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- � � �� ��� 1�. <br /> �i��� �'�'���,��;��� ������ � <br /> STgTE OF NEBRASI�A,� <br /> From Sall County, s�' <br /> I <br /> �111�8.t23 L.Heupel and VPlf e I hereby certify that this instru�nerc�t was filed for record in m� of fice <br /> at 8` o'clocic � as. A r i 1 26 -19 3Q and is <br /> duly recorded in book � �� � page 1� . � <br /> ��.�� Register o f Deeda <br /> .g f �r�y�� � <br /> To <br /> Texas Production Company Deputy. <br /> I'ees,�6 2.65 <br /> �ea�rat��on Bo k L AND GAS MI�TI1\TG LEASE ����,��en�a� �oo ' <br /> 31�i2 �93o B� J.�,�. �I 3112 �93o sy J.� _. <br /> An Agreement, entered into this 20 day of February , 19 30 , betweea <br /> �lilliam L.Heupel and Bertha Heupel,his wife <br /> lessor (whether one or more), and TEXAS PRODUCTION COMPANY, a corporation organiz1�ed under the 2aws of Colorado, lessee. <br /> 1. Lessor, in consideration of the sum of Tv�enty four pollars ($ 2`�'.�� ), in hand paid, of the royalties herein provided <br /> and the agreements of less2e herein contained, hereby grants, leases and leta exclusively unto lessee, for the purpose of testing by any method for forma.tions <br /> and prospecting and drilling for and producing oil and gas, laying pipe lines, building tanks, storing oil and building powers, stations, telephone linea <br /> and other structures (including houses for employees) thereon, to produce, save, take care of, treat and transport said products, the following described <br /> land in H&,11 County, State of Nebrask�, to-wit: <br /> North Half North Rest Quarter and South East Quarter Section Twenty Township Twelve North <br /> Ra,nge Eleven �fest�Except Chicago Burlington � Quincp Ra.ilroad Right of Way) and containing <br /> 240 acre� more or lesa. <br /> 2. Subject to the other provisions herein contained, this lease ahall remain in force for a term of ten years from this date (hereinafter called "primary � _ <br /> term") and as Iong thereafter as either oil or gas is or can be produced from any well on said land; however, lessee at any time may release thia lease <br /> in whole or in part. <br /> 3. The royalties reserved by lessor, and which shall be paid by lessee, are (a) on oil, one-eighth of that produced and saved from said land, the same <br /> to be delivered at the wells or to the credit of lessor in the pipe line to which the wells may be connected, or, at the option of the lessee, from time to <br /> time, the market prfce at the wells of such one-eighth on the day it is run to the pipe line or storage tanks, lessor's interest in either case to bear its <br /> proportion of any expense of treating unmerchantable oil to render it merchantable as crude, and (b) on gas produced from said land and sold or used oPP <br /> the la,nd or in the manufacture of gasoline, including casinghead gas, the market price at the well of one-eighth of the gas so sold or used, provided that � <br /> if and when lessee shall sell gas at the weils lessor's royalty thereon shall be one-eighth of the amount realized from such sales. Lessee is hereby given the <br /> option of purchasing ail or any part of said royalty rights from the lessor at the best bona fide price offered by responsible third parties when and if I <br /> offered for sale or transfer by lessor. � �� <br /> 4. If drilling operations are not commenced on said land o q� b fQ re,,pl� ea o t}�i date thia lease shaJ,j t$en ter te as to both parties, unless i V <br /> leasee shall pay or tender t� les r or to the credit of leasor in�La�e t3a� b� �a1�0� '_ E�nR at �ialTO��e�• 12•40(which bank is , � <br /> lessor's agent) the sum of'rwe�ve � — — — _ — — — — — — — Dollars {� <br /> (hereina,fter called "rental"), which shall extend for aui months the time within which drilling operations may be commenced. Therea.fter, semi-annually, in (� <br /> like manner, and upon like payments or tenders, the commencement of drilling operations may be further deferred for periods of six months during the \�\ <br /> primary term. The payments or tenders of rental may be made by the check or draft of lessee mailed or delivered to said bank on or before such date ���\J <br /> of payment. Drilling