Exhibit A of Exhibit 10.19, Cobra Prospect Agreement
EXHIBIT "A"
(Attached to and made a part of that certain Letter Agreement dated January
6, 1999 by and between Cheniere Energy, Inc., and Beta Oil & Gas, Inc.)
XXXXX XXXXXXXX
XXXX XXXXXXX XXXXX 00
XXXXXXX XXXXXX
LIST OF LEASES:
Acreage Cameron Ph. Recordation
Lessor Lessee (Gross) Expiration Date File # COB
------------------------- --------------------------- ------- --------------- ----------- -----------
Xxxxxxx Xxxx Stream, et al Zydeco Exploration, Inc. 1177.00 4/22/01 255224 000
Xxxxx Xxxxxxxx Xxxx, Inc. " 417.00 4/27/98 255139 876
THERE ARE NO OVERRIDING ROYALTIES ON THE ABOVE LEASES.
Exhibit A
Cobra Prospect
Page 2
EXHIBIT "A" CONTINUED
INTERESTS AND ADDRESSES OF PARTIES OWNING
AN INTEREST IN THIS PROSPECT
Beta Oil and Gas, Inc. 15%*
000 Xxxx Xxxxxx, Xxxxx 000
Xxxxxxx Xxxxx, XX 00000
Cheniere Energy, Inc. or Assigns 35%*
0000 Xxxxx Xxxxxx, Xxxxx 0000
Xxxxxxx, XX 00000
Zydeco Exploration, Inc. or Assigns 50%
0000 Xxxxx, Xxxxx 0000
Xxxxxxx, XX 00000
*Cost shares in Test Well prior to reaching completion point in the Test Well
are as follows:
Beta Oil and Gas, Inc. 20%
Cheniere Energy, Inc. or Assigns 30%
Zydeco Exploration, Inc. or Assigns 50%
Exhibit A
Cobra Prospect
Page 3
COBRA PROSPECT
Section 14, 15, 22 & 23 T15S - R14W
[Map outlining the Cobra Prospect Area]
Exhibit A
Cobra Prospect
Page 4
EXHIBIT A CONTINUED
COBRA TEST WELL
The Test Well will be drilled from a land location to a depth of
approximately 12,500 feet. The surface and bottom hole locations for this
vertical test fall in Section 23, T-15-S, R-14-W, Cameron Parish, Louisiana,
at X = 1,245,162 and Y = 401,306 (NAD 27); also located approximately 150
feet south and 1,000 feet east of the northwest corner of Section 23.
Contract depth for this well is defined for all purposes of the Letter
Agreement to which this Exhibit "A" is attached as the lesser of (1) the true
vertical depth of 12,500 feet below the rotary xxxxx bushing, or (2) to the
stratigraphic equivalent of the depth of 12,500 feet as seen in the Xxxxxx
Oil & Gas and the X.X. Xxxx, et al. Xxxxxxx Xxxx Stream, SL 5556 No. 1 Well,
which is located in Section 22-15S-14 West, Cameron Parish, Louisiana.
Page 5
EXHIBIT A COBRA PROSPECT
-------------------------------------------------------------------------------
ZYDECO EXPLORATION, INC.
-------------------------------------------------------------------------------
AUTHORITY FOR EXPENDITURE
-------------------------------------------------------------------------------
PROSPECT/FIELD NAME Zydeco Exploration
LEASE/WELL NO. Stream #1
PROPERTY NO.
