HomeMy WebLinkAbout700001.tiff Form.88—(Producers) C - - OIL AND GAS LEASE TTkOCK'7, INC.
K an.,Okla.&Colo. 1957 aeenri22.°m�d,'.ee"°r°et
THIS AGREEMENT, Entered into this the— 29th day of April , ly ?0
setween_r;eld County,_ a political subdivision of the State Of Colorado, by the Board of
County Commissioners, for its respective interest
C/a Rnard_U.f-County _Commissioners, County Court House,Greelev._Colo. hereinafter called lessor,
and Leland- 5.-.--Vanrn 1Fs4r1 Court P1 are Denver, Colorado $0207 hereinafter called lessee, does witness:
I That lessor, for and in consideration of the sum of t"n g mnrP Dollars In hand paid and of the covenants and agreements hereinafter contained
to he performed by the lessee, has this day granted, leased, and let and by these presents does hereby grant, lease, and let exclusively unto the lessee the
hereinafter described land, and with the right to unitize this lease or any part thereof with other oil and gas leases as to all or any part of the lands covered
thereby as hereinafter provided. for the purpose of carrying on geological, geophysical and other exploratory work, including core drilling, and the drilling, mining.
and operating for, producing. and saving all of the oil, gas, casinghead gas. casinghead gasoline and all other gases and their respective constituent vapors.
and for constructing roads, laying pipe lines. building tanks. storing oil, building power stations, telephone lines and other structures thereon necessary or
convenient for the economical operation of said land alone or conjointly with neighboring lands, to produce, save, take care of, and manufacture all of such
substances, and for housing and boarding employees. said tract of land with any reversionary rights therein being situated in the County of •e1d
Tnwnshin 2 North_ Ranrtn 65 West , State of Colorado and described as follows:
Sietion 172 Nl :_ceetinn 181 That part of the SF. ff _ beginning at the SE Corner; thence
North 50 rodaa thence west 16 rods; thence -Smith 50 rods: thence East 36 rods tobegirlydrlg
$ertinn 34:Th.at certain 200' stn across the SE% comprising 10.16 acres as recorded
p �J -t(Ip d4
id Stdl"otfed ''XX]( 12_i' 1,''12v]hSh)P�.9 XXX Range XXrC antl containing 161•56 scres, more or less.
2. It is agreed that this lease shall remain in full force for a term of five' (5.) Years from this date. and as long thereafter as oil
or gas. or either of them, is produced from said land mr from lands with which said land is consolidated or the premises are being developed or operated.
3. In consideration of the premises the said ,essee covenants and agrees:
To deliver to the credit of lessor, free of cost. In the pipe line to which lessee may connect his wells, the equal one-eighth i e) part of all oil
produced and saved from the leased premises.
4. The lessee shall monthly pay lessor as royalty on gas marketed from each well where gas only is found, one-eighth iVs' of the proceeds if sold at the
well, or if marketed by lessee off the leased premises,then one-eighth IYs i of its market value at the well. The lessee shall pay the lessor: la) one-eighth i'Ai,
of the proceeds received by the lessee from the sale of casinghead gas. produced from any oil well: )bi one-eighth i 4a) of the value. at the mouth of the well.
computed at the prevailing market price. of the casinghead gas, produced from any oil well and used by lessee off the leased premises for any purpose or
used on the leased premises by the lessee for purposes other than the development and operation theruf. Lessor shall have the privilege at his own risk and
expense of using gas from any gas well on said land for stoves and inside lights in the principal dwelling located on the leased premises by making his own
connections thereto.
Where gas from a well or wells, capable os producing gas only. Is not sold or used for a period of one year, lessee shall pay or tender as royalty, an
amount equal to the delay rental as provided in paragraph i5i hereof payable annually on the anniversary date of this lease following the end of each such
year during which such gas is not sold or used. and while said royalty is so paid or tendered this lease shall be held as a producing property under para-
graph numbered two hereof.
5. If operations for the drilling of a well for oil or gas are not commenced on said land on or before the_ 29th day of !'-Pril ]]yy 71
this lease shall terminate as to both parties, unless the lessee shall on or before said date pay or tender to the lessor or for the lessor's����yy creel t Salt
{ to
Board Of Cc,unty Co,a.assioners at f;r Colorado or its successors, which/Qipopar its suc-
cessors are the lessor's agent and shall continue as the depository of alfY9and all sums payable under this lease regardless of ccha''ngpg of ownership in said
land or In the oil and gas or in the rentals to accrue hereunder, the sum oeORe fHundred �;l gh ty One & 5C�Dollars, which shall op-
erate as a rental and cover the privilege of deferring the commencement of operations i'or drilling for a period of one year. In like manner and upon like
payments or tenders the commencement of operations for drilling may further be deferred for like periods successively. All payments or tenders may be made by
check or draft of lessee or any assignee thereof, mailed or delivered on or before the rental paying date, either direct to lessor or assigns or to said depository
bank and it is understood and agreed that the consideration first recited herein, the down payment, covers not only the privilege granted to the date when
said first rental is payable as aforesaid, but also the lessee's option of extending that period as aforesaid and any and all other rights conferred. Lessee may
at any time execute and deliver to Lessor, or place of record, a release or releases covering any portion or portions of the above described premises and
thereby surrender this lease as to such portion or portions and be relieved of all obligations as to the acreage surrendered, and thereafter the rentals
payable hereunder shall be reduced in the proportion that the acreage covered hereon is reduced by said release or releases.
g. Should the 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 land
within twelve months from 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 said twelve months shall resume the payment of rentals in the same amount and In the same manner as hereinbefore
provided. And it is agreed that upon the resumption of the payment of rentals. as above provided, that the last preceding paragraph hereof, governing the
payment of rentals and the effect thereof shall continue in force Just as though there had been no interruption in the rental payments.
