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Recorded e o elock.. -�,ht MAR° �°�
i AUTHORIZING OIL AND GAS LEASE N0. Rec. No. 160951,4 _Ann Spomer, Recordr
COVERING CERTAIN PURPORTEDLY OWNED
' COUNTY MINERAL LANDS )-/—'1
l
c> TOWN OF DACONO, SECTION 6, TOWNSHIP 1 NORTH,
RANGE 67 WEST OF THE 6TH P.M., WELD COUNTY, COLORADO
- MARTIN OIL SERVICE, INC.: EXPIRES
Ln
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CD WHEREAS, the County of Weld, State of Colorado, is the owner of vast
T-t acres of mineral lands in Weld County, and
of
.n,
NI WHEREAS, a portion of said mineral acres presently are not leased,
a and
rs
,--i WHEREAS, Martin Oil Service, Inc., P.O. Box 298, Blue Island, Illinois,
o has offered to lease a certain block of the following mineral lands purportedly
-- owned by Weld County, containing 19.36 acres, more or less, and to pay therefore
Five Hundred Dollars ($500.00) for the execution of the necessary leases with
• annual delay rentals of $1.00 per net acre after the first year, and
c.1 WHEREAS, it is desirous and in the best interest of Weld County to
r� accept said offer to lease the requested mineral acreage.
NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of
Weld County, Colorado, that the offer of Martin Oil Service, Inc., as hereinabove
recited, be and it is hereby accepted, for a term of five years, and
BE IT RESOLVED, that the mineral acreage is as listed below:
That portion of the Town of Dacono, Colorado situated in the Mff of
Section 6, Township 1 North, Range 67 West of the 6th P.M. described as follows:
Block 1: Lots 1, 2, 3, 6, 7, and 8;
Block 3: Lots 1 thru 5;
Block 4: Lots 1 thru 8;
Block 5: Lots 1 thru 8;
Block 6: Lots 1 thru 8;
Block 7: Lots 1 thru 12;
Block 8: Lots 1 thru 5; 7; 9 thru 12;
Block 9: Lot 9;
Block 16: Lots 4 and 9;
Block 17: Lots 1 thru 4; 11 and 12;
Block 18: Lots 1 thru 12;
Block 19: Lots 1 thru 14;
Block 20: Lots 1 thru 4; 16 thru 18;
Block 21: Lots 1 thru 18;
Block 28: Lots 4 thru 6;
Block 29: Lots 1, 4, 7 and 8;
Block 30: Lots 6 thru 9; 15 thru 18;
Block 32: Lots 2, 3, 11 and 12;
Block 33: Lots 4, 7, 8 and 9;
The above and foregoing resolution was, on motion duly made and seconded,
adopted by the following vote:
AYES: „,�/J,('p uz, it lif,f
Dated: February 14, 1973 _ //n /
c/ i
ROV AS TO FOR 1h--�\\/
COti4 ATTORNEY 4;,/,6/7C 11 /Y...e___T BOAF(T F CbMN1ISSIONERS
WELD OU , COLORADO
LX) /01-i - 2 ri70005
i_ , /�?,7
681 Recorded
Producers 88(272)3-s3--Colorado tier. fin. 1609189 4 Sponi4r,24.4440
OIL, GAS AND MINERAL LEASE _
THIS AGREEMENT made this 91b 2nd day of ,ImRMMIf x February la " between
Meld County, a political subdivision of the State of Colorado, by the bard of County
Commissioners for its respective interest
e!o bard of County Commissioners, Meld County Court Nouse. Greeley, Colorado
Lessor(whether one or more),and Martin 011 Service, Inc., P. 0. Sox 298, Slue island, Illinois 80406
Lessee,WITNESSETH:
1. Lessor In consideration of Ten end no/100 Dollars
($elusively unto Lessee four the purpose pose off theroyalties
hereinaprovided,and of the agreement of Lessee herein contained,hereby grants,leases and lets
investigating,eaxaip g,prospecting,,drilling and mining for and producing oil,gas,other hydrocarbons and,
e without restriction to such enumerated minerals,all other 'n rals whether similar or dissimilar to those particularly specified herein,laying pipe lines,
building tanks,power stations,telephone clines and other structures thereon to produce,save.take care of,treat,transport and own said products,and
housing its employees,the following described land in Mead County,Colorado,to-wit:
(See ettmehed desulptlon rider)
%OK 6.37 1609189
of Section Township Range
In addition to the land above described.Lessor hereby grants,leases and lets exclusively unto Lessee to the same extent as if specifically
described herein all lands owned or claimed by Lessor which are adjacent,contiguous to or form a part of the lands above particularly described,in-
cluding all oil,gas,other hydrocarbons and all other minerals underlying lakes.rivers,streams,roads,easements and rights-iaydrvhich traverse o
