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HomeMy WebLinkAbout700314.tiff A f-' i 1) _ / SIGN URANIUM LEASE, COUNTY #7 TREND EXPLORATION LIMITED: WHEREAS, the Trend Exploration Linited of 600 Capitol Life Center Denver, Colorado, has presented a Standard Uranium Lease, covering a tract of land situate in Weld County, Colorado, more particularly described as follows: Lots 1, 2, 3, 4, Sj44 : Section 3, Township 7 N, Range 63 West of the 6th P. M. , containing 321.16 acres, more or less, and WHEREAS, a signed consent of the surface owner,; Mrs Etta H. Ball, together with an agreement signed by Trend Exploration Limited, for payment of damages to the surface, labeled Exhibit A and B, is hereto attached and made a part of the lease, and WHEREAS, the Board believes it to be in the best interest of the County to sign said lease. NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of Weld County, Colorado, that it does hereby accept by signing said Uranium Lease, County #7, with the Trend Exploration Limited for the heretofore described tract of land, for a period of ten years with a bonus consideration of $1.00 per mineral acre and delay rental of $1.00 per mineral acre. The above and foregoing resolution was, on motion duly made and seconded, adopted by the following vote: AYES: ,//„ 4 /f 7t �y� 7gyp ,�/J / / JJ/// THE BOA CO COMMISSIONERS WELD COUNTY, COLORADO DATED: AUGUST 12, 1970 i F e1710 700314 GLENN K. Si LUNGS It i"t C Y.AIP MAM1 L- �. \ ....« RT. 2, BOX 157. GREELEY, COLO. HAROLD W. ANDERSON. CHAIRMAN PRO.EV. RT. I. JOHNSTOWN, COLO OFFICE OF THE WELD COUNTY ATTORNEY SAMUEL S. TELEP COUNTY ATTORNEY MARSHALL H. ANDERSON, PHONE 1303, 352.5132 212 4ME ER 2412 6TN AVE.. GRCELEY. COLO. ;CG=)J May 21, 1970 Etta E. Ball Briggsdale, Colorado 80311 Re: Township 7 North, Range 63 West of the 6th P. M, : Lots 1, 2, 3, 4, S4NTZ Sec. 3; Township 8 North, Range 63 West of the 6th P. M. : SW-41- Sec. 25; Sz Sec, 33; WZ, SE-1- Sec. 35. Dear Mrs. Ball: Pease be advised that Weld County i s in the process of signing a Mineral Lease with Trend Exploration Limited, 603 Capitol Life Center, Denver, Colorado, whereby said lessee will cause, by exploration of your premises, to try and lo- cate uranium, thorium, vanadium and other minerals of value that can be re- moved in the process of mining and milling the same from the above-mentioned lands. As you probably know, Weld County owns the minerals underneath the surface of these lands and oefore it enters into any lease, it wishes to know whe- ther you have any objections. Weld County feels that you as the surface owner, certainly do have something to say about what will or may happen to the surface of the lands involved. We have on file in the office, an instrument whereby Etta H. Ball, as surface owner of the above-entitled premises, has signed a consent stating in effect that she has no objection to Weld County entering into a lease agreement whereby the lessee can explore and mine for said minerals. Although we have your consent as surface owner, the Board of County Commis- sioners, Weld County, Colorado, has instructed this office to obtain a personal response from you regarding your feelings in the matter and whether you have any objections to Weld County entering into such leases. Your early reply will be greatly appreciated. For ready reference, I attach herewith a stamped, self-addressed envelope for your convenience in replying. Very truly yours, rSamuel S. Telep County Attorney SST:bp Enc. '�a,oard�;9 TATIOCK'S, Inc. 1610 Court Place Form JG—LS(Revised 1967) D , Cola. 80202 Phone 266-1681 Standard Uraniu m Lease(Approved) -- THIS AGRE EMENT OF LEASE, made and entered into this -'y l __. day of 19 70 by and between Yeld County, Colorado, a political subdivision of the ,.Mate 'J_ C0 or -do, by the Board of County Conmiesioncrc, c/o Board of County Couanissioric rs, ,'Eld County Court dO .Se, Greeley, Colorado (whether one or more) of hereinafter called lessors, andTrcnd Exploration Li.ited. 600 Capitol Liie Center, Denver, Colorado 00203 hereinafter called the lessee; WITNESSETH: That the said lessor, for and in consideration of Three hundred twenty one and 16/100- - —Dollars, .00 cash in hand paid, the receipt of which is hereby acknowledged as payment of the initial rental computed at the rate of •1 per-acre, and of the covenants and agreements hereinafter contained on part of lessee to be paid, kept and performed, has granted, demised, leased and let and by these presents does grant, demise, lease and let exclusively unto the said lessee for the sole and only purpose of exploring, mining and operat- ing for and taking Uranium, Thorium, Vanadium and other minerals of value that can be removed in the process of mining and milling the same, from the lands hereinafter described; situate, lying and being in the County of—''Lela and State of___Colorado , to wit; Tounship 7 forth-any,e 63 West, 6th F. _ Sec. 3: Lois 1 -. 