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HomeMy WebLinkAbout961184Form 31 1 0- 2 (lanuary 1978) Nome Streei Stair 7.1p Code UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF LAND MANAGEMENT OFFER TO LEASE AND LEASE FOR OIL AND GAS (Sec. 17 Noncompetitive Public Domain Lease) Act of February 25, 1920 (41 Stat. 437), as amended (30 U.S.C. 181 -263) BERGO Associates c/o David D. Berdon 132 Temple Street New Haven, Connecticut 06510 This oil and gas lease is issued for a period of ten (10) years to the above -named lessee pursuant and subject w the provisions of the Mineral Leasing Act and subject to all rules and regulations of the Secretary of the Interior now or hereafter in force, when not inconsistent with any express and specific provisions herein, which are made a part hereof. Lands included in the lease: (Offeror/Lessee Signature) (Title) 1 as, /71- (Da Siggiec1) State: Wyoming T. 24 N., R. 112 W., 6th Prin Mer Sec 1: Lots 1, 2, 3, 4, S1/2NE4, SE;NW;, Er SWr SE; 2: Lots 1, 2, 3, 4 4: SE4SE; Containing a total of 659.92 acres Annual Rental (Atty -in -fact or Agent's Signature) W -85245 Count Lincoln RUG 011983 31.1REAU OF LAND MANAGEMENT CAS.PER, WYOMING FOR BLM IJSE ONLY: l Serial Number) .f/ Lands in offer were not within a known g?oiogical struc' l e on AU G 4 1983 b istrict Supervisor for. the Director 660.00 This lease is issued to the successful drawee pursuant to the Simultaneous Oil and Gas Lease application filed under 43 CFR 3112, and is subject to the provisions of that application and those specified on the reverse side hereof. THE UNITED STATES OF AMERICA (Signature of Signin Chief, oil Gas Section (Title) AUG 15 1983 (Date) SerIrI (e) (11) neulnMn5 01; _n;, $3 per mxe or fraction Tnnr ol. Effective date of lease: SEP 01 1983 ORIGINAL 000411 w it D_ w M CO w Y c Q Y Z:"; J CERTIFIED to be a true and, comparative copy of the official records on file 29 011 BUR U OF L IUD MA EMEN' I�. d I ...,.....+r.,..,• u .hc �r•�!s s!1 IF d tl ruci and :ill buiie,,, .raterwaYS. 'nl ec;,arC ��:Ir" Jipelines, fasorvolrs, tanks, ;��btaliv�^s n m sinrctnres nec¢ssarY In tn< cull onjoy� -oV �iod ni +0 years. and so Icng iherrtarter as nnybrg nunntities: subirc' n ccy unit r vfara J or hererrrer appmveJ Jy the Sxratary 1 1P1 n" Dravi•�ions S%rnmenl [n Aovern iIIB IandS i wnero �i ncons ;inn: wish rho terms pi Ihif lemse. "An lessen ngrues: I -11; to '':IO :ny band ryUirrd SY :ni•, Iwse and I, I r ant rn,;uir,!iuns ar,d cntil ;uch Dond is filed nvt to enter and r ibis !c i<) To rnaintmin any 6pnd furnished n ine Meese n c !!.e issuance of this lease. (3) rn is; n bUnd�In 9 r m double tie amount of S2 Par scro an� :nl rune :al Dui not ie_s r SI.000 ncr more ;ban 510,000. n the mcl+ +sloe of any'� on N, of the leased lend ithin the i o wn a<a!og:< slr•,cmre ur a ar anting pa n: Ras iirie. (4) .¢gin ing a! vpxrations and 1 :urtm, n esi«r n rra'.lied SY :he lessor a bond v in I I sum� n 'IG,000 +nth spornveA :orpornra surcry. tll d ^UCSi^ Jvited Sraras DondS az sur it !nar¢!nr, conditicnnd mn armpl inece with Ihu terms of this leixe, anless a bond I a't amvu:+; already :,ainH mnintainod o mlass sucA band' by operator 1 ihn Ieeso i acce➢�ad. (5) Until :s riloa to t rm•.h nnd mmn•,a+n a bond not :esn °hnn S :,000 In ihasn chaos in bleb i• ^.A h•r In r',he :rvkoctivn of :he ow rs al sur� th nds das<rrbuu h I u S P S d ha r 4vletrons m y p t r.;+ r pr..n. —Nlth n 30 dars ai demrnd, 'ho nnr mittoJ to Un aDaraved nit or c000� :r'!•r •I;,n U' Dlxn noted prior to :ho axpiralion ;hr� I��a :v, +v �'U days aldamnnJ nrrdv thcrea;ter, !o suD� vDnrate une ^r •uch re,gonxble <ooperativn it v n Mr 'hc �'vvalepmant and pernlion at the a a, fiNdr sv eol, u+: brncinq ihn Ianda includod herein s ,:r¢tn+y :ho '•terior a r then determine to Dm Drac(ira6le cn-�san ar advi•xblx, •:rhich Dien snnli dequately protect rinnls a Dnrties in interest, i rl uding ins United States. �!cl ri!•. —r.l'• Ta ;!,ill anJ L`rnt(nce ell wmis n essary to •m r 0 1 ^aseC land :r m drainage by v.vlls en lands n t the y x +n59nr. i9nd of ;h¢ :nit,¢ sterna Ian ;oe mt a r rovtltp r9ta. ;c w` 'fin mrai ties .tad rentals are in:u •li7r•�re r: than thosr. v� this !e sa n lieu w arly :ml tiirlin$ red p. ductinn, with �10 c ar i nt pl n �t �';Fa ;coinP.I.si Sulvey, rc compensate thi lessor inch munrit Im Ira tali nteE loss of rcyalM Through r+nem in lire nmoum dotarmined by said Direclo.. i2) et the S 'Av !visa c, to Arils onJ produce other wells i <on� ,.t +nn v mrY sl'.ivm c1 :roll spacing mr production alloimenh i c R fielJ or araV in \ri,ich :ha !oaaed lands nm sifuatod, i'ch m thori :ed and son timed Dy apDlicnble levy or Dy the acrat'r:,r of ^.ha Intariar, anJ t3) cromDttY of'er duo notice In o rlril! and croduce i •n. other \VDUs Js tnC Secretary of irrior �n :y roasonsbiY u �eeuiro :n order that lira !e sad s may bo pransrly anJ r•InUly developed and Droducod rn cor IA ,poci opemUn. ernctice. (d) >r rrrfE a rnYaJrrrJ. -(i: 7o oral nntala and roynllies' mvuniv Or YnluO nl prod :t +on moYSd nr .u!:1 tram tAe lensed :ands ns Scllows: R, r lessor .c +vnco an .,nnual rental ai `ollowinu ro n ec y r, ,f rich ads are wholly n t :ido h:a Nnown geologic struc� nl DroAucir:R oil alit sett n :nl of .51.00 per here i !bl 't 1hn J.rr,tlx n' nartly I+ 1,hv known goo- c ot•uctnm vi a p�occ� ng oil or r Ans �tiald: t r 0 de i 9vginn nn �r +4h tea 'rsi Imase yoar of e 3 Y noVicr r ;hat o- pert ^i tF,e .,.nd is laded in ^ncA n �;;ructure anb xaci•. v ar 1 lhareaftar, i of oil ur m s on the o lands i iraVed' i2 an'r 'mefion n e' I m'x t livn o r unit glcn n v�h�i�indudrs rrr maducin„ c I or gas and -cr.!air.x a general Mmision far nl!xafinn of pruduction, the rnntel prasribod !m ;Aa rnnative lenw yen^ in sub pnragmnh (a) of IAis scclien, shall anely to the r:•agA hat :kl!h In a parUtigaling ,9rxn. ritin+m r. n: +.rir r.-- Cammxn<ing >rith the loose year Segin� 'ing on or oiler v discnvory un iho loesod Tend, sa pay lea lessor haru u i of ter, colt a n nimum royS11Y ni Sl per acre or fraction i at the pirntimr of v it Ixase year, or the d :ttarence roMen, actual ray^icy paid during the your if i. than +1 ,::A ;her r• n.c :.I :nA mininum royalty of ji >er fare. �noviduJ 't this tense is uniti:ud. rho minimum r�ynilr shall .n pU�xhlo Unly ml mo uaMicipatinq ncraaea and rental sn II be rwnbin ten nonnmhcioeung xcroago as overload in :ubaarn r h (bl(III as Ra >.Jn nn n.�duurcn. —ri) To Uey the inor 72y: rercam nyelt!• nn tho prnduclion r� orrC or sold 'root the leased (ands :omeutad in cordanco 'riirh tAe Oil anA Gas Operating iegnla� lone (i0 CFR ''21). (2) !i is xprassly graN that iha Sacrntnry of the I ,tailor nay ealnDGsh reasombla m m value for narpOSM of c m� facing royal'?' o any nr all l oil� Ras, natant gaeglina, and airier xoAu<h nbinined f.nm c a, dun cvnsidvralion being given to the tighest Pricu paid for a 1 nr fora majority of production nr to harry in ma exrn9 rata, :m eon ad<a raemrraa br tea lafsne. �'slsA prcrn. :r d to aiher refmmnt :orlon sha whenever e ,Vior noilrtl and nnportunil'7 tv bo hoard. (3) lviwn paid in r iue, each oyxltier. n vroduc:ion shall bo Juo �n p: yvnln munch ly nn 4ha v ies: day of 4he calendar month :;rct ^!Irr.•n,= 'fin calendar month hr xnicA 9raducod. When ,niC ,hunt of Droduc :tan, such royaliv nroducis silnll M Ja� li�rorod In mnrcnantaDlo condition on rho pramisas whore groducod •.Vlrnuut cos :o !as5or, unly5 ofierwiso agrmad io W too pnrtins hnnto, touch :i end 'n ucn tanks pravidcA by the lessen as rnnsonnbly nay bn r.auireA �v tea lessor, but in n case hnl! rho bssra a rrpuirod 'v I:old such royelD' od ur other 7raduch sYarape beyond tiro ie,t day tea ceJendar month nest fol- .ning the andsr month it which uroducad our 'e r¢sgonsible ,aid 'lento for tiro loo n destruction of ruyalty oil or otDnr products in stornae arum causes over which Ae has no control. (R) Rnn!al: ar minima r ya!ti'n may Se .load, susDOnded ¢r rduced and royallins i nn t!rn entiro ieawhold nr any eortion tnar�nt snR uRnted fur rvynity purrsns may be reduced it the xrrtnr,• ut t o Interior finds toot, for the purDOSe of aneour� ngine, itme areutaat nllimBLU r ca ary of oil o ?as and in tAe intnrcst of canservxtion o nsturvl r ureox, it �is necessary, in :•dfrnonl fn do zu in aldel pinmota dvvalODmUnI, or bB� o 'hv lonxa <xnnot he skccesslully acarated under the forms f xe:J (n) .r rrr'.-- Unless therwise direetaJ by the Sxrelery of lire Inlarior, fa make rental, royalty. or otF.er ?aymonts to the loiwr, :o the order vl the Rurnxu of Land Managemoni et the vlacns �+entionod in tnc ry :uletion e3 CFR J!Oi.2. II ;here wnli nn :ne tossed Innds cape Dle of Droducinp, oil yr gas n o,ying quantiliUS, '.he !ail Urn 'n D mnlai an or bofora the ry data shell nutometicaily (erminah the lasso DY pars' �IOn r DI Ia1V, linwllvaq ii rho time (or vayment to Ns on n day ;n rich !fin ;'rnadr olrice to rewire garment is <IC ;td, R +Ymant shall bn +i m;,A •'':+ciY i� nude on the ne>t eNicial worhing deY. (p P' n. Icy ,.i n/ rodvnr. ?b File with the Oi: JnA Cns��Su�r.•i5or of �tbe Gvolr,•aicsl Survey not toter than JO doe: 'nn UNoctivr daPo tACree+ any C nhxeL er evidence o f o:l r ungemrn for ;fin :In o s sal crl, Ras, otural gasolinn, •:nd oti+rr �producls d tSc r '•v�sed InnJ; f ri 'rd, Thal nothir. r; my :u<n <ontrnct ar other ar ong m¢nt shall be on ��mndi;'vin= any vi the Drvvisivas�pf this !ease, inaludinH n¢9 �ot M, provisions ref ^ring sU yes woste, taking royally ;ind, -ri the mathaa of c using rovfilin Auc s based en valuation anc .n accm:Ian<e vrtn !h¢ Uil and Gaa Oyarai•nE R'NUlatiens. (R) Sraremrnrr, pipit .,nd �rrorr �,.t such times end in .raA fa e InaDr m:;• crib,: to rnmi9n aahilae :ate ^nowins n tho a ants n yu ^litr n4 ell aroducts r Dope m mold iho I,msa, cnnas tnerafrnm, and +he amount sad +br omducrion ,urpas, •mat•vidaDly lost: n vier showing dovvin;nnonr :,nrA nrC n the loosed lands: and art wilt n.,nx, v ��t r'�nn P�.'yn ve:;tm¢nis, daPrecialicn ^e vs v Jr+:ling •acnrd, n IoR. and �ers -nd tests in form n epb .o ill wale erin,e on tr Ihera�of,s 1 off,ye ne s and d :o tut msh the tion p ab�a n.d '�I "sa "'or _at. nY other Ume