adjoin any of said lands.For rental payment purposes,the land included within this lease shillili deea l to contain JJ• acres,
whether it actually comprises more or less. 1'��e �7�
2. Subject to the other provisions herein contained,this lease shall be for a term of*years from this date(called"primary term")and as long
thereafter as oil,gas,other hydrocarbons,or other mineral is produced from said land hereunder,or drilling or reworking operations are conducted
they con 3. The royalties to be paid by Lessee are:(a)on oil,one-eighth of that produced and saved from said land.the same to be delivered at the
wells,or to the credit of Lessor into the pipe line to which the wells maybe connected;Lessee may from time to time purchase any royally oil in its
posesion,paying the market price therefor prevailing for the field where produced on the date of purchase; (b) on gas,including casmghead gas or
other hydrocarbon su
bstance,produced from said land and sold or used off the premises or in the manufacture of gasoline or other products therefrom,
the market value at the well of one-eighth of the gas a sold or used,provided that on gas sold at the wells the royalty shall be one-eighth of the amount ""
realized from such sale;(c) all other minerals mined and marketed,one-tenth either in kind or value at the well or mine. t Lessee's election,except �4 a
that on sulfur the royalty shall be fifty cents(504)per long ton.Lessee shall have free use of oil,gas,coal.wood and water from id land, e�ppt
ter from Lessor's wells,for all operations hereunder, d the royalty oil and ragas shall be computed after deductng any used.If a well ca i-.IG7
of orpductng gas in paying quantities s completed on the above described land emus shut in.this lease hall continue i effect for a perwu`TT e t
ear from the date such well is glut in.Lessee r any assignee may thereafter.In a the manner provided herein for the payment tender of delay) x1
rentals,pay or tender to Lessor as royalty,on or before one year from the date such well is shut in,the sum of$100.00 per well,and,if such payment or
tender is made.this lease shall continue m effect for a further period of one year.In like manner and upon like payments or tenders annually,made on
or before each anniversary of the shut-in date of such well,this lease shall continue in effect for successive periods of twelve(12)months each.
4. If operations for drilling are not commenced on said land as hereinafter provided,on or before one year from this date, lease s:�n
terminate as to both parties,unless on or before such anniversary date Lessee shall pay or tender to Lessor or to thlgleQt Lesomm.. A
of County Commissioners, musket Greeley, Colorado (whieh>r!m{and its apepeaera are Lease a agent
and shall continue as the depository for all rentals payable hereunder r gardles of Chang hip of.id land or the rentals either by conveyance
- Nineteen amt U0 -
- - - - - - -
or q�t,�geath or incapacity of Lessor)the sum of - - - - Dollars
($ s ),(herein called rental),which shall cover the privilege of deferring commencement of operations for drilling for a period of
twelve(12)months.In like manner and upon like payments or tenders annually the commencement of operations for drilling may be further deferred
for successive periods of twelve(12)months each during the primary term.The payment or tender of rental herein referred to may be made in currency.
bdraft or ank.on or check at the Dental f he Lessee;
essdate,;shad the be deemed payment
of such
as hereincy draft
or
rItec such bankpost office,properly addressed to the Lessor,or said
succeeded b another bank,or for an fail or refuse to accept rental,li Lessee shall not be held inndefault for failure make should fail, meat or
or be
tender
y ono y reasonpayment
of melts for until thirty(do days after Lessor shall deliver to Lessee proper recordable instrument,ran naming'another bank agent to receive uch pay-
ells or tenders.The down cash payment is consideration for this lease ryaaccording to its terms and shall of el allocated as ere rental any
such
period.