7. If said lessor owns a less interest In the above described land than the entire and undivided fee simple estate therein, then the royalties and rentals
herein provided shall be paid the lessor only in the proportion which his interest bears to the whole and undivided fee. However, such rental shall be in-
creased at the next succeeding rental anniversary after any reversion occurs to cover the interest so acquired.
8. The lessee shall have the right to use,free of cost. gas. oil and water found on said land for its operations thereon. except water from the wells of
the lessor. When required by lessor. the lessee shall bury its pipe lines below plow depth and shall pay for damage caused by its operations to growing crops
on said land. No well shall.be drilled nearer than 200 feet to the house or barn now en said premises without written consent of the lessor. Lessee shall have
the right at any time during, or after the expiration of, this lease to remove all machinery, fixtures houses. buildings and other structures placed on said
premises. Including the right to draw and remove all casing. Lessee agrees, upon the completion of any test as a dry hole or upon the abandonment of any
producing well. to restore the premises to their original contour as near as practicable and to remove all installations within a reasonable time.
5. If the estate of either party hereto Is assigned land the privilege of assigning in whole or in part is expressly allowed I.the covenants nereof shall extend
to the heirs, devises, executors, administrators, successors, and assigns, but no cnange of ownership in the land or in the rentals or royalties or any sum
due under this lease shall be binding on the lessee until it has been furnished with either the original recorded instrument of conveyance or a duly certified
copy thereof or a certified copy of the will of any deceased owner and of the probate thereof, or certified copy of the proceedings showing appointment of
an administrator for the estate of any deceased owner, whichever is appropriate, together with all original recorded instruments of conveyance or duly certi-
fied copies thereof necessary in showing a complete chain of title back to lessor to the full Interest claimed, and all advance payments of rentals made here-
under before receipt of said documents shall be binding on any direct or Indirect assignee, grantee, devisee, administrator, executor, or heir of lessor.
10. It is hereby agreed that in the event this lease shall be assigned as to a part or as to parts of the above described land and the holder or owner
of any such part or parts shall make default in the payment of the proportionate part of the rent due from him or them. such default shall not operate to
defeat or affect this lease insofar as it covers a part of said land upon which the lessee or any assignee hereof shall make due payment of said rentals.
II. Lessor INVESSICSRIZINNICEICIFLMMXIMNOIXICIICULMOCINAMMIINSalifdra agrees that the lessee, at Its option, may pay and discharge in
whole or in part any taxes, mortgages, or other liens existing, levied, or assessed on or against the above described lands and. in event it exercises such option.
it shall be subrogated to the rights of any holder or holders thereof and may reimburse itself by applying to the discharge of any such mortgage, tax or other
lien. any royalty or rentals accruing hereunder.
12. Notwithstanding anything In this lease contained to the contrary. It is expressly-agreed that if lessee shall commence operations for drilling at any
time while this lease is In force, this lease shall remain in force and its terms shall continue so Jong as such operations are prosecuted and, if production
results therefrom, then as long as production continues.
If within the primary term of this lease. production on the leased premises shall cease from any cause. this lease shall not terminate provided ope-
rations for the drilling of a well shall be commenced before or on the next ensuing rental paying date: or. provided lessee begins or resumes the payment of
rentals in the manner and amount hereinbefore provided. It, after the expiration of the primary term of this lease, production on the leased premises shall
cease from any cause, this lease shall not terminate provided lessee resumes operations for re-working or drilling a well within sixty i eOi days from such
cessation and this lease shall remain in force during the proeecution.of such operations and. if production results therefrom. then as long as production
continues.
13. Lessee is hereby expressly granted the right and privilege I which Lessee may exercise at any time either before or after production has been
obtained upon this premises or any premises consolidated herewith) to consolidate the gas leasehold estate created by the execution and delivery of this lease.
or any part or parts thereof. With any other gas leasehold estate or estates to form one or more gas operating units of not to exceed approximately 640 acres
each. If such operating unit or units is so created by Lessee. Lessor agrees to accept and shall receive out of the gas production from each such unit such
portion of the gas royalty as the number of acres out of this lease placed in such unit bears to the total number of' acres included in such unit. The c
mencement or completion of a well, or the continued operation or production of gas from an existing well. on any portion of an operating unit shalt be
construed and considered as the commencement or completion of a well, or the continued operation of. or production of gas from a well on each and all
of the lands within and comprising such operating unit: provided. that the provisions of this paragraph shall not affect the payment or non-payment of
delay rentals with respect to portions of this premises not Included ins. unit. but this lease as to such portions of this premises not included in a unit,
shall be deemed to be a separate lease. In the event portions of the above described lands are included in several units, each portion so included shall
constitute a separate lease, and the particular owner or owners- of the lands under each separate lease shall be solely entitled to the benefits of and be
subject to the obligations of lessor under each separate lease. Lessee shall execute in writing and record in the conveyance records of the county In which
the land herein leased is situated an instrument identifying and describing the consolidated acreage.
