TEXON L.P. Purchase Agreement


QuickLinks -- Click here to rapidly navigate through this document


Exhibit 10.6

*
TEXON L.P.                                                                                                                     Purchase Agreement

September 20, 2007

Re: Texan Contract No. CPE6866

Customer Ref. No.

Xxxxx Xxxxxxxx
Xxxxxx Western, LLC
0000 Xxxxxxxx Xxxxxxx
Xxxxxxx, XX 00000

        The following Special Provisions and the attached Texon L.P. General Provisions (Revision 7/04) constitute the entire agreement (the "Agreement") whereby Texon L.P. (Buyer") agrees to buy and Presco Western, LLC ("Seller") agrees to sell crude oil and/or condensate under the terms and conditions as set forth below.

SPECIAL PROVISIONS

 
    
QUALITY   Kansas Common crude oil

QUANTITY
 
Equal to Seller's owned or controlled oil/condensate production from the properties/leases described in the Exhibit attached hereto.

PRICE
 
Each calendar month's arithmetic average of the settlement prices for the Nearby Light Sweet crude oil futures contract (WTI) on the New York Mercantile Exchange (NYMEX) for each day the NYMEX settles the Nearby WTI contract (Mere days only), less $4.25 per barrel.

 
 
In the event that the transportation cost and/or tariff changes during the term of this Agreement, Buyer reserves the right to revise the contract accordingly.

DELIVERY
 
Delivered into Buyer designated carriers from the properties/leases described in the Exhibit attached hereto.

TERM
 
Effective October 1, 2007 through September 30, 2008 and continuing month to month thereafter unless either party cancels with thirty (30) days prior written notice. Cancellation shall become effective on the first day of the month following such notice period.

PAYMENT
 
Buyer shall pay Seller or their designee 100% of the amount due for crude oil purchased hereunder, excluding all applicable taxes, by wire transfer on the 20th day of the month following the month of delivery. (See paragraph 3 of the General Provisions attached hereto).

        Seller or their designee shall make all revenue distribution payments to all royalty interest owners and any and all other persons who may have a right, title, interest, or claim to any part of the payments made by Buyer to Seller hereunder. SELLER AGREES TO PROTECT, INDEMNIFY AND HOLD BUYER HARMLESS FROM AND AGAINST ANY AND ALL CLAIMS, DAMAGES, LOSSES, COSTS, ATTORNEY'S FEES, EXPENSES OR LIABILITY OF ANY NATURE WHICH BUYER MAY SUFFER BY REASON OF BUYER MAKING PAYMENTS AS HEREIN PROVIDED,


Texon X.X.
 
 
 
 
 
 
 
Xxxxxx Western , LLC
 
 

By: /s/ X.X. Xxxxx
 
 
 
Date: 9/26/07
 
 
 
By: /s/ Xxxxx Xxxxxxxx
 
 
 
Date: 10/1/07
 
 
  

X.X. Xxxxx
Xx. Vice President, Crude Oil
 
 
 
 
 
 
 
 
 
 

