ASSIGNMENT APPROVAL - ML 52058 - METALLIFEROUS MINERALS€¦ · 13/11/2017 · ASSIGNMENT APPROVAL - ML 21613 - OIL & GAS DA Date: 11/13/2017 Status: Approved by David Ure Department:

ASSIGNMENT APPROVAL - ML 52058 - METALLIFEROUS MINERALSCoal & MineralStatus:11/13/2017 Approved by David Ure Department:DA Date:

Hale, AlyDrafted By: 723ID:

CONTRACT DETAILSAdministrator: Mansfield, Jerry County: Juab Total acres: 640.00

Start Date: 11/01/2011 Beneficiary: School

Expiration Date: 10/31/2021

FINANCIAL/REVENUEAssignment fee of $50.00, check number 881684, was submitted.

SUMMARYA record title assignment is approved for 100% interest in this lease to Golden Dragon Capital LLC, c/o Ming-Ho Du, 7045Newhall Drive, Highlands Ranch, CO 80130-4112, by Drum Mountain Mineral Properties LLC. No override reserved, butacknowledgement regarding previously reserved overriding royalty is included with the assignment.

TYPE OF RECORD: APPROVAL

State of Utah School and Institutional Trust Lands Administration Page 1 of 1Form 2

ASSIGNMENT APPROVAL - ML 52055 - METALLIFEROUS MINERALSCoal & MineralStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACT DETAILSAdministrator: Mansfield, Jerry County: Juab Total acres: 1,280.00



FINANCIAL/REVENUEAssignment fee of $50.00, check #881685, was submitted.

SUMMARYA record title assignment is approved for 100% interest in this lease to Golden Dragon Capital LLC, c/o Ming-Ho Du, 7045Newhall Drive, Highlands Ranch, CO 80130-4112, by Drum Mountain Mineral Properties LLC. No override reserved, butacknowledgement regarding previously reserved overriding royalty is included with the assignment.



ASSIGNMENT APPROVAL - ML 21613 - OIL & GASOil & GasStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACT DETAILSAdministrator: Adams, Wes County: Grand Total acres: 640.00



Royalty Rate: 12.5%

FINANCIAL/REVENUEAssignment fee of $50.00, check #1190, was submitted by Gary A Jerman.

SUMMARYA record title assignment is approved for .833% interest in this lease to Fortune Resources LLC, 1490 W Canal Court, Suite3000, Littleton, CO 80120, by White Hawk Royalties, LLC. No override reserved.



ASSIGNMENT APPROVAL - ML 21613 - OIL & GASOil & GasStatus:11/13/2017 Approved by David Ure Department:DA Date:





Royalty Rate: 12.5%

FINANCIAL/REVENUEAssignment fee of $50.00, check #173, was submitted by Gary A Jerman.

SUMMARYA record title assignment is approved for .833% interest in this lease to White Hawk Royalties, LLC, 1499 Blake Street, Suite 4 I,Denver, CO 80202, by George McLaughlin (0.4165%) and Jeanie Shaterian (0.4165%). No override reserved.



ASSIGNMENT APPROVAL - ML 4189 - OIL & GAS - LONE MOUNTAIN BY EHLERSOil & GasStatus:11/13/2017 Approved by David Ure Department:DA Date:





Royalty Rate: 12.5%

FINANCIAL/REVENUEAssignment fee of $50.00 was paid by check #1014 ($150.00).

SUMMARYA record title assignment is approved for .219674% interest in this lease to Lone Mountain Production Company, P.O. Box80965, by the Estate of Murray F. Ehlers. No overriding royalty reserved, but subject to 3.00% overriding royalty previouslyreserved. Effective June 1, 2004, the School and Institutional Trust Lands Administration assumes no responsibility in reviewing,collecting, or distributing overriding royalty.



ASSIGNMENT APPROVAL - ML 4189 - OIL & GAS - LONE MOUNTAIN BY ERFURDTOil & GasStatus:11/13/2017 Approved by David Ure Department:DA Date:





Royalty Rate: 12.5%

FINANCIAL/REVENUEAssignment fee of $50.00 was paid by check #1849 ($150.00).

SUMMARYA record title assignment is approved for .488167% interest in this lease to Lone Mountain Production Company, P.O. Box80965, by the Estate of James H. Erfurdt. No overriding royalty reserved, but subject to 3.00% overriding royalty previouslyreserved. Effective June 1, 2004, the School and Institutional Trust Lands Administration assumes no responsibility in reviewing,collecting, or distributing overriding royalty.



