unto Assignee, its successors and assigns, forever, subject to the terms and conditions of this Assignment Section 1.3 Exgluded Assets. "Excluded Assets" shall mean (a) all of Assignor?s corporate minute books, fina¡rcial records and other business records that relate to Assignor's business generally (including the ownership atrd operation of the Assets); (b) all trade credits, all accounts, all receivables and all other proceeds, income or revenues attributable to the Assets and attributable to any period of time prior to the Effective Time, except to the extent there has been an upward adjustment to the Purchase Price for any of such items; (c) all. claims and causes of action of Assignor arising r:nder or with respect to any Contacts that are attributable to periods af time prior to the Effective Time (including claims for adjustments or refunds), except to the extent related to any of the Assumed Obligations; (d) subject to Section 11.3 of the Purchase Agreement and except to the extent related to any of the Assumed Obligations, all rights and interests of Assignor (i) under any policy or agreement of inswance, (ii) under any bond or (iü) to any insurance or condernnation proceeds or awards arising, in each case, from acts, omissions or events or damage to or deshuction of property; (e) all Hydrocarbons produced and sold from the Assets with respect to all periods prior to the Effective Time, except to the extent there has been an upward adjustment to the Purchase Price for such Hydrocarbons; (Ð all claims of Assignor for refunds of rights to receive funds from any Governmental Authority or loss cany forwards with reqpect to (i) Asset Tæres athibutable to any period prior to the Effective Time, (ii) income or franchise Taxes or (iü) any Taxes athibutable to the other Excluded Assets; (g) all personal çqmFuters and associated peripherals and all radio and telephone equipment; (h) all of Assignor's proprietary computer software, patents, trade secrets, copyrights, names, trademæks, logos and other intellectual property; (i). all docuurents and instrurnents of Assignor that may be protected by an attomey-client privilege (other than title opinions, title absfracts or other chain- of-tit1e materiais); CI) atl data that cannot be disclosed to Assignee as a rçsult of confidentiality arrangements under agreements \¡rith Third Parties; (k) ali audit rights arising under any of the Applicable Upstrearn Contracts or othenvise with respect to any period prior to the Effective Time or to any of the other Excluded Assets, except for any Imbalances or any other Assumed Obligations assumed by Assignee; (l) documents prepared or received by Assignor with respect to (i) lists of prospective purchasers of the Assets, (ii) bids submitted by other prospective purchasers of the Assets, (iii) analyses of any bids submitted by any prospective purchaser, (iv) correspondence between or among Assignor,.its respective representatives, and any prospective purchaser other than Assignee and (v) correspondence between Assignor or any of its respective -3- fil ffr¡lttFJ¡ilIjilReceptlon$; 82991ø1t1ttzø1s Ø2273t464 of 1@9 Rêc Fe€r$BE lrllr üffi llt{l+Ilr.H¡[iffif Hhfll'ù ll ll I 6Pll Jaan Atþerlcoì.øø-ıoË F'Ëé,ø.øø GÊRFIELD couNTY co representatives \iith respect to any of the bids, the prospective purchasers or the transactions contemplated by the Purchase Agreement; (m) any ofñces, office leasès and any personal property located in or on such offices or ofüce leases, other than temporary offrces-buildings and their contents located on the Leases or Lands; (n) any leases and other assets specifically listed in Exhibit C; (o) any debt instruments; (p) any Hedges; (q) all funds held in suspense for which there has been a downwæd adjustment to the Purchase Price; (r) the Regulski Ptoperties Surface Interest; and (s) any assets described insections 1.1(d),Section 1.1 (e) andSection 1.1(h) that are not assignable. Section 1.4 Assisnment Subiect to Purchase Asreement: Retained Riehts and Qblisations. This Assignment is made in accordauce with and is subject to the terms, covenants un¿ "on¿itions contained in that certain Purchase and Sale Agreement dated as of November 1, 2Q12, by and between Assignor, Assignee, Ursa Resources Group II LLC and Ursa Piceance Pipeline LLC (as arnended, the 'oPurchase Agreemenf').' The terms and conditions of the Purchase Agreement are incorporated herein by reference, and in the event of a conflict between the provisions of the Puchase Agreement and this Assignment, the provisions of the Purchase Agräement shall control. The execution and delivery of this Assignment by Assignor, and the execution and acceptance of this Assignment by Assignee, shall not operate to release or impair any surviving rights or obligations of Assignor or Assignee under the Purchase Agreemerrt. Any capitalized tãrms used but not defined in this Assignment shall have the meanìng ascribed to such terms in the Purchase Agreement. DEffiArDc+t"i*- Section 2.1 DefiniÉions. Capitalized terms that a¡e not otherwise detined in this Assignment shall have the meânings given to such terms in the Purchase Agreement. Section 2.2 Certain Defined Terms *Affiliate" shall mean any Person that, directly or indirectly, through one or more intermediaries, controls or is controlied by, or is under coÍtmon control with, another Person. The term'ocontol" and its derivatives with respect to any Person mean the possession, directþ or indirectly, of the povi/er to direct or cause the direction of the management and policies of such Persono whether through the ownership of voting securitÌes, by contract or otherwise. "Applicable Upstream Contracts" shall mean all Contracts to which Assignor is a parfy_or is bound reiating to any of the Assets and (in each case) that will be binding on Assignee after Closing, including (a) confidentialþ agreements; (b) farm-in and farm-out agreements; (c) bo6om hole agraements; (d) crude oil, condensate and natural gas purchase and sale, gathering, transportation and marketing agreements; (e) hydrocarbon storage agreements (f) acreage contribution agreements; (g) operating agreements; (h) balancing agreenrents; (i) pooling declarations ofagreements; O unitization agteements; (k) processing agreements; (l) saltwater disposal agreements; (m) facilities or equipment leases; (n) crossing agleements; (o) letters of no objiction;-and (p) other similar contracts and agreements, but exclusive of any master service agreements and Contacts relating to the Excluded Assets' -4- lll I fif¡¡ ltlltlltft ül lllrl' IHF If iliHHil'l{l tf l{l+ lll',1 ll ll I Receotion*: 829916 ø1t14t2ø1s Ø2t13t46 PM Jean Êlberioo5 of tøS Reo Feer$551 ,@ø Doa Fee:Ø'OØ GÊRFIELD COUNTY C0 'Conhact" shall mean any ,trritten license agreement, purchase order, binding bi4 commitment, farrn-in and far¡n-out agreemenis, particþation, exploration and development agreements, crude oil, condensate and natwal gas purchase and sale, gathering, ilansportation and marketing agleements, operating agreetnents, balancing agreements, unitization agreentents, processing agreements, facilities or equipment leases, and other similar Contracts, but excluding, however, any Lease, easement, right-of-way, permit or other instrurnent creating or evidencing an interest in the Assets or any real or immovable property related to or used in connection with the operations of any Assets. o'Govemmental Authority" shall mean any federal, state, local, municipal, tribal or other govemment; any governrnental, regulatory or administrative agency, commission, body or other authority exercising or entitled to exercise any administrative, executive, judicial, legislative, regulatory of Taxing Authority or po'wer, and any court or govemmental tribunal, íncluding any tribal authority having or asserting jurisdiction' 'oHedges" shall mean âny s'ü¡ap, forward, futue or derivative tansactions or options or othet similar Contacts to which Assignor is a party. *Hydrocarbons" shall mean oil and gas and other hydrocarbous produced or processed in association therewith. "Imbalances" shall mean a1l Well ImbalancÊs a¡.d Pipeline Imbalances. *Lau/' shall mean any applicable statute, law, rule, regulation, ordinance, order, code, ruling, writ, injrmction, decree or other official aot of or by any Govemmental Authority. "Liabilities" shall rnean any and all claims, causes of action, payments, charges, judgments, assessments, liabilities, losses, damages, penalties, fines and costs and expenses, including any attorneys' fees, legal or other expenses incurred in connection therewith and including liabilities, costs, losses and damages for personal injury or death or property damage or environmental damage or remediation. 'T.{et Revenue Interesf' shall mean, with respect to any'Well or Lease, the interest in and to all Hydroca¡bons produced, saved and sold from or allocated to such 'Well or Lease afier giving effect to all Burdens. "Perrnitted Encumbranceso'is defined onAppendix I attached hereto. o'Peïson" shall mean any individual, firm, corporation, partnership, limited liability company, joint venhrre, association, tlust, unincorporated organization, Goveflmental Authority or any other entitY. "Pipeline Imbalance" shall mean any marketing imbalance between the quantity of Hydroearbons athibutable to the Assets required to be delivered by Assignor under any Contract relating to the purchase and sale, gathering, transportation, storage, processing or marketing of Hydroıarbons and the quantity of Hydrocarbons attributable to the Assets actuaily delivered by Assignor pursuant to the relevant Contract, together with any appurtenant rights and obligations -\- lllt tT¡¡ ttütFl¡t¡TJ l[H Ff,!+ü htlil{ff ttÉï}¡' l{l, ù ll ll I ReceotionË: A23916 ø1t1t¡2ø1? Ø2:13r45 Pll Jqrn AlberÍco6 of 1Ø9 Reé Feer$861 .