operations hereunder sha11 be deemed to be commenced when the firat material is placed on the ground. Notwithstanding any devolu- <br /> tion, change or division in the ownership of said land, the payments or tenders of rental in the manner herein provided shall be binding on the successors, <br /> asaigns or legal representatives of lessor. If euch bank (or any auccessor bank) should fail, liquidate or be succeeded by another bank, lessee shali not <br /> be heid in default for failure to make such payments or tenders until thirty days after lessor shall deliver to lessee an instrument in writing duly (� <br /> executed and acknowledged, naming another bank as agent to receive such payments or tenders. The down cash payment is consideration for this lease �"� <br /> according to its terms and shall not be alocated as mere rental for a period. <br /> 5. If prior to the discovery of oil or gas on said land lessee ahould drill a dry hole or holes thereon, this lease shall not be terminated thereby if lessee, � i� <br /> before the next ensuing rental paying date, commences further drilling operations or commences or reaumes the payment or tender of rentals. If after the , � <br /> discovery of oil or gas the production thereof should cease from any cause, this lease ahall not be terminated thereby if lessee connmences additionai drilling <br /> operations within sixty days thereafter or (if it be within the primary term) commences or resumes the payment or tender of rentais before the nest <br /> ensuing rental paying date. If at the expiration of the primary term oil or gas is not being produced on said land but lessee is then engaged in drilling <br /> operations thereon, the lease shall remain in force so long as drilling operations are prosecuted, and, if they result in the production of oil or gas, so long � <br /> thereafter as oil or gas is or can be produced from any well on said land. <br /> 6. Lessee sha11 have the free uae oP oil, gas, wood, coal and water from said land, except water from lessor's wells, for all operations hereunder, and the royalty on oil <br /> and gas sha11 be in the net quantity xfter deducting any so used for operations. Lessee shall have the right at any time during or after the espiration of thia lease to remove � <br /> ali property and fixtures placed by lessee on said land, including the right to draw and remove all casing. When required by leasor, lesaee will bury all ptpe linea beloW <br /> ordinary plow depth, and no well ahall be drilled within two hundred feet oP any residence or barn now on said land without lesaor's consent. Lessor sha11 have the privilege, <br /> at the risk and expense of lessor, of making connection and using gas from any gas well on safd land for stovea and inside lights in the principal dwelling on said land out <br /> oE any aurplus gas not needed for operations hereunder. <br /> 7. The rights of either party under thfa lease may be assigned in whole or in part and the provisions hereof shall extend to the heira, personal representatives, successora <br /> and assigns, but no sale or assignment by lessor ahall operate to enlarge the obligations or diminish the righta and privileges of lessee. Should leasee asaign this lease in <br /> whole or in part lessor shall look aolely to the aesignee for performance of its terms as to the parts ao assigned. No sale or assignment by lessor ahall be bindittg oa lessee <br /> Por any purpose until lesaee shall be furnished with an instrument in writing evidencing auch sale or asaignment. If lessee assigns this lease in part, the obligation (1! any <br /> exists) to pay rentals is apportioned as between the aeveral owners ratably according to the surface area of each, and default by one oY them in the payment oi rental8 � <br /> sbali not affect the validity of the lease on the portfon of land upon which pro rata rentals are paid or tendered. ` <br /> 8. This lease shall never be torPeited, cancelled, or terminated for failure by lessee to perForm in whole or in part any of its implied obligations, nor wh31e oil or gas ia <br /> being produced in paying quantities for any cause whatsoever, unless there shall first be a final judicial