File No. OG 003-03

L. Kamerman
Mining and Lands Commissioner

Tuesday, the 26th day of April, 2005.

The Oil, Gas and Salt Resources Act

In the matter of

An application under subsection 8(2) of the Oil, Gas and Salt Resources Act, R.S.O. l990, c. P. 12, as amended by S.O. 1994, c.27, section 131 and as amended by S.O. 1996, c.30, sections 56 to 70 and as amended by S.O. 1998, c. 15, exhibit "E", section 24 and as amended by S.O. 1999, c.12, exhibit "N", section 5 and Section 15 of Ontario Regulation 245/97, as amended, for an Order requiring the joining of the various interests further described herein, for the purpose of drilling or operating wells, the designation of the Applicant, Farmers Oil and Gas Inc., as the initial unit area operator and the apportioning of the costs and benefits of such drilling or operation, hereinafter referred to as "the Application for Unitization of the Romney 10-1" Pool";

And in the matter of

All and singular those certain parcels, lots or tracts of land and premises situate, lying and being comprised of the South half of the North Half and the North half of the South half of Lot 10, Concession 1, comprised of approximately 100 acres more or less, in the Geographic Township of Romney, formerly the County of Kent, now in the Municipality of Chatham-Kent, Province of Ontario;

Between:

Farmers Oil and Gas Inc.
Applicant

and

James Albert Lyle Robinson and Beverly Robinson, being leased landowners who have executed the proposed unitization agreement
Respondents of the First Part

and

Barry John Winfree, Kristen Lee Winfree and Erie Lands Limited, being unleased landowners who have not executed the proposed Petroleum and Natural Gas Lease and Grant and the proposed Unit Operation Agreement
Respondents of the Second Part

and

Roxanne Hillman, Henry Fast, Anne Fast, Nicholas Kisch, Peter Guenther, Helena Guenther, Roy Lee Roulhac, Norma Hamilton, Sylvia Telyne Menifee, Andre Carlos Hamilton, 1147186 Ontario Limited and Campers Cove Limited, being the leased landowners who have not executed the proposed Unit Operation Agreement
Respondents of the Third Part

and

Talisman Energy Inc., being an overriding royalty holder and a working interest owner who has not executed the proposed Unit Operating Agreement or the proposed Unit Operation Agreement as lessor
Respondent of the Fourth Part

and

Royal Bank of Canada, CIBC Mortgages Inc., Bank One, NA, being mortgage interest owners
Respondents of the Fifth Part

and

Minister of Natural Resources
Respondent of the Sixth Part

Order on costs

Whereas the final Order on the merits with Reasons was issued by this tribunal in this matter on the 11th day of March, 2005, dismissing the application of Farmers Oil and Gas Inc. for compulsory unitization, pursuant to subsection 8(2) of the Oil, Gas and Salt Resources Act;

And whereas the tribunal also ordered the opportunity for making submissions on costs to Farmers Oil and Gas Inc., the Applicant, Talisman Energy Inc., Party of the Fourth Part, and the Minister of Natural Resources, Party of the Sixth Part, with initial submissions to be provided by no later than the 4th day of April, 2005 and any corresponding response by no later than the 18th day of April, 2005;

And whereas the tribunal received correspondence from Mr. Stephen H. Gibson, counsel for the Minister of Natural Resources, Party of the Sixth Part, dated the 7th day of April, 2005, stating that his client would not be pursuing a claim for costs, but retaining its right to respond;

And whereas the tribunal received no further submissions on costs from any of the parties listed in paragraph 2 of its March 11, 2005 Order;

  1. It is ordered that no costs shall be payable by any party to this application.

Dated this 26th day of April, 2005.

Original signed by L. Kamerman
Mining and Lands Commissioner