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HomeMy WebLinkAbout870114WITNESSETH: 640.00 Acres County ,,/llti{1 §r ja Sri OF WYOMING OIL AND GAS LEASE FORM This indenture of lease entered into by and between the State of Wyoming, acting by and throug] Board of Land Commissioners, as lessor, and Section 1. PURPOSE. The lessor, in consideration of the rents and royalties to be paic the covenants and agreements to be kept and performed by lessee, does hereby grant and lease tc lessee, the exclusive right to drill for, mine, extract, remove, and dispose of all the oil, gas associated hydrocarbon substances and gaseous substances and elements produced therewith, inclu sulphur, hydrogen sulfide, sulphur dioxide, nitrogen, carbon dioxide and helium, which ma! produced from the following described land, to wit: All Section 36, Township 21 North, Range 118 West, 6 P.M. Lincoln Total Acres 640.00 Advance Rental 640.00 Together with the right of ingress and egress and the use or e so much thereof) the surface said lands as is necessary to construct and maintain thereupon all works, buildings, plan waterways, roads, communication lines, pipe lines, reservoirs, tanks, pumping stations, or of facilities necessary to the proper conduct of operations thereunder. Section 2. TERM OF LEASE. This lease shall become effective on the day and year set out be and shall remain in effect for a primary term of five (5) years and for so long thereafter as lea substances may be produced from the lands in paying quantities. This lease may also be exten beyond its primary term in the absence of roduction of leased substances as may be provided of the State of Wyoming and the regulations of the Board of Land Commissioners ad op pursuant thereto, provided, if drilling, completion, testing or reworking operations are be: diligently conducted, either during the primary term or during any extension thereof, this le shall continue in full force and effect so long as such operations are being conducted and so 1, thereafter as oil or gas may be produced in paying quantities. This lease may be relinquished terminated at an earlier date as herein provided. Section 3. If the lessor owns an interest in oil and gas in said land less than the entire simple estate, then the royalties and rentals to be paid lessor shall be reduced proportionatel, Section 4. Lessee expressly represents that, if an individual, lessee is a citizen of t United States, or has declared an intention to become a citizen, and is over 19 years of age -and it corporation, is duly qualified to transact business in Wyoming. Section 5. This lease is issued under the authority conferred by Title 36, W.S. 1977 as to t State and School Lands, and Title 11, W.S. 1977 as to Farm Loan lands, and shall be subject to a operations by lessee hereunder shall be conducted in compliance with the specific lease terms set c on the reverse of this lease, and with all applicable state statutory requirements and t regulations issued thereunder, including those providing for: the leasing of State or Farm Loan Lan for oil and gas; the conservation of oil and gas; and the regulation of security transactions. Section 6. HEIRS AND SUCCESSORS IN INTEREST. It is covenanted and agreed that each obligati hereunder shall extend to and be binding upon, and every benefit thereof shall inure to the heir executors, administrators, successors of, or assigns of the respective parties hereto. Section 7. SOVEREIGN IMMUNITY. The State of Wyoming and the lessor do not waive soverei, immunity by entering into this lease, and specifically retain immunity and all defenses available them as sovereigns pursuant to Wyoming Statute a 1 39- 104(a) and all other state laws. the IN WITNESS WHEREOF, this lease has been executed by lessor and lessee to become effective c 2nd day of October 20 00 A.D. LESSOR, STATE OF WYOMING, Acting by nro isi R and of L'Ad Commissioners. By: Dire t Office LESSEE: Baseline Minerals, Inc. Address: 1645 Court Place, Suite 422 City: Denver (Zip) 80202 Telephone 03 534 -3628 State: C O as lessee. W. 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