Ø@ Doa Faet@'ø@ GÊRFIELD COUNTY C0 concerning production balancing at the delivery point into the relevant sale, gathering, transportation, storage or processing facility. "Regulski Properties Surface Interest" shall mean all of Assignor's right, title and interest in the swface estate conveyed by Special Warranty Deed recorded at Reception No. 808466 on September 26, 201I, in Garfi eld County, Colorado. "Survival Period" shall mean the period of time commencing as of Decembet2l,2012 and ending at 5:00 p.m. Cenhal Time on the twelve (12) month anniversary thereof. t6Tax" or o'Taxes" shall mean any ta,x (including any income tax, franchise tax, capital gains tax, gross receipts tæ<, license toc, value-added ta,r, surtæ<, excise tær, ad valorem tax, transfer tax, stamp tax, sales ta;<, use tax, propefy tax, environrnental tax, inventory tax, occupancy tax, severance tax, withholding tax, payroll tar<, employment tær, gift tær, estate tar or inheritance tax, wealth tax, other import or export duties), Ievy, assessment, tariff or impost (including any related fine, penalty or interest imposed with respect thereto), imposed by or on behalf of any Taxing Authority. "Taxing AuthorÌty" shall mean, with respect to any Tax, the governmental entity or political subdivision thereof that imposes such Tax, and the agency (if any) charged with the collection of suoh T¿x for such entity or subdivision. "Third Parfy" shall mean any Person other than a Parlry to the Purchase Agreement or an Affiliate of a Party to the Purchase Agreement or any officer or director of any Party or Affiliate of any:î:, Imbalance,' shail mean any imbalance at the wellhead between the amount of Hydrocarbons produced from a Well and allocable to the interests of Assignor therein and the shares of production from the relevant Well to which Assignor is entitled, together with any appurtenant rights and obligations conceming future in kind and/or cash balancing at the wellhead. "'Working Interest" shall mean, with respect to any Well or Lease, the interest in and to all Hydrocarbons prodLrced through such Well or underlying the lands covered by such Lease, as applicable, that is burdened with the obligation to bear and pay costs and expenses of maintenance, development and operations on ot in connection with such Hydrocarbons, but without regard to the effect of any Burdens. ARTICLE 3 SPECIAL TVÄRRANTY OT'TITLE AND DISCLAIMERS Section 3.1 Special lVarrántv of Title. Subject to the terms and conditions of Section 11.1(c) of the Purchase Ageement, Assignor hereby agrees to wâffant and defend, until the expiration of the Sun¡ival Period, title to the Properties unto Assignee, its successors and assigns, to the extent of the interests set forth on Exhibit A-2 attached hereto, against every Person whomsoever lawfully claiming or to claim the same or any part thereof by, through or under Assignor, but not otherwise; subject, holevet, to thc Perrnitted Encumbrances and the -6- ]II ïir¡ IühFJ[[#I lf lt IltE H,E I'il'll'il1t{1îlll'Llll'ù ll ll I ät1ïåá'"fliå¿!:11å'glF. I * *3: Êå:?å Ì 6å G nRF r ELD couNry co other matters set forth herein. The specific S/orking Interest and Net Revenue Interest set forth on Exhibit A-2 attacbed hereto are inciuded for warranty pulposes only and shall not limit the interest hereby conveyed, it being the intent of Assignor to hereby oonvey to Assignee all of its undivided intêrest in the Assets, regatdless of the interests set forth on Exhibit A-2 attached hereto. section 3.2 Disclaimers of warr¡nties and Renresentations. (a) EXCEPT AS EXPRESSLY SET FORTH IN ARTICLE IV OR SECTION 11.1(b) OF THE PURCIIASE AGR.EEMENT, IN THIS ASSIGNMENT' IN TIIE MINERAL DEED, OR IN TIIE CERTIFICATE OF ASSIGNOR DELI\¿ERED AT cLosrNG PIIRSUANT TO SECTION 9.3(Ð OF TIIE PURCIIASE AGREEMENT' (t) ASSIGNOR MAKES NO REPRESENTATIONS OR WARRANTIES, EXPRESS' STATUTORY OR IMPLIED, AND (II) ASSIGNOR E)GRESSLY DISCL,AIMS ALL LIABILTTY AND RESPONSIBILTTY FOR ANY REPRESENTATION, WARRANTY' STATEMENT OR INFORMATION MADE OR COMMUNICÀTED (ORALLY OR IN rvRrTrNc) TO ASSTGNEE OR At[y OF ITS AITILIATES, EMPLOYEES, AGENTS, CONSULTANTS OR REPR.ESENTATMS (INCLIIDING, ANY OPINION' INFORMATION, PROJECTION OR ADVICE TIIAT MÀY HA\rE BEEN PROVIDED TO ASSIGNEE By At{y AGENT, CONSULTANT, REPRESENTATM OR ADVISOR oF ASSIGNOR OR ANY OF ITS AFF'.TLTATES). (b)ExcEPTAsE)(PRESSLYSETFORTHINARTICLEwoR sEcTIoN 11.10) OF THE PURCHASE AGREEMENT, rN THIS ASS-IG¡IMENT, IN THE I\{INERAL DEED, OR IN THE CERTIFICATE OF ASSIGNOR DELIVERED AT cLosINc puRsuANT TO SECTTON 9.3(i) Or THE PIIRCHASE AGREEMENT, ANI) .WITIIOUT LIMITING TIIE GENERALITY OF THE FOREGOING, ASSIGNOR EXPRESSLY DISCLAIMS ANY REPRESENTATION OR WARRANTY, EXPRASS' STATUTORY OR IMPLIED AS TO (I) TITLE TO AI\IY OF TIm ASSETS' 0D TIIE CONTENTS, CIIARÄCTER OR NATURE OF AN-Y REPORT OF', ANY PETROLEUM ENGINEERING CONSULTANT, OR AlIy ENGI¡IEERING, GEOLOGICAL OR SEISMIC DATA OR INTERPRETATION RELATING TO THE ASSETS, (ITD TIü QUA¡{TITY, QUALITY OR RECOVERABILITY OF HYDROCARBONS IN OR F'ROM rnr ¿.ssnTs,-(Iv) AI{Y ESTIMATES OF'.THE VALUE OF THE ASSETS OR F',UTURE REvENUES ro rip crNnnerpD By rHE AssETs, (v) THE PRoDUcTIoN oF oR ABILITY TO PRODUCE HyDROCARBONS FROM TIIE ASSETS, m) THE MAINTENANCE, REPAIR, COI\DITION, QUALITY' SUITABILITY' DESIGN OR MARKETABILITY OF' THE ASSETS, (VII) THE CONTENT, CHARACTER OR NÄTURE OF ANTY INFORMATION MEMORAIì{DT]M, REPORTS, BROCHURES, C.H.A.RTS OR STATEMENTS PREPARED BY ASSIGNOR OR THIRD PARTIES WITH RESPECT TO TIIE ASSETS, (Vm) ANY OTHER MATERIALS OR INT',ORMATION TTIAT MAY IIAVE BEEN MADE AVAILABLE TO ASSIGNEE OR ITS AFtr'ILIATES' OR ITS OR TITEIR EMPLOYEES, AGENTS, CONSULTANTS, REPRESENTATIVES OR ADVISORS IN CONNECTION WITH THE TRANSACTIONS CONTEMPLA.TED BY TItr PIIRCHASE ÄGREEMENT OR AI{Y DISCUSSION OR PRESENTATION RELATING TIIERETO AND (IX) AT{Y IMPLIED OR E)(PRESS WARRANTY OF' llil ïf¡ I ffi l¡Jl ¡lilt{ I l,E lllt !l¡l' lil f ¡#ti l'tfi I fi r',lll ''¡ I I ll I Receotion#: 829916 ø1t1412ø13 Ø2:13:46 PII Jean ÊIbericoã'åi'iıı ñeð-Èáeis5si.øø Doó Fee:0.@@ GÊRFIELD coUNrY c0 F'REEDOM FROM PATENT OR TRA.DEMARK INFRINGEMENT. EXCEPT AS EXPRESSLY SET FORTIT rN ARTTCLE MR SECTION 11.1(b) OF THE PURCHASE AGREEMENT, IN THIS ASSIGNMENT, IN TIIE MINERAL DEED, OR IN THE CERTIFICATE OF ASSIGNOR DELIVERED AT CLOSING PURSUANT TO SECTION 9.s(i) or TIIE PURCHASE AGREEMENT, ASSTGNOR FURTITER DISCLATMS ANY REPRESENTATION OR WARRANTY, EXPRESS, STATUTORY OR IMPLIED, Otr' MERCIIANTABILITY, F'REEDOM FROM LATENT VICES OR I}EFECTS, F'ITNESS FOR A PARTICULAR PURPOSE OR CONT'ORMITY TO MODELS OR SAMPLES OF MATERIALS OF ANY OF TIIE ÄSSETS, RIGTITS OF A PURCIIASER UNDER APPROPRIATE STATUTES TO CLAIM DIMI}TUTION OF' CONSIDERATION OR RETIIRT{ OF THE PURCHASE PRICE, IT BEING EXPRESSLY UNDERSTOOD ANI) AGREED BY TIIE PARTIES TIIAT ASSIGNEE SITALL BE DEEMED TO BE OBTAINING THE ASSETS IN THEIR PRESENT STATUS, CONDITION AND STA.TE OF.REPAIR, ..AS IS'' AND "IVIIERE IS" WTTH ALL F.AULTS OR DEFECTS (IüIÍOWN OR IINKNO'WN, LATENT, DISCOVERABLE OR TJNDISCOVERABLE), AND THAT ASSIGNEE HAS MADE OR CAUSED TO BE MADE SUCH INSPECTIONS AS ASSIGNEE DEEMS APPROPRIATE. (o) EXCEPT AS EXPRESSLY SET F'ORTH IN ARTICLE MR SECTION 11.r&) OF THE PURCIIASE AGREEMENT, IN THIS ASSIGNMENT, IN THE MINERAL DEED, OR IN THT CERTIFICATE OF ASSIGNOR DELIVERED AT cLosrNG PURSUANT TO SECTION 9.3(Ð OF TIIE PURCHASE AGREEMENT, ASSIGNOR HAS NOT AND WILL NOT MAKE ANIY REPRESENTATION OR WARRANTY REGARDING A¡IY MATTER OR CIRCUMSTANCE RELATING TO EI\IVIRONMENTAL LA\ryS, TTIE RELEASE OF MATERIALS INTO TIIE EIWIRONMENT OR TIIE PROTECTION OF HUMÁ.N HEALTH, SAFETY' NATURAL RESOURCES OR TIIE ENVIRONMENT, OR ANY OTIIER ENYIRONMENTAL CONDITION OF THE ASSETS, AND NOTHING IN THE THIS ASSIGNMENT OR TIIE PURCITASE AGREEMENT OR OTIMR\ryISE SIIALL BE CONSTRUED AS SUCH A REPRESENTATION OR \ryARRANTY, AND, SUBJECT TO ASSIGNEE'S LIMITED RIGHTS AS SPECIHED IN TTIIS ASSIGhIMENT OR THE PTIRCIIASE AGREEMENT FOR A BREACTI OF'ASSIGNOR'S REPRESENTATIONS SET FORTII IN SECTION 4.1.4 OF' TIIE PT]RCHA.SE AGREEMENT OR IN TIIE CERTIFTCATE OF ASSIGNOR DELIVERED AT CLOSING PURSUANT TO SECTION 9.3(Ð OF TI{E PURCHASE AGREEMENT, ASSIGNEE SIIÀLL BE DEEMED TO BE TAKING THE ASSETS "AS IS'' AND (''\ryHERE IS' \ryITH ALL FAULTS FOR PURPOSES OF THEIR ENYIRO¡{MENTAL CONDITION AI{D THAT ASSIGNEE IIAS MADE OR CAUSED TO BE MADE SUCH EI\T\¡IRONMENTAL INSPECTIONS AS ASSIGNEE DEAMS APPROPRIATE. (d) AssIcNoR ^A,ryD ASSIGNEE AGREE TtrAT, TO TrrE EXTENT REQUIRED BY APPLICABLE LA\ry TO BE EFFECTIVE, THE DISCLAIMERS OF' CERTAIN REPRESENTATIONS AND \ryARRANTIES CONTAINED IN THIS SECTION 3./ ARE "CONSPICUOTTS' DISCLAIMERS FOR THE PURPOSE OF Aì{Y APPLICABLE LAW. -8- 'iH#i'r'frTilH#,HH#HT::iiT,T,::"" ARTICLE 4 NfiISCELLANEOUS Section 4.1 . A.qsumed Oblieations. Assignee hereby assumes the Assumed Obligations subject to the tenns of the Furchase Agreement. Further, this Assignment is made expressly subject to the Applicable Upstream Conûacts, as the srirne may be amended, supplementod or restated from timê to time, to the extent such Applicable Upstream Contracts are being conveyed to Assignee pursuant to the terms hereof. Assignee expressly agrees to assume and be bound by the obligations of Assignor under each of the Applicable Upsbeam Contracts to the extent arising on'or after the Effsctive Tíme, subject to Assignor's obligations under the Purchase Agreement. Section 4.2 SenaL+te"Assiqnments. Where separate assignments of Assets have been, or wili be, executod for fi1ing with and apptoval by applicable Govemmental Authorities, any such separate assignments (a) shaii evidence the Assignment and assignment of the applicable Assets herein made, and shall not constitute any additional Assignment or assignment of the Assets, (b) are not intended to modiff, and shall not modify, any of the terrrs, covenants and conditions, or limitations on warranties, set forth in this Assignment and are not intended to create, and shall not create, any representations, warranties or additional covenants of or by Assignor to Assignee, and (c) shall be deemed to contain all of the terms and provisions of this Assignmenf as fully and to alt intents and purposes as though the same were set forth at length in such separate assignments. Section 4.3 Governins Larü. EXCEPT TO TIIE EXTENT THAT TIIE LAWS OF' THE STATE OF COLORADO ARE MANDATORILY APPLTCABLE TO TIIIS ASSIGNMENT IN CON}IECTION WITH TIIE CONVEYANCES OF PROPERTY INTERESTS INVOLVING REAL PROPERTY LOCATED IN TTIE STATE Of' coLoRADO, THIS ASSTGNMENT AND ANY CLATM, CONTROVERSY OR DISPUTE ARISING UNDER OR RELATED TO THIS ASSIGNMENT OR THE RIGIITS, DUTIES AND RXLATIONSIflP OF TIIE PARTIES, SIIALL BE GOVERNED BY AND CONSTRTIED AI\D ENT'ORCED IN ACCORDAFICE WITII THf;' LAWS OF' TIIE STATE OF TEXAS, EXCLUDING ANY CO¡IFLICTS OF LAW RULE OR PRINCIPLE TIIAT MIGHT REF'ER CONSTRUCTION OF PROVISIONS TO TIIE LAWS OF' ANOTHER JURTSDICTION. ANY DISPUTE, CONTROVERSY OR CLAIM ARISING OUT OF, RX,LATING TO OR IN CONNECTION \ilITH THTS ASSIGNMENT OR TIIE VALIDITY IIEREOF, SIIALL BE FINALLY SETTLED IN ACCORDANCE \ryITII SECTION 15.13 OF'TTTE PURCIIASE AGREEMENT. Section 4.4 Successo_{$ and Assisns. This Assigriment shall bind and inure to the benefit of the Parties and their respective successors and assigns; provided, however, that nothing in this Assignment shall assigu or grant, or in any way operâte to assign or grant, any rìght, title or interest in" to or under the Purchase Agreement to any successor or assign of Assignee with respect to the Assets or any part thereof, it being expressly understood that rigbts, titles and interests rurder the Pr¡rchase Agreement may only be obtained or assigned in shict accordance with the terms thereof. -9- I lll lh lf,r lt*1,1 il¡ EÎ l*ilthLtÉ!!¡il'lt+tlhI lil'ù I ll I Receot ion* : 829916 ø11'1412Ø19 @2;13:45 Pltl J.en nlberico ió' åí' iıó-nıı'Éeàigsbt.