SEALED BID - 10/30/2017 - OIL GAS & ASSOCIATED HYDROCARBONS - LEASEAPPROVALS

Oil & GasStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACTS DETAILSML 53647 Unit: 2 Total Acres: 480.00

Lessee: WEM DRAGON, LLC

Address: 1411 EAST 840 NORTH Administrator: Adams, WesOREM, UT 84097

Winning Bid: $993.60

Other Bids: None

Beneficiary: Reservoirs 160.00 ac (33.33%);School 320.00 ac (66.67%)

County: Carbon

T15S, R10E, Section 32: N2

T15S, R10E, Section 34: S2NE4, N2SE4

ML 53648 Unit: 3 Total Acres: 640.00



Winning Bid: $3,910.40

BRO ENERGY, LLC $2,278.40Other Bids:

Beneficiary: School

County: Carbon

T15S, R12E, Section 32: ALL





Other Bids: None

Beneficiary: LEDA/Monument (PL105) 405.64 ac (48.50%);Management Fee 25.09 ac (3.00%);School 405.64 ac (48.50%)

County: Emery

T17S, R9E, Section 6: LOTS 1(40.17), 2(40.13), 3(40.07), 4(38.43), 5(38.38), 6(39.37), 7(39.86), S2NE4, SE4NW4,E2SW4, W2SE4, SE4SE4 [LOTS AKA N2N2, SW4NW4, W2SW4] [ROYALTY RATE 12.5% PEREXCHANGE 205]

T17S, R9E, Section 7: LOT 1(39.96), N2NE4, SW4NE4, E2NW4 [LOT AKA NW4NW4] [ROYALTY RATE 12.5% PEREXCHANGE 205]



(Continued)





Other Bids: None

Beneficiary: School

County: Emery

T17S, R9E, Section 7: PART OF S2SE4NE4, PART OF E2SE4 [METES & BOUNDS]





Other Bids: None

Beneficiary: School

County: Emery






Other Bids: None

Beneficiary: School

County: Emery



Lessee: ROCKIES STANDARD OIL COMPANY, LLC



Other Bids: None

Beneficiary: School

County: Grand




(Continued)





Other Bids: None

Beneficiary: School

County: Grand

T20S, R23E, Section 2: LOTS 1(42.46), 2(42.60), 3(42.76), 4(42.90), S2N2, S2 [ALL]





ANDERSON OIL LTD. $1,600.00Other Bids:

Beneficiary: School

County: Grand






DEAD HORSE OIL $2,240.00

WILCOX OIL & GAS, $2,016.00

ANDERSON OIL LTD. $1,600.00

Other Bids:

Beneficiary: School

County: Grand




(Continued)






BRO ENERGY, LLC $1,234.32

DEAD HORSE OIL $1,112.00

Other Bids:

Beneficiary: School

County: Emery; Grand

T22S, R16E, Section 16: LOTS 2(2.80), 3(31.84), 6(1.86), 7(16.15), 11(4.88), 12(37.90), W2SW4 [LOTS AKA CORNER OFSW4NW4NW4, PART OF SW4NW4, CORNER OF SW4SE4NW4, PART OF E2SW4, PART OFSW4SW4SE4]

T22S, R16E, Section 16: LOTS 4(0.71), NE4, NE4NW4, E2SE4 [AKA OF LOT CORNER OF NE4SW4NW4]

T22S, R16E, Section 27: LOT 11 [PART OF W2W2SE4SE4]

T22S, R16E, Section 34: LOTS 2(10.90), 3(38.66), NW4NE4 [LOTS AKA PART OF W2W2NE4NE4, PART OF SW4NE4]


Lessee: WILCOX OIL & GAS, INC.

Address: 1001 MCKINNEY, SUITE 805 Administrator: Adams, WesHOUSTON, TX 77002


KIRKWOOD OIL & $1,920.00


WASATCH ENERGY $1,356.80

Other Bids:

Beneficiary: School

County: Grand



Lessee: WASATCH ENERGY MANAGEMENT, LLC





Other Bids:

Beneficiary: School

County: Grand

T26S, R20E, Section 2: LOTS 1(19.26), 2(19.35), 3(19.43), 4(19.52), 5(40.00), 6(40.00), 7(40.00), 8(40.00), S2N2, S2[ALL]



(Continued)


Lessee: KIRKWOOD OIL & GAS, LLC

Address: PO BOX 2850 Administrator: Adams, WesCASPER, WY 82602






Other Bids:

Beneficiary: School

County: Grand



Lessee: WILCOX OIL & GAS, INC.

Address: 1001 MCKINNEY, SUITE 805 Administrator: Adams, WesHOUSTON, TX 77002


PAR FIVE $1,972.80


Other Bids:

Beneficiary: School

County: San Juan

T29S, R21E, Section 36: NE4, W2


Lessee: PAR FIVE EXPLORATION, LLC



WILCOX OIL & GAS, $2,016.00Other Bids:

Beneficiary: School

County: San Juan




(Continued)


Lessee: STOCKSTOTRADE.COM, INC.

