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<br />C�wgy Creek Blocs
<br />PRODUCERS 69
<br />0.5�b t l OIL AND GAS' L E A S E
<br />1 „,„ht ui Vnnwrk- 'ex!ai, r..q.,
<br />'R Ev. 9 -59
<br />- -.. day
<br />AGRERM&T Dfade and entered into lhe...._3ss�'..._. -,_.. ........... 19 -.._F 2 -.....
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<br />h and hay.+'ie
<br />3,.hose mailing add." is ... ...... t ..... ... -_-___ ....... ............ ter cafEd
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<br />Lcssor 4WIlctlict gricur more cost ,ill �A ..J. _ .9 ...--- . � . .. ..... . . . ......•--..- - ....... - -... ..- ....... -..- ......... -' - -- - •-- - - -- °-•- -----_.-- -- --- '----- --....----•--•----.. -.
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<br />•- - -.....,. :.. : ........... ....' - .,..'.- ._. ..--- °�. -... a,.��'i!t�,�Yl.. m�.Ia... -.---. _ ... ..- -•--- . ... --' � --....._ ..._- ... _ ..- .......... . he ninafler call ed ed Lcssee
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<br />1. -N1T'FSSyTH•Thgt the said lcsspi, for and iA rnnsadcratun n.- .Dollars, ?u QQ --
<br />cash to hand p:ud. _
<br />the receipt of which is hereby acknowledged, and of the cavenanti and agreements hereinafter contained on part of lessee to be paid, kept and iierformefl,
<br />has granted; dcniised, leased and k3 aiV4 by these prrsrnts. does 'y+rapt demise, lease and let unto the said lessee for g, 'sole and only purpose of exploring by geophysical
<br />and, other methods, mining and oP4ga(jng for oil and gas, and ,of laying of pipe lines, and of building tanks, power stations and structures thereon to produce, save and take
<br />• i� 11 f d
<br />said products, a t that din tfNc$ u( )and situated in thk, County of _ :19....._ °.._ -n- .- ._?h :z .k �.... St i�te of- ..- v.'3��.P_d 5.1�' _....._--__•--
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<br />describe as iN11uN•s,. i0 M'rt :-- ..�-�- '9"..!x,5'+.- _.....' .. ............_ ._� �...._._ _...----... ..__- ...- ...- --..... ... .- ...- ........ --- --- --- .._._..... ----- ---•--------------•---'...... _..................
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<br />° -._... .... - ..._ ............ - .._.. `t-_---- •- • - - - -- - <,._ .. - ----- •----- - --- -- ..... ......... :. - - - '
<br />------- -•-- - ..�... ------
<br />Of$. It is r
<br />Section._.- °-- ...... ......... .. Township ___.._.._.. - - ..... Ranger'' ;- ;-. :, :.i ;_y -,a -. and, containing..__4.�ts= _..,.._._...-...__........- r--:--°-°---- °...---__.- _----- •------------- acres, more or less.
<br />agreed that this least shall remain in force'for a firm of -.. :. � -.__- ....._._years from this date, and as long thereafter as oil or gas or either of them is produced from
<br />said,laniYr from lands with which said lands pooled therewith, by lessee.