PROPOSED LOCATION Section 23 Township 15S, Range 14W 7/1/98
COUNTY/STATE Cameron Parish LA
-------------------------------------------------------------------------------
AFE TYPE (CHECK ONE) X EXPLORATION DRILLING
DEVELOPMENT DRILLING
RECOMPLETION
-------------------------------------------------------------------------------
DESCRIPTION OF WORK TO BE PERFORMED 12,500' STRAIGHT HOLE
-------------------------------------------------------------------------------
INTANGIBLES DAYRATE DAYS DRILLING COMPLETION TOTAL COST
---------------------------------------------------------------------------------------------------------
DAYWORK 8000 30 14 240,000 49,000 289,000
DIRECTIONAL SERVICES & SURVEYS 3500 2 7,000 0 7,000
MOBILIZATION/DEMOBILIZATION 100,000 0 100,000
DRILLING MOTOR 250 0 0 0
INSURANCE 35,000 0 35,000
CONTRACT LABOR 200 30 14 6,000 2,800 8,800
COMPANY SUPERVISION - ONSITE 850 30 14 19,500 9,100 28,600
QUARTERING AND CATERING 200 30 8,000 0 8,000
POWER, FUEL, WATER & LUBE 1000 30 14 30,000 14,000 44,000
RIG SUPPLIES & SERVICES 100 30 14 3,000 1,400 4,400
CEMENTING COSTS 28,000 30,000 58,000
BITS, SCRAPER & REAMERS 65,000 5,000 70,000
MUD & CHEMICALS 195,000 25,000 220,000
TESTING, CORING & WIRELINE 10,000 10,000
MUD LOGGING 650 30 19,500 0 19,500
OPEN HOLE LOGGING 55,000 0 55,000
MWD 0 0 0
CASING CREW & TOOLS 12,000 16,000 28,000
RENTAL EQUIPMENT 1200 30 38,000 0 38,000
CASED HOLE LOGGING 0 20,000 20,000
PERFORATING 0 18,000 18,000
ACIDIZING, FRACTURING & PUMPING 0 0 0
SUPPLIES & SMALL TOOLS 100 24 14 2,400 1,400 3,800
TRUCKING & HAULING 600 30 10 18,000 6,000 24,000
TRANSPORTATION - MARINE 0 0 0
CLOSED LOOP 2600 28 70,000 0 70,000
DISPOSAL 35,000 5,000 40,000
COMMUNICATIONS 500 30 10 15,000 5,000 20,000
LOCATION, SURVEYS, ROADS & DAMAGES 350,000 350,000 700,000
ENVIRONMENT, REGULATORY & SAFETY 5,000 1,000 6,000
MISCELLANEOUS (CONTINGENCIES) 15% 92,685 65,360 158,045
OVERHEAD 1000 30 30,000 0 30,000
CONTINGENCY 0 0
TITLE & CURATIVE 25,000 25,000
---------------------------------------------------------------------------------------------------------
TOTAL INTANGIBLES $1,498,085 $632,060 $2,130,145
---------------------------------------------------------------------------------------------------------
TANGIBLES DESCRIPTION DEPTH
---------------------------------------------------------------------------------------------------------
DRIVE PIPE 16" x 1/2" well 22 150 3,300 3,300
CONDUCTOR CASING 0 0
SURFACE CASING 10 3/4 13.0 3500 45,500 45,500
INTERMEDIATE CASING & DRILLING LINER 7 5/8" 17 9500 161,500 161,500
PRODUCTION Liner 5 1/2" 15 3500 52,500 52,500
TUBING 2 7/8" 4.5 12500 0 56,250 56,250
WELLHEAD EQUIPMENT 20,000 35,000 55,000
FLOAT SHOE AND CENTRALIZERS 5,000 10,000 15,000
UMBILICALS & OTHER SUBSEA EQUIPMENT 0 0
PRODUCTION EQUIPMENT 0 25,000 25,000
HOOKUP 0 15,000 15,000
PIPELINE 0 50,000 50,000
MISCELLANEOUS EQUIP. (CONTINGENCIES) 5,000 5,000
--------------------------------------------------------------------------------------------------------
TOTAL TANGIBLES $ 240,300 $243,750 $ 484,050
--------------------------------------------------------------------------------------------------------
TOTAL COSTS $1,738,385 $875,810 $2,614,195
--------------------------------------------------------------------------------------------------------
Zydeco Exploration 50% Share of costs $ 869,193 $437,905 $1,307,098
--------------------------------------------------------------------------------------------------------
Accepted this 6th day of July, 1998
By: /s/ [ILLEGIBLE] Title: President
------------------------------- ------------------------
---------------------------------------------------------------------------------------------------------
Cheniere Energy 50% share of costs $ 869,193 $437,905 $1,307,098
---------------------------------------------------------------------------------------------------------
Accepted this 27 day of July, 1998
By: /s/Xxxxxx X. Xxxxxxxx Title: President
------------------------------- ------------------------
---------------------------------------------------------------------------------------------------------
Cover Page of Exhibit C of Exhibit 10.19, Cobra Prospect Agreement
EXHIBIT "C"
(Attached to and made a part of that certain Letter Agreement dated January 6,
1999, by and between Cheniere Energy, Inc. and Beta Oil & Gas, Inc.)
OPERATING AGREEMENT
COBRA PROSPECT
DATED
July 6, 1998
OPERATOR Zydeco Exploration, Inc.
XXXXXXXX XXXX Xxxxxxxx 00 Xxxxx, Xxxxx 14 West
Section 15: X/0XX/0, XX/0XX/0, XX/0XX/0, XX/0XX, XX/0XX/0 AND NE/4NE/4
Section 14: S/W, XX/0XX/X, X/0XX/0 AND N2/4NW/4
Section 22: All; Section 23: All
COUNTY OR PARISH OF Cameron STATE OF Louisiana
Exhibit A-1 of Exhibit C of Exhibit 10.19, Cobra Prospect Agreement
EXHIBIT "A-1"
XXXXX XXXXXXXX
Xxxxxxx 00, 00, 00 & 00 X00X - X00X
[Map outlining the Cobra Prospect Area]