n Lessee may at any time execute d deliver to Lessor or re the depository above named place of record a release li releases covering any portion or
portions u the above described ter them and thereby surrender this lease re u h portion ro o portions and be relieved f 11 obligations reduced
to the
acreage surrendered,and thereafter he rentals payable hereunder shall be reduced in the proportion that the acreage covered hereby is reducedsby said
release If releases.
N If o Le shall,co r before any rental date,make a bona fide [tempt t pay or deposit given
to a Lessor entitled thereto der this lease
cording h Lessee's records . f i Lessor who,ewe e ,a d if such
payment o deposit.has given Lessee notice,re accordance r de the terms e
this lease hereinafter t forth,of his right n c rental, d if such payment or deposit shall co erroneous in on gaud(whether with
the
wrong depository,paid to persons they than the parties titled thereto s shown by Lessee's records,m a incorrect m amount. otherwise),Lessee
hall beunconditionallyea if
h erroneous
u pay to such Lessor the s rental been properly for the rental that
periodinvolved, t this lease shall be maintained in
1� the same manner as if such erroneous rental payment n deposi had been properly made,provided that the erroneous rental payment or deposit neces-
s
ary within 30 days after receipt proper
Lessee of written notice from such Lessor f such error accompanied by anydocuments and other evidence n
sary to enable Lessee to make proper payment.
(\ 5. Should any well drilled on the above described land during the primary term before production is obtained be a dry hole,or should production
U be obtained oduring k e primary term and
11 are not thereafter cease,
a se,then
ntl and
in either or before the firstoperations
a rat ons for drilling n additional well a of commenced or
operations g an o e pursue o paying date next succeeding the cessation of production
or drilling or reworking on said well or ells,then this lease shall terminate unless Lessee,on or before said date,shall resume the payment of rentals.
Upon resumption f the payment f rentals,Section 4 governing the payment of rentals,shall continue in force just as though there had been nointer-
ruptioneS th rental payments.If during the last year of he oil,
term and prior to he discovery r of oil,gas,o her hydrocarbons on i nd
Lessee should drill dry hole thereon, if after discovery f '1,gas,or other hydrocarbons before during the last year f the primary term the
production thereof should cease during the last year of said term from any ca o rental payment or operations are necessary m der to keep the
lea n fore during the remainder of the primary term.If,at the expiration of e the primary term,Lesee i conducting operations for drilling new
well o working an old well,this lease n verth less shall continue i force as long s such drilling or reworking operations continue,or if, fter the
expiration of the primary term,production on this lease shall cease,this lease nevertheless shall continue in force if drilling or reworking operations
are commenced within sixty(60)days after such cessation of production;if production is restored or additional production is discovered as a result of
any such drilling or reworking operations,conducted without cessation f more than sixty(60)days,this lease shall continue as long thereafter as oil.
gas,other hydrocarbons or other mineral is produced and as long as additional drilling or reworking operations are had without cessation of such drill-
ing or reworking operations for more than sixty(60)consecutive days.
6. Lessee,at its option,is hereby given the right and power to pool or combine the land covered by this lease,or any portion thereof,as to it
and gas,or either of them,with any other land,lease or leases when in Lessee's judgment it is necessary v o advisable to do in order to properly
develop and operate said premises,such pooling to gbe into a well unit or units not exceeding fort (40) s,plus acreage tolerance of ten per cent
(10%)of
forty40 acr s.acres,
gas,except thattlexceeding
r ceedi its ma six y created to hed and conform)to cant'pacinus g or well unit
rance patternf ten that per cent presc10%)ribed
bed b hundred
n-
ental authorities havingjurisdiction.Lesseegmay pool or combine acreage covered by this lease,or any portion thereof,as above provided,as to oil or gas
in any one or more strata,and units so formed need not conform in size or area with the unit or units into which the lease is pooled or combined as to
any other stratum or strata,and oil units need not conform as to area with gas units.The pooling in one o r instances shall not exhaust the rights
of the Lessee hereunder to pool this lease or portions theraf into other units.Lessee shall execute iting and place of record an instrument or instru-
ments identifying and describing the pooled acreage.The entire acreage so pooled into a unit shall be treated for all purposes,except the payment of
royalties,as if it were included in this lease,and drilling or reworking operations thereon or production of oil or gas therefrom,or the completion thereon
of a well as a shut-in gas well,shall be considered for all purposes,except the payment of royalties,as if such operations were on or such production
re from or such completion were on the land covered by this lease,whether or not the well or wells be located on the premises covered by this lease.