<br />3 In the premises the sirid lessee covenants and agreesi
<br />(A) To deli cr, to the''ejedit of lessor, free of cost ip� the pipe line•'to which lessee may connect his wells, the equal one- eighth part of all oil produced -and Saved from the
<br />leased p{{eQaises, or at the lessees option, may pay to, lht lessor for such one - eighth royalty, the market'price for.oil of like grade and gravity prevailing -oil the day such oil
<br />it run intg the pitoe line or ar�to storage tanks. t 1
<br />(b)' To pay IV$. r !'or { ;'t of wllatsoe," nature_or kind produced and sold, or uOd off the premises, or" used in the manufacture of any products therefrom one- eighth,
<br />at thgtnar rt price at the swellfor th gas'sold, used off the pn•auis•s, or in the manufacture of products therefrom. � +' �•
<br />(c), If a gcr )yell c+puble of producing gars only and located on the above described lands or on lands with which the above described lands or it portion thereof are
<br />poole] ur,)•initite� it-, at :)iry time, s ut' in and no gas therefrom is sold Or used off of the above descnb%d_ lands. or in the manufacture of natural gasoline or other products,
<br />nevertheless sit, shut -m gas well, shall. under all the provisions of this lease, he deemed to be a %i ell, on the above desefbed lands producing gas in paying q untities and slip
<br />]ease shan'conti, , 1 turee Poring all the time or times while such well is so shut in, whether before or after the expiratioh of the primary term. Lessee shall use reasonable
<br />diliy.envP in•arket the gars, cahajsle of being produced frori af)l such shut -in gars well, but shall be under no obligation to market such gas under terms, conditions or circum-
<br />sfauccs,xich,. in )'.a•ssee's jydgtnent, exerctsed in good faith, are not for the best interests of both Lessor and Lessee. - ,� , 9
<br />Ilse term "state] "dater usid in thisa arngraph >ha.IT mean any rental Paying`date of this lease or any subsc%u6i annhetsary thereof ff there be a rental paying date,
<br />but if iiy rental p :(jin6 datE }s specified is thit_lcaser then "stated dale" shall im•an any :anniversary date of this lc4tse! If on may such fated date there be on the above de-
<br />scrijied lands ur u lands,wjth which the'atoo,e described lands or portion thereof are pooled or unitized, one or more such grip w<•lls apaGle of producing gas only, and no
<br />Ras,hxs b'ri•n,Sold,ur so.uscd from any of putt as welts a( any titne during the twelve months period ending'w•ith such stated date, pace shall, befo�e the expiration of
<br />sixty (6p, days, aher ,Such staled date; pay .pr tender to each owner of the right to receive royalty on the gas produced from any parj d the above described lands covered
<br />by <this iiearq�on such stated d:de at each such owner's address as last known to Lessee. or to the credit of each $uch owner in the depository bank named herein, in the man-
<br />ner provided hcrein.fgr'paynwot.of delay orental .'a shut- in,gas royalty for such period, which shut -in gas royalty shall be determined -" follows:
<br />Tfie t(it '410itipt of'Shut-in gas royalty payable to all such owners shall be determined by multiplying One. Dollar (,1.00) b the total number of acres of and covered
<br />by .aid �t•a,e, on' uc, state[`l; date, and each such owner, shall recrn a that part thereof which is in the proportion that his royalty acreage interest in said land bears to the
<br />total'n nTitr -[,E' acres of land „covered It, such lease on such stated date; Providetli, however, that if on such stated date this lease is being maintained in force and effect
<br />otherivis th�rfTiy re•:rson "of any such ?hut -fn gas' dcll'or shut -in gars wells, Lessee shall not be obliged to pay or lender any such sum of money as shut -in gas royalty.
<br />The lanR[it. "'s gas' well capable of yro4tid ix gas only ", as used in this Sectioh 3(c) shall mean and include s well capable of producing natural gas only or a well
<br />Sapahle 'o(} ni[lucinR natur�ttt gas ind /ot condensafe, or distillate, or a well classified as a gars well by any governmental authority of any well in which the gas it ratio
<br />is so high that a ,gyvlrrntnet9lal authority will not permit liquid hydrocarbons to be, produced therefrom unless the gas is marketed. ,
<br />y'. It nippeeratiuns for the �IrillinR of a well for bit or �as are not cg6oneneed or if there is no oil or gas being prndueed on said land or on acreage pooled therewith as
<br />hcrefiiptfti'j' provided- on or before ouyr year from ,Tie d t ht•rt•4fj this lease shall term :u to both partie•s,,wticss the Icssce on W before that date shall pay or tender
<br />to the lcsspr, or, 10, the lessu'f credit in the.. ''i.3 ^•3oSik - of...Ckiro'-.--- ' ............ ..... .. Rank at...
