|
Sodium lease C-0118328
<br />
<br />q^t7r 49~# PAL•_ 20 D
<br />. 4, PROTECTION OF O1L SHALE DFPOSIT$. (a) Except as
<br />1
<br />- ,+resslY Provided in wbseenons (b), (cj, and (d) below, Ore lessee
<br />shall not
<br />(1) utilize process solutions k exctss of 300 degrees Fahrenheit for
<br />in situ solution mining of sodium compounds without the expttu
<br />permission of the authprirtd ofrtcer,
<br />(2) mine. extract. retort, process. ttu, or dispose of any oil shale. a
<br />organic motto or the products thereof contained in or derived tram
<br />any such oil shale, utuated aboveor blow the SalineZone m the lands
<br />descibeG in Sts. 2 above:
<br />t3) mine, extract, retort, process, use, or dispose of any 25 g.p.t_ oil
<br />shale, or organic matter or the products thereof contained in or derived
<br />from any such 75 g.p.t. oil shxk, situated s the Saline Zone; or
<br />(a) use, remove from the leased premises, or dispose of any oil
<br />shale, or organic mattes or the produc s thereof conatned in or derived
<br />from any such oil shale, averaging more item 10 gallons of :hale oil
<br />per ton from the Saline Zone, such average to be determined i,y
<br />modified Fischer assays.
<br />(5) It is expressly understood and agreed that the lessee shall not
<br />have any nght to, and shall not, bum or otherwise use for fuel or energy
<br />~^duetion Purposes any oil shale situated in or under the lands
<br />ribed in Se; , 2 above.
<br />(b) The lessee shall have the right and privilege w:
<br />(1) mine and utract oil shale or other material located above the
<br />Saline Zone for the sole purpose of emplaun¢ shatis or other entries
<br />az are nr,.essary, and att authocvrd by the authorized officer, to gam
<br />access w the leased deposiu for mining, ezcaction, and ttmoval
<br />optxations,and
<br />(2) mine, exorct. and process by non•retorsing methods, which are
<br />chemical or mechanical and do not require the use of heat, 25 g.p.t. oil
<br />shale intermingled with the leased depasiu, but noly to the extent
<br />ntxessary for and az an incident to the meting, exca^tion, processing,
<br />beneficiation and ttmova! of the leased depouts,.provided that the
<br />authorized office determines Oiere is no significant extraction or
<br />~riosal of 3 g,p,t. oil shale and tkttameta that 25 g.p.t. oil shale is
<br />not rendered unfi[ or bgttifteartOy lowered in gttaliry far ttttmeig
<br />Proposes by such mining, extnaion, proeesdng, and beneiiciation,
<br />(c) As required by the tams of this lease or as directed by the
<br />atahotixed officer, the letsee shall have Ott right and the dory m store
<br />and to protect alt 25 g.p.L od shale which has been mined and all other
<br />oil shale which, after mining, has become 7S g.p.t. oil shale az a result
<br />,f processing or benefidation.
<br />.) Except az otherwise provided heroin or unless othewise autho-
<br />rued in writing by the twthttrized officer, the lessee shall, prior to
<br />disposition, praeu or beneficiate any leased deposiis in mined
<br />m+trrial m extract sodium compounds therefrom where Out material
<br />emtains oil shale averaging more than 10 gallons o[ stole oil per ton
<br />of rock mined, but less than 25 gallons of shale oD pu ton, such
<br />average to be determined by modified Fischer assays. The lessee shall
<br />perform any processing or berteficiaeon k such a manner that sepa-
<br />rags from the leased deposits slut quantity of contained orgsis
<br />matter necessary to limn the shale oil content, if any, to not mote rhos
<br />an average of 10 gallons per ton in the material removed barn rte
<br />leased premises.
<br />(2) The Jrsstx shall store or dispose oC, as determined and ttirrxxec
<br />by the auutorirrd officer, residue and/or waste matrsials which haw
<br />been separated from the leased deposiu or products thereof dtuirtg rr
<br />az a ttsult of mining, aaaction, processing, beneficiation, tttoneq
<br />or tnhv op.rauons coatiucted tinder this lease, whett the aforrsai
<br />storage or disposal a not otherwise provided for av authorized to
<br />Sec. a(c) a Sts. 4(d), Part L of this lease.
<br />(3) It is apnxsiy undtrstood that the processed 25 g.p.~ oil steal
<br />or other processed oil shaleand. upon the termination of this lease,arr
<br />sodium compounds intermingled then;with, shall remain the sal
<br />propem• of the lessor and shall be subject w disposition a[ any titaeb
<br />the kssoras provided k Sec. 7 of this lease or az otherwise detert~to
<br />by the authorized officer. , ,
<br />(d) In the event thu tttaning or pmra•_rg of the leased d~tse
<br />tt;sulu in the production of any shale oil whatsoever, all weh sbabo
<br />shall be and shall remain the exclusive property of the lessor, m
<br />provision in this lease to the contrary notwithstanding, and shall t
<br />disposed oC by the lessor.
<br />(1) At lessor's option, and at the direction of the authorized ofGe
<br />given within a reasonable time after iis production, the lrssrsc she
<br />dispose of such siule oil, if any, on tams that tie ptsund rrasam6
<br />and do not requee lesstx w bar the costs of disposing of the shale e
<br />It is understood that. if lessee u required by lessor to store sttchsm
<br />oil, the eosu of stoeh storage shall be initially home by lessee bin s
<br />lessorshall aeditsu~h ~ostsagainst royaltiespayable underttrisln
<br />by the lessor az those royalties become due and payable
<br />(2) Any contract or other agreement entered into by the lessesor:
<br />sutxessots in interest for the sale, trans[u, or disposal of all or pan
<br />the leased deposits or we products thereof shall specirically provi
<br />that the pureliaser or tsartsferee, and iu sucttssors in titre ottitt
<br />intends w, aor shall produce, shale oil tliaefrom. The lessee tttr
<br />make no f»rtltrr sale err tratufer of any Itxeed deposit or any prods
<br />thereof to tatyptaclusa, or any of its successors in title, of arty ins
<br />deposit or the produce tht7eof who haz violated such eonta~
<br />provtsioa Moreos~er, the lessee shall taste whatever a:don tnay
<br />ntxessasy other w recover for the lessor any shale oil so prodotsd
<br />any significant quantity which is then still in existence or to rats
<br />damages whirls stall be payable w the lessor if any such sigttifae
<br />quantities of shale oil have been produced and are no longer
<br />existertct ,
<br />PART II. TERMS AND CONDITIONS
<br />See. 1. (a) RF1v?AL RATE - Iesst:e shall pay lessor ttnul attaoa
<br />aride.advan~eforeachatzeorfraction thereof during thewntirttm
<br />
|