Address: 222 S MAIN STREET, SUITE 500 Administrator: Adams, WesSALT LAKE CITY, UT 84101


STEPHENS ENERGY $1,491.20Other Bids:

Beneficiary: School

County: San Juan



Lessee: STOCKSTOTRADE.COM, INC




Beneficiary: School

County: San Juan







Beneficiary: School

County: San Juan




(Continued)






Beneficiary: School

County: San Juan



Lessee: E-EDUCATION LLC

Address: 6975 UNION PARK CENTER, SUITE 600 Administrator: Adams, WesCOTTONWOOD HEIGHTS, UT 84047


STEPHENS ENERGY $6,611.20

LASRICH, LANE $1,446.40

Other Bids:

Beneficiary: School

County: San Juan








Other Bids:

Beneficiary: School

County: San Juan




(Continued)


Lessee: STEPHENS ENERGY GROUP, LLC

Address: 1825 LAWRENCE STREET, SUITE 300 Administrator: Adams, WesDENVER, CO 80202


STOCKSTOTRADE. $1,280.00Other Bids:

Beneficiary: School

County: San Juan








Other Bids:

Beneficiary: School

County: San Juan







Beneficiary: School

County: San Juan

T38S, R23E, Section 27: S2SE4




(Continued)







Other Bids:

Beneficiary: School

County: San Juan



Lessee: STEPHENS ENERGY GROUP, LLC

Address: 1825 LAWRENCE STREET, SUITE 300 Administrator: Adams, WesDENVER, CO 80202



STOCKSTOTRADE. $1,200.00

Other Bids:

Beneficiary: School

County: San Juan

T38S, R25E, Section 16: NW4NE4, S2NE4, W2, SE4







Other Bids:

Beneficiary: School

County: San Juan




(Continued)






Beneficiary: School

County: San Juan



Lessee: BRO ENERGY, LLC

Address: 4834 S HIGHLAND DRIVE, SUITE 200 Administrator: Adams, WesSALT LAKE CITY, UT 84117


Other Bids: None

Beneficiary: School

County: Uintah

T1S, R2E, USM Section 8: SW4NW4, N2NW4SW4 INCLUDING M&B DESCRIBING S2NW4SW4 AND PART OF SW4SW4[METES & BOUNDS]


Lessee: RAMMELL, JUSTIN C

Address: P. O. BOX 901622 Administrator: Adams, WesSANDY, UT 84090



CRESCENT POINT $192,120.00

RIG II, LLC $156,720.00

EP ENERGY E&P $139,800.00


WESTERN LAND $60,780.00

FINLEY RESOURCES $58,680.00

ROBERT L. BAYLESS, $33,720.00

ANDERSON OIL LTD. $420.00

Other Bids:

Beneficiary: School

County: Uintah

T2S, R1E, USM Section 7: W2SE4, SE4SE4



(Continued)


Lessee: CRESCENT POINT ENERGY, U.S. CORP.

Address: 555 17TH STREET Administrator: Adams, WesSUITE 1800DENVER, CO 80202


RAMMELL, JUSTIN C $390,027.00



RIG II, LLC $255,354.00

EP ENERGY E&P $79,818.00





Other Bids:

Beneficiary: School of Mines

County: Uintah

T2S, R1E, USM Section 20: LOTS 2(39.31), 7(39.33), W2NE4 [LOTS AKA W2SE4]





RAMMELL, JUSTIN C $98,120.00




RIG II, LLC $63,000.00




Other Bids:

Beneficiary: School of Mines

County: Uintah

T2S, R1E, USM Section 29: NW4NE4



(Continued)





Other Bids: None

Beneficiary: Institution for the Blind

County: Duchesne

T1S, R7W, USM Section 32: PART OF W2SE4NW4, PART OF W2NE4SW4 [METES & BOUNDS]





Other Bids: None

Beneficiary: School

County: Duchesne

T2S, R7W, USM Section 10: NE4, E2NW4





Other Bids: None

Beneficiary: School

County: Duchesne

T3S, R9W, USM Section 25: S2NW4





Other Bids: None

Beneficiary: School

County: Duchesne

T3S, R9W, USM Section 26: NE4, S2NW4



(Continued)





Other Bids: None

Beneficiary: School

County: Duchesne

T3S, R9W, USM Section 27: S2NE4







Other Bids:

Beneficiary: School

County: Duchesne

T4S, R6W, USM Section 3: PART OF SW4SW4 [METES & BOUNDS]

NARRATIVEApplications were offered for Oil, Gas, and Associated Hydrocarbons leasing on lands offered on the October 2017 CompetitiveBid Offering. Bids were opened October 30, 2017, at 10:00 a.m. Bids were offered with the first-year's rental at a minimumannual rental rate of $2.00 per acre. Lease terms include a royalty rate of 16-2/3%, and a primary lease term of five (5) years,unless otherwise specified for the individual leasing unit. Unit No. 7, ML 53649, was offered at 12.5% landowner royalty. Theserates are provided in the lease form approved by the Director. These applications have been checked by the Oil and Gas Groupand found to be in order. The lease administrator has had the legal descriptions reviewed by the GIS Group. The land statushas been examined and the lands found to be open and available. The Business System and digital plat books will be updatedto show these lease applications as existing contracts on the lands described for each individual leasing unit.