In lieu of the royalties elsewhere herein specified.Lessor shall receive from a it formed,only such portion of the royalty stipulated herein as the
amount otlhis acreage hereunder contain unit or his than
interest ther of acres her total
acreage e s so pooled in the particular unit involved.Should any unit
as originally created ax number specified.then Lessee may at any time thereafter,whether be-
fore or after production is obtained o the unit,enlarge such unit by adding additional acreage thereto,but the enlarged nit shall in no event exceed
the acreage content hereinabove specified.In the event an existing unit is enlarged,Lessee shall execute and place of record a supplemental declara-
tion of unitization identifying and describing the land added to the existing unit;provided,that if such supplemental declaration of unitization is not
filed until after production is obtained on the unit as originally created,then and in such event the supplemental declaration of unitization shall not
become effective until the first day of the calendar month next following the filing thereof. In the absence of production Lessee may terminate any
unitized area by filing of record notice of termination.
7.Lessee also shall have the right to unitize,pool,or combine all or any part of the above described lands with other lands i the same general
area by entering into a cooperative unit plan of development or operation in
by any governmental authority and,from time to time,with
likeapprove,.a t r odify,change terminate any such plan o agreement a i such event.the terms, nditions, d provision f this lease.shall be
deemed modified to conform to the terms,conditions, d provisions of such approved cooperative or unit plan of development s ooperation and,par-
ticularly,all drilling and development requirements of this lease,express or implied,shall be satisfied by such
with the drilling and development
requirements of such plan or agreement.and this lease shall not terminate or expire during the life of ch plan r agreement.In the event that said
above described lands or any part thereof.shall hereafter be operated under any such cooperative or unit plan of development or operation whereby
the production therefrom is allocated to different portions of the land covered by said plan,then the production allocated to any particular tract of land
hall,for the purpose of computing the royalties to be paid hereunder to Lessor,be regarded as having been produced from the particular tract of land
to which it is allocated and not to any pother tract of land: and the royalty payments to be made hereunder to Lessor shall be based upon production
only s by allocated.
Lessor
sal laformallygency yexpresst rag this same
upoa anyreq cooperest of ative or
unit plan of development or operation adopted by Lessee and
appall obligation es toall the acreage surrendered.Lessee shall have Lessor's
right at an time du to ring all r y portion p expiration of of the lease to and remove
all propsved of
and fixtures placed b Lessee o said land,including the g r after the Sex property
lines below ordinary by
depth,and n well shall be drilled within two hundred remove 1200) feet of any required by barn Lessor, Lessee
on will bury a
ll pipe
Lesebr's consent.The Lessee agrees topromptly
r m tl to the owner thereof or residence au r said land ith t
operations of Lessee.. Pro p y pay any damages to crops.o improvements, caused by o resulting from any
. n
12. Notwithstanding any provision of this lease to the contrary, no operations shall
be conducted on the above described land without the written consent of lessor. •
13= 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, and said
notice shall also be sent to the lessor giving the book and page of said lease. It
is expressly understood that this lease is subject to and controlled by any law of
the State of Colorado now in effect restricting or limiting the powers of Counties
or boards of County Commissioners and provision herein in conflict therewith shall
be inoperative and void.
