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File No. 2116 Board Order No. 2116-1 ____________________

October 29, 2019 SURFACE RIGHTS BOARD IN THE MATTER OF THE PETROLEUM AND NATURAL GAS ACT, R.S.B.C., C. 361 AS AMENDED

AND IN THE MATTER OF LOT A SECTION 32 TOWNSHIP 83 RANGE 17 WEST OF THE 6 TH MERIDIAN PEACE RIVER DISTRICT PLAN EPP27278 (The “Lands”)

BETWEEN: Laurie William McDonald (APPLICANT)

AND: Ranch Energy Corporation (RESPONDENT) ____________________________________ BOARD ORDER _____________________________________

MCDONALD v. RANCH ENERGY CORPORATION ORDER 2116-1 Page 2

This is an application brought under sections 164 and 176 of the Petroleum and Natural Gas Act.

The Applicant, Laurie William McDonald, is the owner of the Lands described as: LOT A SECTION 32 TOWNSHIP 83 RANGE 17 WEST OF THE 6 TH MERIDIAN PEACE RIVER DISTRICT. The Respondent, Ranch Energy Corporation, is the operator of a well located on the Lands. The Respondent’s right of entry to the Lands for the purpose of operating the well is pursuant to a surface lease dated August 4, 2005 (the Surface Lease).

Pursuant to the Surface Lease, Ranch Energy Corporation, is required to make annual payments of $4,900.00 to Laurie William McDonald. Ranch Energy Corporation failed to make the annual payment required by August 4, 2019.

The Board finds that Ranch Energy Corporation has failed to pay rent owing under a surface lease. Pursuant to section 176 of the Petroleum and Natural Gas Act, the Board determines that Ranch Energy Corporation owes Laurie William McDonald $4,900.00 in unpaid rent plus interest from August 4, 2019. The Applicant is entitled to costs of this application.

The Board orders as follows: 1. Ranch Energy Corporation shall forthwith pay to Laurie William McDonald the sum of $4,900.00 plus interest calculated in accordance with the Court Order Interest Act from August 4, 2019.

DATED: October 29, 2019 FOR THE BOARD

_______________________ Cheryl Vickers, Chair

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