FINANCIAL/REVENUEIn addition to the bid amount, a $30.00 filing fee has been forfeited to the Agency by the winning bidder.

SUMMARYEach lease receiving a bid at the October 2017 EnergyNet sealed bid online auction was awarded to the high bidder.



CORRECTION OF DIRECTOR'S ACTION OF NOVEMBER 6, 2017- SULA THREE YEARREVIEWS

SurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Davis, JimDrafted By: 717ID:

CONTRACT NAME BENE ACRESTYPECOUNTYSULA 1611 KERR-MCGEE OIL &

GAS ONSHORE LPSCH UINT IND

SULA 1612 KERR-MCGEE OIL &GAS ONSHORE LP

SCH UINT IND

SULA 1613 KERR-MCGEE OIL &GAS ONSHORE LP

SCH UINT IND

SUMMARYOn the Director's Actions dated November 6, 2017(ID #663, #664 and #665), the annual rental of each lease was stated to beincreased from $1,050.00 to $1,800.00. The correct change of the rental amount is from $1,050.00 to $1,080.00.



APPROVAL OF LAND SALE AUCTION AND ASSOCIATED INTEREST RATESurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Lund, DianeDrafted By: 695ID:

SUMMARYIt is proposed that a land sale auction be conducted on Wednesday, November 15, 2017. Pursuant to Rule R850-80-610(13),the interest rate for the first year on financed purchases will be the published prime rate (4.25%) plus 2.5%, equaling 6.75%. Interest for subsequent years will be the prime rate as published on the date of the billing each year, plus 2.5%. Informationabout the properties to be offered at this auction and the results of the auction will be submitted as separate items on theDirector's Actions.



APPROVAL - ESMT 2148 - EASEMENTSurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Bartlett, ScottDrafted By: 700ID:

CONTRACT DETAILSLessee: ENERVEST OPERATING LLC

Address: 1001 FANNIN STREET, SUITE 800HOUSTON, TX 77002

Administrator: Bartlett, Scott County: Carbon Total acres: 3.15

Beneficiary: School

LAND PARCELS (GIS Review of Description: 09/20/2017)T13S, R16E, SLB&M Section 2 LOTS 2-4 (WITHIN) (ACCESS ROAD) 1.56 acres

T13S, R16E, SLB&M Section 2 LOTS 2-4 (WITHIN) (PIPELINE) 1.59 acres

BACKGROUNDThe subject Application to Purchase an Easement was received on September 6, 2017. It was submitted for Trust review onSeptember 20, 2017, and was accepted by the Director on October 10, 2017. Because the proposed easement is for an existing facility, it is exempt from further review by the Resource DevelopmentCoordinating Committee ("RDCC").

NARRATIVEPROPOSED ACTION: The applicant has requested a non-exclusive easement to construct, operate, repair, and maintain an existing access road andpipeline. The existing access road and 10-inch natural gas pipeline were originally installed under the applicant's mineral lease(ML 48386). The applicant now plans to drill the off-lease/off-unit Peters Point 9-3D-13-16 federal well from the existing PetersPoint 2D-13-16 pad area. As the road and pipeline will now serve the federal well, the applicant has requested this easement.The applicant has separately requested SULA 1867 for the well site. The proposed access road easement is approximately2,264.08 feet long and 30 feet wide, containing approximately 1.56 acres. The proposed pipeline easement is approximately2,301.02 feet long and 30 feet wide, containing approximately 1.59 acres. The requested term of the easement is 30 years.

EVALUATION OF FACTS:The Trust's archaeology staff has reviewed the proposed easement. Because the proposed easement is for an existing facility, acultural resource survey is not required, and the easement has been cleared for cultural resources with a finding of "No HistoricProperties Affected."

FINANCIAL/REVENUEThe application fee of $750.00 and the easement rental assessment of $3,683.26 have been submitted. The administrative feerequired pursuant to R850-40-1800 will be paid every three (3) years, with the first payment being due January 1, 2020.

SUMMARYThis non-exclusive easement is to operate, repair, and maintain an existing access road and 10-inch gas pipeline. The term willbe 30 years, with a beginning date of December 1, 2017 and an expiration date of November 30, 2047. All required fees havebeen paid.



