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HomeMy WebLinkAboutMinutes Oil And Gas Advisory Committee - 10/02/2012 MINUTES OIL AND GAS ADVISORY COMMITTEE MEETING Tuesday, October 2,2012 @ 10:00 a.m. City Council Chambers Conference Room,City Hall 1201 Leopard Street,Corpus Christi,Texas 78401 PRESENT: John Cantu,Chairman, Industry Representative Gary Meurer, Public Representative Randy Schnettler, Alternate Public Representative Paul Grivich, Industry Representative William Moffitt,Alternate Industry Representative OTHERS PRESENT: Jesse M. Cantu Jr., Petroleum Superintendent; Hope Herrera, Management Aide; Ron Behnke, Marina Liasion MEMBERS ABSENT: Gerald Rogen, Public Representative; Tom Fisher, Vice Chairman, Industry Representative; Patrick McCullough, Industry Representative Chairman John Cantu called the meeting to order and asked for introductions of the committee members and staff. Mr. John Cantu gave a little history on the committee. Chairman Cantu asked the committee if they had reviewed the minutes for the meeting held on August 9, 2010. A motion to approve the minutes was made by Mr. Bill Moffitt,seconded by Mr. Paul Grivich and the minutes were unanimously approved with one correction on page 2, it was stated the operator was Chaparral when it was Sabco. Chairman John Cantu asked for discussion and possible action on absences from the meeting held on August 9, 2010 and asked for some clarification. Ms. Hope Herrera answered the absentees were Glenn Cooper, who was ineligible for re-appointment, Chet Freeman, whose term has since expired and chose not to be re-appointed and Gerald Rogen. She stated a list of the committee members and reasons for their absences. A motion to excuse the absence of Mr. Gerald Rogen was made by Mr. Bill Moffitt, Mr. Paul Grivich seconded,and the absences were unanimously excused. Chairman John Cantu asked if there were any public comments and Mr. Ron Behnke addressed the committee on behalf of the Marina. Mr. Ron Behnke asked to be notified when any wells were drilled in the bay. He also stated that he would like to see all wells lit to ensure safe boat traffic and for safety measures in general. He also stated if we could make sure and send Peter Davidson the meeting minutes and Mr. Jesse Cantu informed him that the committee agenda and meeting minutes are always sent to Mr. Peter Davidson. Mr. Jesse Cantu also informed Mr. Ron Behnke that the Marina has always been invited to meetings involving the bay waters. Mr. Ron Behnke stated that he would be available for any meetings. Chairman John Cantu asked if there were any presentations and there were none. Mr. Jesse Cantu informed the Committee of all the wells on land in the bay. There are 108 Land, 119 Water, 96 Bay and 23 Gulf wells currently. Mr. Jesse Cantu also informed the Committee that all wells are inspected annually. SCANNED As r • Oil and Gas Minutes October 2, 2012 Page 2. Mr. Jesse Cantu introduced an item to discuss, Legal approached the Oil & Gas Committee to assist in lease agreements. It was brought to attention if the 2 land men on the Committee , Bill Moffitt and Paul Grivich could assist in reviewing current City lease. Both gentlemen agreed to assist in whatever way possible. Mr. Bill Moffitt and Mr. Paul Grivich discuss the effects of the oil boom and how much of an impact Eagle Ford Shale has made in the area. Both men stated that an acre is going for about$250-$300. Mr. Bill Moffitt asked Mr.Jesse Cantu if the City has a lease form already in place. Mr.Jesse Cantu said yes and would get him a copy. Mr. Paul Grivich asked Mr. Jesse Cantu how many active leases are there in the City as of now. Mr. Jesse Cantu replied, 5. Chairman John Cantu stated that he wanted to make sure that both Mr. Bill Moffitt and Mr. Paul Grivich were comfortable with reviewing and helping with the lease agreements. Chairman John Cantu asked Mr. Jesse Cantu to review the ordinance to make sure the Committee's duties include leases. Mr.Jesse Cantu read the ordinance out loud and it was concluded that yes, the Committee's duties include assisting the City with mineral leases. Mr. Bill Moffitt stated that first we need to make a trade with the operator. Mr. Jesse Cantu stated that this is still all preliminary. Chairman Cantu asked for nominations for Chairman and Vice Chairman. Mr. Paul Grivich made a motion to nominate John Cantu as Chairman, Mr. Bill Moffitt seconded. Mr. Paul Grivich motioned to nominate Mr. Bill Moffitt as Vice Chairman, Mr. Gary Meaurer seconded the motion. All were in favor of the nominations and they were unanimously elected. Chairman John Cantu asked if there were any items that needed to be identified for the next meeting and he requested a follow up from staff on the topic of the lease agreements. On a motion by Chairman John Cantu,seconded by Paul Grivich,the meeting adjourned at 10:56 a.m.