EXHIBIT
  Texon L.P. Contract Number: CPE 6866
Amendment No. 0 		 
LEASE NAME
  FIELD   COUNTY   STATE   PREMIUM  
GCC 0-000         Xxxxxx   XX     (0.000000 )
GCC 6-C30-23-33         Xxxxxx   KS     (4.250000 )
GCH 4-D36-26-32         Xxxxxx   KS     (4.250000 )
GCH 5-D36-26-32         Xxxxxx   KS     (4.250000 )
Xxxxx 0-0000         Xxxxxx   XX     (4.250000 )
Xxxxx 0-0000         Xxxxxx   XX     (0.000000 )
JLM Farms 0-000         Xxxxxx   XX     (0.000000 )
JLM Farms 4-127-26-32         Xxxxxx   KS     (4.250000 )
Xxxxxx 0-000         Xxxxxx   XX     (0.000000 )
Xxxxx 0-000         Xxxxxx   XX     (0.000000 )
Webdell 3-3         Xxxxxx   KS     (4.250000 )
Xxxxxxx College 6-029-30-38         Grant   KS     (4.250000 )
Xxxx 1         Grant   KS     (4.250000 )
Xxxxxxx Heirs 1         Grant   KS     (4.250000 )
Xxxxxxx Heirs 2         Grant   KS     (4.250000 )
Xxxxx Trust 4-K29-30-38         Grant   KS     (4.250000 )
Xxxxx Trust 5-M29-30-38         Grant   KS     (4.250000 )
Xxxxxxxxx X X 1-29         Grant   KS     (4.250000 )
Xxxxxxxxx X X 2-29         Grant   KS     (4.250000 )
Xxxxxxx XX         Xxxxx   KS     (4.250000 )
Anton 0-000         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 7-P17-28-34         Xxxxxxx   KS     (4.250000 )
Black Xxxxxxx X         Xxxxxxx   KS     (4.250000 )
Black Trusts 00-00-00-00         Xxxxxxx   KS     (4.250000 )
Black Trusts 18-P7-30-33         Xxxxxxx   KS     (4.250000 )
Black Trusts 20-D7-30-33         Xxxxxxx   KS     (4.250000 )
Black Trusts 21-G7-30-33         Xxxxxxx   KS     (4.250000 )
Black Trusts 00-X0-00-00 xx         Xxxxxxx   XX     (0.000000 )
Xxxxxxx 1         Xxxxxxx   KS     (4.250000 )
Xxxxxxx Gas Xxxx 0         Xxxxxxx   XX     (0.000000 )
Xxxxxxxxx XX 1A         Xxxxxxx   KS     (4.250000 )
Xxx 0-000         Xxxxxxx   KS     (4.250000 )
Xxx 1-8         Xxxxxxx   KS     (4.250000 )
Xxx 2-12         Xxxxxxx   KS     (4.250000 )
Xxx 6-P2-28-33         Xxxxxxx   KS     (4.250000 )
Diaden Farms 1-B2-29-33         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
Xxxxxx Xxxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )

2

EXHIBIT
  Texon L.P. Contract Number: CPE 6866
Amendment No. 0 		 
LEASE NAME
  FIELD   COUNTY   STATE   PREMIUM  
Diaden Farms 5-B15-30-32         Xxxxxxx   KS     (4.250000 )
X Xxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
X Xxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
X Xxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
X Xxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
X Xxxx 0-X00-00-00         Xxxxxxx   XX     (4.250000 )
Xxxxxxx Xxxxx 0-000         Xxxxxxx   KS     (4.250000 )
Xxxx Xxx 0-000         Xxxxxxx   KS     (4.250000 )
EE & L Stalker 1-1430         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 1         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 2         Xxxxxxx   KS     (4.250000 )
Ellsaesser 2         Xxxxxxx   KS     (4.250000 )
Ellsaesser Gas Unit A 1         Haskell   KS     (4.250000 )
ELS Properties 1-1030         Xxxxxxx   KS     (4.250000 )
Xxxx Xxxxxxx 1-17         Xxxxxxx   KS     (4.250000 )
Xxxxxx A 1-27         Xxxxxxx   KS     (4.250000 )
Xxxxxx A 4-27         Xxxxxxx   KS     (4.250000 )
Xxxxxx A 5 Lower         Xxxxxxx   KS     (4.250000 )
Xxxxxx A 0 Xxxxx         Xxxxxxx   XX     (0.000000 )
Xxxxxx A 6 (SWDW)         Xxxxxxx   KS     (4.250000 )
Xxxxxx 1-1624         Xxxxxxx   KS     (4.250000 )
Xxxxxx 11-J24-30-34         Xxxxxxx   KS     (4.250000 )
Xxxxxx 00-000-00-00         Haskell   KS     (4.250000 )
Xxxxx Xxxxxxx 1-30         Xxxxxxx   KS     (4.250000 )
Xxxx X X 1         Xxxxxxx   KS     (4.250000 )
Xxxx X X 2         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 3-O19-30-32         Xxxxxxx   KS     (4.250000 )
Hon 0-000         Xxxxxxx   KS     (4.250000 )
Xxxxx Unit A A B 1         Xxxxxxx   KS     (4.250000 )
Xxxxxx A1         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 5-E33-29-39         Xxxxxxx   KS     (4.250000 )
Xxxxx 5-F2-28-33         Xxxxxxx   KS     (4.250000 )
Lavelette 1-C12-27-33         Haskell   KS     (4.250000 )
XX Xxxxx 0-000         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 1         Xxxxxxx   KS     (4.250000 )
XxXxxxxx 1-1519         Xxxxxxx   KS     (4.250000 )
XxXxxxxx 15-P19-30-33         Xxxxxxx   KS     (4.250000 )
XxXxxxxx 16-I19-30-33         Xxxxxxx   KS     (4.250000 )
Megan Xxxxx 1-30         Xxxxxxx   KS     (4.250000 )

