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Show U S'-r- i LfjJ t at Univfrnitf o? Uth lAbttri The Daily Legal Newspaper WEDNESDAY, MARCH 3, 1971 LEGAL NOTICES: PImm 4174651 SALT LAKE OIL SHALE LEASE QUESTION One Lease For Same Purpose? Second Lease for Other Minerals? Plaintiff counsel: Adam M. Duncan CITY, UTAH LEGAL NOTICES: 38490 - Motors insurance Corpn vs R. NORMAN ?ltf$560.94 EVANS; auto damage 38491 vs - Standard Optical L. CARTVRIGHT CORDON LAKE POINT In The Supreme Court Of The State Of Utah 38492 Company DBA - Gray Manufacturing Co. vss Pltf$302.45 F. ANDERSON; bal due Pltf$285.08; bal due 38494 - Fairbanks Morse, Inc. vs GIBBONS & REED COMPANY; Pltf $423.73; services v. No. 12131 FILED Utah Board of State Lands. Charles R. Hansen. C. S. Thomson, Donald Showalter, M. V. Hatch, Harold Reese, Whitney J. Floyd, Philip V. Christensen, T. H. Bell and W. L. - Gem Dandy, Inc. vs RUTH C. ROSS DBA EBONY MALL 38495 February 26, L. M. Cummings, Clerk 38496 - Warren Extruded Prod.Mfg. Co. vs JESSE ROBERT NAGEL Pltf$83.86; bal due 38497 . $385.00; bal due - Associated Collection Bur. Inc. vs HARRY PROVEAUX; Pltf $89.22; bal due The plaintiffs commenced this action in the court below to enjoin the defendants from issuing to a third party an oil shale lease upon lands which are subject to a lease in favor of the plaintiffs covering oil and gas deposits. The lower court granted injunctive relief to the plaintiffs, and from that decision the defendants have appealed. 38499 October 7, 1963, the plaintiffs obtained a leasehold interest from the defendants granting to the plaintiffs the right to extract oil from asphaltic and bituminous sands. The lease was amended in 1969 granting to the plaintiffs the right to recover other mineral substances including oil and natural gas, but excluding coal and oil shale. On February 16. 1970, the defendant Board approved an application of a third party covering oil shale upon the same lands leased to the plaintiffs. After a trial was had upon the issues, the district court found that the mineral or minerals recoverable from oil shale in the Green River formation underlying the lands is the same mineral recoverable from liquid petroleum in the Green River formation. The court also was of the opinion that the second lease was prohibited by the provisions of Section U.C.A. 1953, as amended. 18, It is the defendants' contention here that the oil recoverable from oil shale known as Kerogen is not the same as the oil recoverable from asphaltic or bituminous sands and liquid petroleum, and that this factor above referred to. excludes oil shale from the provisions of Section C. HIGGINS; 38501 18 J BARNSON; bal due expert witnesses differentiated Kerogen from other hydrocarbons produced from other sources. Following the hearing, proposed legislation was drafted under the supervision of the Board directed toward the elimination of the dual leasing system. This matter was presented to the legislature during its regular session in 1967. During the session the director of the Land Board appeared as a witness before the committees considering the new legislation. While the record of the hearings before the legislature is not before the court, nevertheless we may aLSume that the legislature was fully advised as to the facts upon whih the proposed amendments were based. which now reads as follows: The legislature rewrote Section 65-1-- 18 s Pltf$35.00 STUD, INC - Ensign vs CLIFF Company ALLAN DBA SALT LAKE COSTUME; $80.00; note 38509 - J. 38526 Company AND 38527 Pltf$207.94; AND CAROL HANSON H. - Ketchum Builders Supply HAACKE; Plf$64.15 - Alvin H. Keller dba Credit Security National vs ROSS OSEQUERA; Pltf$15.00; $1.55; bal 38510 38511 - Alvin H. Keller dba Credit Security National vs LUELLA BRADSHAW; Pltf$53.52; $3.48; bal - Alvin Keller dba Credit Security National vs JAMES PERFILE; Pltf$55.00; $2.20; bal 38512 38513 - Alvin Keller, dba Credit Security National vs MARTHA LEYBA; Pltf$42.89; $2.86; bal due 38514 vs Pltf$50.35; bal - Huntington Hotel vs 38528 COMPANY KENNEDY ENTERPRISES due - Phillips Petroleum Co. DWIGHT JENSEN AND MRS. GROVER DWIGHT Ptf$295.99 JENSEN; - James Parker, E. LYNCH LYNCH; A. M. D. vs THOMAS AND MRS. Pltf$66.50; bal DYE AKA vs due - Consumer Contact SKYLINE BUILDING Pltf$223.61; bal - Melvin Durfee vs Company SUPPLY INC due - Automated Business Systems 38533 vs DYE ROSEMARY Pltf$544.76; bal MARK HAMS ON LETTERING Pltf$268.33; bal due - John Kapos vs PATRICK JOHNSTON DBA JOHNSON INSURANCE 38534 K. Pltf$450.00; $200.00 - 38535 Dr. George V. Hinckley, M.D. LEONARD MARR - Wendell 38536 AND SHIRLEY ANN DRADGE; R. Sorenson vs H. AND Pltf$539.32; bal - Makoff, Inc. vs FELLER; MARR due BRENT DRADGE ARTHUR due GLENNA Pltf$31.35; check 38538 - Tagge's Motor, Trailer and Camper Service, Inc. vs RICHARD LIMB; Pltf$187. 10; $80.00 services 38539 Utah vb First Security ERNEST G. Bank CHIVERS; $339.25; $7.40; $150.00; account of Pltf bankameri-car- d Marriage Licenses H. H. D. Pltf$110.49; bal due - J. C. Penney Company T. MILLER AND MRS. MARK 38537 W. RONALD RONALD Pltfs$130.00; bal Pltf$271.50; $113.50 vs CHARLES account Penney vs C. T. MILLER; vs - City Finance Corporation J. J. Pltf$391.00 ROUNDY AND MRS. bal due - Aetna Finance note BRIDGE AKA LILA bal due AGENCY; account vs KENNETH E. THOMSEN MARIE THOMSEN; HANSON; H. Lamb vs BRIDGE AND MRS. ROBERT ROBERT MARK Plaza Truck Pltf$46.19 PALMER; - Robert 38525 D. TONY TONY MARTINEZ 38531 - Nampa Finance Co. Inc. vs FRED A. DYE AND MRS. FRED Pltf$664.54 vs BERLE L. 38532 Pltf$53.71; Martin vs A. F. Pltf$45.00; bal due 38524 - Burn Ingham's E. - City Finance Corporation GARY - 38523 Pltf$250.75 MARTINEZ AND MRS. 38530 vs LOUISE M. THOMAS; $210.00; note 38508 claim THOMAS - Dr. Irwin F. Winter CHESTER A. WOOD; 38507 wage bal due Associated Collection Bureau, Inc. vs LINDA BERTOCH Pltf$539.00; bal 38506 R. MARTIN; GROVER 38502 - 38503 - Industrial Commission vs 38522 DEAN 38529 due J. legal services vs - Associated Collection Pltf$51.00; bal 38505 In 1967 the legislature amended Section hereinabove referred to and the provisions of that section were before the court in the case of Morgan v. Utah Board of State Lands in 1968. The historical back- found leading up to the amendment of the statute is briefly as follows: lyior to 1967 it had been the practices of the State to issue more than one ase upon the same land for the production of oil. For instance, a lease would be issued to one party permitting him to produce oil in the usual manner by the use of drilling bore holes, and another lease would be issued to a second person permitting the extraction of oil from bituminous sands similar to the situation which resulted in the first Morgan case. The practice of granting of dual leases tended to discourage development of oil from State lands. In order to determine the best method of encouraging the production oil from State lands, the State Land Board in 1965 conducted an extensive hearing to develop a factual basis for recommendations