øø-Dop Féé,ø'øø GÊRFIELD couNrY c0 Section 4.5 litles and Captions. All Article or Section titles or captions in this Assignment are for convenience only, shall not be deemed part of this Assignment and inno way defîne, limit, extend or describe the scope or intent of any provisions hereof. Except to the extent otherwise stated in this Assignment, refeÍences to "Articles" and ooSections" ale to Articlos and Sections of this Assignment, and references to "Exhibits" are to the Exhibits attached to this Assignment, urhich are made a pæt hereof and incorporated herein for all puq)oses. Section 4.6 Counternarts. This Assignment may be executed in any number of cortrterparts, and each such counterpart hereof shall be deemed to be an original instrument, but all of such counterparts shall constitute for all purposes one agreement, Multþle counterparts of this Assignment may be recorded with federal agencies and in the counties and parishes of the states where the Assets are located, but the inclusion of a description of any Asset in more than one counterpart of this Assignment shall not be construed as having effected any cumulative, multiple or overlapping interest rn the applicable Asset. Any signature hereto delivered by a party by facsimile or ottrer electronic transmission shall be deemed an original signature hereto. Section 4.? Prior Rep,fesentations. \ilarranties and Covenants. To the extent, and only to the extent, (a) permitted by Law, (b) of any indemnity of Assiguee provided to Assignor under the Furchase Agreement and (c) such subrogation is not prohibited or otherwise restricted by the respective underþing instrument or agreemçnf Assignee shall be subrogated to Assignor's rights in and to all representations, warranties and covenants given with respect to the Assets. To the extent provided in the preceding sentence, Assignor hereþ grants and transfers to Assignee, its successors and assi$ns, to the extent so kansferrable and permitted by Law, tho benefit of and the right to enforce all representations, warranties and covenants, if any, which Assignor is entitled to enforce with respect to the Assets. fSígnature Page FollowsJ When recorded, return to: Linda Daugherty Simpson Thacher & Barttett LLP 909 Fannin Suite 1475 Houston TX 77010-1414 -10- ?l{#-H#Ë¿$iål:Hl H;#i::::iT: ? ',' EXECUTED as of the date of the Parties' acknowledgments below, but cffective at the Effectìve Time. ASSIGNOR: ANTERO RESOURCES PICEANCE LLC By: Name: Alvyn Title: Vice President Accounting and Administation STATE OF COLORADO COUNTY OF DEN\TBR On this !3/.1"a^y of Decembet 20L2, beforc mo appeared Alvyn A. Schopp, to me personally lcrown, who being by me duly sworn (or affirmed) did say that he is the Vice President Aocounting and Administration of Antero Resources Piceance LLC, a Delaware limited liability company, and that the instrument was signed and sealcd on bohalf of the limited liability çompany by authority of its sole member and that hç ac'knowledged the instrument to be the free act and deed of the limited liability company. lN WITNESS ÏVHEREOF, I have herounto set my hantl and official seal in the City ofDenver, Colorado on the day and year first above written. Notary Public in and for the St¿te of Colorado $ $ $ NotarY Fublic Signøture Page to Upstreøn 'Assígnment audBíll of Sale llll l{i¡¡ flì rltJl,if{r, lil¡lildllFü l#l lL'Tr'H{l FJl,lll'{ ll ll I Raceotion#: Ê29916 E{' # ldr{á iZZ' 13¿18, ET . rå"Ë !""È!3 i åÌ3' Gn RF r ELD c ouNry co ANTERO RESOI'RCES PIPELINE LLC By: Namc: Alvytt Title: Vice President Accounting and Adminìstration STATE OF COLORADO COUNTY OF DENVER On this lflday of December 2012,before me appeared Alvyn A. Schopp, to me personally known, who being by rne duly swom (or affinned) did say that he is the Vice President Accounting and Adminisftation of Antero Resources Pipeline LLC, a Delaware limited liability company, and that the instrument was signed and sealed on behalf of the limited liability oompany by authority of ìts sole member and that he acknowledged the instrument to be the free acr and deed of the limited liability company. IN WITNESS WHEREOF, I have hereunto set my hand and official seal in the City of Denver, Colorado on the day and year first above written. Notary Public in and for the State of Colorado $ $ $ NotaryPublio Sìgnature Page to Upstream Assignment and Bill of SaIe llll lll¡¡ lflìrF¡'ll,lfi I lllffi¡ tllhû lñ¡[¡, I¡il,tt], fhrl lil'{ I ll IReceptlonfi: E29916 Ø1 I 1412ø1? @2r13: 45 Pll13 0f 109 Rec FeergE6l Jean Êlbêrico ,ØØ DOO FÊêIø,øø GARFIELD COUNTY CO ASSIGNEE: URSA PICEANCE LLC By: Name: Title: President and CEO STATE OF TEXAS COLINTY OF.TIARRIS On thi.Zltf"y of December 2012, before me appeaxed Matthew Steele, to me personally known, who being by me duly sworn (or affrrmed) did say that he is the President and CEO of Ursa Piceance LLC, a Delaware limited tiabitity company, and that the inst¡ument was signed and sealed on behalf of the limited tiabilþ company by authority of its sole member and that he acknowledged the instrument to be the free act and deed of the limited liability company. IN 'WITNESS WHEREOF, I have hereunto set my hand and ofhcial seal in the City of Houston, Texas, on the day and year first above written. Notary Public in the State of Texas 6 $ $ ,RENEE KNIGHT ol TexasStatePuþlic,NotarY tesmissionComMyI41IbeNovem Sìgnature Pøge to Upstream Assignment and Bìll of Sale ll I I Íirr lf ir¡¡¡1,iíl¡,FlT Hrtllfr LM Hrl I fiit llrl,lll'ù l¡ l¡ I Receotionil: 8299f8 ø11'14¡2@13 @2:13:45 Pfl Jean Êlbêriooi4'oi îóÉ-néô FeÊ:i561.øø Doa Fêê:ø.øø GnFËlELo couNTY c0 APPENDIX 1 '?ermitted Encumbrances" shall mean: (a) the terms and conditÍons of all Leases and all Bwdens if the net cumulative effect of such Leases and Burdens does not operate to reduce the Net Revenue Interest of Assignor with respect to any W'eli or Lease to an amount less th¡¡ the Net Revenue Interest set forth in Exhibit A-2 for such Well and E>rhibit A-1 for such Lease, and does not obligate Assignor to bear a'Working Interest with respect to any Well or Lease in any a¡rrount greater than the Working Intorest set forth in Exhibit A-2 for such Well and Exhibit A-1 for such Lease (unless the Net Revenue Interest for such Well or Lease is greater than the Net Revenue Interest set forth in Exhibit A-l and Exhibit A-2, as applicable, in the same proportion as any increase in such V/orking Interest); (b) liens for Ta:<es or assessments not yet due or delinquent or, if delinquent, that are being contested in good faith in the nonnal course of business and if so contested, are identified inAttachmenf I aftached hereto; (c) conventional rights of reassignment prior to release or surrender requiring notice to the holders of the rights; (d) such Title Defects as Assignee may have waived (or deemed to be waived); (e) all applicable Laws and all rights reserved to or vested in any Govemmental Authority (i) to contãl or regulate any Asset in any manner; (ir) by the terrs of any right, power, franchise, grant, license or permit, or by any ptovision of Law, to terminate such right, power, franchise, gtant, license or permit or to purchase, condemn, expropriate or recapture or to dosignate a purchaser of any of the Assets; (iii) to use such property in a manner which does not materially impair the use of such property for the purposes for which it is currently owned and operated; or (iv) to enforce any obligations or duties affecting the Assets to any Governmental Authority with respect to any franchisg gtant, license or perrrit; (Ð rights of a coñrmon or,vner of any interest in rights-of-way, perrrits or easements held by Assignor and such coûlmon o\ryner as tenants in common or through contmon ownership; (g) easements, conditions, covenaûts, reshictions, servitudes, permits, rights-of-way, surface leases and other rights in the Assets for the purpose of operations, facilities, roads, alleys, highways, railways, pipelines, transmission lines, transportation lines, disfribution lines, power lines, telephone lines and removal of timber, grazing, logging operations, canals, ditches, reseryoirs and other like purposes, or for the joint or corrmon use of real estate, rights-of-way, Appendix I to Ups*eam Ássignment and Bill of Sale I lll fil¡¡ Íüì'fi¡'{ill LHS !{dl lh'L l{1, htl,¡¡ilÈ lhrll{l'ù ll ll IReception$: 829916 Ø1114t2@1? Ø2:13r46 Pl'l Jean Êlberico15 of 'lø9 Rec Foe¡$551 ,ØØ Doc Fee:Ø.ØØ GÊRFIELD COUNTY C0 facilities and equipment which, in each case, do not materially impair the operation or use of the Assets as currently operated and used; (h) vendors, carriers, wafehousemen's, repairrnen's, mechanicso, woÍkmen's, materialmen's, construction or other like liens arising by operation of Law inthe orili¡ary course of business or incident to thq construction or irnprovement of any property in respect of obligations which are not yet due or which are being contested in good faith by appropriate proceedings by or on behalf of Assignor, arid if so contested, are identifi.ed on Attachment I attached hereto; (Ð liens created under Leases and/or operating agreements or by operation of Law in respect ofobligations that are not yet due or that are being contested in good faith by appropriate proceedings by or on behalf of Assignor, and if so contested, are identified on Attachment l atüached hereto; ú) any Encumbrance affecting the Assets that is expressly assumed, bonded or paid by Assignee at or prior to the Closing or that is discharged by Assignor at or prior to Closing; (k) any lien, mortgage and other Encumbrance incr.¡¡red by a lessor in connection with borrowed monies that is not subject to a foreclosure action; (1) any matters referenced and set forlfr in Exhibit A, Exhibit A-1 or Exhibit Ã-2 and all litigation set forth inAttachment 1; and (m) the Leases and all other Encrunbrances, Contracts (including the Applicable Upstream Contracts), instruments, obligations, defects and irregularities affecting the Assets that individuaily or in the aggregate do not adversely affect the operation, use or development of any of the Assets, do not reduce the Net Revenue Interest of Assignor with respect to any Well or Lease to an a¡nount less than the Net Revenue Interest set forth in Exhibit A-2 for such Well and Exhibit A-1 for such Lease, and do not obligate Assignot to bear a Working Interest with respect to a currentþ producing formation in any Well or in any Lease in uny amount greater than the Working Interest set forth in Exhibit A-2 for such Well and Exhibit A-1 for such Lease (unless the Net Revenue Interest for such WelI or Lease is greater than the Net Revenue Intetest set for[h in Exhibit A-1 and Exhibit A-2, as applicable, in the same proportion as any increase in such V/orking Interest). Appendix I to Upstream Assignmeni and Bill of Sale I I I I llilr¡ lfi r l¡¡1, I ü l, lfl] Hdllh h I {' l'!I'llt fi{I h t+ l{l' ü ll I I I Reception*l 829915 ø111412ø13 Ø2r13:45 PM Jêan Flbericoìo ói'løs-n8c fãargssi.øø Doó Feero.@ø GÊRFIELD C0UNTY c0 ATTACLilVÍENT 1 None. Attachment 1 to Upstreøm Assignment and AilI of Sate I ll l#¡¡ lï'ir ¡r¡I,lfl I' ltl[hl ll I h û t+t,!hll H+t !ldl, lll'ú ll ll I ReeeÞtion*: 829916 ø1l14lZø1" Ø2¡13¡46 PM Jaan ÊIbcF!ê9ii'åi- TıÈ-nãc'rãå,Ssb{.øø Doo Fee:Ø.Ø01 GnRFIELD GOUNTY co None. E)üIIBIT.A LANDS Eehìbit A to Upstream Assignment and Bíll of Sale llll fù¡¡ Ïüìrr¡1ffi. þh htulllù'l+1,flilfit!'hltltl'ù ll lll if,1'î?