OIL AND GAS LEASE
Exhibit 10.13
THIS AGREEMENT, made and entered into this 3rd day of June, 2010, by and between Xxxxx Xxx Xxxxx Wife, Xxxxxx Xxxxx, 1833 KY, 000 Xxxx Xxxx XX 00000, hereinafter called LESSOR, (whether one or more) and XXXXXXX FORK VENTURES, LLC, 0000 Xxxxxxxx Xxxx, Xxxxxxxxx, XX 00000, hereinafter called LESSEE.
WITNESSETH, that the Lessor, for and in consideration of Ten and More Dollars, cash in hand paid, the receipt of which is hereby acknowledged, and the covenants and agreements hereinafter contained, has granted, demised, leased and let, exclusively unto the Lessee, its successors and assigns, the land hereinafter described, for the purpose of mining, exploring by geophysical and other methods, and operating for and producing therefrom oil, gas, casing-head gas, casing-head gasoline, and the exclusive right of injecting gas, water, brine and other fluids or substances into subsurface strata, with rights of way and easements for laying pipelines, telephone, telegraph and electrical lines, tanks, power houses, stations, gasoline plants, ponds and roadways and fixtures for producing, treating and caring for such products and any and all other rights and privileges necessary, incident to, or convenient for the economical operation alone or conjointly with neighboring land, for the production of oil, gas, casing-head gas, casing-head gasoline, and the erection of structures thereon to produce, save and take care of said products.
LEASED PREMISES: All that certain tract of land situated in ____Knox________County, State of
Kentucky, bounded as follows:
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(County Map # 149, Parcel # 10)
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On the North by the lands of
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Xxxxxxx
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On the East by the lands of
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Xxxxxxxx
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On the South by the lands of
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Xxxxxxxx
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On the West by the lands of
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Xxxxxxx
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Containing 100 acres, more or less and being the same land conveyed to lessor by
Denver Xxxxxxx & wife, Xxxxxxx Xxxxxxx
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by
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deed dated
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April 6, 2005
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, recorded in DB
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348
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Page
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555
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deed dated
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, recorded in DB
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Page
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deed dated
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, recorded in DB
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Page
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It being intended hereby to include herein all lands and interests therein contiguous to or appurtenant to said described lands or claimed by lessor.
TERM OF LEASE: It is agreed that this lease shall remain in force for a term of three years from this date and as long thereafter as oil, gas, casing-head gas, casing-head gasoline or any of them is produced from said premises or shut in royalty or rental is paid or operations for drilling are continued as hereinafter provided.
In consideration of the premises the said Lessee covenants and agrees:
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2.
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Royalty for gas; free gas. To pay Lessor one-eighth of the market price for gas sold into the pipeline or otherwise used, except for injection for secondary recovery of oil. Lessor to have free gas for domestic use by making is own connections with the xxxxx at Lessor’s sole risk and expense. Maximum free gas usage by Lessor per year is 400,000 cf _________________. Payment of royalty to be made no later than the 25th of the month following the month payment for oil is received by operator.
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4.
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Lessee’s Free Utilities. Lessee shall have the right to use, free of cost, gas, oil and water produced on said land for its operations thereon, except water from the xxxxx of Lessor.
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Lessee to assume all responsibility regarding any former Heartland leases or contracts of record.
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In testimony whereof, witness the signatures of the parties hereto:
x Xxxxx Xxx Xxxxx
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Xxxxxx Xxxxx
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STATE OF KENTUCKY
COUNTY OF _________
I, the undersigned Notary Public in and for the State of Kentucky at Large, do certify that this 3rd day of June, 2010, _____________________________________
Xxxx Xxx Xxxxx and Xxxxxx Xxxxx
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known to me to be the same person described in and who executed the forgoing instrument, appeared before me today in person and acknowledged to me that they executed the same as their free and voluntary act and de~ for the uses, purposes expressed herein, including the relinquishment of dower and homestead.
My commission expires:
12-19-11
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/s/ Xxxxxxxxx Xxxxxx
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NOTARY PUBLIC
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This instrument prepared by:
/s/ EPH | |
E. P. Heist | |
0000 Xxxxxxxx Xxxx Xxxx | |
Xxxxxxxxx Xx.00000 | |
000-000-0000 |