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File No. 2178 Board Order No. 2178 ____________________

June 15, 2021 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 THE NORTH WEST ¼ OF SECTION 20 TOWNSHIP 78 RANGE 16 WEST OF THE 6 TH MERIDIAN PEACE RIVER DISTRICT, EXCEPT PLAN A2035 (The “Lands”) BETWEEN: Wesley Dyck and Anja Landsmann (APPLICANTS)

AND: Sanling Energy Ltd. (RESPONDENT) ____________________________________ BOARD ORDER _____________________________________

DYCK, ET AL v. SANLING ENERGY LTD. ORDER 2178-1 Page 2

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

The Applicants, Wesley Dyck and Anja Landsmann, are the owners of the Lands described as:. THE NORTH WEST ¼ OF SECTION 20 TOWNSHIP 78 RANGE 16 WEST OF THE 6 TH MERIDIAN PEACE RIVER DISTRICT, EXCEPT PLAN A2035. The Respondent, Sanling Energy Ltd., is the operator of a well site 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 July 27, 2004 (the Surface Lease).

Pursuant to the Surface Lease, Sanling Energy Ltd. is required to make annual payments of $3,900.00 to Wesley Dyck and Anja Landsmann. Sanling Energy Ltd. failed to make the annual payments required by July 27, 2019 and July 27, 2020.

The Board finds that Sanling Energy Ltd. 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 Sanling Energy Ltd. owes Wesley Dyck and Anja Landsmann $3,900.00 in unpaid rent plus interest from July 27, 2019 and $3,900.00 in unpaid rent and interest from July 27, 2020. The Applicant is entitled to costs of this application.

The Board orders as follows: 1. Sanling Energy Ltd shall forthwith pay to Wesley Dyck and Anja Landsmann the sum of $3,900.00 plus interest calculated in accordance with the Court Order Interest Act from July 27, 2019; and

2. Sanling Energy Ltd shall forthwith pay to Wesley Dyck and Anja Landsmann the sum of $3,900.00 plus interest calculated in accordance with the Court Order Interest Act from July 27, 2020.

DATED: June 15, 2021 FOR THE BOARD

_______________________ Cheryl Vickers, Chair

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