PUBLIC HEARING ON A PRODUCTION PERMIT FOR PARSLEY MINERALS, LLC | Call to order at 1:08 p.m. by President McGuairt. Party representing application: Chad Hollier, Service Line Manager - Delaware Basin Middle Pecos GCD Minutes for June 19, 2018 Page 10 Public Comment: None. Protestant to application: None Ty Edwards, MPGCD General Manager, gave a recap for the hearing. Application for a Production Permit for a 4 well system located on H&GN RR CO Block 8 Section 92, approximately 2.5 miles southwest of Hwy 18 and FM 1450 intersection, in Pecos County, Texas The purpose of this well system is for Industrial Use of 160 acre-feet/year from the Pecos Valley and Edwards Trinity Aquifers. The pump test was 50 to 60 gpm, and the water analysis shows 800 tds. The well depths are 183’ to 233’. The water is needed for 1 frac job. The application is administratively complete. Mr. Chad Hollier, representative for Parsley Minerals, LLC, was sworn in. He was asked if there was a business agreement. Mr. Hollier said there is a surface use agreement only. Adjourn hearing and consider and/or act on Application for a Production Permit for Parsley Minerals, LLC. President McGuairt adjourned the hearing at 1:22 p.m. Weldon Blackwelder made a motion to approve the application as presented. Motion seconded by Alvaro Mandujano, Jr. Motion Carried Unanimously. Vote: 10 For. -0- Oppose. 1 Absent.

Bastiat Liberty & Property Rights Analysis

This motion is scored as RESTRAINS_GOVERNMENT (Impact Weight: 4.9/10). Under the Bastiat Liberty Watchdog Index, voting YES on measures that cap or reduce ad valorem tax burdens, expand taxpayer exemptions, retire debt early, enforce competitive bidding caps, or remove regulatory/zoning barriers to private property rights earns a positive Pro-Liberty score.