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<br />or to successors, xhich shalt,andiifue, as 1 the' depository for rental regardless of changes ia`the ownership of said land, the sum of ..... ..... ... ...__- ...- ._ .......
<br />. :_" } _
<br />�, r .. -_... -- .- .._....::_...!ti .. - _'..- _- - -..," _-- ----- --- ------- ---- - -- - -- -- ---- --------- --_ -- -_--- --------------------------------------------- ----------- .�.. DOLLARS
<br />r a -
<br />( IT :f :A 3,i tpi+c+l.,. . :.'....,_ ....rave',) which' shall operate a rental and coyer the privilege of deferring the commencement of operations for drilling of ■ well for twelve
<br />,I1ouths „from said daie•_lir Ijke manner and upon like payments or lenders the copunenevinent of operation for drilling of a w,rll maltq he further deferred for like periods
<br />uI the Sabi nunnfre► pf epvnlbs successh'ely; All pa)mants.or tenders mayy he• made by check or draft of lessee' or any assignee thereoE,•mailed aqt delivered on or before the
<br />rental paying, datal. It• is', understood and agreed that the consideration Rrst recited herein, the down payment, coven not only the privilege granted to the date when said
<br />first ren(ed' is pa)ablee "as,.aforesaid, but also the lessee's' right of i•xtv,4di6g that period as aforesaid, and any and all other rights conferred. Should the depository bank
<br />bvieaftei•'cWse,wi' hogt ;'snccp•.ssgr,,lessed uFits assigns,maY deposit rentals or royalties in any national banklocated in the same county with the first named bank, due
<br />nutipe' of jo l't,.- ],•posit, t(a bll' mauled to lcssur at last known address, '
<br />t_.
<br />5.. NVilli,r4i [1ct to "tht'p`ny`mi•nt of and the right to receive delay, rentals and royalties (including shut -in gas royalties), it is agreed that the termination of a life estate,
<br />term'.naiucr j,ijterr or' -other precedent estate whetchy the Lessor shall conic into possession or use of an interest in said land Shall. subject to all the provisions of this
<br />Ideas$ 1�ocume�effec lvE from and itflyer" trip date when such. Lessor shall have furnished satisfactory evidenced to Iassee showing the termination of such life estate, trim
<br />minerFtf udyrevt'ur other precedent estate,, but for all other purnpscs this least- shall - cower such interest as and when the Lessor shall so come into the possession or use gf it.
<br />R. Lesser, elision; •ts hereby given the, right and power to pool or combine the land cmere•d by this lease, or any portion thereof, or formations thereunder, as to off
<br />and, gas; of either thcrry either hefurr or after production, with any other land, lease or leases x"hen in Lessee's judgment R is necessary or advisable to do so in order to
<br />pngx•rl•y'., (Ii -vefoy 44 npcialb said ` preniN -s.' and irrrcpcctise of xhether authority similar to this a•xisb with respect to such other land, (rase or leases, such pooling to be into
<br />a we�j unit, Or; it{�l ut �xcgedi ojt forty (49) acres, - plus in }[�renge tut -rpnce Hof ten per cent ( 10`$o) •of forty (40) acres, for oil,, and not exceeding six hundred q,nd forty
<br />16 Iq "acieni plus cis ll, eaRe tAranGe of ten per cent l 101 ) of six huntress and forty ( 640) acres, for gas; except that 1'arger µnib may be created to conlu'rm !0 any
<br />• }..k'Iny,_,!, {'n.(•Ij eoqns P,P;o I)i,lt,t *iaY,Irf, pre,cribed by govcnsYmetttA au>ies having jyri+dic'tion,, Ad P, Doling in oqj or, ni<prg instance's shall not exhaust the rights 4