14. This lease and all its terms, conditions and stipulations shall extend to, and be binding on each of the parties who signs this lease, regardless of
whether such lessor is named above and regardless of whether it is signed by any of the other parties herein named as lessors_ This lease may be signed
in counterparts. each to have the same effect as the original. (see attached release rider)
'Weld CounLy Ct,lolr,tlu, a political �ubdivisjrn
IN WITNESS WHEREOF, we sign the day and year first above written. of the State Of Colorado, by the Board Of
Witness: ( ATT :iST )
Cola 2 ia1f�missio rs —
by by �G !/ a
County Clerk a aecorder by
700001 bye``U�� "�-3
Lt —3
STATE OF 1 INDIVIDUAL(S) ACKNOWLEDGEMENT (Colorado, Nebraska,
COUNTY OF 1}ss Wyoming, Utah,Kansas,North Dakota, South Dakota, Montana,
On , 19 , before me personally appeared
to me known to be the person(s) described in and whose name(s) is (are) subscribed and who executed the foregoing instrument
and acknowledged to me that he (she) (they) duly executed the same as his (her)(their)free and voluntary act and deed, including
the release and waiver of the right of homestead, the said wife (wives) having been by me fully apprised of her(their)right(s)and
effect of signing and acknowledging the said instrument. Given under my hand and seal the day and year last above written.
My Commission Expires-
Notary Public
Residing at:
STATE OF —� INDIVIDUAL(S) ACKNOWLEDGEMENT (Colorado, Nebrask_,
COUNTY OF lS Wyoming, Utah,Kansas,North Dakota, South Dakota, Montana,
On , 19 —, before me personally appeared -
to me known to be the person(s) described in and whose name(s) is tare) subscribed and who executed the foregoing instrurwiii
and acknowledged to me that he (she) (they) duly executed the same as his (her) (their)free and voluntary act and deed, includine
the release and waiver of the right of homes ead, the said wife (wives) having been by me fully apprised of her(their) right(s)an,'.
effect of signing and acknowledging the said instrument. Given under my hand and seal the day and year last above written.
My Commission Expires:
Notary Public
Residing at:
STATE OF _.___ ._. ISDI\'IDI AT(S) ACKNO11'LEDGEMENT (Colorado, Nebraska.
COUNTY OF - Wyoming, Utah,Kansas,North Dakota, South Dakota, Montana.
On , 19 , before me personally appeared
to me known to be the person(s) described in and whose name(s) is (are) subs,. Wed and who executed the foregoing instrument
and acknowledged to me that he (she) (they) duly executed the same as his (her)(their)free and voluntary act and deed, including
the release and waiver of the right of homestead, the said wife (wives) having been by me fully apprised of her(their)right(s) and
effect of signing and acknowledging the said instrument. Given under my hand and seal die day and year last above written.
My Commission Expires:
Notary Public
Residing at:• IJJ` Release Rider •
Y
•Upon the termination of this lease in whole or in part by election or. by failure to
; make payments as aforesaid, lessee or his assigns shall within 30 days release by
written instrument the land or portion thereof which said lease terminates,
p said notice shall also be sent to the' lessor giving the book and page of said to e.
it. is expressly understood that this lease is subject to and controlled by any law
I' ' of the State of. Colorado, now in effect restricting or limiting` the powers 'Of Coun ss
, or'boards ofaCounty Commissioners,and provision herein in conflict therewith shall
p be 'inoperative..,and void.' , i
` N 1� '' ' titliniiege,SNI' �a A tai T �A
r ! , .� J k,Il i ! N1; 1.N t ll wf: J, i! a r r...!"t''
r (I I h1 ..v({V qit FIa ti!
•�...•3 •••�'�•.>•r-•I.n�n�aeer.awrrr'Kl�1Mf4YYM�wMMnM��y. � .. .
STATE OF CORPORATE ACKNOWLEDGEMENT (Colorado, Nebraska,
COUNTY OF Sa. Wyoming,Utah,Kansas,North Dakota, South Dakota,Montana,
On , 19 , before me personally came the above named
(who being by me duly sworn, did say that he is the
President of
a corporation, and that the seal affixed to said instrument is the corporate seal of said corporation) who is personally known to me
to be the identical person and officer whose name is affixed to the above instrument as President of said corporation,
and acknowledged the instrument to be his free and voluntary act and deed and the free and voluntary act and deed of said cor-
poration; that said corporation executed said instrument and that said instrument was executed, signed and sealed on behalf of
said corporation by authority of its Board of Directors or by authority of its By-Laws.
My Commission Expires:
Notary Public
Residing at:
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