ROE 6509 - RIGHT OF ENTRYSurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Colyar, TamraDrafted By: 711ID:

CONTRACT DETAILSPermittee: MOAB COWBOY OFF-ROAD ADVENTURE LLC

Address: P.O. BOX 1314MOAB, UT 84532

Administrator: Torgerson, Bryan County: Grand Total acres: 53,788.09

Beneficiary: School 50,714.77 ac (94.29%);Utah State University 3,073.32 ac (5.71%)

LAND PARCELS (GIS Review of Description: 11/07/2017)T26S, R21E, SLB&M Section 33 DEFAULT PARCEL FOR GRAND AND SAN JUAN JEEP SAFARI

ROUTES50,714. acres

T26S, R25E, SLB&M Section 2 DEFAULT PARCEL FOR JEEP SAFARI ROUTES 3,073.3 acres

SUMMARYOn November 2, 2017, an application was received for a right-of-entry permit for commercial Utility-task Vehicles ("UTV") tours,with a beginning date of November 1, 2017 and an ending date of October 31, 2018. The rental assessment is $300.00, plus a$50.00 application fee and a $50.00 processing fee.

All vehicles will stay on designated roads and trails.



ROE 6510 - RIGHT OF ENTRYSurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Colyar, TamraDrafted By: 710ID:

CONTRACT DETAILSPermittee: ADVENTURE PARTNERS LLC

Address: C/O CHRISTIAN SEAMANS P.O. BOX 864PAGE, AZ 86040

Administrator: Torgerson, Bryan County: Statewide Total acres: 640.00

Beneficiary: Deaf 1.02 ac (0.16%);Institution for the Blind 0.06 ac (0.01%);Miners Hospital 1.09 ac (0.17%);Normal School 1.02 ac (0.16%);Reservoirs 8.00 ac (1.25%);School 619.09 ac (96.73%);School of Mines 1.34 ac (0.21%);University of Utah 3.07 ac (0.48%);Utah State University 5.31 ac (0.83%)

LAND PARCELS (GIS Review of Description: 11/07/2017)T1N, R1E, SLB&M Section 1 STATEWIDE DEFAULT PARCEL FOR DISTRIBUTION ON MULTI-

BENEFICIARY640.00 acres

SUMMARYOn November 6, 2017, an application was received for a right-of-entry permit for commercial tours, with a beginning date ofDecember 1, 2017 and an ending date of November 30, 2018. The rental assessment is $300.00, plus a $50.00 application feeand a $50.00 processing fee.

All vehicles will stay on designated roads and trails and previously disturbed areas.



OTHER BUSINESS ARRANGEMENT - NEGOTIATED SALE OF RESERVED MINERALESTATE - APPROVAL - C 26760

SurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Fausett, ChrisDrafted By: 706ID:

CONTRACT DETAILSPurchaser: CLEAN HARBORS CLIVE LLC

Address: 42 LONGWATER DRIVENORWELL, MA 02061

Administrator: Fausett, Chris County: Tooele Total acres: 640.00

Beneficiary: School

LAND PARCELS (GIS Review of Description: 11/13/2017)T1N, R12W, SLB&M Section 16 ALL 640.00 acres

BACKGROUNDIt is recommended that the reserved mineral estate underlying this parcel of land (the "Subject Property") be sold through anegotiated sale. The surface of the Subject Property was exchanged to the purchaser's predecessor-in-interest in 1981 andwas subsequently developed as a hazardous waste landfill facility. At the time of the exchange, all coal and other minerals andright to prospect for, mine and remove the same was reserved to the State of Utah.

The reserved mineral estate was previously designated for transfer to the Bureau of Land Management ("BLM") in the pendingUtah Test and Training Range ("UTTR") land exchange. However, citing potential liability concerns, the BLM has requested thatthe Subject Property not be included in the exchange.

Pursuant to Utah Code Ann. 53C-2-401(d)(ii) and 53C-2-401(2) the trust may dispose of mineral interests in trust lands, withapproval of the Board of Trustees, in the event that their retention would create a liability exceeding their value.

On October 19, 2017, the Board of Trustees determined that the sale of the Subject Property is authorized pursuant to statestatute and approved the sale as an Other Business Arrangement ("OBA").

NARRATIVEThe Minerals Group and the Oil & Gas Group have reviewed this proposed transaction and have stated that there are noidentified mineral opportunities on the Subject Property. The surface of the property is entirely encumbered by a hazardouswaste disposal facility and it is surrounded by federal lands that will be withdrawn from mineral entry and leasing under theUTTR exchange legislation. It has been determined that retention of the Subject Property offers no anticipated benefit to thetrust and may pose some potential liability.

A total of 640.00 acres of coal, 640.00 acres of oil & gas, and 640.00 acres of other mineral estate are included in thistransaction. This combined mineral estate underlies 640.00 total acres of surface estate, which was previously disposed of bythe trust as described above.

