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N -1107 <br />PRpou"Ra of , MUSS UEPRINTC41K <br />46;40 a OIL AND GAS LEASE �--� <br />REV ? 51 1 ,MJ1s ii 4aua..aa WAt..4 r... <br />`'4GRq,4EN- r'NI4d& and entered into me 21 at r day of oaarCh » ID g� <br />hY end httwten Laura... Ea )W1h3 b$oh. a. widow, r <br />518, Kest. Genoa % <br />"hose mailing address is Ravenna.- Nebraska a _ » , hereinafter called <br />144(If 6latthor one or more) and Fred McConnell <br />r Tulsa 4kl ahooA <br />y y - ^ /y� t _ herenafter called Lessee: <br />Is *,1T \9xa$kT# That the sped Iyssa r, for and 4a cpnsidtratlon ore, -e Sixteeni and iao, 00 1 .e • w ter^ • . tea n + Dollars, <br />cash in hVul paid, the met pt of which is hereby aasiowledgcdf and of the covenants and agreements herttnafte_r contained on part of lessee to be paid kept and perfgrmed, <br />hats tr.tsalad, 4tmisad )eased anti U; sand by disc prestrits does grant, demise, lease and let unto the said lasses for the We and only purpose of exploring by geophysical <br />and other mrthudt miring and operating fgr -od and gas, and of laying 0.f pt lines and of building tanks <br />I , p+) power stabpns and structuree tfiueat to produce save and take <br />care of said prncliicts, all that ecrtain tract Of land situated rn the County of Hal. 1 , State of Nebraska <br />described as follows to test - <br />1 t r » <br />r. s <br />f , - <br />aSrrhop �, c Township Ranks r't li2a and containing YY acrtsr more or less <br />�r <br />2 It is agS11d that this Iviso shall remam in force for a ttfm of LQ ^ years from this date and as long thtmafter as off or gas or either of them u produced from <br />said land ut\fro>p lands with %hi4h said land is pooled t enwntly by lessee a 1 <br />$ lP collsidtrahop of the prtmtsey the slid lessee cotenants and agree{ i ¢ a ` <br />(a) To d%U%er to the credit sof lessor free of cost in the pipe lens to which lcsscro miss corncob leis wells, thn equpl one eighth paK of all 04 prpdured and saved from the <br />leatefl pr4mists or It the lessees notion may pay to the lessor for such ope-eis hth royalty the market price for oil of like 4,rade and gravity prevailing on the day such oil <br />is rum unto the P)pe line or into stori4o tanks t % <br />(b) To pay lust /r for gas of whatsoe%cr natyre or kind productd and ;old, or used off the premises or used in the manufacture of any products therefrom one-el bib, <br />at the Otdrlirt prise at the well for the gas sold T,d off the Pramiscs or in the manufacture of products therefrom, <br />*� (v� if a gas rill, c pable of roducmg s only and located on the above descnbrd lands or on 1@ndf with which the above described lands or a portion thereof are <br />Ptrgit q qr unfuu d is it my time shut in and' no g is th4nfrom is +old or used off of the above descnbrdd lands or in the manufacture of natural gasoline or uther products <br />arc% rt alts; su h shut in bas writ shall under pit the provisions of this le tse be deemed to be a weµ on the above described lands producing gas in paying quantities and this <br />Ito)* sltdf continair in force during all the time or times whsle such well is so shyt in whether b fare or after the (xpirat:on of thq primary, tern 1.tssee shall use reasonable <br />d)lus,4ngp to in irkrt the slits c ap able of lacing produced from any such shut in gait well but shall be under no obligation to market such gas under terms conditions or c;rcum <br />st4rices which an l.}essct s )udkmtut Fat.relstd in " faith, are not for the best intereste of both Lester and Lessee <br />T ie ttrin staled title as used in this plras,raph hall mean 1ny rental paying date of this llease or any subsequent anniversary thereof if there be a rental paying date <br />but A( uo rental Paling date )% pacifud in this lta%g, theq stated tote shall mean any anniversary date of this lease If on any spcb stated date there be on the above de <br />synlfcd land; or on finds %still which the above dtscribttl lands or portion thereof are pooled or unitized one or more such 1,as wells capable of producing $.as only: and no <br />s,as has b