ådf*å' iílilgl .,¿"¡Ê"Êèg:i å:8ø GâRF I ELD couNrY co ElqilBrr a-l LEASES Attached. Exhibit A-l to Upstredfi '4ssÌgnment and Bíll of Sale Exhlblt A-1- Leases2A24t5.OOr2024',5.OO2202415.003202415.004202415.0052t24L7.OO7202417.OO22A2417.OO320247820242020.2422202424202425202426202427202428202429CASTLE SPRINGSCASTLE SPRINGS5l3L/2t13sl3tl20L375s7767537747537757544L8754726754Ã13754414754415791417 (GARFIELD)573s60 fPrTKrN)791423791421 (GARFTELD)s3s66 (PrTKrNl797479791433 (GARFTETDI79742s797437756854797429791427GARFIELDGARFIELD &PITKINGARFIELD &PITKINGARFfELDGARFIELD,MESA,& PITI(NGARFIETD &MESAGARFIELD .GARFIELD &MESAGARFIELDGARFIELD6ARFIELDGARFfELDGARFIETDGARFIELDGARFIELDGARFIELÐCASTLE SPRINGSCASTTE SPRINGSCASTLE SPRINGSCASTI-E SPRINGSCASTIE SPRfNGSCASTLE SPRINGSCASTTE SPRINGSCASTIE SPRINGSCASTI.E SPRINGSCOMPANYSMITH, MARK DSMITH, MICHELLE RGATLAN, JO LKRIES, BETTYASANDER5, DONALD WALEXANDER, CINDY L5ANDERS, NANCY DusA ÊLM COC-66-/11CORPORATIONANTERO RESOURCES PICEANCECORPORATIONANTERO RESOURCES PICEANCECORPORATIONANTERO RESOURCES PICEANCECORPORATIONANTERO RE5OURCES PICEANCECORPORATIONANTERO RESOURCES PICEANCECORPORATIONANTERO RESOURCES PICEANCECORPORATIONANTERO RESOURCES PICEANCECORPORATIONEDWARD G LINARESEDWARD G UNARESËDWARD G LINARESEDWARD G LINARESCJS OIL & GAS PROPERTIÊS [[CCJS OIL & GAS PROPERTIES LLCOS OIt &GAS PROPERTIES ITCusA BLM COC-56710usA BLM COC-55707612tl2oa86/2312oo86123l2oo87/t1l2oû87lLtl2OOg7lr4/2m8il7412üt871t4120086ltl2oo36l22l2OL46na2or46122120147ltol2ot37lßl2oL37lß12A73uß/2ot37lt3/2oL35l3tl2Or37s 91W75 91W75 91W75 91W75 91W75 91W75 91W7s 91W8S 90W8S 90W85 90W8S 90W2L2t27272I25,3625,3625,3613GARF]EIDCARFIETDGARFIELDGARTIÉtDGARFIELDGARFfELDGARFIETD6/1l2oo36ltl2oo3L41,2,315=..Iu:0:e,;8 --ù*i5HclF,-;ı9 46 S;11+ol,.r.'5JËR:=.o.' !!täñËÊ3E'ËoF3F+ôJ E-¡IfßF+ıt ¡¡:eö +-;EÐ=-Ë-{I --E8=E=il-qI:20.2423CASTLESPRINGS USA 8LM COC-66706 EDT¡I'ARD G TINARES6lu2oo3 sl37l2o738S 90W 1685 90w 9-7285 90W t7,LE75 91W 1075 91W 2,?65 91W 3175 91W 4,5,675 91W 19-2275 91W 29,3t75 91W 7,8,975 91W 15-1875 91W 35CASTIE sPßIN6SCASTLE SPRINGSCASTTE SPRINGSCASTTE SPRINGSusA BLM COC-66708usA 8tÀ4 coc-66s80usA BLM COC-66577usA BLM COC-665769ltlzoo33lLl2oo331u20033lrl2O03a3a20ß2/2812A9eu28noß2128l2oesUSA BLM COC.66578 CJs OIL& GAS PROPERTIES ttcUSA BLM COC.66579 CIS OIL & GAS PROPERTIES TLCANTERO RESOURCES PICEANCETOLINI, EUGENE WAYI\IE CORPORATIONCASTTE SPRINGSCASTLE SPRINGS3lLlzoo33hnæ32l28lzs$t2l28l20g,il74l2ow 7173/2oL3202439CAsTl.E SPRINGSPage 1 of65753259GARFIELD 202440.æt2024ß.æ22Ð2440.ú320244Ð.OO4202440.øO520,24Æ.00620244ll..OO7202440.OOa2024Æ.OO9202440.OtO20.2448.O0:-2024/8.4O2202448.OO3202448.OO420.2449.OO2202449.OOt202449.OO4202449.OO52(J2449-û62fJ2449.æ7CASTLE SPRINGSCASTLE SPRINGSCASTI-E SPRIN6SCASTTE SPRINGSCASTTE SPRINGSCASTTE SPRINGSCASTTE SPRINGScASttE sPRtN6SCASTTE SPRINGSCASTTE SPRINGSCASfl"E SPRINGSCASTI.E SPRINGSCASTLE SPRINGSCAsTIE SPRINGSCAST[E SPRINGSCASTLE SPRINGSCASTLE SPRINGSCASTLE SPRÍNGSCÀSTLE SPRINGSCASTTE SPRINGSHOUSEMAN, BETIYTOLËS, RUBY tEAUKEIE, ROBERT LBUZARDE, RENEE PHAZEIBUSH,1995TEORA M 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GÊRFI ELo couNrY co APONRI8585858577.9249377.9288377.9289371.9289377,9289377.92893775289377s.289377.9289?,77.92A9366.36166APOWl101r.00100rm1m1ü1001001001001m10c10c10083.25BPONRI8585858577.92893n.9289177,9289377.9289377.9289377.9289377.92A9377.9289377 5289377.9249179.7137BPOWI10010û100100100100100100100100100100100100100WEI,I.-NO2tc47-O7-9L34D1GO7-9143D-l(rc7-91t2c-o947-9rT13L210sT136I916TEASEcsFcsFc5FcsFDEVERADEVER ADEVER ADEVERADEVER ADEVERADEVER ADEVER ADEVER ADEVER AD€VER Cwêll NãmêcsF2rc-o747-97c5F 34D-1&07-91c5F 43D-1G.O7-91csF 32C-09-07-91DEVER À1DEVERA2D€VER A3DEVER 412DEVER A1O STDEVER A13DEVER A6DEVÉR A8DEVER A9DEVER A16DEVER C3OPERATORANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO ßÍSOURCES PICEANCECORFANTERO RESOURCES PICEANCECORPANTERO RESOURCES PfCEANCECORPANTERO RESOURCES PICEANCECORPAITTERO RESOURCES PICEÄNCECORPANTERO RESOURCEs PICEANC€CORPÀNTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIEIDGARFIELDGÁRFIEtDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIEI.DGARFIELDGARFIELD6ARFIELDAPINO05045X708400000504519723000005045197240000os04519816(nO00504512157(m005045121580cÐ00so4s1215900000504513571000005045136290{)010soAs136300000050451.36330000c504514882000005045136350000o504s15232000005045149410000E)ú¡b¡t A-2 - WellsIil Íf* ffi rl|$l,l¡ti' l¡ll Hrf l¡r4'l# L ltil ll+l lllt lll'ü ll ll IRecept ion#; 629916øltt4lzølg Ø2:13:45 PH Jaan Êlbericoå8 of 1Ø9 Rec Feer$551.øA Ooc Fee:ø.øø €ÊRFIELD C0UNTY C0Page 4 of 22 APONRI66-3616666.3616666.3616666.3616666.3616666.3616666.3616677.92a9377.9289377_9249365.3616661,07226r,07226L.07226!,0722APOT'YI83.2583.25¡3.2s83.2583,2583.2583.2s1mÍn1m83.2s7575757SBPONRI79.713779.713779.773779,713779,713779,713779.71i77:1.9289377.9289377.9249379.7r37a2.447282.4542.4582.44725BPOWI100100100100100100100100100100r00t00100r00100WELI-NO+I7156911l1ST7ITASEDÊVER CDEVER CDEVER CDIXON ADIXON ADIXON ADIXON ADIXON ADIXON ADIXON ADIXON ADIXON FEDERAL BDIXON FEDERAT CA BDIXON FEDERALCABDIXON FEDERALCABWell NameDEVER C4DEVER C8DEVER C9DIXON A8DIXON A3DTXTN A2D¡XÔN A1DIXON A5DIXÔN A6DTXON A9DIXON AllDÍXON FED CA 83DIXON FED CA 82DIXON FED CA 81DIXON FED CA B7OPERAÍORAÑTERO RESOURCES PICEANCFCORPANTERO RE5OURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTËRO RESOURCES PICÉANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTTRO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORFANTËRO RESOURCES PICEANCECORPANTIRO RESOURCES PICÉANCECORPANTERO RESOURCES PICEANCECORPANIERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIELDGARFIEIDGÁRFIELDGARFIELDGARFIELDGARRELDGARFIELDGARFIELDGARFIELD6ARFIEtDGARFIELDGARFIELD6ARFIETDGARFIELD6ARFIELDAPINO0504514942000f)0504s149460000050451494700000504s14882000005045148840000o504s148850000050451488800000504514889000f)frso4s1490s000005045138170m00504sï¡818000t05045138190000o504s1:r86900000504s148860000Exhibit A-2 - WellsPage 5 of 22'iH"o{t,.,,#4u$,r=T"i,!f :,xll*;::y*:*:::' APONRI61.07226L.O72267.O72?6t.o7226t.a7226L.O7226I.O7226t.07226L.O7226t.07226r,o7226t.072230.3 12581.581.5APOwl7575757S7S7S75757575757S37.51(l010cBPONRI82.45a2.4472&2.4472a2-447282.45a2.447282.4582.4582.45a2.4472582.4582^4530.312s81.581.5BPOWI10010010010010010010010010010010010037.51001(X)WEII-NOI9541013t6L4LL1512u-8c21.119TEASEDIXON FEDERAT SDIXON FEDEßALBDIXON FEDERAÍ. 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PICÉANCECORPCOUNTYGARFIELDGARFIELD6ARFIELDGARFIELD6ARFIELDGARFIELDGARFIETDGARRELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELD6ARFIEI.I)GARFIELDAPINO05045143680000c504514369000005045143700000050451437100000504s1437200000so45143730000050452042400000s04s2(M2500m0so4s2402700000504520¿1280000150452(142900001504s179690{lO0150¿t519639000015045196400000)5045196410000Exh¡b¡t A-2 - wellsIllllTr¡tüìrF¡1 J{l,lEf Ít r,lil\ht*l, l|úl lÏt' h[ l{l'{Page 6 of 22Recept ion* :ø1t14t2ø13 ø?l9ø of 109 Reci:ti*.ilft .,¿"¡:".*E:i å:Bn GÊFF r ELD ç!1JNry co APONRT8t-530312530.312576.072579.4447L67.0268467.0268479,3733376.012576.OtzS76.DL2579.4047176.OL2576,Ot2576.OL25APOWI1m37.537.J1ü99.gWX'85.8585.8599.9710010010099.9909100100r.o0BPONRI81.530.312530.312575-0t2579.4047767.0268467.926a479-?733376,Ot2576.Ot2s76.Ot2579,4047r76,072576.472s76.0725BPOWl10c37*537.510099.99098s.8585.8599.9710c10c10099.9909100100100wEu_NoL617-8BB {Pr16}17-8 {P116}32L1110798L4412LEASEFßEI AGARÐNERGARDNERG ENTRY BGENTRY BGENTRY BGENTRY BGENTRY BGENTRY BGENTRY BGENTRY BGENÏRY BGENTRY CGENTRY CGENTRY CWell NameFREI A16GARDNER 17-8 {PL 15)GARDNER 17-8BB (PL 16)GENTRY 83GENTRY 82GENTÎY 81GENTRY 811GENTRY B1OGENTRY 97GENTRY 89GENTRY 88GENÍRY 814GENTRY C4GENTRY C1GENTRY C2GENTRY C3OPERATORANTERO RESOURCES PICEANCECORPENCANA OIL & GAs (USA)INCORPORATEDENCANA OIL & GAs (UsA)INCORPC'RAfEDANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCËCORPANTfRO RESOURCES PICEANCECORPANTERO ft ESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICfANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIEI.I)GARTIELDGARFIELDGARFIELDGARFTELDGARFIELD6ARFIELD6ARflEtÐGARFIEI.DGARFfEI..DGARFIELDGARFIEI..DGARFIETDGARFIELDGARFIELDGARFIELDAPINO0504519d12000015045r.579900000so45158000000050451388200000504513886000005()4s:.38870000050451418700000504514188000005045155840m005045155850,00005045155860000050451558900000so45143260000050451432700000504514328000005045143290000Exhib¡tA-2 - wellsCll l l lïr¡ lE ì út¡1,|ül, Hl, tr hi¡{lh,l lüt, ¡hltH'l' ll¡l lll'ú l l l l IReceotion#: 829916ø'1114¡2ø1A 02;13:45 PlYl JËan Êlbericögi'ot'Tø9 Rèı'fee:$sst.øg Dço Fee:0.@Ø GARFIELD couNTY c0PageT of2276:Ot25 APONRI76.Ot2576.AL2S76.OL2S76.Ot2S76.2576.417576.O12576.Ot2579-7979779-7979779.79797E1.1616681.1616681.1616681-16166APOwl10010010010010c10clm1m1æ1001m1m1m100100BPONBI76.OL2576-OL2S76.OL2576.oL2576.2576,ø72576.A!2576.Ot2579.7979779"7979779.7979781.1616681.161ff81.1616681.16156BPOWI10010010010010010010010010010010a10010010c10cWEII-NOt29I54LI6î24t4913tEASEGENTRY CGENTRYCGENTRYCGENTRYCGEñJIRY ECENTRY EGENTRY EGENTRY EGYPSUM RANCH AGYPSUM RANCH AGYPSUM RANCH A6YP5UM RANCH BGYPSUM RANCH BGYPSUM RANCH B6YP5UM fiANCH BWell NameGENTRY C12GENTRY C9GENTRY C8SENTRY C5GENTRY E4GENTRY ElGENTRY E8CENTRY E6GYPSUM RANCH A1GYPSIJM RANCH A2GYPSUM RANCH A4SYPSUM RANCH 836YP5UM RANCH 84GYPSUM RANCH 89GYPSUM RANCH 813OPERATORANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTE RO RESOURCES PICËANCICORPANTERO RESOURCES PICEANcECORPANTÉ,RO ÀESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPqNTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PfCEANCECORPANTERO RESOURCES PÍCËANCECORPANÍËRO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECÔRPANfERO RESOURCES PICEANCECORPANTERO RESOURCE5 PICEANCECORPCOUNTYGARFIELDGARFIETDELDGARFIELDGARFIEIDGARFIELDGARTIEIOGARFIELÐGARFIÊI..DGARFIELD6ARFIELÐGARFIEI..DGAßFIELD6ARFIELDGARFIELDAP¡NO050451526900m050451527100m0504515272(xn005045152980æ0050451392600000s045r.39270000050451419000000s04s14191000005045113740000of)45113750ü1005045145120000flso4s160ß0m005045160360000050451604100000s04s160430000ExhibitA-2 -WellstH'll¡ltLl1It [+t ft{ü lHr,lll'ù ll ll IPage 8 of 22'd!l#äffi-WJ:t"å"83"0ÈlEiåi3" "nnprEro couNTY c0 APONRI81.67aL6781.678L67797904147414!4L81.37581.581.375APOW|99.3699.3699.3699.361001000525252s25210010010cgPONRI8L_6781.678L67a!.î179790a2.765782.?65782.t65782;165782.765781.375E1.581,37sBPIOW|99.3699.3699.3699.36100100099.9599.9599.9599.9599.9510c10c100WEI.J._NO24132l2GO6D910293LEASEHANGSAHANGS AHANGS BHANGS BISI.AND PARK BISIÁND PARK BI.ARAMIELEFT HAND FEDERAL CA ALEFT HAND FEDERAL CA ALEFÍ HAND FEDERALCA ATEFT HAND FEDERI\L CA ALEFT HANO FEDERAL CA AMCLÍN Bl\lcllN BMCLIN BWell NameHANGS A2HANGS A4HANGS 81HAN6S 83ISLAND PARK B2ISLAND PARK 83LEFT HAND FED CA A4IEFT HAND FED CA A9ITfT HAND FED CA A3I.-EFT HAND TÊD CAAlOLEFT HAND FED CAA2MCUN 89MO.JN 83MCUN 87OPfRATORANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEA.I\ICECORPANTERO RESOURCIS PICEANCECORPANTERO RESOURCES PICEANCEcoßPAÌ.ITERO RESOURC€S PICEANCECORPTARAMIE ENER€Y ¡I UMffEDLIABIITfYANTERO REsOURCES PICEANCECORPANTERO RESOURCE5 PICEANCECORPA$TERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIELf)GARTIELDGARFIELÐGARFIELDGARFIELDGARFIETDGARFIELDGARFIETDGARFIELDGARFIEU)GARFIELDGARFIELDGARFIELD6ARFIELDGARFIELDAPINO050451233700000s0451233900000504s1218900m05tr5121900t000504510847000005045108500000050451556Ínoo05045146340000050452057100000s0452057200000504s20s7700000so4s20s810000050451937s0ü)0os04s19377000005045193790000Exhíbit A'2 - wellsPage 9 of 22rilt ff n tqinllH,!rl' {lt r l' lt lrl{1{l'lT'fl1l hll' Hl"l ll ll Iäffå??iåå'qiå' ¡"iElEl,¿s'"oÈ!