|
n..~., _c r .~
<br />H'JV~ 1. L~'~A+ 4JY3YI'I OLVtrD ,
<br />,~ 06/lSi9e 1t:26 E~f_u"~:?1 R~=OURC=~ + ::lEa~t6262 ~•t~ P`Oz
<br />4.• /0
<br />.. _- 153 u ~ - ~ 2T
<br />OII. Ai`iD GA5 TOP LEASE
<br />(Ono Year Paid-Up Lease)
<br />THIS AGREEMENT, made this ~ day of June, 1998, between MGP
<br />Enterprises, a Limited Partnership by John R.. Meggisoq Gene: al Paraer (I..-ssor), and
<br />EVFRGREENRE50URCE5, INC., 140L 17rh Stmt, Suite 1200, Deave„ Colorado
<br />80202 and C15 O1L & GAS, LT1C„ 211 West 19m, P. 0. Box 889, Chanute, I{aasas
<br />66720, Lessee, and ~TVTTNESS>:TFi:
<br />1 • Lessor, ip mnsideation of Tal end ao/100 Dollars, (S 10.00), in bane paid,
<br />rho rxeipt end sufficiency of which is hereby acfmowledged, of the :eyaltira herein
<br />provided, and of the agreement ofLersee herein contained, hereby grdnrs, leases ar!d lets
<br />exclusively unto Lessc for the purpose of investigating, exploring, prose«tlng, driIliig
<br />and mining for and producing oil and gas (including, but not limiter to, gaz producible
<br />from coal-bearing formations) and alI substaaca produced in association herewith,
<br />laying Pipe lino, building tanks, power stations, telephone lion, roars and other
<br />structures thawn to produce, save, take care of, treat, transport and pwtt said products,
<br />sad housing its cnploye;s, the following descibed land (Itereinafte~ called "said land"),
<br />in Laz Animas County, Colorado to wit:
<br />S« Exhibit "A" attsched
<br />1..J
<br />Said load shall be dranod to contain 17,567.66 acres, whether it actually ramptises sore
<br />or less
<br />2. Withput tefaeace to the eammcaccment, proseautioa or cessation at any
<br />time of drilling or other development aperatioat, and/or to dte discovery development or
<br />cessation a1 any time of production of oii or gas and without feather payments than the
<br />royalties herein provided, cad notwithstanding anything else heceitt wmained to the
<br />contrary, this lease shall be for a tam of one year from the effective data (called
<br />"PR.IMARY TERM'S end as long thmeafte: as ail err gas is produced Crom said lead err
<br />land with which said load is pooled hccuader, or drilling or reworking oeprationa ere
<br />eandiseted thereon.
<br />3. The royalties to be paid by Lessee are : (a) as oil and other liquid
<br />hydrocatftotts, fifteen perornt (13%) of that prodttecd and savd from said land, the saint
<br />m be deliverd at the wcllst or to the credit of Lessor into the pipeline to which the wells
<br />may be connected; Lessee may &nm time to time purchase at>,y royalty oil is its
<br />possession, paying the market price therefor prevailing for the Held where producd on
<br />Utc date ofpurchase; (b) on gas and the coasritueati thereofptroduced Cram said land and
<br />sold err used off the preatises or is the tueat7.facture of gasoline or attic producs
<br />ehe.-eCrom, the marfcct vahte at the well of fifteen petcrat (15%) of the product so sold or
<br />usa•+, provided that. an gas pr products sold at the wells the royalty shall be $fteen percent
<br />~~
<br />08/01/2001 WED 17:01 (TX/I2X NO 71691 idJ 002
<br />
|