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<br /> ________ __ _._ ___-.
<br /> __ _�:�.A,��-��:�.� __ ________ __-_-_
<br />� STATE OF NEBRASSA,�
<br /> From Hall Count�, �s.
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<br /> Ma.rtin 4�.Kelly a_,.nd wife �
<br /> �' I hereby certify tyLat this instrumen�E was filed for record in my office ;
<br />' ;; - dt �Q:00 dctocic �j. Df•, �CtObeT 1'rj 19�Q" " , ¢nd is ��
<br /> ;�' dul,f recorded in book (,� page 7�
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<br /> Re ist o Deeda
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<br /> i' Texas Production Company De ut . �
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<br /> �': - 1�'ees,� 2.6 5 ±i
<br /> � �eas� RTo s N'�ook � Lqen�a �B�o � f'
<br /> �; E iration AND GAS MININCi LEAS
<br /> �i 3�7 �x3f��r�r�en`C,'eht'et�fl into this lgt day of M reh - �/19 �93� �w en Ti �•
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<br /> �`i� Martin @P.Kelly and Catharine Kelly, his wife , 'i�
<br /> �j' lessor (whether one or more), a,nd TEXAS PRODUCTION COMPANY, a corporation organized under the laws of Colorado, lessee. !
<br /> 1. Lessor, in consideration of the sum of '1'h,�.rty tTiPO Dollars (� ���Q� ), in hand paid, of the royalties herein provided �
<br /> `� and the agreements of lessee herein contained, hereby granta, leases and lets exclusively unto essee, for the purpose of testing by any method for foxma.tions �
<br /> ���and prospecting and drilling for and producing oil and gas, laying pipe lines, building tanks, atoring oil and building powers, stations, telephone lines '
<br /> �1 and other structures (including houses for employees) thereon, to produce, save, take care of, treat and transport said products, the following described ':
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<br /> land in Hall County, State of Nebraska, to-wit: ��
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<br /> '' 9outh H�.lf of Section Ei�ht Township Nine, North,Ran�e Turelve, V�est containing 320 acres �
<br /> �� more or less. '�
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<br /> �� 2. Subject to the other provisions herein contained, this lease shall remain in force for a term of ten years from this date (hereinafter called "primary �
<br /> j 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 time may release this lease i
<br /> C� in whole or in part. ��
<br /> 3. The royalties reserved by lessor, and which shall be paid by lessee, are (a) on ofl, one-eighth of that produce@ and saved from said land, the same
<br /> ! to be delivered at the �wells or to the credit of lesaor in the pipe line to which the wells may be connected, or, at the option of the lessee, from time to ii
<br /> �� time, the market price at the wells of such one-eighth on the day it is run to the pipe line or etorage tanks, lessor's interest in either case to bear its �
<br /> � proportion of a.ny expense of treating unmerchantable oil to render it merchantable as crude, and (b) on gas produced from said land and aold or used off
<br /> ; the land or in the manufacture of gasoline, including casinghead gas, the market price at the well of one-eighth of the ga.s so sold or used, provided that jj
<br /> if and when lessee shall sell gas at the wells lessor's royalty thereon shall be one-eighth of the amount realized from such sales. Lessee is hereby given the
<br /> � option of purchasing all or a.ny part of said royalty rights from the lessor at the best bona, fide price offered by responsible third parties when and if �
<br /> � offered for sale or transfer by lessor.
<br /> 4. If drilling operationa are not commenced on said land on or before one year from this date, this Iease shaI��hera,t,ermin� �s to botfl parties, unless (�
<br /> ; lessee shall pay or tender to lessor or to the credit of lessor in F i r�t �,�7't a,t� Bank at 81'G 021'N e DT (which bank is j
<br /> lessor's agent) the sum of Sixteen ----------------�"—°---'-'�--------�-------- Dollars ($],6 00 ) i'
<br /> ; (hereinafter called "rental"), which shall extend for six months the time within which drilling operations may be commenced. Thereaf�er, 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 /> � prima.ry term. The payments or tenders of rental may be niade by the check or draft of lessee mailed or delivered to said bank on or taefore such date '
<br /> of payment. Drilling operations hereunder shall be deemed to be commeneed when the first 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, i�
<br /> li 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 /> !' 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 tender�. The down cash payment is consideration for this lease
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<br /> �j according to its terms and shall not be alocated as mere rental for a period. 'i
<br /> �; 5. If prior to the discovery of oil or gas on said land lessee should drili 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 drilling operations or commences or resumes 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 shall not be terminated thereby if lessee commences additional drilling i�
<br /> � operations within sixty days thereafter or (if it be within the primary term) commences or resumes the payment or tender of rentals before the next �
<br /> �j 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 f
<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 welk on said land.
<br /> �� 6. Lessee shall have the free u�e of oil, gas, wood, coal and water from said land, except water from leseor's weils, for all operations hereunder, and the royalty on oil �
<br /> �; and gas aha11 be in the net quantity after deducting any so used for operations, Lesaee shall have the right at a.ny time during or alten the expiration of this lease to remove i�
<br /> ,� all property and fixtures placed by lessee on said land,including the right to draw and remove all casing. When requlred by lessor, lesaee will bury a11 pipe linea below ��
<br /> ordinary plow depth, and no well ahall be drilled within two hundred feet of any residence or barn now on said land without leasor's consent. Lessor shall have the privilege,
<br /> !i at the riak and expenae of lessor, of making connection and using gas from any gas well on said land for stoves and inaide lights in the principal dwelling on said Iand out �
<br /> of any surplus gas not needed for operations hereunder. ��
<br /> �' 7. The rights oE either party under this lease may be assigned in whole or in part and the provisions hereoP shall estend to the heirs,peraonal representatives, succes�ora �I
<br /> � and assigna, but no sale or assignment by lesaor ahall operate to enlarge the obligations or dimfnish the rights and privileges of leasee. Should lesaee assign thia lease in '
<br /> ;� whole or in part lessor shali look aolely to the assignee for performance oP ita terms as to the parts ao assigned. No sale or aasignment by lessor shall be bindfng on lessee
<br /> i: for any purpose until lessee shall be furnished with an instrument in writing evidencing such sale or assignment. If lessee assigns this lease in parY, the obligation (ff any
<br /> �; exiats) to pay rentals is apportioned as between the aeveral owners ratably according to the surface area of each, and default by ohe oi them in the payment of rentals
<br /> � shall not affect the validity of the lease on the portion of land upon which pro rata rentals are paid or tendered. +
<br /> �; 8. Thie lease ahall never be forfeited, cancelled, or terminated for failure by lessee to perform in whole or in part any of its implied oblfgations, nor while oil or gas is I
<br /> ' being produced in paying quantitiea for any cause whatsoever, unless there shall firat be a final judicial ascertainment that sueh obligation or cause exists and that leas�e iI
<br /> ;� is in default. Upon such final determination, lessee is hereby given a reasonable time therealter to comply with such obligation, or, at lessee's electfon, to eurrender the f
<br /> � lease, with the option of reserving, under the terms oP this lease, each producing well and ten acres surrounding it to be seleeted by lessee. Leasee shall not ba liable in (�
<br /> ; damages for breach of any implied obligation. ;i
<br /> � 9. If six or more persons be or become entitled to royalties hereunder, they sha,ll by sufficient written fnstrument designate some agent to receive payment for all, �
<br /> �� and leasee shall not be required to make payment until such instrument is furniehed, j
<br /> il 10. When drilling or other operations are delayed or interrupted by lack of water, labor or material, or by fire, storm, riood, war, relaellion, insurrection, Mot, atrike, �
<br /> " differences with workmen, or failure of carriers to transport or furnish facilitfes EoF transportation or as a result of some order, requisition or neceasity of the gavernment,
<br /> �� or as the result of any cause whatsoever beyond the control of the leasee, the time of auch delay or interruption shall not be counted againet lessee, anything in this lease to �'
<br /> the contrary notwithstanding. �'
<br /> 11. Leasor hereby warrants and agrees to defend the title to said land and agrees that lessee, at leasee's option (but without any duty to do ao), may pay and diseharge �i
<br /> !� ariy taxes, mortgages or other 2iens upon said 2and, and in that event lessee shall be aubrogaYed to such lien, with full rfght to enforce the same, and in additfon thereto may �
<br /> � retain for fhe satisfaction of auch lien and interest all royalties or rentals accruing hereunder. If leasor owns an interest in said land less than the entire fee simple.estate, ��
<br /> i; then the royalties and rentale to be paid leasor shall be reduced proportionately. Should the right or fntereet of lesaee hereunder be disputed by lessor, or any other person, !
<br /> �! the time covered by the pendency of such dispute shall not be counted against lessee either as affecting the term of the lease or the time for payment of rentals or �
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<br /> royalties or for any other purpose, and lesaee may suspend all payments until there is a final adjudication or other determinatiott of auch dispute. j, `
<br /> !; IN WITNESS WHEREOF this instrument ia esecuted on the date first above written. • , '�
<br /> Ii Posted on Map APPROVED AS TO Ma.rtin �.Relly �s�,L>
<br /> ' 3-17-1930 by I.E.L. DESCRIPTION;& DATA Catharin-e Kelly �sF.A7,�
<br /> " T.F Fr eman - I
<br /> `� 3�'18��3o L�ssox, i I
<br /> I' Attest: � CORP TEXAS PRODUCTION COMPANY, '
<br /> ,; J.C.Hudnall �SEAL By A.R,�ilson � '
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<br /> Assistant Secretary. Vice President
<br /> LESSEE �
<br /> �! STATE OF NEBRASKA, '
<br /> �' County of �Ll��c'�,�.0 � ss' � I
<br /> iIOn this �. day of B�areh , is30 , before me, a Notary Public, in and for said County, personally came the above named �
<br /> � Martin �.Kelly and Catharine Kelly , hia wife, who are personally known to me to be the identical �',
<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. � i
<br />� j� Witness my hand and Notarial Seal the date last aforesaid.
<br /> ;! � (SEAL) Marti�o����ry
<br /> , M commission ex ires on the Yl a of Ll�
<br /> y p 't d � 19 . I
<br /> 5 y _ y , 30 �
<br /> � STATE OF COLOftADO,
<br /> � City and County of Denver, � ss. i
<br /> On this ?$s day of Mar eh , 193 o , before me a Notary Public, in and for said Count �
<br /> � y, personaily came the above na,med �
<br /> ;� �i.R.�1 Z S OI1 , Vice President and J.C.HuC�Tldl� Assistant Secretaxy of 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 As�istant Secretary 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 last aforesaid. (gEAL) John T.Nystrom
<br /> '� �� � Notary Public. �
<br /> M commisaion ex irea on the da o4 b 18
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