Ëi åÎã, G âRF r ELD couNrY Go APONRI81.37581.7581.7579.8475479.847s479aL.7sar.7579.8475479.847548L.7581.6867364.5345864.5345881.686-/3APOwl10010010010010010010010010010010099,3726280.780.199.37262BPONRIaL37Sar.7s8L.7579.8475479.A47547981.7581.7579.A475479.8r'7548t7581.5857364.5345864.5345881,685-/3BPOWI10010010010010010010010010010010099.X726280.780"799.37262WELL-NO72t62013242319782246LEASEMCLIN BMcLIN CMcLIN CMCLIN cMCLIN CMcLIN CMCLIN CMGUN cMCLIN CMoLIN CMCLIN cMCPHERSON AMCPHERSON AMCPHERSON AMCPHERSON AWeil NameMCTIN 85MCUN ç7MCUN C2MCLTN C16MCLIN C20MCilN C1jlMCUN C24MCLTN C23McilN c19MCr.tN C1EMCr-rN C2ZMCPHERSON A8MCPHERSON A-4MCPHEFSON A.3MCPHERSON A6OPERATORANTERO RESOU RCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOUßCES PICEANCECORPAI{TERO RESOU RCts PICEANCECORPANTERO RESOU RCES PICEANCECORPANTERO RESOURCES PICEANCEcoRPANTEÊO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPqNTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RÉSOURCES PICEANCECORPA.NTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RfSOURCES PICEANCECORPCOUNTYGARFIELDGARFIELDGARFIETDGARFIELDGARFIEI-DGARFIELDGARFIELDGARFIET.DGARFIELD6ARFIELDGARFIEI,-DGARFIÊI.DGARFIELDGARFIELDGARFIELDAPINO050451938900000s0452010700000504520112C[)0005045201170000û5045201300(nO050452013100000s04520133000005045201380000050452013900000504520ilt000000so4s2014100000s0451¿1475000005045144760m00504514477000005045170670000Exhibit A-2 - wellsPage 10 of22lllllll¡¡H'irl¡$l,tütlù{t l{d:lh[ t#l ll+IIfil lhlLll{'¡ Il lllReceotion#: 829916g[' ¿lt i''g[".:¿' l3å18.ËT .' 8"8!.0È!3i å:3' GÊRF r ELD c ouñ rv co APONRIe.s345864:5345881.4095177.6r81.4095142.542.542.542,542.542.542.542.55.94L83,+39783.439783.439783.4397a?.4797APOW80.780.?99.9806110099.980615'l5,:5N5N5C5t50s06.791m1m1m100100BPONRI64.s345864,5345881.4095177.6781.4095142,542.542.542.54Ls42.542.54?',55.94183.439783.4397a3.+19783.+39783.4397BPOwl80.780.799.9806110099.9806150505050505050506.79100100100100100WEtL.NOI2t21.17234-6-79124A-31-ç9124A.aL-69724C-31-69124D-31-591238-G791?3C-6-79L23D-G79t4ZI-1A1615t41LqIEASÊMCPHÉRSON AMCPHEBSON AMCPHERSON AMCPHERSON AMCPHERSON AMILLER FEDERALMILLER FEDERALMILLER FEOERAIMILTER FEDERALMILTER FEDERALMILTER FEDERALMILTER FEDER-ALMILTER FEDERALNERNORCBOSS ANORCROSS ANORCROSS ANORCROSS ANORCROSS AWell f'l¡måMCPHERSON A-9MCPHERSON A-2MCPHERSON 412MCPHERSON AllMCPHERSON A7MILLER 234.ê791MITLER FEDERAL 24A.31.691MITLER fEDERÀt 248-31.691MILLER FEDERAT 24C.31.691.MII.IER FEDERAT 24D-31-691MITLER FEDERAT Z3B-G79LMI LLER FEDERAL Z3C.G79LIUIITER FEDÊRAL 23D.6-79LNÊR 421-18NORCROSS 416NORCROSS A15NORCROSS 414NORCROSS AllNORCROSS A9OPERATORÀNTERO RESOURCES PICEANCECORPANTERûRESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPBARREfi BILL CORPBARRETl BILL CORPBARRETT BILL coRPBARRETT BILL CORPBARREÏT EILL CORPBARRETT BILL CORPBIARRETT BILL CORPBARRÉTT BILL CORPWILUAMS PRODUCTION RMTCOMPANYANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES P]CEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTY6ARFIELDGARFIELDGARFIELDGARFIELDGARFIELD6AfiHELbGARFIEI,.DGARFIETI)GARFIETÐGARFIELDGARFIEI.DGARFIETDGARFIELDGARIITTDGARFIEIDGARfIETDGARFIEIDGARFIETDGARFIELDAP¡NO0so4517068000005045170690000o504s1707000000s0451707100000504517072000005(H5160Sì200000s04518657(A00050451865800000504s186590m0cso4s186600000cs04s1866100000504518662m000504s186630000050451387000000s04s1sr.660000050451516-100000s0451516800000s045151710000t504.5151730000Exhib¡t A-2 - WellsI lll lTr¡ fil'irF¡Il,lrl¡ l!il L\'Jihfi lr$l Ur\tlHth¡[ lll',¡ ll ll IReception*:8299f8ø111412ø1" ø2113t46 Pn Jean Êlbe¡iao95 of 1Ø9 Reo Feer$551,@0 Doo Fee:ø.@ø GARFIELD COUNTY C0Page tL of 22 APONRI83.439783.439783.439783.439783.439776.0179.37979797979E282APOWl10010010010cx0!10010f100lm1m1æ1æ1m100100BPONRIa3.439783.4!97a3.4?9783.4397a3.4t9776.Ot79.379aı797979828082BPOWI10010010010010010010010010û100100100100100t00WEIT-NOI75+325t7l12s7PA4tfAsENORCROSS ANORCROSS ANORCROSSANORCROSSANORCROSS ANORCROSS ANORTH BANKANORTH BANKANÔRTH BANKANORTH BANKANORTH BANK BNORTH BANK BNOËTH BANK BNORÍH BANK BNORTH BANK Btìrell NameNORCROSS A8NORCROSS A7NORCROSS A5NORCROSS A4NORCROSS A3NORCROSS A2NORTH BANKA5NORTH BANKAlNORTH BAN K A7NORTH BANKA3NORTH BANK 81NORTH BANK 82NORTH BANKBSNOfiTH BANK 87 PANORTH BANK B4OPERÃTORANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RE9OURCES PICEANCECORPANTERO RE5OURCES FICEANCECORPANTERO RESOURCES PICfÁNCECORPAIVÍERO RESOURCES PICEANCECORPAÑTERO RESOURCES PICEANCËCORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOU RCES PICTANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOU RCÊS PICEANCEc0ßPANTERO RESOURCES PICEANCECORPANT€RO RESOURCES PICEANCECORPCOUNTYGÀRFIEtDGARFIELDGARFIELDGARFIELDGARFIELD6ARFIÉtÐGARFIELD6ARFIELDGARTIETDGARFIELD6ARFIEtDGARFIEI-DGARIIETD6ARFIEtDGARFIELDAPINO050451517400000so451517500{100so4515177m00050451517800fi10504515179mo005045181800000c504510903m000s04s1091000000s0451239m0000504s1æ9200000s04s109090fn0050451229300000s045124150000050451241700000504s124180m0ExhibitA-2 -WellsPageT2of 22rtlt nt¡l luì rtr¡l.l |f L|lll l'l.li lhl,lltl l l,¡l'1, lttìlhll lt{.ü ll ll läÅ',"å??iåå:iiå'lå'1"#l ,¿"aL^å?åiåt8,GÊRFrELDcouNryco APONRI7979798181798179.1960379.1960379.1960378.893782.OL4682.014682.0111682.0146ÁPIOW|1001001001û010.!10110c100lflo1001001001m1m1æBPONRI7979798181798L79.1960379.1960379.1960378.8937a2.oL4682.Ot4682,Ot4682.Ot46BPOWl10010010c10c100100100100100100100100lm100100WELL-NO1410tl6rsT25t24321I.EASENORTH BANK CNôRTH BANK CNOR'IH BANK CNORTH BANK CNORTH BANKCNOKTH BANKCNORTH BANK CNORTH BANK ENORTH BANK ENORIH BANK ENORTH SANK ESTOOLE A3'rooLEAoTootsAoroot"EAWell NameNORTH BANK C8NORTH 8ANKClNORTH BANKC4NORTH BANK ClONORTH BANKCllNORTH BANK g/NORTH BANK C5NORTH BANK ElNORTH BANK E3NORTH BANK E5NORTH BANK E12OTOOLE A4oroot.E A3oToor..E A2OTOOI,.E A1OPERATORANTERO RESOURCE5 PICEANCECORPANTERO RESOURCES PICEANCECORPqNTERO RESOURCES PICEANCECORPANTERO RESOURCFS PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOIJRCES PICEANCECORPqNTERO RESOURCES PICEANCE30RPANTERO RESOURCES PICEANCTCORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANT€RO RESOURCIS PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFITLDGARFIELDGARFIELDGARFIEI.I)GARFIEI,.DGARFIEI..DGARFIETDGARFIELDGARFIETDGARFIELDGARFIETO6ARFIEIÐGARFIELDGARFIEI..DGARFIELDAPINO05045109020m0050451090400000so4s10906000005045üÌ61/!00000so4s1:l6t5000005045Ít61800000sû4s136190000osa4st1T77ffio205045146020000Ð50451460300000504s158090000050451375100000so4sr:r7s200000504513753000005045137540000Exhibit 4.2 - WellsPage 73 oi 22lf ll llr¡ Hì rF¡Tl¡T lht|I Hdiltlrl,hll¡ l{ìl¡ flît lïIllll'ù II II IReception$: 823916@_!l 141?q13'ø2: 13:45 Plti Jean n¡baricoe/ or los Reê Fâe:$St.øø Doc Feet@.@Ø GnRFIELD COUNTY cO AFOIVRI87.0222687,t22268t.0222Ê.at.0222687.56.636636.01410.988.138998.138998.138998.l:¡8998.138998.138998,ß8998,138998.ït8998.13899APOwl100100100100100t-t7.51-234689.39.39.39.39.39.39,39,39.39.3BPONSIal'022268!.0222681.022268r.0222687.56.636636.07410.988.13899.8.138998.138998.138998.138998.138998-138998.138998.138998-13899BPiOUÆ1001001001001007.57ÃL.2J4689.3939.39.39.39.39.39.39.39.3wElt__No675I9zo-r3g20-r4D20-1.58PA22-L2PA 21-12PA4L-L2PA42-12PAtS-LzPA24.L2PA44-L2PA522-r2PA42LT2P4322-12I-EASEOTOOLE AOTOOLE AOTOOLEAOTOOLE AOTOOTE ACVERACKEROVERACKER FEDOVERACKER FEDERALPAPAPAPAPAPAPAPAPAPAWell NâmeOTOOLE A6OTOOLE A7OTOOLE A5OTOOLE A8OTOOLE A9OVERACKER FEDERAL 20.138OVERACKER FEDERAL 2O-14DOVERACKER FEDERAL 2}158PA22-12PA2t-r2PA4a-12PA 42-72PA 13-12?A24-t2PA 44-72PA522-L2PA422-t2PA322-L2OPTRAÎORANTERO RÊSOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RËSOURCES PICEANCECORPANTERO RESOURCÉS PICEANCECORPANTERO ÀESOURCES PICEANCECORFLARAMIE ENERGY II TIMITEDLIABILITYIARAMÍE ENERGY II LIMITEDLIABItITfI.ARAMIE ENERGY II UMITEDLIABILTI'YWILLI,AMS PRODUCTION RMTCOMPANYWII-L!qMS PRODUCTION RMTCOMPANYWILLIqMS PRODUCflON RMTcOMPAI'IYWILLIAMS PRODUCTION ßMTCOMPANYWII.IIAMS PRqDUCIION RMTCOMPAÍ\IYWILUAMS PRODUCTION ItMTCOMPANYÙ\i ILLIAMS PRODUCI ION ßM I:OMPANYWILTIAMS PRODUCTION RMT:OMPANYWILLJAMS PRODUCTION RMTCOMPANYWILLIAMS PRODUÇIION RM ICOMPANYcouNwGARFIEI.D6ARFIETDGARFIELDGARFIEI.ÐGARFIETD6ARFIETDGARFIELÐGARFIELDGARTIEIDGARFIELDGARFIETDGARFIËIDGARFIELDGARFIELDGARFIELDGARFIEIDGARFIETDGARFfEIDAPllto0s0451832700000504s1832800000so4s1832900000s0451833000000s(Ms204000000050451242800000504s13157000005045124290ûO00504511932000005045119330000050451193500000504s1193600000s04s145570000aso4st4674000005045146-/6000005045159800000050¿+51598100000s04515982(Ð00ExhlbltA-2 -Wellslltl lTlr lr'irF¡itl,i¡ïl lfil,l [*¡l'lï¡J+{,| lHt lü¡'lhll lll'ù ll lltReceotionF: E29916øMit2ø13 02:13:48 PM Jèarl Albericoge òi 1ø9-neo Fee:$551.øø Doo Fëe'ø.øø GnRFIELD GoUNTY coPage74 ot22 APONRI8.138998.138998.ß8998.ÍÌ8998.138998.üÌ8998.138998.138998-138998.138994.70837.348-7.1447.34879797979AFOWIoa9.39.39.39.39.39.39.39.39.3s.939.39.39.3x0c10010Ð1(ÐBPONRI8.138998-138998.13899f.ilt8998.138998.r:ì8998.138998.ljr899L138998.fft8994.70837.3487.3487.348797c7979BPOWI9.39.39.39.39.3ol9.39.39.39.35.93d2ô¡9.3100100100100WETT-NOPA 521-12PA42L^!2PA4t2-tlPA3t2-t2PA32L-r2PAL2-t2PA 11-12PA 511-12?A3tl-r2PA4Lt-72ta-7FLOWING GASFLOWNG GASFLOWNG GAS46LTEASEPAPAPAPAPAPAPAPAPAPAPAPAPAFABIVER RANCH ARIVER RANCH ARIVER RANCH ARIVER RANCH AWell NamePA52r-L2PA42r-!2PA472-77PA312-72PA32L-a2?AL2-t2PA 11-12PA 511-12PA 311-12PA4rt-72PA LL:l?A3?2-72PA 441-12PA 31-12RIVER RANCH A4RIVER RANCH A6RIVER RANCH A1RIVER RANCH A3OPERATORWILI-IAMs PRODUCNON RMÏCOMPANYWILIIAMS PRODUqTION RMICOMPANYW¡LLIAMS PR0DU TION RMTCOMPANYWILLIAMS PRODUgÍION RMTCOMPANYWLLIAMS PRODUCTION RMTCOMPANYWITLIAMS PRODUCÍION RMÏCOMPANYWIIIIAMS PRODUCTION RMTCOMPANYWITUAMS PRODUCTION RMTCOMPANYWITUAMS PRODUCTION RMfCOMPANYWILLIAMS PRODUC| ION RMTCOMPANYWILL]AMS PRODUCTION RMTCOMPANYWILL¡AMs PRODUCTION RMTCOMPANYWILL!qM5 PRODU TION RMTCOMPANYWILLIAMS PRODUCTION RMTCOMPANYANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES P¡CEANCECORPANTERO RÉSOURCES PICEANCECORPCOUNTY6ARFIEI.I}GARFIEI.OCARFIEI,.DGARFIELDGARFIETOGÀRFIEU)GARFIÉLDGARTIETDGARFIETDGARFIELDGARFIElDGARFIEIDGARTIETDGARFIETDGARFIELDGARFIÉLDGARFIETDGARFIELDAPINO0s045159E3æ00050451598¿t000005(}1151598500fft0s04s1598600000s()4s1598700000s04s1598800000504515989000005045159900000c504515991000005û45159920000050451810200æ0504s190210{no0s04519022flÐ0050451902s0000050451084s00000504510846000005045108490000rs045r-21200000Exhib¡t A-2 - wellsPage L5 of22$ ff¡¡ ltìrF¡1,Iül l{l ñh+li lltit h+Lh!,lfi¡ lll I lll"l I I il IRaeeptionH:829916CJr:?t?E¿¿-3:' l3¿13u'ul. r3'33"0È!:iå:ã' GARFIELD couNry co APONRI79797959.39s867.026A478.789178.749t78.789167.O40L6-l.(Mo167.040176.OL2S79.373!276.042564.s3458APOwl1001C01007585.8s10010010085.85158s.851585.85151û099.9710080.7BPONRI79797959.395879.367A.789178,789778.789179.397379,397379.397?76.012579.37332'16.oL2587AtBPOWI1001001007599.9910010010099.9999.9999.9910099.9710099_98!r¡Ett_No5STL29Sr6345aI11L47413LEASÉRIVER RANCH ARMÉR RANCH BRIVER RANCH BRIVER RANCH CROBfNSONAROBINSON AROBINSON AROBINSON AROBINSON CROBINSON CROEINSON CROBINSON CROBINSON CROBINsON CROBINSON CWel¡ NarñeRIVER RANCH A5RIVER RANCH 81RIVER RANCH B2RIVER RAfTICH CgROBINSON A6ROBTNSON A3ROBINSON A4ROBTNSÔN,A5ROBINSÔN C1ROBINSON C9ROBINSON CllROBTNSON C14ROBINSON C/ROBINSON C4ßoBrNsoN c13OPERATORANTERO REsOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCIS PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICËANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOU RCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCÊS PICEANCECORPANTERO RESOURCES PICEANCECORPANTTRO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RE5OURCES FICEANCECORPANTÉRO RESOURCÊS PICEANCECORPCOUNTYGARF¡EtDGARFIETDGARFIELDGARFIETDGARfIEIDGARFIEI-DGARFIETDGARFfEtDGARFIETD6ARFIELDGARFIELDGARFIELDGARFIEI,OGARFIELDGARFIELDAPINô050451212,t0001050451('848m000s0451085100000504516241000105@151388s00003so4s139350000050451393600000504513937000{)05045146670m0050451466800000504s146690000050451467000000so451467100000504514672000005045146-/30000E)úib¡t A-2 - wellsI I I I llr¡ lt th I lflr ÉT ¡ Fil I Htrf ffi Hrli I J tr I# { l{fl lll' ú ll ll IReception#; 829915út1tr2Ø13 Ø2:13t45 PItl Jeån ÊIbericoiøg or ìøs REo Fee:9551-ØØ Doe Fee:o.