|
�: 81
<br /> B -I- OIL AND GAS LEASE
<br /> Form 88.-�(Producers) (NEBRASKA)
<br /> 21282—The Auguatine Co., County Bupplies, Grand Island, Nebr. •
<br /> FROM THE STATE OF NEBRASKA
<br /> ss.
<br /> County,
<br /> �"Jil.liam Kruse, �in�;le I hereby certi{y tltat tliis instrument was entered on Numerical Inclex, and filed
<br /> for recorrl tliis 6 day of Au ua t �9 �+2 .
<br /> TO at 1. :�jU o'clock p.M. �,�
<br /> Register�.
<br /> Jo8 VVY'j.�Ylt Deputy.
<br /> Fees, $ 2:�.5
<br /> ° ��
<br /> �.'ommence
<br /> AGREEMENT, Made and enterecl into this 5 clay of �Y&y , iq�1. , by and between
<br /> William Kruse A aingZe man
<br /> Party of t�e first part,hereinaFter called lessor(whether one or more)and
<br /> J U@ Wr i gh t Part y o f the second part, hereinaf ter called lessee,
<br /> WITNESSETH, That the saicl lessor, for anc�in consic�eration of —OnP-- DOLLARS,
<br /> cash in hand paid, receipt of whicl� is hereby acknowledged, and of the covenants and agreements hereinafter contained on the part of lessee to be paid, kept, and per-
<br /> formed, lias granted, demised, leased and let and by tl�ese presents does grant, demise, lease and let unto said lessee,for the sole and only purpose of mining and operating
<br /> for oil anc�gas, and laying pipe lines, and building tanks, power stations and structures thereon to produce,save and talze care of said products,all that certain tract o(land
<br /> situated in the County of F�AT.�- State of NEBRASKA clescribec� as follows, to-wit:
<br /> South East Ruarter, 5ectlon 22;
<br /> �
<br /> of Section 7'ownship �� � Range l�. � and containing Z�7� acres, more or less.
<br /> It is agreed that this lease shall remain in f ull f orce f or a term of t P,Tl years f rom this date, and as long thereaf ter as oil or gas, or �
<br /> either o f tltem, is produced f rom said IancI by the Iessee.
<br /> In consideration of the premises tlie said lessee covenants and agrees: �
<br /> ist. To deliver to the credit of lessor, free of cost, in the pipe Tine to which he may connect T�is wells, the equal one-eightTi (�) part of all oil produced and saved
<br /> f rom the leased premises.
<br /> �,nd. To pay Iessor for gas from each well wliere gas only is found t1�e equal one-eight�, (%s) of tlie gross proceeds at the prevailing marFzet rate, for aII gas used of f
<br /> the premises, said payments to be made monthly
<br /> ancl lessor to l�ave gas free of cost from any sucTi well for all stoves and all insicle lights in the principal dwelling house on said land during t�ie same time by malzing his �\
<br /> own connections witli the well at his own risk and expense. \
<br /> grd. To pay lessor for gas produced from any oil well and used of f the premises or in the manufacture of gasoline or any other procluct a royalty of one-eiglith
<br /> (�/a) of tlie marizet value, at the mouth of t�,e well, payable monthly at t�e prevailing market price.
<br /> If no well be commenced on saic� lancl on or before the ZSt'+ clay of Mareh , 19 44 , this Iease sltall �
<br /> terminate as to both parties, unless tl�e lessee on or before that date s1iall pay or tender to tlie lessor,or to the lessor's credit in The StQtB B821k Of Cairo O
<br /> Bank at �i8�.r'rJ�Nebr. ot its successors, wh��h shali continue �
<br /> as the depository regardless'of changes in the ownership of said lanc�, the sum of ,��ii0.�Q DOLLARS,
<br /> which shall operate as a rental and cover the privilege o f def erring tlie commencement o f a well f or �.2 months f rom said date. In Iike manner and �
<br /> upon like payments or tenders the commencement of a well may be further deferred for Iike periods of the same number of months successively. AII sucli payments or � ^
<br /> tenders of rentals may be made by checTz or draft of lessee or any assignee thereof, mailed or delivered on or before the rental paying date, either c�irect to lessor or assigns
<br /> or to saicl clepository bank. And it is understood and agreed that the consideration f irst recited herein, the down payment, covers not only the privileges granted to the
<br />'i date when said first rental is payable as aforesaid, but also tl�e lessee's option of extending that period as aforesaid, and an,y and aII otTier rights conferred.
<br /> Shoulcl tlie first well drilled on the above described land be a dry hole, then, and in that event, if a second well is not commenced on said Iand within twelve months •
<br /> from the expiration of the last rental period for which rental has been paid, this lease shall terminate as to both parties, unless the lessee on or before the expiration of
<br /> said twelve months shall resume the payment o f rentals in the same amount and in the same manner as hereinbe f ore provided. And it is agreed that upon the resump- ��
<br />� tion of the payment of rentals, as above provided, that the Iast prececling paragrapTi hereof, governing lhe payment of rentals and the effect thereof, shall continue in �
<br />� force just as though there hacl been no interruption in the rental paymenls. �
<br /> 1 f said lessor owns a less interest in the above described land than the entire and undivided f ee simple estate therein, then the royalties and rentals herein provided
<br /> shall be ptxid the Iessor only in the proportion which Tiis interest bears to the whole and undivided f ee. �
<br /> Lessee shall l�ave the right to use, free of cost, gas, oil, and water produced on said land for its operation tliereon, except water from wells of lessor. �
<br /> When requested by lessor, lessee shall bury his pipe lines below plow deptA. .�
<br /> No well shall be drilled nearer than 20o feet to the house or barn now on said premises, without the written consent of the lessor. •
<br /> Lessee shall pay for c�amages causec� by its operation to growing crops on saicj lanc�.
<br /> Lessee shall have the right at any time to remove all machinery and fixtures placec� on saicl premises, incluaTing the rigAt to draw ancl remooe casing.
<br /> If tTie Iessee shall commence to clrill a well within the term of this lease or any extension thereof, the lessee shall have the right to drill such well to completion with
<br /> reasonable diligence and dispatch, and if oiI or gas, or either of them, be found in paying quantities, this lease shall continue and be in force with the like ef fect as if
<br /> such well had been completed within t�e term of years herein first mentioned.
<br /> If the estate of eitlier party hereto is assigned, and the privilege of assigning in whole or in part is expressly alloi�ed, the covenants hereof shall extend to their
<br /> �eirs, executors, acTministrators> successors or assigns, but no change in the ownership of the land or assignment of rentals or royalties shall be bincling on the lessee until
<br /> after the lessee has been furnished with a written transfer or assignment or a true copy thereof; ancl it is hereby agreed in the event this lease shall be assigned as to a
<br /> part or as to parts of the above described lands and the assignee or assignees of such part or parts shall fail or make default in the payment of tFie proportionate part of
<br /> the rents due from him or them on an acreage basis, such. default shall not operate to defeat or af fect this lease in so far as it covers a part or parts of said lands upon
<br /> which the said lessee or any assignee tl�ereof shall malze due payments of said rentals. If the leasecl premises are now or liereafter owned in severalty or in separate tracts,
<br /> the premises, neL�ert�eless, may be developed and operated as an entireEy, and the royalties shall be paid to each separate owr�er in the proportion that the acreage owned
<br /> by him bears to the entire leased area. There sliall be no obligation on the part of the Iessee to offset wells on separate tracts into which the Iand covered by this lease
<br /> may hereaf ter be divided by sale, devise, or otT�erwise, or to f urnis� separate measuring or receiving tanks f or tTie oil produced f rom such separate tracts.
<br /> Lessor hereby warrants and agrees to defend the title to the lands herein described, and agrees that the Iessee shall have the rrght at any time to redeem for lessor�iy
<br /> payment, any mortgages, taxes or ot�er liens on the above described Iands, in the event of default of payment by lessor, and be subrogated to tlie rig�its of the holcler
<br /> thereof.
<br /> ----------------------------------------------------------w-�--�.-1��----KS't,1.8.�-------------------------------(SEAL)
<br /> Signec�, sealecl anc�cleliverecl in presenee of -----------------------------------------------------------------------------------------------------�--------------------�-----....(SEAL)
<br /> ------------------------------------------------------------------------------------------------�-�--------------------....---------(SEAL)
<br /> .-�---------------------------------------G.-C.Raven-------�---------------------------..._..--------._......---------- ----�--------------------...--------------------------------------------------------------------.....------------------�-------....(SEAL)
<br /> ------------�------------------------------------------------------------�------------------------------------------------�----�----------
<br /> --------�------------------------------------�-------�---------...--------......-----�---------------------------------......_..._..(SEAL)
<br /> -------...--�--------------------------�-------...---------------....------........--�----..........._......._..-----...._.....------------ ---------------------------•------------------------•--•----�---•------------------------------------�-------------.._..........----(SEAL)
<br /> ----------------�-�-------�------._....__..__....-----------------....----._..........--�-------------------------�----------------�-�----
<br /> ------�---.__...--�-----•----------•-----�..............•-------•--•--------------------------------------------------�---------�---(SEAL)
<br />
|