,
t 68`7 1609189 3 .S-
9. The rights of either party hereunder may be assigned. in whole or in part, and the provisions hereof shall extend to the heirs. successors and
assigns of the parties hereto, but no change or division in ownership of the land. rentals, or royalties, however accomplished, shall operate to enlarge the
obligations or diminish the rights of Lessee. No change in the ownership of the land.or any interest therein, shall be binding on Lessee until Lessee shall
be furnished with a certified copy of all recorded instruments, all court proceedings and all other necessary evidence of any transfer, inheritance, or sale
of said rights.In event of the assignment of this lease as to a segregated portion of said land, the rentals payable hereunder shall be apportionable among
the several leasehold owners ratably according to the surface area of each, and default in rental payment by one shall not affect the rights of other lease-
hold owners hereunder. In case Lessee assigns this lease, in whole or in part. Lessee shall be relieved of all obligations with respect to the assigned por-
tion or portions arising subsequent to the date of assignment.
10. All express or implied covenants of this lease shall be subject to all Federal and State Laws, Executive Orders, Rules or Regulations, and this
lease shall not be terminated,in whole or in part, nor Lessee held liable in damages, for failure to comply therewith. if compliance is prevented by, or if
such failure is the result of, any such Law, Order, Rule or Regulation, or if prevented by an act of God, of the public enemy, labor disputes, inability to
obtain material, failure of transportation, or other cause beyond the control of Lessee.
If,during the term of this lease, oil or gas or other hydrocarbons or other mineral is discovered upon the leased premises, but Lessee is prevented
from producing the same by reason of any of the causes set out in this Section,this lease shall nevertheless be considered as producing and shall continue
in full force and effect until Lessee is permitted to produce the oil, gas, other hydrocarbons. or other mineral and as long thereafter as such production
continues in paying uantities or drilling or reworking operations are continued as elsewhere herein provided.
11. Lessor agrees that Lessee at its option may discharge any tax, mortgage or
other lien upon said land, either in whole or in part, and in event Lessee does so, it shall be subrogated to such lien with the right to enforce same and
apply rentals and royalties accruing hereunder toward satisfying same. Without impairment of Lessee's rights under the warranty in event of failure of
title, it is agreed that if Lessor owns an interest in said land less than the entire fee simple estate, then the royalties and rentals to be paid Lessor shall
be reduced proportionately.
All of the provisions of this lease shall Inure to the benefit of and be binding upon the parties hereto, their heirs, administrators, successors and
assigns.
This agreement shall be binding on each of the above named parties who sign the same, regardless of whether it is signed by any of the other
parties.
IN WITNESS WHEREOF, this instrument is executed on the date first above written.
MELD COUNTY, COLORADO. A POLITICAL SUBDIVISION
ATTEST: OF THE STATE OF COLORADO SY THE :WARD OF
BY: *i CO ISSIONERS • "
COUNTY CtE ANON RECORDER SY: \c�� } j
STATE OF COLORADO,
1 -r'i 4
County of
MELD SS. Color do cknowledgment
The foregoing instrument was acknowledged before me this 2nd day of
February aNllf/yx A.D., 19 T3 by
Glenn Ke B$llings_% Harry S. Ashley% Rov :Moser, The Board of County
Commissioners, Weld County, Colorado
Witness my hand and official seal:
My commission expires.,,,i.,.-."7-3._ . ..../ ./
L .2L-4-CA- 7', ,t __,.--1_s-L1_,_7_,,,c__i
t Notary Public.
STATE OF COLORADO,
SS. Colorado Acknowledgment
County of
The foregoing instrument was acknowledged before me this day of
, A.D., 19 by
Witness my hand and official seal:
My commission expires
Notary Public.