Ø@ GÊRFIELD ooUNTY C0Page L6 of 22 APONRI67.033346-7.0333467.0333467.040764,4ffiT167.A33?476,018179.7979779.7979779-7979779,7979176.07'19.t960379.79797APOwl85.8437685.843768s.8437685.8437580.5937485-84t7610'l100r.00!.0c10110¡10410(10cBPONRI79.360L27936412793ût279.397381.3958579360L276.O779.7979779.7979779.7979779.7979776.OL79.1960379.79797BPOWT99.990999.990999.99fi999.9999.9806199.9909100100100r001001001m1m100WEtL-NOt26I2105ST437LAt2tEASEROBINSON CROBINSON CROBINSON CROBINSON CROBINSON CROBINSON CSNYDERASNYDER ASNVDERASNYDER AS¡¡YOER ASNYDERA51,¡YDÉR ASNYDER ASNYDER AWell ftlameROBTNSON C12ROBINSON C3ROBINSON C6ROBINSON C8ROBINSON C2RôBINSON C1OSNYDER A1SNYDER A9SNYDER A5SNYDER A4SNYDERA3STIYDER A1OSNYDER A7SNYDER AllSNYDER 412OPERATORANTERO RESOURCES PICEANCECORPANTÊÊO RESOURCES PICEANCECORPANTERO RÍSOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPÀNTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEÁNCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPA¡,¡TERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTY6ARFIEttrGARFIELDGARFIEI,.DGARFIEI,-DGARFIELD6ARFIELDGARFIÊLD6ARFfELDGARFITTDGARFIEI-D6ARF!ELDGARFIETDGARFIÉIDGARFIELD6ARFIEtDAPINO05045171040m00so45171050000û504s171050000050451710700000s045171080000050451710900000504511917000005@15123940000050451239som10s0451239600003504512397000005045123980000)5&t5ïì8720000)s(x51424100000504514620000Exhibit A-2 - Wellsil fir¡[IlIt¡THthFff ilff !ilf [¡rt|illllilfHrElll,,¡ llllIReception$: 829916ø1t1412ø19 Ø2:13:45 Pt{ Jean Albericol@l of 109 Rec Fee:9581.0Ø Doc Fee:O.ØØ GARFIELD ÇoUNTy COPageIT of22 APONRI76.0r8176.O176.0r797979797970797979.709879.to9r379.7094APOUN1001m1mltr1(F1m1001001ûOLoo1001m10010c1mBPONRI76.OL8176to176.O1'197979797979797979.109879.1$)879.1098BPOWI1ô0100100100100100100100100100100100rco100100WEI.L-NO13rI9t6533zIt ÉASESNYDERASNYDER CSNYDER CSNYDER CVATLEY FARMS BVATLEY FARMS BVATLEY FARMS BVAIT.EY FARMS BVALLEV FARMS BVATLEY FARMS BVALEY FARMS BVALI.,EY FARMS BVATLEY FARMS CVATLEY FARMS CVALLEY FARMS Cwell NãrneSI'¡YDER 413SNYDER C1SNYDER C8SNYDER C9VALLEY FARMS 81VALLEY FARMS 92\,AILEY FARMS 86VALLEY FÀRMS 85VATTEY FARMS 83VALLEY FARMS 84VALTEY FARMS 87VALLEY FARMS 88VALLEY FARMS C3VALLEY FARMS C2VALIËY FARM5 ClOPERÀTORANTERO RESOURCEs PICEANCECORPANTERO RESOURCES PICEANCEcoßPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCE5 PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RTSOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOU RCES PICTANCFCORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIETDGARFIELDGARFIELÞGARFIÊTDGARFIELD6ARFIEIDGARFIILDGARFIEI.DGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIETDAPINO05045146-7800000504510É|O100000s04s1262800000s()451460600fi)0504511173000005045112430000D504512055000005045120600000050451206100000504512062000005045121180000oso451211900000so4s1216000000504512161000005045121620000Exh¡b¡t A-2 - Wellsrl I I ll',¡, Ir Ín I itï [ 1¡ lllF, Hl,¡, llrÍ H ür, H lEllfi l',il| ll{, ù I I I I IReceÞt ion*: 829916ø111412ø13 Ø2r 13:45 PII Jean Rlberico1ø2 oÍ 'lø9 Rec Fâê:$551.@ø Doc Fee:6.80 GÊRFIELD COUNTY COPage t8 of 22 APONRI79.109E79.tO9879.1:0197779.1098d0.1279.1û9879.10fr879.10986t.o'12279.109861".072261.072280.1896880.1896867_O722APOwl1001001001001001001001007510073I)10010073BPONRI79.109879.109879.7097779.109840.1279.109879.109879.10986t.072279.1ür86t.o-t226r.a72280.1896880,t89686!.47228P10wlr00r001001001001001001007S100757510010075WEIL-NO7511013111065231IEÃSEVATLEY FARMS CVAIIEY FARMS CVATLEY FARMS DVALLEY FARMS DVAILEY FARMS OVALLEY FARMS EVALTEY FARMS EVALLEY FARMS EVATLEY FARMS EVAII-EY FARMS EVALTEY FARMS FVALLEY FARMS FVALTEY FARMS FVAI,IEY FARMS FVALTEY FARMS FWell ftlemeVAI.IEY TARMS C7VAITEY FARMS C5VALLEY FARMS DTVALTEY FARMS D10VATLEY FARMS D13VATLEY FARMS E1lVALLEY FARMS E1OVALI.SY FARMS Ê9VALLEY FARMS FEDERAL Ê6VALLEY FARMS E5VALLEY FARMS TEDERAL F2VALLEY FARMS FEDERAT FgVALLEY FARMS F5VALLEY FARMS F7VALLEY ÍARMS FEDERAT FlOPERATORANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTEßO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PfCEANCECORPANTERO RE5OURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOUf,CES PICEANCECORPANTERO RESO URCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPCOUNTYGARFIETDGARFIETDGARFIELDGARFIELDGARFIELD6ARFIELDGAf,FfEtDGARFIELDGARFIELDGARFIETDGARFIEIDGARFIELDGARFIETDGARFIETDGARfIEI-DAPilUO05045122030000050451220400000s04s120830000050451:Ì2980000ûst451410900000504513221(X10005o4s1322200000504513223000005045f¡226000005045ri2270000050451428400000504s1428sm000504514286000005045142890000'5045142900000Exhíbit A-2 -Wellsllil ff'¡ lUhtt¡ïHr,!¡ll¡ì [¡1 flfi ll¡ rtltrEl*ll:Hff lll,ü ll ll IReceÞt¡on$: 829916ø111412ø13 Ø2:13:45 PH Jean Alberico103 of 1Ø9 Rec Fee¡S551.00 Doc Fcôrø.øø GARFIELD CoUNTY C0Page 19 of22 APONRI80_1896861072279.8475479.847s48079.8475479.84754808079.847548064.s345864.534584t 5345864.53458APOW1æ7S1001001001001001C010010010080.780.780.780JBPONRI80.1896867.472279.8475479.8475479.8475479.A4734808079.8475464.5345864.534586+.5345864.53458BPOwl1007S10010010010010010010010010080.780,7EO.780.7wEu_Not45103L261211754)2LEASEVALLEY FARMS FVALLEY FARMS FVALLEY FARMS IVAIIEY FARMS IVATLEY FARMS IVATLEY FARMS IVALLEY FARMS IYALLEY FARMS IYALLEY FARMS IYALLEY FARMS I'/ALLEY FARMS IWEINREIS AWEINREIS AWEI¡{REIS AWEINREIS AW€ll Nar!€VALLEY FARMS F8VALLEY FARMS FEOERAI- F14VALLEYFARMS 15YALLEY FARMS I1OúAIIEY FARMS 13VALTEY FARMS ¡ü¿VALTEV FARMS 16VAI.I.EY FARMS 11VATLEY FARMS 12VÂILEY FARMS I11VALLEY FARMS 17WE¡NREIS A6WEINREIS A4N'EINREIS A3WEINREIS A2OPERATORANTERO RESOURCE5 PICEANCECÛRPANTÊRO RESOURCES PICEANCÊCORPANTERO RESOU RCES PICEANCECÛRPANTERO RESOURCES PICEANCECORPANIERO RÊSOURCES PICEANCECORPANTËRO RESOURCES PICÉANCECORPANTERO RESOURCES PICEANCECORPANÏERO ßESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCES P]CEANCECORPANTERO RESOURCÊs PICEANCECORPANTERO RESOURCES PICEANCECORPANTERO RESOURCIS PICEANCECORPANTERO RESOUßCES P¡CEANCECORPCOUNTYGARFIELDGARFIETDGARF'EtDGARFIETDGARFIELDGARFIELDGARFIELDGARFfELDGARFIET"DGARFIELDGARFIETDGARFIELDGARFIELDGARFIELDçARFIELDAPINO050451601100000504s160120000c50451816600000s045L816800000504519492000005045111493000005045194940000050451949500000504519497000005045194980000050451959000000504s1s12700000s0451512900000504515ür0000005045151310000Exh¡b¡rA-2 -wellsPage2} of22lllllïFn lrtrtt{i[ïüilf lllft llf''f ilfi llr¡stttff HlÏlll,ü I lilReception#: 929918ø11.141_2ø1.3 Ø2:13:45 pft Jean ÊIberico1M or 1Ø9 Rec Feê:gs61 .óø-ito;-Fä;ı:øø GARFIELD couNÌy co 7LL937358.3485.02297979797979.77i7a2.296377.928572.0976.2580.8985858577.5APONRII77.577.51001æ10010010û10û10086.947L466,6666671001001001001001{}c100100APOWII10û10c80.897r.t9?73s8.3485.0229797979798579.713782.296377.928972.O976.2577.5858s77.sBPONRII77.5100100100a6.9+7L466.6666671001001001m100100100100100100BPOW¡I100100100100A6A1MAVES FED CA A1811gL7815820A3A7A1c1087A6csF 1-10wcsF 21A-18-07-91c5F 118-18-07:91c7WELL NOIA8A5GYPSUM RANCHHOFFMEISTERTUNDGRENMAVESMCLINMCTINMCLINMCLINÐEVERDIEMOZDIXONFËNNO RANCHGENTRYBURCI(LEcsFcsrcsFI.EASEBURCKtfBURCKLEMCLIN B2OGYPSUM RANCH 87HOFFMÉISTÊR A6LUNDGREN A1MAVES FED CAA1MCUN 811MCUN 817MCUN 815DEVER C7DIEMOZ A3DIXON A7FENNO RANCH A1GENTRY C1OBURCKTE A6cSF 1-10WcsF 214-1&07-91csF 118-18-07-91well NameBURCKI.E A8BURCKLE A5ANTERO RESOU RCES CORPORATIONANTERO RESOU RCES CORPORATÍONANTERO RESOU RCES CORPORATIONANTERO RESOU RCES CORPORATIONANTERO RESOURCÉS CORPORATIONANTERO RESOU RCES CORPORATIONANTERO RESOU RCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOU RCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RE5OURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CO RPORATìONANTERO RESOURCES CORPORATIONANTERO RESOU RCES CORPORATIONANTERO RE5OURCES CORPORATIONOPERATORANTERO RESOURCES CORPORATIONGARFIELD6ARFIELDGARFIELDGARFIELD6ARTIELDGARFIELDGARFIELDGARFIELD6ARFIEI."DGARFIEI-DGÀRFIETDGARTIELDGARFIELDGARFIELDGARFIEI-DGARFIELDGARFIETDGARFIETDCOUNTYGARFIEIDcs04s193810000050451938200000s045193830m00sO45148830000050451972800000s@r51s29700000504s1603900000504s173470000osoAs11276ü)000504s197320000oso4s1938000000504s1219800fi)05045149450000050451992¿10000APINO05045139s9000005045169890000050451699æo00o5045062730000orr4$93180000OTHERExhibít A-2 -WellsIl ll tïr¡ I rITr I tï[ì | l, lil I ¡f l¡$ñI l[ E ltE l#{l tf lfl ' ú I I I I IRecept ion$ : 8299 16üf 14'f2@13 O2:13:45 Pl'l Jean nlberico1Ø5 of 1Ø9 Rec Fee:$551.@0 Doc Feetø.@ GARFIËLD cOUNTY CtPage2L of 22 APONRI79a3.439779.38567.033381.679.1æ8797979ÀPOW¡10010010c10c85.8437510c10010010010cBPONRI79a3.439779379.3981-679.1098797979BPOwl10010010010099.99100100100100100WELT NO816A1c4B1csA1F4FlHt1HLEASEMCUNNORCROSSNOTÍH BANKPORTERROBINSONTTIREÊ SIBUNGSVALLEY FARMSVALLIY FARMSVALTIY FARMSVALTEY FARMSWell NamaMCLÍN 816NORCROSSAlNOKTH BANK C3PORTER 81ROBINSON C5THREE SIBLINGS A1VALIEY FARMS D3VALLEY FARMS T4VALLEY FARMS Fl.HVATIEY FARMS I1HOPERATOBANTERO RESOURCES CORPORATIONANTERO RESOURCE5 CORPORATIONANTERO RESOURCTS CORPORATIONANTERO RE5OURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RESOURCES CORPORATIONANTERO RE5OURCES CORPORATIONANTERO RESOURCES CORPORATIONCOUNTYGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARFIELDGARTIEI.DGARFIELDAPINO0504s1938rt00000so451518100000504s13616000005û45197270000050451466600001s04519905m000504512082m000so4s1428700010so4518286000005045194960000Exhibit A-2 - WellsPage22of22lil firr ilIll ttT !'J,þfl [ nT¡ flilfi l'+/Èl'i¡f, fü fl#tilil "¡ I I I I IReception$: 829916ø1{1412ø1? @2:13:45 Pll Jaan Alberiao106 of 109 Rec Fee:9551.øø Doc ree;d.o0 GÊRFIELD 6OUNTY co '- o-i.-,! ,.=G dl#o'lc,= E,t Ëq.Ê eto :E g* :s å* Ë¡åI- ''Ìã=ã =-.(,dúi#esiËïii -Èt¡6ËAl F<",o Fãs:Ë -0!s o: Íl-r- -ËË: E)-CrrBIr B EASEMENTS Attachcd. Exhíbit B to [Ipstedm Assignment and Bill of Sale Exhibít B - EasementsIlll lil¡¡ l l¡l UtlË t! lrIIReceotion#: 829916ø1 r 1tit2ø13 02r 13r46 Pllìøe ot tøg Rec Fee:$551.,tut tffi llfi l+luf#ft{ffll{'ü ll ll Idå"3":tP:!:â:o@ GÊRFTELD côuNrY coUpstreamUpstrramUpstreamUpstreamUpstreamUpstreamUpstreamUpstreamUpstreamUpstreamUpstreâm7t5844747L34749776747686827260704105a2726tt!2Ol2}t2t/2412oo7+tzJ/zaos613120084/3O12OO8Lt/2O/2ot28lLa120062179184004182179161004382L77t2LOg5!4,7L77L2t9o5t52L77L2L005r4,2.L77721!005L52L797640049021790930071621791"91005112t79!9t105rt2179094001082t79L7400174,zfl9L6a0300221790920010181812006LUt6/20r2a22/2007417/20A8lu20l2otÐs/7612008rl6l2OLrrls/2oa74127/2oo8Lilt6l2Ù12L2/23/2070Antero Resources PiceanceCorporationAntero Resources PiceanceCorporationAfitero Resources PiceanceCorporationAntero Rêsources P¡ceanceCorporatlonAntero Resources PiceanceCorporationAntero Resources PiceanceCorporat¡onAntero Resources PiceanceCorporationAntero Resources PiceanceCorporationAntero Resources P¡ceanceCorporationAntero Resou rces P¡ceanceCorporationAntero Resources PiceancecorporationBrynildson, Scott & LindaBarta, K¡mberlyValley Farrns, lnc. / D¡xon WatêrFoundationColorado R¡ver Rânch LLCI Bruce Snode & Dee SnodeDry Creek Properties, LLCNorth Bank Holdings LLCNorth Bank Holdings LLCAlbert & Karen O'TooleGypsum Ranch Cô., LLCBrynildson, Scott & LindaANT-L-07{060.3ANT-W-124072.1ANT-R-06{078ANT-L-1GOO91ANT-W-12{001.1ANT-12-07{025ANT-R-O8-0037ANT-I-1G0037.1ANT-L-O8-0046.3ANT-L-I1-0057ANT-L-07{060.2Page 1 of 1 -€ãIOrÂ:(O\X -iËÊE9:i,fiäFåä!!