ascertainrnent that such obligation or cause esists and that lessee ` <br /> is in default. Upon auch final determination, lessee is hereby given a reasonable time thereafter to comply with such obligation, or, at lessee's election, to surrender the _� <br /> lease, with the option oE reserving, under the terme of this lease, each producing well and ten acres aurrounding it to be aelected by leasee. Leasee aha11 not be liable in aa <br /> damages for breach oY any implied obiigation. � <br /> 9. If aix or more persons be or become entitled to royaities hereunder, they sha11 by aufficient written instrument designate aome agent to receive payment for all, <br /> and lessee ahall not be required to make payment until such instrument is Eurnished. <br /> 10. When drilling or other operations are delayed or interrupted by lack of water, labor or material, or by fire, atorm, flood, war, rebellion, insurrection, rlot, atrike, <br /> differencea with workmen, or failure of carriers to transport or furnish facilities Por transportation or as a result of some order, requisition or necesaity of the Sovernment, � <br /> or as the result of anY cause whatsoever beyond the control of the lessee, the time of such delay or interruption ahall not be counted agalnat leasee, anything in this lease to I � <br /> the contrary notwithstanding. <br /> 11. Lessor hereby warrants and agrees to defend the title to said land and agrees that lessee, at lessee's option (but without any duty to do ao), may pay and discharge <br /> ariy taxes, mortgages or other liens upon said land, and in that event lessee shall be subrogated to such lien, with full right to enforce the same, and in addition thereto may � <br /> retain for the satisfaction of auch lien and interest all royalties or rentrxls accruing hereunder. If lessor owns an interest in said land less than the entire fee simple estake, I <br /> then the royalties and rentals to be paid lessor ahall be reduced proportionately. Should the right or interest of lessee hereunder be disputed by lessor, or any other peraon, <br /> the tfine covered by the pendency of auch dispute shall not be counted against lessee either as affecting the term of the lease or the time for payment OS rental9 or <br /> royalties or for any other purpose, and lessee may suspend all payments until there is a final adjudication or other determination of such diapute. <br /> IN WITNESS WHEREOF this instrument is esecuted on the date first above written. _ � <br /> �1 p��pv D Asp $ Ailliam L.Heupel csEa.L� ,� <br /> ���t�938�y��PE�L, D���RFree�an�3/�b�3� Bertha Heupel ts�� .� <br /> L SSOR <br /> � <br /> � <br /> Attest: p�p) <br /> TEXAS PRODUCTION COMPANY, <br /> J.C.Hudnall ��9EAL) sy A.R.�Pilson <br /> � Assiatant Secretary. Vice Presideat <br /> r�ss� <br /> STATE OF NEBRASKA, <br /> ss. <br /> County of Hall <br /> On this 21 day of Februa,ry , i9 30 , before me, a Notary Public, in and for s�,id County, personally came the above named I <br /> �lillia,m Z+.Heupel and Bertha Heupel , his wife, who are personally known to me to be the identical i <br /> persons whose names are affixed to the above instrument as lessors, and they each acknowledged said instrument to be their voluntary act and deed. <br /> Witness my hand and Notarial Seal the date last aforesaid G.C.'�&oen <br /> {SEAL) Notary rubiic. <br /> My commission expires on the �7 t� day of ,JU,].y , 19 3� • � <br /> STATE OF COLORADO, ` <br /> � ss. <br /> City and Gounty of Denver, <br /> On this 17- day of �areh , 19 , before me,a Notary Public, in and for said County, personally came the above named <br /> A.�.��.1.$OA , Vice President and J.C+•�u�lla�.l - Aasistant Secretary af said Texas Production Company, who <br /> are personally known to me to be the identical persons whose names are affixed to the above instrument as Vice President and Assistant Secreta,ry of said <br /> corporation, and they acknowledged the instrument to be their voluntary act and deed and the voluntary act and deed of said corporation. <br /> Witness my hand and Notarial Seal the date l�,st aforesaid. t sEAL) John �ot�xy Public. <br /> My commisaion expires on the 3� da of Oetober , is 33• • <br />