FINANCIAL/REVENUEThe purchase price of $18.15 per acre was derived from the non-productive mineral estate valued and exchanged to the BLM inthe recent Utah Recreation Land Exchange Act. Given the anticipated sale price, a formal appraisal of the subject property wasdeemed cost prohibitive and not in the best interest of the trust beneficiary.

The sale price for the subject property is $11,616.00 plus the application fee of $250.00, and a sale processing fee of $500.00,totaling $12,366.00. The balance due will be collected when the sale closes with the purchaser.

SUMMARYThe Subject Property was approved to be sold through a negotiated sale.



APPROVAL - SULA 1866 - GOVERNMENTSurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Torgerson, BryanDrafted By: 704ID:

CONTRACT DETAILSLessee: BUREAU OF LAND MANAGEMENT (BLM)

Address: 82 EAST DOGWOODMOAB, UT 84532

Administrator: Torgerson, Bryan County: Grand Total acres: 600.00

Beneficiary: School

LAND PARCELS (GIS Review of Description: 08/28/2017)T26S, R18E, SLB&M Section 16 N2, NE4SW4, S2SW4, SE4 600.00 acres

BACKGROUNDPROPOSED ACTION:The applicant desires to lease this land for a solution to the School and Institutional Trust Lands Administration ("SITLA") in-holding management problem related to extreme high adventure activities that were happening on both properties. RELEVANT FACTUAL BACKGROUND: On August 29, 2017, the Trust received this application. The property was historically used for range and grazing. It has recentlybecome very popular with the slack-line and base jumping communities because of the sheer cliffs in the area. The property hasbecome difficult to manage for law enforcement officials because of the different jurisdictions, which is one of the main reasonsfor the Bureau of Land Management ("BLM") wanting to acquire the lease.

The application and processing fees were paid and receipted appropriately. The area associated with the lease will be deletedfrom the existing grazing permit within this section. A copy of the public notice was not sent to any adjoining landownersbecause the only adjoining landowner was the applicant.

NARRATIVEEVALUATION OF FACTS:The application was submitted to the Resource Development Coordinating Committee ("RDCC") and to the required localgovernment offices. Favorable comments were received from both. Initial consultation with the Agency's archaeological staff resulted in a recommendation that no cultural resource survey will berequired because this is not considered an undertaking, because the applicant has similar cultural resource protectionrequirements as the Trust. Therefore, all cultural resource requirements have been met. As per R850-30-500-2(a) the Director waived the solicitation of competing applications because the applicant has the necessarylaw enforcement personnel needed to properly manage the area. As no other competing applications were received, the initial application was selected for review pursuant to R850-30-500(2)(g).The applicant was notified of the need to submit a sealed bid pursuant to rule. A bid was received which proposes to pay rentalin the amount of $600.00 per year. R850-30-400 requires that the Trust receive at least fair-market value for surface leases. An analysis of the value of the propertyindicated a value of $300,000.00. Based on this value the annual lease payment offered by the applicant of $600.00 per year isbelow fair-market value requirements established by rule. However, the lease contains an early termination clause which allowsthe Trust to cancel the lease if/when a higher or better use presents itself. The lease also contains strong language which allowsfor the prospecting, development and extraction of all oil, gas and other minerals in the area on or related to the subjectproperty. Therefore, the issuance of this lease will be a good solution to a interim problem and shouldn't impact the futurehighest and best use of the property. The applicant requested a term of five (5) years, subject to renewal/termination. This term is within the standard term for thistype of lease as described in R850-30-200.

FINANCIAL/REVENUE


APPROVAL - SULA 1866 - GOVERNMENT (Continued)FIRST YEAR RENTAL: $600.00 Invoiced and payment in process.APPLICATION FEE: $250.00PROCESSING FEE: $500.00ADVERTISING FEE: $0TOTAL SUBMITTED: $750.00

BONDING:The Trust will not require any bonding at this time because of the strength of the applicant and the nature of the lease.

INSURANCE:The Trust will not require any insurance coverage at this time because the applicant has their own risk management, which issufficient.

SUMMARYThis lease has been approved for a term of five (5) years, subject to renewal/termination, with a beginning date of November 15,2017 and an expiration date of November 14, 2022. The first five-year review will be November 15, 2022.



TERMINATION OF CONTRACT - SULA 1533 - TELECOMMUNICATIONSurfaceStatus:11/13/2017 Approved by David Ure Department:DA Date:

Bagley, GaryDrafted By: 676ID:

CONTRACT DETAILSLessee: SOUTH CENTRAL UTAH TELEPHONE ASSOC

Address: PO BOX 555ESCALANTE, UT 847260226

Administrator: Bagley, Gary County: Piute Total acres: 0.23



LAND PARCELS (GIS Review of Description: 10/31/2017)T29S, R2W, SLB&M Section 32 SW4NW4 (WITHIN) 0.23 acres

BACKGROUND

SULA 1533 is issued to South Central Utah Telephone Association. It is a small tower site lease which is to be terminated,effective January 1, 2018. All site improvements have been removed and the site has been reclaimed.