to soul or so assist from any of suvh 4as wells at any time during the twelve months period ending with such stated elate Ltsue sha before the expiration of <br />sixty 480) dais oficr such stated date pay air tender to rich owner of the rishi to receive royalty on the gas produced from any part of the above descnbrd )ands covered <br />lag this h ise pre such )t eta d d eta at each such owner s address as Last knt�wa to lie ssee, or to the credit of estch such owner in the depository bank named herein m the man <br />nrf ro%adrd hcain fat payment of delay rentals a $hpt in gas royalty for such period which shut An got royalty shall be deterprined as follows <br />The bit if °i4mount of but an gas to) -kit) ray able to all such owners shall be determined by muldplyng one Dollar (111 00) Uy the total number of acres of land covered <br />by aid is so on such st its d d tte and a ash such o%ntr shall receive th it part tM rrnf which u m the pmportion that his soy ally acre age iota rut in said land bears 4o the <br />I, t d nuanlacr of setts of land coot rt d by such le ass on suvh staid d stet Provided, however that Of on such silted date this lease rs being maintained in force and effect <br />othlr%aso thin by reason of env spth shut in 1.411 well or shut in Ras wells Lessee shill not be obliged to pay or tender any Such sum of money as shut is s,as royalty <br />The languire is gas will cipilble of pr)4vicing gas only as used in this Section 3(c) shall mean and include a well capable of producing natural ias only or await <br />caPa}ile of producm6 natural gas Ind or coneltnsutea to distillate or a well classified as a gas well by any go%cmmtntal authority or any well in which the gas oil ratio <br />is dds` high that a gals a.rpm(ntsd tgthorty will not permit bland h)drncarbons to be produced therefrom units the gas is marketed. <br />4 I atioos for thr drilling of a %%ell for oat or Cis are pot c0mmanetd or if there is no (g or gas being produced on slid land or on acreage Pooled therewith as <br />htr4strli ar pro%idod on air before , fmm the date hereof this lease shall terminate as to both parties unlq%s the lucre on w before that data shall pry or tender <br />rr8e StA10 $� of S110ltobr _ Hank at 4heltonif Nebraska <br />to the ltssrn' or 'to he lessor; credit in the <br />or its sues slurs %hacb shill coutnlue/aas� the dtportea7 for rental regardless of change; in the ownership of said )and the sum of <br />Forty and no /100 :. - r • • .� — • — A — • • • ear —.. • • DOLLARS <br />1 4 e'90, T ) which shall operate a; a rental and cover the privilege of dcftrnnsf the commencement of operations for drilling of a well for mehe <br />nnonthas mm +std date lr like %nua)tr and upon his payments or tendtrs the comnxnctmud of operations for drilling td a %ell may be further deferred for like panods <br />if the sriie numlutr of ,,earths succtssatly All pa) yy4na or tenders may be ,ado by chuck or drift (if lessee or any assignee thereof, maaltd or d(Ihcrtd on or before the <br />n rat d pay i ,1C date It is uudtrgo, d and as,rred that jthp considuuhon first recited his in the down pa mt nt covers not only the pnvales a granted to the date %her said <br />first ruutd is pea able is of,rrsand but also the 14ss(44I right of (xtcnding that prnarl at afore said and any and all other rights conferred Should the depository bank <br />hire ifitl close without a successor lessee or its .4ssis,iis may deposit rentals or ro)altics in, any \atignal hank located in the same county with the first named bank-due <br />n,ettue of tuvh deposit to be snarled to icssur at lass known address. A -- <br />3 ltestb re, pt et to bleb pstwtj4 AA end the - clo to receive flea Yrentalt and ro)alttes ( includtng shut m y,1s ro)allas) d is agreed that the ternunttnon of a life estate <br />G•sttsrmtrtrrM inTeeif`T; tat precedent estate whtftlly the Lessor shall come into possession or use of an mtenst in sand land shall suh)ect to all vhf provinon; of this <br />lake become tffetti%e from and titer the date when such Lesscar shall have furnished satisfactory evidence to Iwssero