pr'or tnoreto when �requrmd and fo and r !his varag av ,:pon ,I o equasl of r lessee a sha:l not be .mad necassan Sy tAe lasaor to ..0 env pits, ditches open to ins0¢<:ion Dy ;he public until Me e%p+rshon of tAa oveUOns, remove or cover nil dobns, and so tar ns ,.dssiDl restore thm surface of fha leasod Innd and �ra(i) fn,prrriar.. —TO Yep open 1 II rea n ble times for «eu to tAeir former condition, including the rrmovnl o/ tfia insvection et anY duly outhgrized atlicer at the Depar!ment, strectures es d if required. The lessor may Drescribe the steps the leased premises and all wells, imDrorements, mach ine7, and to be taken and restorntipn to be made with rospect to the leased 'ixwres thereon and an Boons, ace ants, maps ana re< vas rota )ands and improvements thereon whethor nr not owned 'oY the ;c operations anC surveys or on the leased U tM me at`^ e miqurrie and objrr« hirruri+ rarsr. lands or under the lease. All information obtained Dursuant to Wha A tiquiliss n or other objects of historic or suenli. any such ''n oection pon the r uest of the lessee, hall not be ire interest including Dut not limited to histonc ar prehistoric ?Dery to inspection br thn vublic until thz e%piretion of the r•ins, rossils or artifaeh ere diseavered in the performances of tAis Inse the items) or condition (s) will Dn Inf! intact and eas l��DrliRrnr Drrrrn•mn rj a hraLh and alery of Immediately brought to the atten! ion of the contrecUng officer or ar4mr —To rciza «asonable r diligance i drilling and his authorized representative. aroducing the wells nereir: ormviEed for ^less consent t0 suspend (r) Ovrr �d nR royallie,. —Not t0 Creole Overriding oyellies operations temporarily rs granted Dy the lessor, to tarry on ail in a %cess of five percent a %cept as otherwise euthorixed by rho nparations in accordance with approved methods end practice regulations. s prormad in Ino ml ana caa ov<mung Reanlation:. narina (5) Drherr prim Lr, rn r rr )ar/rirar. —io Aaliver p �iue regard for thz DrevenUon of waste of oil or yes or damage to the lessor in good order and condition thm land leased nsluJ� '.0 deDoslts ar formations containing oil, Nas, or Water Io 'nH ell improvements which a ne essary for 'M preservation of eel m asu as rusher m+neral de br conservation of gas producing w Its. re e -neraY elor preservation and se ¢lion ul the Drooerty tar Sec. 3. The lessor rezefras: ulura Droductive operatian5, and for the Aeilth n d atety Oi (a) Earrmrn,r and rrRbrf�o(�rr•nr. —The rigAl to pnrmit ter vo km n and emD1oY <s: to Olug properly and eMoctively ell )Dint or several use easements or ngAls�af�wey, including Bas hells drilled i corder.`¢ with the provisions of this lea5a or 'Tents in tunnels pon, through, or +n the lends leased, occuDiad, n y grior I mr permit v n which Ina right to this .ease or usam a m y be necessary or appro Driah to ine Working or s based Detore the samo; to carry out at expense the sa a or of o,Aer lands containing the deposits described rn o f the lessee all reason Dle orders of the lessor rotative to the the ac[, and the treatment and shipment'ol products Iheraai Dy •nnllrn n this p +ra5ra :h, and that e of the levee so a der autAority of the Covernmant, its IasseN. or pormittcai, ,o do tAr rasa shill f ve the •:gflt °.o enter on the prop and for ¢;her pubnc Dwposes. airy and to accon•e "sn fhr put pose of such orders st the lessee's (h) DuDonrron of rur)arr. TAB right'to lease, se!I, o: olher� cast: Prnr;drd, Tnal the lessee shall not he held r sponsibla se depose of the su mace of the leased lands u Cer n:rshnE or delays o. cnsw tries ac.asraned by causes beyontl lessee's law awe hereafter enacted, insofar as said surtnce is net rontrol. (k) Taxu and ::�ag_r, j•rrdom Dnrrh.ur. —To pay when due all tnxox iawlully assessed and lerind under tAe laws t the Shta or the United Slxie_ upon improvements, ail, end gas produced from ;fin lands hereunder, or other rights, property. promulgde end anlorce all orders necesaap� to in re the sale eta of he !e ee; Iv accord all workmen end mployees pl the production of lha leased lands to the United States a d to �ompleta treedam of purchase, end to pay all ages due work the public et reasonable prices, la protect the mlemsts vl the man .and ampicyees at least Y�ice each month m .ha Inw(ul Un+led Slates, to prevent monopoly, and tp sereguerd Iha public r mf tea unitee sutna. weuare. (I) E'quaf Op p n air} r /aura.— During the perlormenw of (d) Hr /ivm.