NARRATIVEThe lease is an older microwave communication tower site previously used for telephone communication purposes. It waspreviously authorized under SULA 767, a 20-year lease which expired December 31, 2007. The site was subsequentlyauthorized by SULA 1533. The site has been used for the last 10 years only as a backup microwave radio link for telephoneservice in the event of an emergency, if and when the fiber optic lines were not operational. It has also been authorized for useas a internal company mobile radio use. During the past 10 years, there has not been any operational use of the site and thelessee informed the Trust that it no longer has any use for the site and requested removal of the obsolete site and expressedthe desire to relinquish its interest in the lease.

The site had a 20-foot high lattice tower and a 12-foot x 24-foot concrete block radio equipment building. The site has beenpowered in the past by a small wind generator and had a propane tank for backup power. There was also a chain link fencesurrounding the improvements.

All site improvements, including the foundation have been removed from the site by a contractor and transported from trustlands, and the site has been reclaimed and reseeded. Agency staff consulted with the Trust Lands Range Conservationistregarding the reclamation seed mix and the completed reclamation was also reviewed with an environmental compliance staffmember, and is considered completed. The $8,000.00 bond is to be released through a separate director's action.

FINANCIAL/REVENUEThe current annual rent for this lease is $1,980.00, and it is paid through December 31, 2017.

The Trust and the lessee have discussed the termination of this lease. All site improvements have been removed and the sitehas been reclaimed and reseeded. The site has not been operational for years, yet the rent has been paid pursuant to the termsof the contract.

The lease agreement contains a termination clause that allows the Trust to terminate the lease effective January 1, 2018.Following is a portion of Article 41. Termination: "The LESSOR may terminate this agreement effective January 1, 2018, if theLESSEE does not have operation equipment on the site, actively being used in part of its operation."

The Trust and the lessee are both in agreement, through discussion and written communication, that the lease should beterminated effective January, 1, 2018. No further rentals are required for this lease.

SUMMARY


TERMINATION OF CONTRACT - SULA 1533 - TELECOMMUNICATION (Continued)The lease is terminated effective January 1, 2018, with no further rental due.



DEVL 1136 - CONSENT TO PLAT SUN RIVER PHASE 51 - ROAD DEDICATIONDevelopmentStatus:11/13/2017 Approved by David Ure Department:DA Date:

Roe, AlanDrafted By: 701ID:

CONTRACT DETAILSGrantee: CITY OF ST. GEORGE

Address: 175 EAST 200 NORTHST. GEORGE, UT 84770

Administrator: Pasley, Kyle County: Washington Total acres: 1.42


Project Code: SOBLK 003 00 000 000 Project Name: South Block / SunRiver / DEVL 729

LAND PARCELS (GIS Review of Description: 11/07/2017)T43S, R16W, SLB&M Section 24 WITHIN W2 - NIGHTHAWK DRIVE AND THE SOUTHEASTERLY HALF

OF SAND PIPER DRIVE1.42 acres

NARRATIVEThe School and Institutional Trust Lands Administration ("SITLA") has joined in the dedication of roads adjacent to land it sold toSun River St. George Development, LC, under Certificate of Sale No. 26721, pursuant to Development Lease DEVL 729. Thisconsent to plat is for the Sun River Phase 51 subdivision plat. This plat includes SITLA land dedicated as Nighthawk Drive andthe south-easterly half of Sand Piper Drive. This land is under contract with the same developer for commercial uses (C-26636)and SITLA will receive full value for these lands under that contract.

SUMMARYThis consent to plat is for the Sun River Phase 51 subdivision which includes SITLA lands, dedicated as Nighthawk Drive andthe south-easterly half of Sand Piper Drive.



APPROVAL OF ESMT 2149 - SIENNA HILLS HOA ENTRY FEATURE-DEVELOPMENTEASEMENT

DevelopmentStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACT DETAILSLessee: SIENNA HILLS COMMUNITY ASSOCIATION

Address: 2303 NORTH CORAL CANYON BLVDWASHINGTON, UT 84780

Administrator: Langston, Aaron County: Washington Total acres: 0.12


Project Code: MPI13 000 00 000 000 Project Name: Sienna Hills / DEVL 160

LAND PARCELS (GIS Review of Description: 10/12/2017)T42S, R15W, SLB&M Section 12 WITHIN SE4 (MONUMENT 2) 0.03 acres

T42S, R15W, SLB&M Section 13 WITHIN NW4SE4 (MONUMENT 8) 0.07 acres

T42S, R15W, SLB&M Section 13 WITHIN N2NE4 (MONUMENT 4) 0.02 acres

NARRATIVEThis easement is granted for the purpose of providing the grantee access for the construction and maintenance of entry signson Sienna Hills Parcels E-F, 12A and 14B. The grantee is responsible for all costs related to the construction, access,maintenance and repair of the signs and will own the entry signs. The School and Institutional Trust Lands Administration("SITLA") is able to grant other non-exclusive easements or leases on the easement lands where uses of it are appropriate andcompatible. The grantee is able to assign this easement to another party as long as SITLA is notified and approval is granted bywriting. Any assignment of the easement to another party assumes the terms of the easement. The term of this easement isperpetual.