3, 4, � Z1 321.16 estimated to contain — acres, more or less. It is agreed that this lease shall remain in force for a term of 10 years from this date, referred to as primary term and as long thereafter as the minerals hereinabove designated or any one of them are being produced in paying quantities from said premises, and the royalty and rents provided for herein are being paid, subject to the terms hereinafter described, or as long thereafter as the lessee continues to prosecute the mining and explora- tion of said premises. 4th April 19 71 , If actual mining operations are not commenced on said land on or before the day of. —• this lease shall terminate as to both parties, unless the lessee shall on or before that date pay or tender to the lessor or to the lessor's credit in the Board of County Co r nissioners _Boor at Greeley, Colorado _, or w321.16 its successors which shall continue as the depository regardless of changes in the ownership of said land,the sum of -, dollars, which shall operate as a rental and cover the privilege of deferring actual mining operations for twelve months from said date. In like manner and upon like payments or tenders, the commencement of actual mining operations may be further deferred for like periods of the same number of months successively. 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 fiat rental is payable as aforesaid, but also the lessee's option of extending that period as aforesaid, and any and all other rights conferred. In consideration of the premises the said lessee covenants and agrees: To pay lessor an amount equal to 5 percent of the gross mill returns from any and all ores mined from the leased premises, including _percent of any bonus or premium payments, but not including any portion of the haulage or development allowance. ',a-+ Lw-1�1T �i All fl Should production of minerals hereinabove described from the leased premises cease from any cause after the expiration of the primary term this lease shall not terminate provided lessee continues with due dilligence and good and proper mining and exploratory procedure to regain or restore production from said land. If such production is restored through any such operations this lease shall continue with the like effect as if there had been no cessation thereof. 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 for shall be paid the said lessor only in the proportion which lessor's interest bears to the whole and undivided fee. Lessee shall be liable and agrees to pay for all damages to the surface of the land, livestock, growing crops or improvements caused by lessee's operations on said lands. Lessee shall have the right to use, free of cost, water produced or found on said land for lessee's operation thereon, except water from the wells and reservoirs of lessor. Lessee shall have the right at any time to remove all machinery and fixtures placed on said premises. All express or implied covenants of this lease shall be subject to all Fe deral 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. If the estate of either party hereto is assigned, and the privilege of assigning in whole or in part is expressly allowed, the covenants hereof shall extend to their heirs, executors, administrators, successors or assigns, but no change in the ownership of the land,or assignments of rental or royalties shall be binding on the lessee until after the lessee has been furnished with a written transfer or Issignment or a true copy thereof: and it is hereby agreed that in the event this lease shall be assigned as to a part or as to pails of the above described lands and the assignee or assignees of such part or parts shall fail or make default in the payment of the proportionate part of the rents due from him or them, such default shall not operate to defeat affect this lease insofar as it covers a part or parts of said lands upon which the said lessee or any assignee thereof shall make due payment of said rental. In case lessee assigns this lease, in whole or in part, lessee shall be relieved of all obligations