to the legislature. At that hearing various experts who appeared on behalf of oil producers expressed the view that the system of dual leases tended to discourage development of oil upon State lands due to the fact that producers did not wish to risk capital in exploration costs which may be lost if conflicts should arise with other lessees. It should be noted that during the hearings certain of the Pltf 38500 - Associated Collection Bureau, Inc. vs JACK GUTHRIE Pltf$60.00; bal due Bureau, Inc. vs A. R. Pltf Pltf$275.00; ATKINSON; Pltf$222.73; bal 38504 - Salt Lake City vs Pltf$45.00; bal due 65-1-- 18 Randell Lawrence Farnsworth, 159? Ave (22) to Cynthia Kay Deauville Green 4926 Mohave Way (19) 0 Ross M. Stark, 3399 Mile High Dr. (26) to Rebecca Ann Toma 1522 East 3300 South (23) ISAAC HERRERA AND LAWRENCE Pltfs$969.88; auto BUSINESS - Robison Distributing Co. FORTUNE explains it this way: EASTER SALES look good . . . holiday late this year. HOME GOODS continue weak. FURNITURE not bad. TV and appliance very soft HOUSING comeback. NEW CAR sales rebounding nicely. CUSTOMERS value conscious moving away from frills. DEPARTMENT stores & clothing merchants and suppliers shifting to lower markup merchandise. SAVINGS down a bit. HERRERA; damage 3B515 Inc. vs PAUL S. EBERT; $225.00; note 38516 . 11 sss pegs 2 Pltf$527.96 - Zion Motoros, Inc. vs HIRAM L. HENDERSON HENDERSON: The court was called upon to construe the language of the section as amended in the former Morgan case which was before the court in 1968. The 1969 through legislature amended Title 65, Chapter I, by adding Sections 114. However, the legislature did not see fit to amend the section we are 65-1-1- ROLAND $66.00; bal due On The state land board may issue mineral leases including without limitation oil, gas and hydrocarbon leases for prospecting, exploring, developing, and producing minerals covering any portions of the state lands or the reserved mineral interests in state lands. In furtherance of the principle of multiple use of state lands, the land board may grant a lease for the prospecting, exploration, development and production of any mineral notwithstanding the issuance of other lease or leases on the same land for other minerals, and shall' include in such lease suitable stipulations for simultaneous operation. The board shall not issue more than one outstanding lease for the same purpose on the same land. . . - Associated Collection Bur Inc. vs vs - Mark S. Miner vs G. ATKINSON AND LEO R0UNDY. 38498 TUCKETT, Justice: RUBY bal due - Associated Collection Bur. Inc. vs DOUG C. MESSINGER; Pltf Tueller, 38520 - David M. Bown DAVID MCKEAN MITCHELL; vs Pltf$312.87; bal 1971 Pltf JOHNSON; $100.00; legal services 38493 - The General Tire & Rubber Co. vs SEAFLITE CORPORATION Utah Resources International, Inc. , a Utah corporation, John H. Morgan, Jr. , Justheim Petroleum Co. , a Nevada corporation, Clarence I. Justheim and J. H. Morgan, Sr. , Plaintiffs and Respondents, 65-1-- 1 M. Bown vs $500.00; legal services 38521 GEORGE - David 38519 WILLIAM ROBERT ?ltf$286.07 CHEVRON; check 65-1-- 437-065- Suits City Court Neslen and Mock James R. Brown Robert G. Pruitt Jr. Defendant counsel: Vernon B. Romney Sheridan L. McGarry Joseph P. McCarthy Defendants and Appellants Phone AND KAROLLEE Pltf$196.68; $82.22; contract 38517 - Homer F. Wilkinson vs DANIEL A. VINA; Pltf$787.50 services - Zion Motors, Inc, vs 38518 DONNA SNARR WHITING D. DYE; contract AND KENNETH Fltf$400.19; $150.05; - capsules -- |