— Pursuant to Section 1 0! the ct o amandvA. t!lis contrecl the lessee agues as follows: the ownenniD of helium and the right to extract or have it e I:nvnf tlnDnr,vnr r. rrnosr. CLL•,ng thr pr.rormonrr traded from all gas produced ^der this lease, bject to svcn of this lease, the leesee a, +ees as follow+: rules and regulations es Shall be prescri6od by the Socrelery of (1) Tho lessee ,viii not discriminate ageinsr a v (he Interior. If lAa lessor elects to Gke the hoUUm, thb losses molnYre n upplicnm for empleymom nice sae of nea rotor, hall deliver all or enY portion or gas containing the same to the rnliq:on, v nil origin. The lessee will to kr af- I lessor, in the manner required by the lessor, at anY ➢oini on the tirmatsve aci;on �o sure that opplicems .re employed, leased Dremn s, or, if the area ¢rved et the lime of production xna that rmplorres a t cacao Auring employmrnt, witnuur by a ges�galharing system owned operated by the lessaa, at regard :o the it :n c reiil(ian, sex, or ionel origin, a y paint in ihal System 9p! ified by the ICSSOr, rmr Bxtra<lion ml action abet! include, but not be limited �o v ibe following: the helium Dy such means ps the lessor may provide. Thor nsidue emplayme nt, uvdrod inR, demotion, r transfer; r ruitment 'sAall be returned to lha lessee, witA no suhsiantial Jelay the uitme nr advert ix inq; layoff or trrminetion� rates of delivery of the gas ➢rodueed from the wolf la the owner or pur� px v other rormn or compensation; ana setc<t ion for uain- cMser lhereol. Sava for the value of the helium ezlncted, thr L eluding npprenl iceship, 'the Lessee agrees to post Insee shell not salter a diminution al the raluo pl Iha Sas pro nsp;<uoux placrx, a :able to emotoyers ana epplicams duced from the w II, or lass otherwise, including any expnn e for emolevmem, no c o er vrovideJ bs' the contrvcting caused solely by the requiroment of tAa delivery of the gas to officer se, ring forth l !hr s provis ions of rhie Envoi Oppon unity permit the eziraetion of helium, (or WAich he iz sal roasonaDly .a use.(2) The lersev will, i all evil`ilorions or advertise- co Onsa red. Th IaS ones Whe ighl t0 erect, m inlain, a d psrate any d II adgctlon Orks nNatsary for exfm<lian empin yea. ptxced ey o n Ixhn if of the lessee, of Helium on the leased premier.. The lessee furthor aRrem io txle gnat ntl pool ivied appliconts rr a ohs iaeretion ncluds in any con:rnct of solo of gas from the tondo subject to empl nYmenl withenr rrRard to race, e re tiRion, sex, this lasaa provisions setting farih ihet the IeS.tef OWns, a d fe� r rwt:ono! oriein. a es lhs right to sxirncl or have e%tmcted, any helium in iho gas (3) The lessee uiil servo ;o rach labor union or repro- gold, and Thai the lessor may take ihs gas from a pipeline carrier or workrs w,+h which he has a <olfective novae in- anY ether gas gathering sntem and eztrart the helium and ing n other convac enders to nd ing, a notice. ��turn the Ras 10 the owner thereof, Without delay other than that to be pray idea :y the aF.encv t c ontract ing officer, advis inr; a used by the ezlraetion proeas 'save /or the sue pf the holium. nc� tabor u o er workers' r presensa t{ve of the lessees tea aw. hall not after any diminution ai rho luo of the ga.. mmsmrents under uus equal Opponun icy `cause, end sh•u from which helium has been extracted, or any other lass ri inq post copies of he notice rn conspicuous places evaiLble from iha aalreetion of helium, inolddin mproyces onrl .pplica nts for employment, g any expanse esused solely n (d) The lessee •.viii comply with all provisions of 6Y the rpuirement of tAa delivery of the gas .o permit the x -u' a Order �'o. 112¢6 or September 24, 1965, es' mend- [raetion i helium, for wAich he a not raasonaDly cornpansated. ed�and of :hr roles, reRUletions, ana re to vent or,iers a of 'eM II 's further agreed that any rights reserved voted in the lessor secretary of Leuor. under this DsragroDh shall Iso run to y agent or assignee al ri) The lessee will rvrnixh ell infv.metion end revorts the lessor or any pureMssr of the righh of lesaar. :c erf. by Extra; ive Omer No. ^245 of Sep ember N, (e) Ta4;nR 1 rayalnu.—nn rights Dursuunt to section 36 -55, ns amended, and by the rules, regulations, and aide r. of the Bet t0 take royalties in amount pr In valu0 of prgduttion. or the Socretnry or L;,bor, or pus vx nt !neretn end wiu per. (l) Curir.4. —All rights pursuant to section 40 pl the act to s u his Books, :<corea, .nd n,. ants by cur c vurcnase using, and lease or operate wluable orator weUa. octinR xaency and rho src.etary or Libor for purposes or 'g• Drilling and producing rnrrirr;onl. —It is agraeA .tire :ion 10 xs rt,m r mpun nc. with xvch rules, rrgv- That the rate of DrmPecting and develoDin[ and the quantity and -at.o amt order. �r rate of production Irom the lands covered by This lease ahnll by n ~r (o) to rho e, cn :ne trsse<'s omptivn« w�;U, subject to control 'n the public i rarest by tea Srrc Lary of rho :n< Enuxl Uppormnity or In is ra with a Interior, and in tAe exercise of his judgment the Secretary of the said rule., reqularions, yr order n �his on[rect m be �nncc lied, term innted or sucpanded S i whole or ,n pan and me co b< ae<larra ineug ime rot rmrrn¢r Govermnent convx ts err nrdonce with procedures autno,- �ed in Es<cutivr Ordrr rvo. !1:46 or seosember 24. t965. authorized in the unit plan, may altar or modify from Nma to '.i a, the to 1 Drmpating nd devmioDment anC the quantity and acs of production from the lands corerod by tAia leaao. Sec. 5. Swr endrr end rerminarion of lre,r. —The lossev may surrender this lease or any legal subdivision thereof by filing lAs proper lend o(sice a w iHOn relinquishment, in