+qE'=.-lBå. -¡p3 ==åËËËË Ë3=o .FEi+HlhIFP#=þ;=EXIIIBru CEXCLI]DED ASSETSTitle HolderAntero Resources Piceance CorporationLícense Plate #016S)GRegistrationStateCOVINlGNFK13048F*2262l0ModelTahoeMakeChewoletYear2008Exhíbil C ro (IpstreamAssignwent and Bill of Sale ffiunsa':r,m,pN&ú V¡lLy SwS bc1t0tu3ú. süt súþ2t3kqüed FæUn Op@ti¡g Co.792 Buckhom DiveMe, & 8ló50Watson Rmch B Pad Site Plelec. U, Tomshþ 7 Sourh' Reg€ 95 Wêstlofl@r47t,i1aISite PlanWatson Ranches, LTD ParcelSituate in Section 17, Township 7 South, Range 95 West, 6th Principal Meridian,County Of Garfield Søte Of ColoradorrtdJÌtd"jjË,.tft'"f"/dccr".$"f-fct#-"-sqq!9!gt)tuhrqtsújdroldd,adal@stubdlfudRde@vtutuhdidÀrd46¡rom¿tuMYÆdtus@@hENdk@aykvúryslryh,Ðn!tutrtusrywroe6,20raÐBd¡trÀ@PútusryL^s@trs0r¡356v4^ßnfurQFdbrs.MoEÛdMp@dr 15 k â q L,s, use8 Fd h PG,4)U#dMtuFddMdtfr'siÈtuhÈdùft.vñryHRdoek4ls3AR46No.9rlalbft!ffiddh9tuMlJffiDdpdo¡Surdo/r Cddb^ hd 0f d Ltu b û 9t4 ofsdm l¿r.di?sdk.e5vú6¡M.Bd3!@turyr)ddq¡.¡@rù.$tuhddÈdÈdDtub¡d'¡@k.hu@fuENñ¡9M:KNfuÈ'TOU@ù&EtÈùhrdÈlb?0@mEþtu4Mdlr @1hNd{tuù:ftéewdr0Rsdgsqóskbù@dbEnswrcwuorsd@u,T(¡@7s@r,hÀhd^@h3ryLroftuseorcoMhHdycd&tutuswry$ûDHdbvùIl@ryk,F6uil(]l!@.:o|!w,1æ.BrMiùuda ryksrtÑMtutushtuL^tuEú^ldoftu¡ÈU¡@úr@0Mffi 17:xÚ.bl0kùrftoENoúrMl11æwdroR4tu6MBkbd.ryO!hÚEBdùMÐ1933.@úffiqyPtu,tuftùIldy?D*lHhiB.@rR@No.er4r MhLq2, ¡ee¡. l@trød4 súücdo.DfuMÙzdMPúfuMüC@@btÉélwfuññl-J ¡"¿ I/=1 O\oLssoN ASSOCIATES March 12,2015 Addendum to the Geologic and Natural Hazards Report - January 2015 Seismic Hazards Associated with the Ursa Operating Company, LLC Watson Ranch Class ll Underground lniection ControlActivity Olsson Project #01 4-3005 Olsson reviewed available published geologic reports and maps for the proposed Ursa Watson Ranch Class ll Underground lnjection Control (UlC) well. The proposed Watson Ranch B UIC well pad is located to the northeast of the town of Parachute, Colorado off of County Road 303. The site is located in the SE % SW % Section 17 ,175, R95W, 6th P.M. and is located in parcel # 240717300129. lnjection Wells and lnduced Seismicity Most earthquakes or seismic events occur as the result of natural geologic phenomena. There have been some cases where seismicity was suspected to have been triggered by injection of fluids into the subsurface. lnduced seismicity is defined as a phenomenon caused by human activities, such as injecting waste water into UIC disposalwells, which results in a release of energy within the earth. Several investigations are undenrvay to explore a potential link between seismicity to operation of a few of the nation's approximately 30,000 Class ll UIC wells used by the natural gas and oil industry to dispose of produced water or to enhance resource recovery. These Class ll injection wells are a subset of more than 800,000 injection wells nationwide that handle a variety of industrial wastes and the development of various minerals and geothermal energy sources (APl, 2012). Underground lnjection Gontrol Regulation The U.S. Environmental Protection Agency (EPA) regulates the UIC program and the injection of fluids related to oil and gas production as Class ll disposalwells forthe protection of underground sources of drinking water (USDWs). ln many cases, the EPA delegated authority to implement the UIC program to the states, with 39 states having primary authority over 95 percent of all UIC Class ll wells. The EPA delegated primacy for regulation of Class ll UIC wells to the State of Colorado in April 1984. Class ll UIC wells inject fluids associated with oil and natural gas production. Most of the injected fluid is salt water, or brine, naturally present in the formation, produced along with the oil and gas and is injected into a deep disposalwell into a formation that contains brine with similar or more saline water quality characteristics. Underground lnjection Control and Seismicity in Colorado The Colorado Oil and Gas Conservation Commission (COGCC) is the agency in Colorado with primacy for permitting Class ll UIC wells associated with oil and gas production operations. The COGCC regulates operators of Class ll UIC wells in accordance with federal law and COGCC's 4690 Table Mountain Drive, Suite 200 TEL 303.237.2072 Golden, CO 80403 FAX 303237.2659 www.oaconsulting.com rules and policies which are in place to reduce the likelihood of induced seismicity. The current safeguardi defined by the COGCC permit process include limits on injection volume at pressures below the fracture gradient. The permit process also involves input from the Colorado Division of Water Resources (CDWR), the Colorado Geological Survey (CGS), the Colorado Department of Public Health and Environment (CDPHE), and EPA Region I UIC program in Denver. The COGCC requires Class ll UIC wells be properly constructed with cemented surface casing and production casing to isolate and prevent fluid flow between the injection zones and USDWS. The COGCC UIC engineer reviews all relevant information including hydrogeologic studies, CDWR water ryell information, COGCC geophysical well logs from area production wells. The COGCC UIC engineer also reviews information on the specific formation and well construction data submitted by the operator, including resistivity, cement bond, and geophysical logs to verify that 1) the surface casing is set below the fresh water zones used as a water supply, and 2) production casing and cement placement and quality adequately isolate the injection zone and USDWs including fresh water zones that are not currently used as water supplies. The COGCC requires mechanical integrity tests (MlT) be performed on the injection wells every five years. The maximum surface injection pressure is calculated based on a default fracture pressure gradient of 0.6 pounds per square inch (psi) per foot of depth. The operator may conduct a State Rate lnjection Test to define whether a higher injection zone fracture gradient exists. The COGCC UIC engineer designates a maximum surface injection pressure as a condition of permit approval. lt is the COGCC's policy to keep injection pressures below the fracture gradient, which is defined for each injection well, in order to minimize the potential for seismic events related to fluid injection. Mitigation and Minimization of lnjection'lnduced Seismicity lnjection-induced seismic events have the potentialto impact USDWS. The EPA's UIC program has undertaken investigation of a number of recent small to moderate magnitude seismic events recorded in areas with Class ll disposalwells related to unconventional hydrocarbon production. The EPA's Office of Ground Water and Drinking Water (OGWDW) Drinking Water Protection Division requested that the UIC national Technical Workgroup (NTW) develop recommendations for consideration by UIC regulators. The UIC NTW consists of UIC staff from each EPA regional office, EPA headquarters, and six state UIC program representatives. ln June 2011, a subgroup was formed to develop a report of recommending possible strategies for managing or minimizing significant seismic events associated with induced seismicity in the context of Class ll disposal well operations. Unconventional production activities and larger volumes of waste water have created a need for increased disposal capacity, and the permitting of new disposal wells to handle large volumes of produced water and other exploration and production related waste water. Of the 30,000 Class ll UIC disposal wells, very few have produced seismic events with magnitudes greater than M4.0. ln addition, the EPA is unaware of any USDW contamination resulting from seismic events related to injection-induced seismicity (UlC-NTW, 2014). The NTW identified three key components that are thought to contribute to injection-induced seismicity: 1) the presence of a stressed fault, 2) pressure buildup from disposal operations, and 3) a pathway for the increased pressure to communicate from the disposal well to the fault. The NTW used a strategy that summarized geoscience factors and applications, applied petroleum engineering methods, compiled and reviewed historic and current scientific literature from 2 Ursa Operating Company, LLC Ofsson Associates Watson Ranch Class ll UIC Well Golden, Colorado March 2015 Olsson Project #014-3005 ongoing projects and materials associated with injection-induced seismicity, and selected case examples of Class ll brine disposal wells suspected of inducing seismicity in different areas of the country. According to the NTW report, a fault of concern is a fault optimally oriented for movement and located in a critically stressed region. The fault is also of sufficient size, possesses sufficient accumulated stress/strain, such that fault slip and movement has the potential to cause a significant earthquake. A fault may consist of a single fault or a fault zone comprised of multiple faults and fractures. Structural Geology The Watson Ranch UIC well site is located in an area on the southern margin of the Piceance Basin. The Piceance Basin is a broad structural and depositional basin trending northwest, that formed during Late Cretaceous time. The sedimentary rocks gently dip between 2o to 5o northward into the center of the basin. The surface geology of the site area consists of unconsolidated Quaternary age deposits. These deposits are typically several tens of feet thick, and totalthickness may be as much as 150 feetthick. These unconsolidated sediments obscure fractures and faults in the bedrock in the area; however, no there are no known major faults mapped in the area of the site. Regionally within the Piceance Basin there are faults that trend to the northwest. There are several northwest-trending faults present on the north side of Plateau Creek to the south of Battlement Mesa and north of the Grand Mesa. These faults cut rocks as young as the upper Wasatch and possess throws of less than 150 feet. Small recent fractures in the basalt capping Grand Mesa are a result of landslide activity and do not extend far below the base of the basalt (Yeend, 1969). Recent seismic data for the area near Rifle suggests that monoclines, such as the Grand Hogback, and similar monoclines in the Rocky Mountain foreland near the boundary with the Colorado Plateau, overlie a west-, southwest-, or south-directed thrust system. The Grand Hogback is interpreted as having formed above the tip of a Precambrian basement rock wedge blind thrust fault that moved southwest and west-southwest into the Piceance Basin. The Divide Creek Anticline and