SUMMARYThis easement is to provide the grantee with access for the construction and maintenance of entry signs in Sienna Hills ParcelsE-F, 12A, and 14B.



APPROVAL OF C 26727 - THE VIEWS AT CORAL CANYON PHASE 1- DEVELOPMENTSALE

DevelopmentStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACT DETAILSLessee: CW THE VIEWS 1, LLC

Address: 1222 WEST LEGACY CROSSING BOULUEVARDSUITE 6CENTERVILLE, UT 84014

Administrator: Pasley, Kyle County: Washington Total acres: 7.33


Patent Number: P-20475 Patent Date: 08/23/2017

Project Code: SUNCR 005 01 000 Project Name: Coral Canyon Jack Fisher Residential

LAND PARCELS (GIS Review of Description: 03/27/2017)T42S, R14W, SLB&M Section 18 THE VIEWS AT CORAL CANYON PHASE 1 7.33 acres

BACKGROUNDDevelopment Lease No. 1075 was approved by the School & Institutional Trust Lands Administration's ("SITLA") Board ofTrustees on May 28, 2015.

NARRATIVEThis sale is pursuant to Development Lease No. 1075 which allows the lessee to take down land for development phases. Thelessee has set up a dedicated wholly owned subsidiary entity for this development phase and has requested conveyance to thatentity. SITLA has agreed to that. The purchase price was determined by multiplying the base payment price of $60,000.00 bythe amount of acreage purchased which is 7.33 acres. A patent has been issued to the buyer.

FINANCIAL/REVENUEThe buyer has paid the $439,800.00 sales price. SITLA has paid $220.00 in closing costs.

SUMMARYThis sale is for the take down of a development parcel pursuant to Development Lease No.1075.



REFUND TO XTO ENERGYAccountingStatus:11/13/2017 Approved by David Ure Department:DA Date:

Babinsky, MichaelDrafted By: 713ID:

BACKGROUNDXTO Energy submitted a royalty payment of $7,779.75 via ACH on October 30, 2017 for various month amendments. The reportpreparer did not calculate the royalty due correctly. The amendments resulted in a credit rather than an amount owed to theSchool and Institutional Trust Lands Administration ("SITLA").

NARRATIVESince the royalty system requires that the payment and report match, it is recommended that the payment be refunded to thepayor and the payor deduct the amendments on their next royalty submission.

FINANCIAL/REVENUERefund XTO Energy the submitted royalty payment of $7,779.75 received on October 30, 2017.

SUMMARYRefund XTO Energy the submitted royalty payment of $7,779.75 received on October 30, 2017.



INTEREST RATEAccountingStatus:11/13/2017 Approved by David Ure Department:DA Date:


FINANCIAL/REVENUEFollowing are the current and past year prime rates:

CURRENT YEAR: 4.25% ONE YEAR AGO: 3.50%

Separately, a late penalty of 6% or $30.00, whichever is greater, shall be charged after failure to pay any financial obligation,excluding royalties as provided in R850-5-300(2), within the time limit under which such payment is due.

Interest on delinquent royalties shall be based on the prime rate of interest at the beginning of each month, plus 4%.



REFUND - ML 52272 - OIL GAS & ASSOCIATED HYDROCARBONSAccountingStatus:11/13/2017 Approved by David Ure Department:DA Date:


CONTRACT DETAILSLessee: AMERICAN PATRIOT OIL AND GAS INC

Address: PO BOX 44249DENVER, CO 80202

Administrator: Adams, Wes County: San Juan Total acres: 250.00



Royalty Rate: 16.666667%

BACKGROUNDThe lessee made a $30.00 over payment for the payment due November 1, 2016. It was held to be applied to their 2017payment; however, the contract was not renewed and expired before the 2017 payment was due.

NARRATIVEA refund in the amount of $30.00 was verified by LaVonne Garrison, Assistant Director of the Oil & Gas Group.

FINANCIAL/REVENUEA refund in the amount of $30.00 was completed.

SUMMARYThe lessee was refunded $30.00 for a rental over payment.































Documents

ASSIGNMENT APPROVAL - ML 52058 - METALLIFEROUS MINERALS€¦ · 13/11/2017 · ASSIGNMENT APPROVAL - ML 21613 - OIL & GAS DA Date: 11/13/2017 Status: Approved by David Ure Department: