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<br /> STATE Ob' NEBRASIfA,�
<br /> � From � IIall County, �3' I
<br /> ,,
<br /> � William Smithwick and wife I liereb� certif� that this instrumer��t as filed for reco�°d in my office
<br /> ;,; at � dcl,nck A• Di., Aprii 2�� 133� , and is
<br /> �.
<br /> dul� reco�°ded in book ��Qu page 20 .
<br /> t; ���-�.�C�_.!�'��-� Re�ister of Deeds
<br /> j� To B9
<br /> �� � Texas Aroduetion Company veputy.
<br /> T I+'ees,� 2.�0
<br /> �;Lease o. - �II� AND GAS MI�TING LEASE � a8 0 `�
<br /> ;E�piration Boo. ����a��3go�y J. ���
<br /> ';j 12 1930 Bp J �'.N.
<br /> t' An Agreement, entered into this 2I. day �f - Feb•
<br /> ��; William Smithwiek and Ma.ry Smithwick ,his wife . 19 3� , between
<br /> �.�;
<br /> )!; lessor (whether one or more), and TEXAS PRODUCTION COMPANY, a corporation organized under the laws of Colorado, lessee.
<br /> 1. Lessor, in consideration of the sum or T�aenty Dollars (�y 20,00 ), in hand paid, of �he royalties herein provided
<br /> �� and the agreements of lessee herein contained, hereby grants, leases and lets exclusively unto lessee, for the purpose of testing by any method for formations
<br /> (� ���nd prospecting and drilling for and producing oil a.nd gas, laying pipe lines, building tanks, storing oil and building powera, atations, telephone lines
<br /> \ � ;� and other structures (including houses for employees) thereon, to produce, save, take care of, Lreat and transport said products, the following described
<br /> �W.
<br /> land in Hall County, State of Nebraska, to-wit:
<br />� "� i �' West Half of Sauth�est Quarter Section Tv�enty Ei.�ht� l�or�h half of North West Quarter and
<br /> � � � South East Quarter o�' North West Quarter Section Thirty Three Township Eleven North Range
<br /> i Eleven West and containing 200 acres more or less.
<br /> � ��
<br />' � i!
<br /> N ��
<br /> j 2. Subject to the other provisions herein contained, this lease shall remain in force for a term of ten years from this date (hereina.fter called "primary
<br /> �;' term") and as long thereafter as either oil or gas is or can be produced from any well on said land; however, lessee at any tfine may release this lease
<br /> �
<br /> . .
<br /> � ' in whole or in part.
<br /> �� 3. The royaltie� reserved by l�ssor, and whieh shall be paid by lessee, are (a) on oil, one-eighth of that produced anfl 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 optfon of the lessee, from time to
<br /> time, the market price st 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 off
<br /> III �! the land or in the manufacture of gasoline, including casinghead gas, the market price at the weli oF one-eighth of the gas so sold or used, provided that
<br /> if and when lessee shall sell gas at the wells lessor's royalty thereon ahall be one-eighth of the amount realized from such sales. Lessee is hereby given the
<br /> '� option of purchasing all or any part of said royalty rights from the lessor at the beat bona fide price offered by responsible third parties when and if
<br /> � offered for sale or transfer by lessor.
<br /> �' 4. If drilling operations are not commenced on saidland on or before one year from his date, this lease shal th n te n te as Lo both partiea, unless
<br /> � �! lessee shall pay or tender to le,�s or or to the credit of lessor�n �Stat e_B&�_Of_�81T0_`�Bmi�r at_�a�ro;�'e�• (which bank is
<br /> � lessor's agent) the s�xm of '1'8Y1 — —"— —`—' —" —"'— " "—" '— ` Dollars ($1.�•Q� )
<br /> ��� (hereinafter called "rental"), which shall extend for six months the Lime within which drilling operations may be commenced. Thereafter, semi-annually, in
<br /> ! like manner, and upon like payment� or tenders, the comm.encement of drilling operations may be further deferred for periods of six months during the
<br /> j'; 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
<br /> ;� of payment. Drilling operations hereunder shall be deemed to be commenced when the first material is placed on the ground. Notwithstanding any devolu-
<br /> � tion, change or diviaion in the ownership of said land, the payments or tenders of rental in the manner herein provided shall be binding on the successors,
<br /> �, assigns or legal representatives of lessor. If such bank (or any successor bank) should fail, liquidate or be succeeded by another bank, lessee shall not
<br /> 1; be held 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 /> �,
<br /> 5. If prior to the discovery of oil or gas on said land lessee should drill a dry hole or holes thereon,this lease shall not be terminated thereby if lessee,
<br /> i before the next ensuing rental paying date, commences further driliing operations or commences or resumes the payment or tender of rentals. If after the �
<br /> t' discovery of oil or gas the production thereof should cease from any cause, this lease shall not be terminated thereby if lessee commences additional drilling
<br /> operations within suity days thereafter or (if it be within the primary term) commences or resumes the payment or tender of rentals before the next
<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 /> �i operationa thereon, the lease shall remain in force 30 long as drilling operations are prosecuted, and, if they reault in the production of oil or gas, so long
<br /> �� thereafter as oii or gas is or can be produced from any well on said land.
<br /> �� 6. Lessee shall have the free uae of oil, gas, wood, coal and water from said land, except water from lessor's wells, for all operations hereunder; and the royaity on oil
<br /> �i and gas shall be in the net quantity after dedncting any so used for operations. Lessee ahall have the right at any time during or after the expiration oi this lease to remove
<br /> �; all property and fixtures placed by lessee on said land, including the right to draw and remove all casing. When required by lessor, lessee will bury all pipe linea below
<br /> '� ordinary plow depth, and no well shall be drilled within two hundred feet of any reaidence or barn now on said land without lessor's consent. Lessor shall have the privilege,
<br /> �� at the risk and expense of lessor, of making connection and using gas from any gas well on said Iand for stoves and inside Iights in the principal dwelling on said Iand out
<br /> '; of any aurplus gas not needed for operations hereunder.
<br /> �� 7. The righta of either party under this lease may be assigned in whole or in part and the provisions hereof shall extend to the heirs, personal representative9, auccessors
<br /> �I and assigns, but no sale or assignment by lessor shall operate to enlarge the obligation� or diminish the rights and privileges of lesaee. Should leasee asaign this lease in
<br /> ' whole or in part lessor shall look solely to the assignee for performance of its terms as to the parts so assigned. No sale or assigninent by lesaor sha11 be binding on lessee
<br /> �� for any purpose until lessee shall be furnished with an instrument in writing evidencing such sale or assignment. If lessee assigns this lease in part, the obiigation (if any
<br /> �� exists) to pay rentals is apportioned as between the several owners ratably according to the surface area of each, and default by one of them in the payment of rentals
<br /> �I shall not affect the validity of the lease on the portion of land upon which pro rata rentals are paid or tendered.
<br /> j 8. This lease shall never be forfeited, cancelled, or terminated for failure by lessee to perform in whole or in part any of its fmplied obligationa, nor while oil or gas ie
<br /> being produced in paying quantitiea for any cause whatsoever, unless there shall first be a final judicial ascertainrnent that such obligation or cauae exists and that lessee
<br /> � is ln default. Upon such iinal determination, lessee is hereby given a reasonable time thereafter to comply w3th such obligstion, or, at les�ee's election, to surrender the
<br /> lease, with the option of reserving, under the terms of this lease, each producing well and ten acres surrounding it to be selected by lessee. Lessee shall not be liable in
<br /> damages for breach of any implied obligation.