showing the tennmahon of such life tons t is <br />n tnarIf iiittrt t air this prt4tdtut tstate but for All other purnpsts )his lease shall cover such interest as and when ilia Lessor shall so comp into the possession air use of rt <br />8 Lasser it its ptipnia is hvrtby shag the right and power to pool or combine the land coverall by this lease or any porttott thereof or formltions thereunder as to od <br />and t,ak air tathur of than vuiser fief re or after production with any other land least car III c; when in Lessees ltidgmrrat it is ntcusary of advi able to do so in order to <br />pr part) de% l is pr operate said promises and irraiptgive of whtther authority similar to this exists with respect to such other land, lease or lcpses such poiling to be into <br />a well unit or units not exetWing forts, ( 10) acres plus an -acrelge tolerance of ten per ant (10%) of forty (40) acres for oil and not ulacceding six hundred and forty <br />tRfO) -acres Plus an aprrlge tot muse of tan per cent (10,"x) (if six hundred and fortv t840) acres for gas, except that larger units may be treated to conform to anv <br />{{++suns: or well unit pitltris Iliat tire) be puss ilied by go%tmorentll authorities ha%mg )urt diction The pooling in one or more mstances shall not exhapst the nshq of <br />that, Lvassae htreurtppder jai poiA this lia�r or Portions thereof or formations 1�henUOdef into ithtr unit, Lessee shall execute in writing and p11M if record an instrument <br />r m themes t$ it] trntif)ang and dtscdhing thli pooled acreage Prodmchon do ling or reworking operations M)veh on a unit which includes all w a lrt of thus lease snap <br />be tr iltd t% �' it wtM production dnllt(t of rswurk:ng operations under this lease In btu (if the ro)altirs (excepting shut sn gas rc, alms) ehewnvre herein specifud <br />G sa sa ill d) none from a unit car forme) only such portion d the ro) ales stipulated heron as the amount of his acreage placed in the unit air his royalty rules st therein <br />N its to the t td icrrts,e so pooled in the particular unit invphed% In the absence c production Lessee may terminate any unitized area by filing of record notice of <br />tvm>,tnrtum unle,4 the an truen rat oil initniments identif)sry( and d�%cribmg the upitiztd area contain provisions for termination upon certain contingences <br />It {{anon lq drs4(rser) it rill or 4,a( on said land rat on areas a pooled therewith trs%eb shouia drill a dry hole or holes thereon w if after disco%try of oil or gas pmduc <br />u h tout ifttT +houltt (;erica err any cause this least %hall not tcrman -ate if lessee commences additions) dnlbng or rewurkng cperatonx within sixty (80) du%s thtrtsftrr <br />r (if It he p %n thhii p riolary tern) comincra s or resumes the pa)nwnt err tender of rental on or before the rental pa)sng date ntxt ensuing after the axpaatwn 4 three <br />a IIt inn ')tlis far `a blipp d4t� {nrf coal plttnon of a dry hole or cxsx itnon of production If at the expiration of the primary term oil or eGns is not being pmaluced on said land or <br />n ucr 1stN n thej ¢at ✓later le+str is than engaged m dnlling or reworkng ojV ationi thereon this lease shall remain In sliest so long as operations ire <br />(1 ear c N tEltst liar + prnsrof of <br />h Pisa will r a am - her wall ,hart ttr cY is such rod no cessation of more than sixty (BD) consecutive days and if they result m the prduction of oil <br />r gds tf'i�) ist haq �a iellyt in�(f)ct so Innq list re after is such production continues <br />A If gat �4astarY'y1s ' a( Mc tntcrast.tn lhr above described land than the entire and undRnded ire simple estate therein then the royalties Ind re. Mils herein provided shall <br />Ta %r1 Cfie(d. ltd 7n in gr(p)r,tt,ior( wbith his mienst he are to the whole and undivided fee Any interest :n the production frog the lands hcr4in described to which the <br />sit), re St if 1(`{sc('�y ty All of sla it l+s deducted from the ro)llty herein reserved <br />9 ;fee shlt�l Tau e t e{n�ht t4 j,4 free of cost, gas oil and water produced on said land for lessees operation thered except water from the wel4 of