3

EXHIBIT
  Texon L.P. Contract Number: CPE 6866
Amendment No. 0 		 
LEASE NAME
  FIELD   COUNTY   STATE   PREMIUM  
Xxxxxx Xxxxxxxx 1         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxxxx 2         Xxxxxxx   KS     (4.250000 )
Xxxxxx Trust 1         Xxxxxxx   KS     (4.250000 )
Xxxxxx Trust 2         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx Trust 0-000         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx Trust 34-E30-30-33         Haskell   KS     (4.250000 )
Xxxxxx Xxxxxx E 1         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxx E 3         Xxxxxxx   KS     (4.250000 )
XX Xxxxxx 0         Xxxxxxx   XX     (4.250000 )
Riphahn 00-000-00-00         Haskell   KS     (4.250000 )
Xxxxx Xxxxxx 1-519         Xxxxxxx   KS     (4.250000 )
Xxxxxxxxxxxxx X-0         Xxxxxxx   XX     (0.000000 )
Stalker 1-23         Xxxxxxx   KS     (4.250000 )
Stalker Etal 28-I30-30-33         Xxxxxxx   KS     (4.250000 )
Stalker Etal 29-O30-30-33         Xxxxxxx   KS     (4.250000 )
Stalker Etal 30-K30-30-33         Xxxxxxx   KS     (4.250000 )
Stalker Etal 31-A30-30-33         Xxxxxxx   KS     (4.250000 )
Stalker Etal 32-H30-30-33         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxx 5         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxx 1         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxx 4         Xxxxxxx   KS     (4.250000 )
SWLVLU I12         Xxxxxxx   KS     (4.250000 )
SWLVLU I14         Xxxxxxx   KS     (4.250000 )
SWLVLU I19         Xxxxxxx   KS     (4.250000 )
SWLVLU I21         Xxxxxxx   KS     (4.250000 )
SWLVLU I22         Xxxxxxx   KS     (4.250000 )
SWLVLU P12         Xxxxxxx   KS     (4.250000 )
SWLVLU P21         Xxxxxxx   KS     (4.250000 )
SWLVLU P22         Xxxxxxx   KS     (4.250000 )
SWLVLU P23         Xxxxxxx   KS     (4.250000 )
SWLVLU P24         Xxxxxxx   KS     (4.250000 )
Xxxxxxx Xxxxxxx 1         Xxxxxxx   KS     (4.250000 )
Xxxxxxx 2-N17-30-32         Xxxxxxx   KS     (4.250000 )
Xxxxxxx Gas Un F-4         Xxxxxxx   KS     (4.250000 )
Xxxxxxx Gas Unit F3         Xxxxxxx   KS     (4.250000 )
Winter 13-M8-30-33         Xxxxxxx   KS     (4.250000 )
Winter 14-N8-30-33         Xxxxxxx   KS     (4.250000 )
Winter 15-M8-30-33         Xxxxxxx   KS     (4.250000 )
Xxxxxx B 2B         Xxxxxxx   KS     (4.250000 )