triplicate. nhich shall he affective ss of fha data of filing snbjxl to ?he con limed obligation of the lessee and his surety to mako payment of all accrued re cols and royalties and to place ell wells on the IanA to he relinquisAed in condkion for suapansian or abandonment in c rdenca with rho apDlicahle lease terms and regulatioro. a Sec. 6. Purrhare of mareriab, rrr., on rn,;narion nj Iran. —Upon the a %DiraUon or this lease, or the earlier termina- tion thereof Wnuant to the Ins: preceding soeiion, the imsae shall have tAe privilege at onY time Within a period o} 40 Bay± IAaleailer of removing Irom the premises all machinery, egUip� meet. tools, an4 materials other than impmremants headed fc producing walla. An7 materials, tools, apDliancros, machinnry� structures, a d aquipmnnt subject to emovel as ¢Dom provided, filch era Ilowsd to remain on ine r teesod rands obeli bocomo the DropertY of the Insar an ezDintion t the ?O�daY period cr such extension thereof as may bo granted be<auso of dvana climatic c editions throughout said Doriod: Providrd, That tAm lessee shell removo any or all of such property whero ao directed by tAe lessor. Sec. 7. Prorerdingr in rare of dr /roar. —It the lossve shill not eo vly with any of the provisions of rho act or the ragu!e� Lions the•eunder or o5 the lease, or shall make Aelault in the perlormanca or observance of may of the corms hereof (accmpt that of payment of ann I rental which r ails i rho automatic termination of the lease), and such dofault shall continue for a assor this /ease ma /t be cenceled tnao5acrelae thereat by :he y ry of the In:erier in accordance with sxtion 31 of the set azceot that it this lapse ithen or company not the owne of any pipeline, operating a covers lands known to conUin valuable deposits ai oil or goa Inaso or purchasing or salting oil, r qu, atural gasoUne, or other the laaae m y ba canceled my by judicial DroceedinRS in tea products under the provisions of the aci� or der the provisions man r provided in section 31 0! the act; but tAis vrovisian shall vt the pct of August 7, 7941 (61 Stel. 913, 30 U.S.C. sec. 351). not bs construed to prevmnl the ex mice by the tosser of any legal or equitable remedy which the lessor might otherwise noon. Upon cencalletion I this lease, any c sing, m toilet, or aquioment determined 6Y the lessor to Da necessary far use in plugging or preserving any well drilled on the IeaseA land zhnll become the proporty of the lessor. A waiver of any particular a se of cancellation and fortaitera shall not Drevenl the csn� collation and lorleiture of this loose for any other cause o! cell Lion and forlei cure, or far rho same cause scarring a. any other time. Sac. g. Hrrn nd ru rrorr�in�i rrrr,r. —It 's !urlher agreed lAat egcA obligation hell exlentl to and Ue binding vspon, and a cry benefi! horeol shell in r to, the heirs. executo/,�,;g. dministretors, successon, or oasigns Iha rosperti9•e parties hereto. 5eg. 9. unlam /uf inrrrnr. —It is flap further agreed Ifial no Member ol, or Delegate to, Congrav, or Resident Commis (n) Piprlinrr o purcl an o try or nabfr rain and u•irhour dirrrrmmarion. —II owner, ar apentor, or ownen of a controlling i terest in y pipeline pr of ony company opern.� ing the same rrhich mvy a pe opnraied accrrible to the oil nr l e a pvmhaser of such purchase at �etes without discriminnlion fire ail or gas of IAe Government or of any necessary for the use of the lessee in the eztracfion and removal f the oil and gas therein, or to disDOSe of any resouree in sucA finds which will hat unreasonably interfere with opentions under this lease. (c) MonaDol} and /orb Drlrrr, —Full Dower end authority to may bke into consideration, among otAer things, sedoral laws. State laws, and regulelions i55uod thereunder, or lawful agrae� manta among npurstors rogulaUnq either drilling or production, or be!A. After u tization, rho Secretary mf the .nterior, yr may person, committee, or Stato or Federal Dfhcar ar agency s (o) nd p nrrn«d mirk o'! and Rar 'Dori« renrvrd o rhr Lrnirrd S, n; rr. —To comply with all statutory requirements and regW.mtiovs thereunder, it !hm .ends embraevd herein have Doan or shell hereafter be disposed of under the laws reserving a me united stata5 the aepoaita et an and ens tnarein, butt to such conditions ns are or may hereerter be provided by the laws reserving uch ail or gas. (p) R or rrgrrgarrd lanai. -11 enY of the land laded n this lease is embraced in a reservation or sagregslod for any particular Wrpose, to co duct operations thereunder in conformity with such requirements as may be made by the Direelar, Bureau t Land Menagement, for lAe Drpteetion and uee of rho land for the vurpme for which it was reserved or earagated, sv far ea may De cansrstent with tAe use of the lend for the purpwe aY this tense wAich tartar shall be regarded s the dommsnt ass unlea otherwhe provided hmraln or separately stipulalod. her slier his lactlon r apDOinimnnt, or either Dviore (q) Pr rerrion aJ rurJarr, n rvra( r,oarrr, and im �ror r� after hs has qualified end during his