lessor <br />Whet (eq%t8 d h'y le �` set ie(�e shall burl lessees pipe lines below plou)' depth <br />\o,saq jhale cd"V.d r�k �t}an 290 Ti et to the hour or barn now on said premises without written consent of lessor S <br />1( sse4f�, %(ti(1 1y Fast clT%i\i Aet caused, by lessee; operations to growintk crops on said land e <br />Ia%V sbff�jll ` 0 riv.4 at any time to remove all machinery and fixtures placed nn said premises including the right to draw and it move casing <br />10, It the ssktfei (if ppitlllr party hereto is assi4ned —and the pn%:lege of assigning in whole or in part R expressly atlo%ed —the covenant, hereof shall extend to their hors <br />a%en:torfi admmistna {or% successors or assign% but no chanyq an the ownership of the land- ax aaagraments of rental ut royalues shall be bin Is it ,en the I s% -e until aft r <br />the l xsre has )surf Furnished with ctrtft(d crones of mumrltzut title dermtiraing title from ltssor iInd d :s herrhty 1Cntd that in the t%ud this l(ac hall he txasned <br />is to a <br />'art or is tb p irtx of the above d(%ri Eta lands and the lssignee of assignees tae such part air parts shall fad or make default in the pate ant of the pr pore mate <br />cutcut of tI a rail date 7rnnt hide cu them such default shall not operate to defeat eu 4)Trot thje lease in so far 14 it crows a part or parts of said lauds upon %huh the said <br />os any assignter tbe,leaf )hill make dpi pa)meM of sold rental In cuss lesiee assigns) t1tIn lease in whole or m part, lessee shill he sebrved of 11I ohligitions %:th <br />r 1„rilis lh0 t)si, n(,d portioal of portion; ansinst subsequent to the date (if assugnmenh In the event of dtatb of an ptnon entitled to rentals hareundtr Iosste may pi) <br />er t4nstr such rtrytalls for the errs }rat of thf deesisid (it the estate of the deceased until such time as issue is furnished with Pripet (vndantr of the arapoiutmtrnt Ind quill <br />fuatim of an r\lrut gr adnlint trat(rr tai the estate or if there he none then until ltsste a furnished with t%id(nce satisfactory to at as (q lice hate or da%isres of the <br />thaaud if it uay tit a t%(A rat more persons It antit)ed to participta to n) the lintel payable htreundcr Le,%rr may pay or tendet sod rental imnty to such parsons or to <br />their )mart credit in the depository named hcr(inr or at f,�ssm ��ss a Iection the propsffbonite pprf cif said re saints to wbiyh elch participant is a ntitlt d finny he paid or tt n- <br />dared to hen s par-Atelle or to his sip -arate credit In said dapgsljtory, and payment 4r 1'tnder to any Participant of his portion of the rental; htrtundtr shalt maintain this <br />le Ise as to susb p irticpint( or <br />� <br />k s <br />11 Iws4 may, at any time 'and from time to time execute and deb-ter to Lcevor or place of record a release or releases covering either a full interest or in uncbsidrd <br />sailers t in all or ono part (if the leases) palmists or in any one or more zones+ formations or depths underhmg all or any Part of the leased prcmivs rid thtreupors shall <br />,or r h(vtd of all obligations thrreafter to accrue with irsped to tlse Area zones formations d ptles or undt%tded interests covered by such release In the event of a re <br />1e 1x sit As It air as to all rights In tarty a p art of that area embraced in the leased premises or as to an undivided intt n st in all formations in cep or a part of the is lsed <br />premises the art other sif* delay rcntllis be. remabove provided fm shall be reduced proportiopately ( <br />)2; %AIW7 dnllmerr production cart other nnerstions are delayyed. Interrupted or stopped by lack of %ater labor malarial inability to uhhin actrst to b u d Pramtsrs fire <br />Flood %ar Ulxthan anSUU Mtn oast, strike, differences %itb wgqrkrnrn, failure of carriers to transport or fuma,h facaltUts fcx transportation of any product produced here <br />undeyr *), if as ulg�f � sir tA%f, rbary market, in Les1see a opinllon, for the on or gas produced, or as a result d an order of any gpvernriaentpl ngerny (including but neat <br />r'r <br />7 •�- (� aft r n a H a <br />h .f ear <br />h' <br />