4

EXHIBIT
  Texon L.P. Contract Number: CPE 6866
Amendment No. 0 		 
LEASE NAME
  FIELD   COUNTY   STATE   PREMIUM  
Xxxxxx C C1         Xxxxxxx   KS     (4.250000 )
Xxxxxx GU B1         Xxxxxxx   KS     (4.250000 )
Xxxxx Trusts 9-N16-30-33         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx 7-J21-23-37         Kearny   KS     (4.250000 )
Xxxxx 1-1215-2         Kearny   KS     (4.250000 )
Miles 0-0000         Xxxxxx   XX     (4.250000 )
BCF Warring Trust 2         Xxxxxx   KS     (4.250000 )
Xxxxxxxxx A1         Xxxxxx   KS     (4.250000 )
XXXXXX         Xxxxxx   KS     (4.250000 )
Xxxxxx Xxx Xxxx X0 0-0         Xxxxxx   KS     (4.250000 )
Dos Xxxxxx 0-X00-00-00         Xxxxxx   XX     (4.250000 )
Dos Xxxxxx 0-X00-00-00         Xxxxxx   XX     (4.250000 )
Xxxxx 0-0000         Xxxxxx   XX     (4.250000 )
Xxxxxxx 0-X00-00-00         Xxxxxx   XX     (4.250000 )
Xxxxxxx B-3         Xxxxxx   KS     (4.250000 )
Xxxxxxx 6-G20-31-39         Xxxxxx   KS     (4.250000 )
3M Farms 0-00         Xxxxxx   XX     (0.000000 )
Xxxxxxxx Xxxxxxx 0-00         Xxxxxx   XX     (0.000000 )
Xxxxxx 0-00         Xxxxxx   XX     (0.000000 )
Xxxxxx 0-00         Xxxxxx   XX     (0.000000 )
Xxxxxx X X 1         Xxxxxx   KS     (4.250000 )
Lower 0-00         Xxxxxx   XX     (0.000000 )
Lower 0-00         Xxxxxx   XX     (0.000000 )
Lower 0-00         Xxxxxx   XX     (0.000000 )
Xxxxx Xxxxx 0-00         Xxxxxx   XX     (0.000000 )
Xxxxx Xxxxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxxx Xxxx 0-00         Xxxxxxx   XX     (0.000000 )
Amber Xxxxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxxx Xxxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxxx Xxx 0-0         Xxxxxxx   XX     (0.000000 )
Xxxxx Xxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxxxxxxxx Xxxxx 0-0         Xxxxxxx   XX     (0.000000 )
Collingwood 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Federal Land Bank 4-21         Xxxxxxx   KS     (4.250000 )
Federal Land Bank 5-21         Xxxxxxx   KS     (4.250000 )
Fell Gas Xxxx 0X         Xxxxxxx   XX     (0.000000 )
Xxxxx 6-J21-29-39         Xxxxxxx   KS     (4.250000 )
Xxx Xxxxxx 0-0         Xxxxxxx   XX     (0.000000 )

5

EXHIBIT
  Texon L.P. Contract Number: CPE 6866
Amendment No. 0 		 
LEASE NAME
  FIELD   COUNTY   STATE   PREMIUM  
Xxxxx Xxxxx 1-2         Xxxxxxx   KS     (4.250000 )
Xxxxxx Xxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
KU 6-120-29-39         Xxxxxxx   KS     (4.250000 )
KU 7-J20-29-39         Xxxxxxx   KS     (4.250000 )
KU 0-X00-00-00         Xxxxxxx   XX     (0.000000 )
KU 0-X00-00-00         Xxxxxxx   XX     (0.000000 )
Xxxx Xxxxx 0-00         Xxxxxxx   XX     (0.000000 )
McPherson College 4-E21-29-39         Xxxxxxx   KS     (4.250000 )
XxXxxxxxx College 5-F21-29-39         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx Trust 5-E23-29-40         Xxxxxxx   KS     (4.250000 )
R & L Farms 1-28         Xxxxxxx   KS     (4.250000 )
Xxxxx Xxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxx Xxxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxxx Xxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Xxxx Xxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Western Feed Yard 1-1133         Xxxxxxx   KS     (4.250000 )
Western Feed Yard 2-1433         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx 0-X00-00-00         Xxxxxxx   XX     (0.000000 )
Xxxxxxxx 0-X00-00-00         Xxxxxxx   XX     (0.000000 )
Xxxxxxxx 3-K21-29-39         Xxxxxxx   KS     (4.250000 )
Xxxxxxxx 0-X00-00-00         Xxxxxxx   XX     (0.000000 )
Xxxxxx Xxxx 0         Xxxxxxx   XX     (0.000000 )
Xxxxxxx Xxxxxxxxx 0-00         Xxxxxxx   XX     (0.000000 )
Yashell Shirin 0-00         Xxxxxxx   XX     (0.000000 )
Josline X-0         Xxxxxxx   XX     (0.000000 )
Swalar A1         Xxxxxxx   KS     (4.250000 )
Swalar B1         Xxxxxxx   KS     (4.250000 )


11757 Katy Freeway ° Suite 1400 ° Xxxxxxx, Xxxxx 00000 ° Phone 281/000-0000 ° FAX 281/000-0000

6



QuickLinks

AutoNDA by SimpleDocs

Document Metadata

Filed: April 21st, 2009
Draft better contracts in just 5 minutes Get the weekly Law Insider newsletter packed with expert videos, webinars, ebooks, and more!