eontinuanea in oiree, end rnrr. The lessee grees to rope such reaslmabla steps mq inet err oMic<r, egont. employee r the Depa. tmenl I rho be needod tD Irrevenl opentlons on the leaned lands from un� Interior, except as provided in 43 CFR 7.4(a)(!), shall Do ed� naessarily: (lj causing or contributing to at it erosion or dam miffed to any shore or ➢art in this lease w derive ony Mnerit aginC crop, in lading forage, anA tim:fer growth thereon ar on mat may e e tneretrom; aN [he provisions. of S 3741 or fedaml or o �FMeml (ands in the ricinits'; (Z) oollutinq air the Revised Statutes al lAe United Status, n v (41 and •retor (31 dsmxginq imgrovementa crrnsd by the United States U.S C. Sac. 72) and Seu. 43i, 432. and F'2. TiY:o i.g U.S. other parties; or (4) Jn!' :Dying, t._.rxgirg or r.moring }paella. Co'' 'elating to contacts, entor into and farm a Pnrt at :Die .tons ¢era arm mrn5. or arrn<h sad xaov any a. ^.rtial or i I .tar as the soma may be :pplir�D!e. GAO 94 -5;5 SL;:� NC4. D15Ti;:.Dy::" S:'i?'::L= �TIO:•:S RcGIORi�L D(REGT ®R BUREAU OF RECLAtill�tTlOt�t P. O. 60X 1568 S�l_T L�hE CITY, E!�' P�4��Q 1. .:Ot`.:1ti15L nC1nC lily prOV15_On Of t;11S lase to the ccntrary, any drilling, construc- �ion, or oti operation. on ti leased lands �i •;ill disturb the sun =ace thereof or ctherH�ise af�ect the enviro;u hereina� ter CcZ� led Sllr� aCe dl5 turbirg ODeratloil, C0:7- ��.:cted by lessee shall be subject, as set north ir. tnis stipulation, to prior approv�i of such operation by the District b.anager in cer.sultation tiith appropriate surTace manage nent agency and to such reasonable conditions, not inconsistent kith the purposes for which �i�is 1e3S2 is issued, as the District �:anager may require to protect the surface of the leased 1ares and the environment. 2. Prior to entry upon the land or the dis- turbance of the surface t7ereof for drilling or other purposes, lessee shall submit for �proval tcao (2) cc�ies o� a map and eyplana- tion of the nature of the anticipated activity and surface d�.s�urbance to the District arag- r?r, dS ar%p�`''�r' ate, and W111 a1 S0 �urri�S�: �:7e ao�rO,.�rlate Slirl .Ce r,anace Eat agency names above, with a co_y of such maw and explanation. to be a true na d camp�`ra ive copy of the official rE�pr�.ts on file au� 2 1 BUREAU OFLAN 0004.3 ..���ric� �:a :�cer .::crass, �.i_tr:C� .'i�i`:�1��L 3u: e:�u o: Lane `;aaace�:e::t P U .,o_: 1 �:�h9 .`s. envircr ^ental analysis v:ill be -.ade ny uhe >✓ureal: Of LaP.d ;c::aCe' lent 1n COn5�1 �atlori 41it.' the a� rGp_.�ate SiirfaC2 I �ariaGe;'IEn'C ager.C'y' LOr the pur2.ose o� assuring _roper �ctection of the S1r�ace, the natural reso��rces, the er.vi- rOru'�:2nt, c::i5t =i.0 1:^,prOV2^?e t5, a.1C1 fOr aSSllZ i �g �,;,mcly rcClai.iation Of u�StL'rDeG�. laria5. 3. Upon co�::pleticn o� said environmen *_al analysis, the Disrrict ?�:anacer as appropriate shall notify lessee o� the conditions, if any to which t2 proposed surface nisturbin�:� Operatl.0:'iS will be subject. Said conditions may relate to any of the foilowi.ng (a} Location. of drilling or other eap loratory or develop: rental o�eratior.s or the manner in ti-hic:: t .ey are to be conc.ucte3; (D) T� ✓eS Oi t'2.��1e5 t:7at I:iav �Je used an,. �_eas i n Y: :�:_c t ey r;ay be used and (c) ne= or lo���ion ir. w: ^.ich lair: r0�.'elei:tS SL:CIl a5 rOauS builCings, pipelines, or other _«prove:nents are to be constructed. ��n' �10a -y (Jan 1983) Due to the enactment of Public Law 97 -78, signed by the President �t STIPULATION FOR NON- CONVENTIONAL OIL RECOVERY l i NOTICE U004:�4 November 16, 1981, this lease contains an additional term specifying the rights and obligations of an oil and gas lease issued subsequent to that Act. This term merely specifies what the impact of passage of that Act has done to a Federal oil and gas lease issued on or after November 16, 1981. In order to reduce the expense and delay involved in the execution of this additional term in the standard lease, we have included the clause and are hereby notifying you of its inclusion in the lease. This term simply states the provisions of law now that oil and gas and tar sands rights are subject to the same lease and preserves to the Department the right to approve or disapprove a plan of opers�tions. "Under the provisions of Public Law 97 -78, this lease includes all deposits of non gaseous hydrocarbon substances other than coal, oil shale, or gilsonite (including all vein -type solid hydrocarbons). Development by methods not conventionally used for oil and gas extrac- tion such as fire flooding and including surface mining will require the lessee to submit a plan of operations and will be subject to regulations governing development by such methods when those rules are issued by the Bureau of Land Management (BLM), an�cl the rules or procedures of the surface managing agency, if other than BLM. Development may proceed only if the plan of operations is approved." i 1.. �f °a ��tir ���f� Signature �.��`�t be trt�� �a��t�as.