1
EXHIBIT 10.37.1
MARCH 20, 1997
Via Facsimile and Hand Delivery
Xx. Xx Xxxxxxx
Veritas DGC Land, Inc.
Suite 509, 000 Xxxx Xxxxxxx Xxx.
Xxxxx, Xxxxx 00000
Fax # (000) 000-0000
Re: Anadarko Basin Seismic Operations Agreement II, dated
April 1, 1997, by and between Xxxxxxx Oil
& Gas, L.P. ("BOG") and Veritas DGC Land, Inc.
("Veritas") (hereinafter referred to as the
"Alliance Agreement II")
Gentlemen:
Anything to the contrary contained in the Alliance Agreement II
notwithstanding, in consideration for Veritas' commitment to utilize two
Alliance Seismic Crews to simultaneously conduct seismic operations for the
first two BOG Project Areas that are designated under the Alliance Agreement
II, BOG hereby agrees to advance pay $200,000 of the amounts which would
otherwise not be due under Section 3.4 of the Alliance Agreement II until such
time as BOG has incurred lease bonus and drilling and completion costs within
the Project Areas. Such advance payment shall be made within thirty (30) days
of BOG's receipt of an invoice for such amount from Veritas; provided, however
that Veritas shall not submit such invoice until field seismic operations have
commenced for both of such first two designated Project Areas.
BOG and Veritas recognize, acknowledge and agree that the $200,000
payment to be made to Veritas as provided in this letter agreement shall be
applied toward the First Payout Amount and shall be credited against the first
lease bonus payments and drilling and/or completion cost payments which would
otherwise be due to Veritas under the terms of Section 3.4.
If this letter agreement correctly sets forth your company's agreement
and understanding with respect to the subject matter hereof, we ask that you
have an authorized representative of your company execute the duplicate
originals of same below and return one of such fully executed duplicate
originals to our offices.
Sincerely,
XXXXXXX OIL & GAS, L.P.
by Xxxxxxx, Inc.,
its Managing General Partner
/s/ XXX X. XXXXXXX
-------------------------------
Xxx X. Xxxxxxx, President / CEO
ACCEPTED AND AGREED:
VERITAS DGC LAND, INC.
By:/s/ XXXXXX XXXXXXX
------------------------------
(name printed) Xxxxxx Xxxxxxx
-------------------
Its: General Manager
-----------------------------