Ill -o s
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That portion of the Town of Dacona, Colorado situated in the NW of Section 6,
Township 1 North, Range 67 west of the 6th P. M. described as follows:
Block 1 : Lots 1 , 2, 3, 6, 7 and 8;
Block 3: Lots 1 thru 5;
Block 4: Lots 1 thru 8;
Block 5: Lots 1 thru 8;
Block 6: Lots 1 thru 8;
Block 7: Lots 1 thru 12;
Block 8: Lots l thru 5; 7; 9 thru 12;
Block 9: Lot 9;
Block 16: Lots 4 and 9;
Block 17: Lots 1 thru 4; 0, 11 and 12;
Block 18: Lots 1 thru 12;
Block 19: Lots 1 thru 14;
Block 20: Lots 1 thru 4; 16 thru 18;
Block 21 : Lots 1 thru 18;
Block 28: Lots 4 thru 6;
Block 29: Lots 1 , 4, 7 and 8;
Block 30: Lots 6 thru 9; 15 thru 18;
Block 32: Lots 2, 3, 11 and 12;
Block 33: Lots 4, 7, 8 and 9;
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�- j11 � 'Q7 1603514
•
QC:Q� r� i b a!e2oraev Y! �!� �`"� ' --- MAR 3 Q +. k 4 1. QaxG:
i z� 1 cgs 161):)18b
Jinn Soomet. 2xwdr
Producen 88(27313-ao—Colorado Rac. No. _
OIL, GAS AND MINERAL LEASE e=5_
nle 1
THIS AGAEFXi..NT mode this. _ day of...__--- February
Weld County.,..a....po.Li ti.ca..i._.s.ubdiv.is i.cin_of._the_-_.ta..e_Af Colorad4,_5y the, Board of CountY
. 1 _
Commis..i.oner.s.,.._f.or.....Its_r.tspect.i xe ln.te.tes.t.._
_c/o Board of County_Commissioners, Weld County Court House, Greeley, Colorado
�. Lessor (whether one or more),a nd_Ma r t.ia_P i_l S.ery i ee„..1 n c.., P. O. Box 298,._Blue Island, 1 1 i i no-i s 6040 6
Lessee. WITIYFSSETH:
I. Lessor in consideration of Ten and no/100 _ Bollars
co (3 ), in hand paid. of the royalties herein provided, and of the agreement of Lessee herein contained. hereby grants. leases and lets
-� exclusively unto Lessee for the purpose of investigating, exploring, prospecting. drilling and mining for and producing oil, gas, other hydrocarbons and.
G� without restriction to such enumerated minerals, all other minerals whether similar or dissimilar to those particularly specified herein, laying pipe tines.
O building tanks. power stations, telephone lines and other structures thereon to produce. save, take care of. treat. transport and own said products, and
housing its employees. the following described land in__r._.. _ Weld _ _County.Colorado.to-wit:
o (See attached description rider)
aI45
-
_ ..._
.- O •
v, That portion of the Town of Dacona, Colorado situated in the NW of Section 6,
' o ;o:•rnship 1 ;forth, Range 67 West of the 6th P. M. described as follows:
0
0
Block 1: Lots 1 , 2, 3, 6, 7 and 8;
•
Block 3: * Lots 1 thru 5;
' Block 4: Lots 1 thru 8; NOTE: THIS LEASE IS BEING RE-RECCRDED .
`•Q Block 5: Lots 1 thru 8; SO THAT THE DATE OF THE LEASE
• Block 6: Lots 1 this 8; AND THE 'RESOLUTION COINCIDE
Block 7: Lot; 1 this 12; (February 14, 1973) ON DIRECTIVE
Block 8: Lots 1 . thru S; 7; 9 thru 12; FROM THE COUNTY ATTORNEY
Block 9: Lot 9; jam '
�,
Block 16: Lots 4 and 9; . •
�' f_ *0 •
Block 17: Lots 1 thru 4; 11, 11 and 12;
Block 18: Lots 1 thru 12; Thairman, Board of County
Block 19: Lots 1 thru 14; - Commissioners, Weld County,
•
Block 20: Lots 1 thru 4; 16 thru 18; Colorado
Block 21 : Lots 1 thru I8;
Block 28: Lots 4 thru 6;
Block 29: Lots 1 , 4, 7 and 8; •
Block 30: Lots 6 thru 9; 15 thru 18; '
Block 32: Lots 2, 3, 11 and 12; ,
Block 33: Lots 4, 7, 8 and 9;
•
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