<br />he (eassyy! hereunda? td pad this' lease,` isr portioirs there oi, or formations ticn•undur, iota other unit'.• [ e•sue shall exende is write +R m[d Pl:ue d recurd an instrument
<br />ur in"Vit)cents illrntifyiu and di•scrihinx the pooled a�rea)a Production, drilling or reworking uperatiogs any;x"he•rs on a unit.which includes all Ora part of this)ease shall
<br />lit- ( leaed akif'it. were prioductiun; drilling or icivorking olivrations under this lease., In lieu of. the royalties (excepting shut -in ices royulhts) elsewhere herein specified,
<br />Lessor sh.,It rt•c•i,'e I'oof a moil sn formed only such portiont of the royalty stipulated he•rvin' :is the amount of his acreage placed in the unit or his royalty interest therein
<br />Lear} 1n the tb)(g) acreage in pooled in the particular unit involvg•d. In the ahsvnce of production Lessee may terminate any unitized area by filing of record notice of
<br />tenuin.tuio unless the lo,tionwnt ur instruments identifying anti dvwrihinR the unitized area contain provisions for terminAhpn upon certain contingencies. -
<br />lE jolfgr to` 41ic9 Yfry, of `!4, or gas on said land, or on acreage pooled therewith, lessee should drill a dry hole or holes thereon, or if after discovery of oil or gas produc-
<br />tion, SN.•re,[fty".r "i lu�n dd""ca;:is! hx .iity: c:nisr, this lease shall not terminate if lessee coifimences additional drilling or rewufkinR operations within sixty (60) days thereafter,
<br />or„ i it I s yi elan tt pFpnsry tcnn� cgmmenc,t ur n•sups•f tot- pnymcnt or tender of neat] on rn before the rental- paying dale next rnsuinp, after the expiration ciF three
<br />3)'riyntjb�i ffjtnn t :}rte ��F( pmmph•tion of a dry hole or 'cessation of production. If it the +expiration of the primary term oil or g•a is not being produced on said land, or
<br />..n (y4,);/Kr l o e t)p,aR')titil bid lessee is then engaged in drilling or reworking mpe- anions thereon, this lease shall remain in 'effect so long as operations are prosecuted.
<br />�itFleg d![,tltt par .(,•I It c age ; °tiber ,well thereafter commenced, ,y'ith no cessation of more,thari laxly 00) consecutive days, and if they result in the production of oil
<br />,K ins; alit;• It.? `K lu[R rknijin in tjfect sp It nR, the•n•after' as such production continues. °'+ 'S''..., -
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<br />J" s} Fnle ;itst the above- described land than the entire and undivided tee simple estate therein, tb n thq-royaltirs and rentals herein provided shall
<br />br �Osi[li t -1 PIT •f�p1y' i9 iirt g am which hii interest beiirs• to the whole and undivided fee. Any interest pinitl a production from the lands herein described to which the
<br />:oliov't . ,lFslior tit' }je [t(p rs1 * all �1rr #deducted from ,the myulty herein reserved. _ .' ;,
<br />9. L "Ss” Of lilli.ilavl, tiwZ n ht 1p lest- ft-£cr -.4 cost, gas, ol1 and" xAter product -on said landifpr lessee t operatign thereon, except `water from the wells of lessor.
<br />It' lu n requesle I)} 1(, r e ss4 shall ni _lessee's pipe, lines below plgw depth. ,
<br />�,� IJ it', t, .g ' -`.. y'
<br />`o//w�!.'e)Ir,l [tnit[,•d geurer than jolt feet to the house or "barn, now on,siiAyremises without written` c'o'nsent of lessor.`
<br />I�e•se<ej ult''�vf ;]*r dorm sgl caused toy le�ysae s nlx�at(onr lo''growing crop] on said land. ' • ' , G -
<br />ifrs }c SUIT able tl�i ".n4h4 at arij+ time to remove all n[rcbincryrand fijtures placed on said piennscs, including the right to draw and'remove casing.