��ativ� �opY ®f tN� �fflci�l r�r�r�t� �n file CULTURAL RESOURCES STIPULATIOIi( The Federal surface management agency is responsib7_e for assuring ,.that the leased lands are examined to determine if cultural resources ^are,:: present and to specify mitigation measures. Prior to undertaking any suface- disturbing activities on the lands covered by this lease, the lessee or operator, unless notified to the contrary by the authorized officer of the surface management agency or BLM as appropriate, shall: Engage the services of a qualified cultural resource specialist acceptable to the Federal surface management <3gency to conduct an intensive inventory .for evidence of cultural resource values; 3. Submit a report acceptable to the authorized officer of the surface management agency; and 4. Implement mitigation measures required by the surface management agency to preserve or avoid destruction of_ cultural resource values. Mitigation may include relocation of proposed facilities, testing and salvage or other protective measures. Where impacts cannot be mitigated to the satisfaction of the surface managing agency, surface occupancy on that area must be prohibited. The lessee or operator shall immediately bring to the attention of the Bureau of Land Management or the authorized officer of the Federal surface management agency any cultural resources o °.r any other object of scientific interest discovered as a result of surface operations under this lease, and not disturb such discoveries until directed to proceed by the Bureau of Land Management. o00�:�5 1. Contact the appropriate BLM office on lands managed by BLM or the appropriate surface managing agency on lands where the surface is administered by such agency to determine if a site specific cultural resource inventory is required. If a survey is required, then; �,Sd'gnature ;L/p� �2.z -c� ��i�T�li`iED to be a;Crue and 'comparative copy Af the c�fficia( records on file 2Q11 BUR AU OF L MAN No occupancy or other surface disturbance will be allowed on slopes in excess of 20%, without written permission from the District Manager, Bureau of Land Management. To maintain esthetic values, all semipermanent and permanent facilities may require painting or camouflage to blend with the natural surround- ings. The paint selection or method of camouflage will be subject to approval by the District Manager, Bureau of Land Management. r.�Signature f BUR AU UUU4Y6 G��iTIFI�D to be a true an� cpmparatfva copy of the flff(cial records on file 011 0�'L�� ��D��MA�N e;�° y c,..- Form 3109 -1 (December 1972) (formerly 3103 1) The lessee agrees to maintain, if required by the lessor during the period of this lease, including any extension thereof, an additional bond with qualified sureties in such sum as the lessor, if it considers that the bond required under Section 2(a) is insufficient, may at any time require: (a) to pay for damages sustained by any reclamation homestead entryman to his crops or improvements caused by drilling or other operations of the lessee, such damages to include the reimbursement of the entryman by the lessee, when he uses or occupies the Land of any homestead entryman, for all construction and operation and maintenance charges be- coming due during such use or occupation upon any portion of the land so used and occupied; (b) to pay any damage caused to any reclamation project or water supply thereef by the lessee's failure to comply £idly with the requirements of this lease; and (c) to recompense any nonmineral applicant, entryman, purchaser under the Act of May 16, 1930 (46 Stat. 367), or patentee for all damages to crops or to tangible improvements caused by drilling or other prospecting operations, where any of the lands covered by this lease are embraced in any non mineral application, entry, or patent undar rights initiated prior to the date of this lease, with a reservation of the oil deposits, to the United States pursuant to the Act of July 17, 1914 (38 Stat. 509). As to any lands covered by this lease within the area of any Government reclamation project, or in proximity thereto, the lessee shall take su�tt precautions as required by the Secretary to prevent any injury to the lands susceptible to irrigation under such project or to the water supply thereof; provided that drilling is prohibited on any constructed works or rig}it -of -way of the Bureau of Reclamation, and provided, lurlher, that there is reserved to the lessor, its successors and assigns, the superior and prior right at all times to con- struct, operate, and maintain dams, dikes, reservoirs, canals, wasteways, laterals, ditches,. telephone and telegraph lines, electric transmission lines, roadways, appurtenant irrigation structures, and reclamation works, in which construction, operation, and maintenance, the lessor•, its successors and assigns, shall have the right to use any or all of the lands herein described without making compensation therefor, and shall not be responsible for any damage from the presence of tivater thereon or on account of ordinary, extraordinary, unex- pected, or unprecedented floods. That nothing shall be done under this lease to increase the cost of, or interfere in any manner with, the construction, operation, and maintenance of such works. It is agreed by the lessee that, if the construc- tion of any or all of said dams, dikes, reservoirs, canals, wasteways, laterals, ditches, telephone or telegraph lines, electric transmission lines, roadways, appurtenant irrigation structures or reclamation works across, over, or upon said lands should be made more expensive by reason of the existence of the improvements and vt�orkings of the lessee thereon, said additional expense is to be estimated by the (Continued on rev��, CEI�TI�'IED tq be a true and comparative, copy of the official records on file A�I�G 2 ANA�E UNITED STATES DEPARTMENT OF THE INTER�IC33.I?