Laserfiche WebLink
<br />" <br /> <br />. <br /> <br />e <br /> <br />prescribed for an oil well, as the case may be. Upon such <br />termination a9 to deeper horizons, Lessor and Lessor's successors, <br />Lessees or assigns, thereafter shall have the right to reasonable <br />use of the leased premises, but without unreasonable interference <br />with Lessee's rights, for the purposes of investigating, exploring, <br />prospecting and drilling for, producing and owning oil, gas and <br />other liquid hydrocarbons from the horizons as to which this lease <br />has terminated. <br /> <br />11. OFFSET WELLS: In the event a well or wells producing oil <br />in paying quantities should be brought in on other lands not covered <br />by this lease within six hundred sixty feet (660') from the leased <br />premises or draining the leased premises, or in the event a well or <br />wells producing gas in paying quantities should be brought in on <br />other lands not covered by this lease within one thousand three <br />hundred twenty feet (1320') from the leased premises or draining the <br />leased premises, Lessee agrees to commence actual drilling <br />operations on the leased premises of an offset well within one <br />hundred twenty (120) days from the date production commences from <br />said well or wells. In lieu of drilling such offset well or wells, <br />Lessee may, at Lessee's option, pay Lessor, as compensatory royalty, <br />a sum equal to the royalty which would be payable under this lease <br />on the volume of production from said well or wells on other lands <br />not covered by this lease had same been produced hereunder. <br /> <br />Notwithstanding anything to the contrary herein contained, <br />Lessee shall not be obligated to drill such well or wells or to pay <br />such compensatory royalty if: <br /> <br />(a) Lessee already has a producing well on these leased premises <br />which may reasonably be held to provide drainage protectionJ <br />or <br /> <br />(b) Lessee deems an offset well on the leased premises to be <br />geologically or economically impractical and tenders to <br />Lessor a release of this lease as to such offset location as <br />to the sand or zone in which the draining well is completed, <br />such release to be of sufficient acreage to qualify for the <br />maximum allowable. <br /> <br />12. USE Q! LEASED PREMISES: No operations of any nature may <br />be conducted on the surface of the leased premises described herein <br />without the prior written consent of the Lessor. <br /> <br />13. SURRENDER: Except as herein otherwise provided, Lessee <br />may, at any time, execute and deliver to Lessor a release covering <br />any portion of the above described premises and thereby be relieved <br />of all obligations as to the acreage surrenderedJ provided, however, <br />nothing herein contained shall be construed to relieve the Lessee of <br />any obligations or payment already then assumed or incurred. <br /> <br />14. FORCE MAJEURE: The covenants and agreements herein <br />expressed or implied in this agreement shall be subject to all <br />valid Federal and State laws, executive orders, rules or regu1a~ <br />tions, and this lease shall not be terminated, in whole or in part, <br />nor Lessee held liable in damages for failure to comply therewith <br />if compliance is prevented by, or if such failure is the result <br />of, any such law, order, rule or regulation. If after the primary <br />term, Lessee is prevented from conducting drilling or reworking <br />operations on, or producing oil or gas from the leased premises from <br />such cause,' the time while Lessee is so prevented shall not be <br />counted against Lessee, and this lease shall be extended for a <br />period of time equal to that during which Lessee is so prevented <br /> <br />8 <br />