with respect to the assigned portion or portions arising subsequent to the date of assignment. Lessee may at any time surrender this lease in whole or in part by mailing a release to lessor or placing a release of record in the proper county and shall thereupon be relieved of all obligations hereunder except as to any part retained. Lessor hereby warrants and agrees to defend the title to the lands herein described. and agrees that the lessee shall have the right at any time to redeem for lessor, by payment, any mortgages, taxes or other liens on the above described lands, in the event of default of payment by lessor, and be subrogated to the rights of the holder thereof, and the undersigned lessors, for themselves and their heirs, successors, and assigns, hereby surrender and release all right of dower and homestead in the premises described herein, insofar as said right of dower and homestead may in any way affect the purposes for which this lease is made, as recited herein. Lessee agrees to comply with the Colorado G. en Cut Land Reclamation Act of 1969, which shall be deemed to apply to the ainin;, of ,;ranium and all work and activities on the above described lands. See ln.!IfITS "A" and "lB" attached and made a part hereof . )e1d County, Colorado, by the WITNESS the parties hereto In duplicate the day and year first above written. LESSOR: Bo d of County Coni4ssioncr$: LESSE .._7r ,,�J lI • l F. : . Hulett, Jr., lent 'ttest: - County Clerk and F:ecorder EXHIBIT "A"Attached to end made a port of Uranium Lease da€ed tkp;ri1 µ, 1970 by and between :field County, Colorado, a political subdivision of the State , of Colorado, by the Board of County Commissioners, Lessor , and TREND EXPLORATION LIMITED , Lessee . Notwithstanding anythingto the contrary herein contained , in the event Lessee destroys or permanently damages the surface of all or any part of the Leased Premises by removal of said surface in the course of excavating a mine or by covering said surface with earth, rock ore or other materials during the course of mining operations hereunder , then Lessee shall pay or tender to Lese{rp. surface owner 125v of the fair market falue as full payment for each acre of surface land (pro rata for fractions of an acre ) , actually permanently damaged or destroyed ; provided that if Lessor owns less than the entire and undivided surface estate , the payments to be made shall be proportionately reduced and paid to Lessor only in the proportion that Lessor 's interest bears to the entire undivided surface estate . For all fissionable materials mined , saved , and removed from Leased Premises , Lessor reserves and Lessee agrees to pay to Lessor a royalty based on the gross purchase price as set out below : SCHEDULE A — SURFACE OR PIT MINING SCHEDULE B - UNDERGROUND MINING ROYALTY: ROYALTY : GROSS PURCHASE PRICE PER ROYALTY GROSS PURCHASE PRICE PER ROYALTY TON (2000#) AT MILL RATE % TON (2000#) AT MILL RATE Up TO $ 4 .00 5 $ . 00 TO $14 .00 5 $ 4 .00 TO 6 .00 5+ 14 . 00 TO 16 .00 5+ 6 .00 TO 8 .00 6 16.00 TO 18 . 00 6 8 .00 TO 10.00 6* 18. 00 TO 20. 00 6* 10.00 TO 12 .00 7 20. 00 TO 22 . 00 7 12 .00 TO 14 .00 7+ 22 .00 TO 24 . 00 7+ 14 .00 TO 16 .00 8 24 .00 TO 26 . 00 8 16 .00 TO 18 .00 8+ 26 . 00 TO 28.00 8+ 18.00 TO 20. 00 9 28 . 00 TO 30. 00 9 20.00 TO 22 .00 9* 30. 00 TO 32 .00 9# 22 .00 TO 24 .00 10 32 . 00 AND UP 10 24 .00 TO 26 .00 10* 26 .00 TO 28 .00 11 28 .00 TO 30.00 114 30.00 TO 32 .00 12 32 .00 AND UP 12* On all other minerals recovered in the process of mining and milling uranium, the royalty shall be 5% of fair market value . INITIALL D FOR PURPOSE OF IDENTIFICATION Exhibit "3" CONSENT OF SURFACE OWNER For good and adequate consideration, the receipt and sufficiency of which is hereby acknowledged, the undersigned (whether one or more) owner of the surface of the land described in the foregoing lease hereby consents . to the granting of said lease by the lessor named therein upon and subject to the terms and conditions therein set forth. The giving of this consent shall not thereby entitle the undersigned to receive any payments under the foregoing lease. IN WITNESS WHEREOF, the undersigned has executed this consent as • of the day and year of the foregoing lease. iA to h. hall STATE OF ) Lolarudu ) ss. COUNTY OFAaId ) The foregoing Consent of Surface Owner was acknowledged before me this day of , 1970, by --C 7 April t ttc H, tall 14y commission expires . jam. (.O/ (.C a'�Ci f '�. =(c %'�. f i, / `' (2-1/ Notary Public Hello