the Wolf Creek Anticline, located to the west of the Grand Hogback, are thought to be related to this same thrust system (Grout and Verbeek, 1992). These faults were active when the Colorado Plateau and Rocky Mountains were being uplifted during the Laramide orogeny during the late Cretaceous period. Northwestward-trending faults with displacements large enough to be shown on areal geologic maps are not common in the area; none have displacements exceeding 150 feet, and none were traced for more than a mile. The faults of this set are uniform in strike direction, but some appear to have had complex zones of movement and jointing rather than simple displacement (Fischer, 1960). The largest fault in the Rifle area, trends slightly north of west, nearly parallel to regional strike. The strike refers to the attitude or position of linear features such as faults, outcrops, beds, joints, and folds. ln this case the regional strike is controlled by the structural orientation of the Piceance Basin. The maximum displacement along this fault is about 500 feet observed in the southern part of Section 34, Township 4 South, Range 92 West, and was mapped for about six miles in the area (Fischer, 1960). As many as 30 faults are described in the area of the Grand Hogback west of Glenwood Springs. These faults consist of a series of parallel, northwest trending, west dipping, normal 3 Ursa Operating Company, LLC Olsson Associates Watson Ranch Class ll UIC Well Golden, Colorado March 2015 Olsson Project #014-3005 faults that have broken the basalt cap and basalt gravels. The offset Quaternary basalt gravels indicate possible recent movement, but due to the nature of deformation, large earthquakes caused by the process would seem unlikely (Kirkham and Rogers, 1978)' The structural geology of the Roan Plateau area to the north of the site and on the southwestern flank of the Piceance Basin is fairly simple. The deepest part of the basin is about 18,000 feet below sea level and lies about 18 miles to the north of the Roan Plateau. The depth to the Precambrian basement within the area increases from about 7,500 feet below sea level at the southwestern corner of the area to about 14,000 feet below sea level along the northern boundary of the area (Hail, 1992). There are no major faults in the central Roan Plateau area. Three narrow grabens are present along a northweét-trending fracture zone to the north of the Crystal Creek anticline in the central part of Township 4 South, Range 96 West, and Township 4 South, Range 97 West. Maximum measured stratigraphic displacements on these faults do not exceed 120 feet; most are considerably less. These grabens are thought to lie along a single fracture zone that extends for a total distance of about 9 miles (Hail, 1992). Colorado Geological Survey Earthquake and Late Genozoic Fault Map According to the Colorado Geologic Survey most people are surprised to learn that natural earthquakes do occur in Colorado. The largest known earthquake Colorado experienced was a magnitude 6.6 earthquake in November 1882 in north-central Colorado. Natural earthquakes can be triggered by movements along faults, by rock fall, or subsidence resulting from the collapse of underground mines. Uplift of the Colorado Rocky Mountains and Colorado Plateau, and the creation of the Piceance Basin, occurred as a resultof tectonicactivityand movement along faults during the Late Cretaceous and early Tertiary geologic periods. The 2014 USGS National Seismic Hazard Maps display earthquake ground motions for various probability levels across the United States. The maps show the Parachute - Battlement Mesa area as having 0.03 to 0.05 peak ground acceleration, expressed as a fraction of standard gravity (g), with a ten-percent probability of exceedance in 50 years. Maps prepared by the USGS and the Colorado Geologic Survey do not show any Quaternary faults in the Parachute - Battlement Mesa area. The only seismic event shown on the Colorado Geologic Survey Earthquake and Late Cenozoic Fault and Fold Map Server in close proximity to the site is related to the Atomic Energy Commission's Project Rulison in September 1969. Project Rulison was an induced seismic event resulting from the detonation of an underground nuclear device to stimulate natural gas production from tight sands at a depth of 8,426 feet. lt had a magnitude of 5.3 on the Richter scale. Another underground nuclear detonation induced seismic event took place at the Rio Blanco test site in Rio Blanco County northwest of Rifle, Colorado in May 1973. The Rio Blanco test involved simultaneous detonation of three 33-kiloton nuclear devices and was also designed to stimulate natural gas production from tight gas sands. The event had a magnitude of 5.4 on the Richter scale. Two 2.9 magnitude quakes occurred near Douglas Pass including one on March 8, 1994, and another 2.9 magnitude earthquake that occurred on March 19,2002. These earthquakes appear to be the result of natural causes and are not related to injection of fluids. Earthquakes have been recorded in eastern Garfield County. The area of New Castle has experienced earthquakes with one reported on December 21, 1906, and two recorded in late December 1920. These are taken from newspaper accounts at the time and are described as 4 Ursa Operating Company, LLC Olsson Associates Watson Ranch Class ll UIC Well Golden, Colorado March 2015 Olsson Project #014-3005 'felt reports' meaning that they were taken from personal accounts at the time. These earthquakes were assigned an intensity of lll and V, respectively, on the Mercalli scale based on the described damage. More recently earthquakes have been recorded in the New Castle area including two in October 1 990 with magnitude o'f 2.1 and 2.3 on the Richter scale, and another on December 12, 1990 with a magnitude o'f 2.7 on the Richter scale. A 4.3 magnitude earthquake occurred near Glenwood Springs in January 1971; a2.2 magnitude earthquake occurred north of Glenwood Springs on August 10,2OO1; and another 3.8 magnitude earthquake occurred five miles west of Glenwood Springs on February 8, 2006. A 2.5 magnitude earthquake was recorded on July 9, 2009 near Palisade in Mesa County. An earthquake occurred north of Grand Junction on January 30, 1975 and had a magnitude of 4.4 on the Richter scale and was felt as far away as the towns of DeBeque and Delta. Colorado is well known in earthquake literature for a swarm of earthquakes that occurred in the 1960s and were linked to operation of a deep chemical waste injection well by the Army Corps of Engineers at the Rocky Mountain Arsenal near Denver, Colorado. Studies have also been conducted in Colorado to control seismic activity by monitoring fluid pressures and the quantities of fluid injected. Summary The COGCC and EPA have safe guards in place to prevent injection induced seismic events from occurring. The Class ll UIC well must be constructed to prevent communication between the disposal zone and overlying fresh water zones. The Class ll UIC well must pass a mechanical integrity test and must be re-tested every five years. The injected volumes and maximum surface pressures recorded in the permit are designed to be below the fracture pressure gradient. There are no mapped or known major faults in the area. Most of the northwest trending fault traces that have been mapped in the region show limited displacement of 150 feet and are not laterally extensive. There are relatively few recorded earthquakes in the area of the site, as shown on the Colorado Geologic Survey Earthquake and Fault Map server. The closest seismicity events are related to the detonation of subsurface nuclear devices in the late 1960s and early 1970s. The sedimentary rock in the formation used for disposal would have to be isolated from shallow fresh water supplies and demonstration of this is required in the permitting process. For injection induced-seismicity to occur, there would have to be a connection from the injection zone formation to a stressed fault. OLSSON ASSOCIATES 1fu8r,r#k James W. Hix Senior Geologist Ursa Operating Company, LLC Watson Ranch Class ll UIC Well March 2015 5 Olsson Associates Golden, Colorado Olsson Project #01 4-3005 References Blume F., and Sheehan, A.F., 2003, Quantifying Seismic Hazard in the Southern Rocky Mountains Through GPS Measurements of Crustal Deformation, University of Colorado, Boulder, Department of Geological Sciences, 9 p. Fischer, R.P., 1960, Vanadium-Uranium Deposits of the Rifle Creek Area, Garfield County, Colorado, USGS Bulletin 1101, 52 p. and 4 plates Grout M.4., and Verbeek, E.R., 1992, Fracture History of the Divide Creek and Wolf Creek Anticlines and lts Relation to Laramide Basin-Margin Tectonism, Southern Piceance Basin, Northwestern, Colorado, USGS Bulletin 1787, 232 p. Hail, W.J., Jr., 1992, Geology of the Central Roan Plateau Area, Northwestern Colorado, USGS Bulletin 1787 , R24 p., 2 plates, I figures Kirkham, R.M. and Rogers, W.P., 1978, Earthquake Potential in Colorado, a Preliminary Evaluation, Colorado Geological Survey Open File Report 78-3,211 p. McClain, W.C., 1970, On Earthquakes lnduced by Underground Fluid lnjection, Oak Ridge National Laboratory, Union Carbide Corporation for the U.S. Atomic Energy Commission,22 p. Oaks S.D., and Kirkham, R.M., 1986, Results of a Search for Felt Reports for Selected Colorado Earthquakes, Colorado Geological Survey, lnformation Series 23, 89 p. Yeend, W.E., 1969, Quaternary Geology of the Grand and Battlement Mesas Area, Colorado, USGS Professional Paper 617, 50 p. and 1 plate API Document,2012,lnjection Wells & lnduced Seismicity,2 p. COGCC, January 19,2011, COGCC Underground lnjection Control and Seismicity in Colorado, 5p. U.S. EPA Underground lnjection Control National TechnicalWorking Group, Revised November 12,2014, Minimizing and Managing Potential lmpacts of lnjection-lnduced Seismicity from Class ll DisposalWells: PracticalApproaches, 415 p. lnternet Websites Colorado Geological Survey http:l/coloradogeologicalsu rvey.org/geologic-h azardsl earthquakes-2/ USGS Earthquake Hazards Program http://earthquake.usgs.gov/hazards/products/conterminous/index.php#2014 b Ursa Operating Company, LLC Watson Ranch Class ll UIC Well March 2015 Olsson Associates Golden, Colorado Olsson Project #01 4-3005 Colorado Oil and Gas Conservation Commission Home Page I]OME floloratlo til ãn(l Gäs C ons ervation fl orrurds siotr .:" trL[ of Natúral Resources PRINT PAGE HELP CONTACTS COMPLAINTS DATABASE FORMS GENERAL HEARINGS IMAGES KIDS'PAøE LIBRARY LOCAL GOV MAPS MISSION NEWS/MEDIA ORDERS PERMITS POLICIES RULES STAFF RPT COGIS - Surety Detail COMPANY DETAIL REPORT for Surety lD:2O12-0126 URSA OPERATING COMPANY LLC - #10447 602 SAWYER STREET #710 HOUSTON ,TX 77007 USA Surety lD:2012-0126 Status:ACTIVE Operator Number:10447 Bond Amount:$25,000.00 lnstrument:INSURANCE lnstrument Number:R180014890 Coverage BLANKET Bond Type:SURFACE Limitation:0 Deposlt Number: PDPA Number: Received Date:1211412012 12t14t2012Approved Date: Maturity Explre Date: 74790FA Provider Number: RLI INSURANCE COMPANYFA Provider Name: Deposit Date: N/ARelease Request Date: N/ARelease Date: http ://cogcc,state.co. us/[ 1/29 /20t5 2 : 53 : 1 1 PM]