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State of Wyoming
Oil and Gas Lease
Lease # 04-00542
Parcel: 584
Fund: SR
This indenture of lease entered into by and between the State of Wyoming, acting by and through its Board of Land Commissioners
as LESSOR, and the following as LESSEE:
Zinke & Trumbo, Inc.
Section 1. PURPOSE. The LESSOR, in consideration of the rents and royalties to be paid and the covenants and agreements to be
kept and performed by the LESSEE, does hereby grant and lease to the LESSEE, the exclusive right to ddll for, mine, extract,
remove, and dispose of ail the oil, gas and associated hydrocarbon substances and gaseous substances and elements produced
therewith, including sulphur, hydrogen sulfide, sulphur dioxide, nitrogen, carbon dioxide and helium, which may be produced from the
following described land, to wit:
Desc: NWNE ;
Sec: 35 Township: 24 North Range: 115West 6th P.M.
Acres: 40 County: Lincoln Advanced Rental: $ 40.00
Together with the right of ingress and egress and the right to use so much of the surface of said lands as is necessary to construct
and maintain thereupon all works, building, plants, waterways, roads, communication lines, pipe lines, reservoirs, tanks, pumping
stations, or other facilities necessary to the proper conduct of operations there under.
Section 2. TERM OF LEASE. This lease shall become effective on the day and year set Out below and shall remain in effect for a
primary term of five (5) years and for so long thereafter as leased substances may be produced from the lands in paying quantities.
This lease may also be extended beyond its pdmary term in the absence of production of leased substances as may be provided by
the statutes of the State of Wyoming and the regulations of the Board of Land Commissioners adopted pursuant thereto. Provided,
however, if drilling, completion, testing or reworking operations are being diligently conducted, either during the primary term or during
any extension thereof, this lease shall continue in full force and effect so long as such operations are being conducted and so long
thereafter as oil or gas may be produced in paying quantities. This lease may be relinq(~ished or 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 fee simple estate, then the royalties and
rentals to be paid LESSOR shall be reduced proportionately.
Section 4. LESSEE expressly represents that, if an individual, LESSEE is a citizen of the United States, or has declared an
intention to become a citizen, and is over 19 years of age-and if a 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 the State and School Lands, and Title
11, W.S. 1977 as to Farm Loan lands, and shall be subject to, and operations by LESSEE hereunder shall be conducted in
compliance with the specific lease terms set out on the reveme of this lease, and with all applicable state statutow requirements and
the regulations issued thereunder, including those providing for:. the leasing of State or Farm Loan Lands for oil and gas; the
conservation of oil and gas; and.,¢ the regulation of secudty transactions.
Section 6. HEIRS AND SUCCESSORS IN INTEREST. It is covenanted and agreed that each obligation hereunder shall extend
to and be binding upon, and every benefit thereof shall inure to the heirs, 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 sovereign immunity by entering into this
lease, and specifically retain immunity and all defenses available to them as sovereigns pursuant to Wyoming Statute 1-39-104 (a)and
all other state laws.
IN WITNESS WHEREOF, this lease has been executed by LESSOR and LESSEE to become effective on the 2nd day of October
2004 A.D ..... '"? '"
LESSOR, STATE 'OF WYOMING, Acting by and through its Board of Land Commissioners.
LESSEE: Zinke & Trumbo, Inc.
Address: 1202 East 33rd Street
City:.. Tulsa State: OK
Phone_( 918 ) 74~-509~.~--
Signatur~
Zip: 74105
RECEIVED 5/26/2005at 10:47
RECEIVING # 908719
BOOK: 586 PAGE: 283
JEANNE WAGNEI ~,
LINCOLN COUNTY CLERK, KE vlMERER, VVY