�- BUREAU OF LAND f�4P.NAGEMEt ?"I' LEASE 571�'ULATIpNS BUREAU OF RECLAMATION Secretary of th'e' Idtei•zor, .w is to be 'final and binding upon the parties hereto, and that witY:in thirty (30) days after demand is made upon the lessee for payment of any such sums, the lessee will make paylnent thereof to the United States, or its successors, constructing such. dams, dikes, reservoirs, canals, wasteways, laterals, ditches, telephone and telegraph lines, electric transmission lines, roadways, appurtenant irrigation structures, or reclamation works, across, over, or upon said Lands; provided, however, that subject to advance written approval by the United States, the location and course of any improvements or works and appurtenances may be changed by the Lessee; provided, /urther, that the reservations, agreements, and conditions contained in the within lease shall be and remain applicable notwithstanding any change in the location or course of said improvements or works of lessee. The lessee further agrees that the United States, its officers, agents, and employees, and its successors and assigns shall not be held liable for any damage to the improvements or workings of the lessee resulting from the construction, operation, and maintenance of any oC the works hereinabove enumerated. Nothing in this paragraph shsil be construed as in any manner limiting other reservations in favor of the LJ'ni.ted States contained ir. this lease. THE I�ESSEE FL ?R'aHER AGREES That there is reserved to the lessor, its successors and assigns, the prior right to use any of the lands herein leased, to construct, operate, and maintain dams, dikes, reservoirs, canals, wasieways, laterals; ditches, telephone and telegraph lines, elecir:c transmission lines, roadways, or appurtenant irrigation structures, and also the right to remove construction materials therefrom, without any payment made by the lessor or its successors for such right, with the agreement on the part of the lessee that if the construction of any or all of such dams, dikes, reservoirs, canals, wasteways, laterals, ditches, telephone and telegraph lines, electric tt•ansmission lines, roadways, or appurtenant irrigation structures across, over, or upon said lands or the removal of construction materials therefrom, should be made more expensive by reason of the existence of improvements or workings of the lessee thereon, such additional expense is to be estimated by the Secretary of the Interior, whose estimate is to be final and binding upon ±he parties hereto, and that within thirty (30) days after demand is made upon the lessee for payment of any such sums, the lessee will make payment thereof to the United States or its successors constructing such darns, dikes, reservoirs, canals, wasteways, laterals, ditches, telephone and telegraph lines, electric transmission lines, roadways, or appurtenant irrigation structures across, over, or upon said lands cr removing construction materials therefrom. The lessee further agrees that the lessor, its officers, agents, and employees and its successors and assigns shall not be held liable for any damage to the im- provernents or workings of the lessee resulting from the construction, operation, and maintenance of any of the works herein above enumerated. Nothing contained in this paragraph. shall be construed as in any manner limiting other reservations in favor of the lessor contained in this lease. (Si of Lessee) OU04Y"7 To insure against the contamination of the waters of the Reservoir, Project, State of ,the lessee agrees that the following further conditions shall apply to all drilling and operations on lands covered by this lease, which lie within the flowage or drainage area of the Reservoir, as such area is defined by the Bureau of Reclamation: 1. The drilling sites for any and all wells shall be approved by the Superintendent, Bureau of Reclamation, drilling begins. Sites for the construction of pipe -line rights -of -way or other authorized facilities shall also be approved by the Superintendent before construction begins. 2. All drilling or operation methods or equipment shall, before their employment, be inspected and approved by the Superintendent of the Project, and by the Supervisor of the U. S. Geological Survey having jurisdiction over the area. 0004.8 Project, before GPO 854 -703