<br />' � 9. If aix or more peraons be or become entitted to royalties hereunder, they shaIl by suPficient written instrument designate some agent to receive payment for all,
<br /> h �i and lessee shall not be required to make payment until such mstrument is furnished.
<br /> �{ 10. When drilling or other operations are delayed or interrupted by lack oP water, labor or material, or by Yire, storm, flood, war, rebellion, insurrection, riot, strike,
<br /> �, differences with workmen, or failure of carriers to transport or furnish facilities for transportation or as a result of aome order, requisition or necesaity oi the governmenf,
<br /> i or as the result oE any cause whatsoever beyond the control of the lessee, the time of auch delay or interruption shall not be counted against lessee, anything in this lease to
<br /> �� the contrary notwithstanding.
<br /> �' 11. Lessor hereby warrants and agrees to defend the title to said land and agrees that leasee, at lessee's option (but without any duty to do so), may pay and diacharge
<br /> �! retaina for�he rsatlsfaction tof rsuch sl en and intereat al l royaltieseornrentalse a cruing he eunder. If les orl ow s lan interest in sr�idf land t esssthan he enti edfee simple t s atey
<br /> ; then the royalties and rentals to be paid lessor aha11 be reduced proportionately. Should the right or interest of lessee hereunder be diaputed by lessor, or any other person,
<br /> �i the time covered by the pendency of such dispute shall not be counted against lessee either as afPecting the term of the lease or the time for payment of rentals or
<br /> �,
<br /> royalties or for any other purpose, and lessee may suspend all payxnents until there is a final adjudication or other deterxnination of such diapute.
<br />� ;i IN WITNESS WHEREOF this instrumettt is executed on the date first above written. •
<br /> 'I Posted on Map g, ED A Tp '
<br /> �; 3-5 1930 by I.E.L. DE���,T �ION�� DATA � . William. smithwick csEaL�
<br /> i� ��1 ��� � Mary� Smi th�vi ck � �s�aL�
<br /> I� LFSSOR
<br /> ;� Atteat: (�Q�,Q� BEXAS PROI}UCTION COMPANY, A.R.1�ilson
<br /> ,i J.C.Hudnal l ( rAI�
<br /> Assistant Secretary. Vice President
<br /> '� LESSEE
<br /> ��
<br /> �1 STATE QF NEBRASKA,
<br /> �� County of Hc'1.1.1, i� ss.
<br /> ' On this 21 da of F e q y �
<br /> ; y , 19 3 , before me, a Notary Public, in and for said County, personaily came the above named
<br /> ii �1�.1�3�1 S m I t h V P��k and �d a r y S m i t h w i c k , his wife, who are peraonally known to me to be the identical
<br /> Ipersons whose names are aff'vied to the above instrument as lessors, and th ey each ackn�wledged snid instrument to be their voluntary act and deed.
<br /> � Witness my hand and Notarial Seal the date last aforesaid.
<br /> i+ (SEAL) G.C.Raven
<br /> �; Notary Public.
<br /> �� My commission expires on the 27 day of JU.�.� � �g 7j� ,
<br /> STATE OF COLOR.ADQ '
<br /> j� City and County of Denver,
<br /> � ss. I
<br /> On t�;� 11 day of �a.reh � l9 3� ,,}�efore me, a Notary Public, in and fo� aid Count y
<br /> �I A i aT.�+.Hudnall . y> personaIl came the above na.med I
<br /> . wl1.SOY1 , Viee President and Assistant Secre ary of said Texas Production Com�any, who
<br /> �, are personally known to me to be the identical persons whose names are affixed to the above instrument as V' e President and Assistant Secretary of said
<br /> ! corporation, and they acknowledged the instrument to be their voluntary act aad deed and the voluntary act and deed of said corporation.
<br /> j� Witness my hand and Notarial Seal the date last aforesaid. ,
<br /> i (SEAI,) John TNNa�pub�m. '
<br /> �_ My commission expires on the �j�_ day of Oetober is 33 .
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