<br />10. IF,I�a ,'fslgte',ttt�eithe'< gcirty16relo is assigned -laud the privilege yf assigning in,'x'hple or in part is expressly allo)ved -tbe covenants hen -of shall extend to their he•im.
<br />xi•crdor% dniinistiatori; succe,•ssors or ilssigim% but iid'Aange in Jill, ownership of; the land, or assigninents uE'rent•lt or royalties shrill he binding In the lessee untr't after
<br />[lie lecsf•t- Mrs hri•p filgsbed with certified copies et-( muninients of title deraigning tide Dorn lessor; and it is hereby agreed that in the, v en( this lease ,hall be assigned
<br />,as to 'a Part ur, as lo' p :,irts-of the, :dove de¢cri6ed lands- and the" assignee or assignees of such Part car parts shall fail or make default in the pa sore,] of th4 proportionate
<br />Part' of thf nntli due from him' or them, such default shall pot operate to defeat or affect this )ease in so far as it covers a part or parts f said lands upon.which the said
<br />lessee
<br />"[%t any u5siitupe tbereiof's}alF rnakp` dire payment of +aid metal. in case leased assigns this )ease, in whole or in part, lesser s dl he relieved of all obligations xith
<br />-spigr to, the' assigned ,;nation br portions,' arising subst•quenj to the date of ,assi6rne•nt. To the r,'eot of death of any person entitled . lie ra•otals hereuwk•r, lessee may pay
<br />r ten[f'r It ills to the credit of the deceased of th� e)tidle pf, thq ,degajed, until, ,suety tigw a i lclsve" is fumisfi d,wlth proper cvu �n,x ad the drip,» ntmcnt and
<br />qt- adminisliatnr elf the t'stdr, or there he`no"ne. their until lessee"is furnishid with evidin[ ' satisfactory to it As to the heirs or dcviseca of the
<br />deceased, V -al any lime two [V loon persons be entitled to participate' in the rental payable hereunder, Lesser may pay or tender said lentil jointy to such persons or to
<br />their joint ctrilit in the depository, named herein; or,, at Lessees e.ji•etion, the proportionate part of said rent:lls to which rash participant is entitled may be paid aN ten-
<br />dered to him separak•ly.or to hii' separate credit in,said- depository; and pa)nwnt or tender to any participant of his portion of the rentals hereunder Shall maintain this
<br />least' at tg ,SUjch Pafticpant," " .
<br />11. Le•sii'o: may„ its any {iopr, and from time to tinjes execgte and deliver to Lessor or plain (if record a" release or releases covering eilhey a full interest or an undivided
<br />iu(5•rest joy ;all sir i%Wpart of thedcased prcmixt or ap pnY" one w more zones, f0TniAtions or depths underlying all or any part of the leased premises fwd tbvreopon shall
<br />be, rrliei'ed elf all obligations 11e• eager to a •true with respegi to title area, zones, formations, depilis or undivided interests covered by such release, In the event if A re-
<br />It�iist- ed tjl'``arrCase' ;al{ to aU Fights in only a : rt, of the area embraced in the leased Prcmisrs, or as to an undivided igtcrcat in all formations in kill or a part of the leased
<br />I>rennu•sc alien ;,ifte{i one' delay rentals hereinabove. provided for shall be rcducrd proportionately.
<br />12. N Iii jt, drilliiiq; s r[Kluction" cth4r �onerytioiti are BelaWd,', internaptt•d or stopp[•d hY iack of writer, labor, material, inability to obtain access to leasa'd Premises. fire ,
<br />❑eNKi,'iv''ar, ,icl elbpn'yinspir4•vIG n; nest, strtkr, djfferenlxs with workmen. failure of carriers to transport or furnish facilities for transportation of any product produced here -
<br />uncl4r, fact, r {iasl�irblr esY ;.,•t'lxtfactory mprkct�,•ip ffcswgi opiniorq for the oil or. gas "produced, or as R;irsult of an order of any gus'emmrntal agency, ( including but not
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