Download Barton County Oil Lease Addendum

ADDENDUM
This Addendum is part of the Oil and Gas Lease dated ___________,
between Barton County, Kansas, Lessor, and ________________________,
Lessee, covering the _______________________________ Barton County,
Kansas. All terms set forth herein shall be as though they appear on the face
of the subject Lease and shall be considered a part thereof. In case of conflict
between the terms of this Addendum and the subject Oil and Gas Lease, the
terms of this Addendum shall control. Additional terms of the subject Oil
and Gas Lease are as follows:
1. In the event of a shut-in gas well only on the leased premises (gas
not being sold from a completed gas well), shut-in royalty shall be paid to
Lessor at $15.00 per acre per year and not $1.00 per acre per year. In the
event such shut-in royalty is paid for 2 consecutive years and there is no
further development of the Lease, Lessee shall then release all acreage
covered by the Lease, excepting a 10 acre square tract in which the shut-in
gas well is centered.
2. No unit or pool shall be declared which accords to Lessor less than
50% of the total acreage in such unit/pool.
3. No saltwater, fluids or other substances of any kind which are
produced from property not covered by this Lease may be brought onto and
disposed of on acreage covered by this Lease without Lessor’s express
written consent, which Lessor is not obligated to give.
4. Any top soil removed for any reason shall be segregated and kept
separate from other soil and shall then be replaced as top soil. All contours
disturbed by any operations shall be restored to original condition as nearly
as is practical.
5. In the event any acreage covered by this lease is pooled or unitized
with any other lands, Lessee shall release all acreage covered by this lease
and which is not included in such pool or unit at the later of 2 years from the
expiration of the primary term of this lease or 2 years from the completion of
the well which is located in such pool or unit. In the event Lessee completes
a producing well, or wells, on such non-unitized acreage within such 2 year
time period, this provision shall not apply.
6. Lessee agrees to consult with Lessor as to the placement of tanks
and production equipment; location and construction of routes of ingress and
egress; and location of underground pipelines.
7. It is agreed between Lessor and Lessee that all payments for oil,
gas, or other products accruing to Lessor shall be without deduction for costs
and expenses such as producing, gathering, storing, separating, treating,
dehydrating, compressing, processing, transporting, and marketing, unless
any such cost or expense directly enhances the value of the oil, gas or other
product and results in receiving a better price. Any such deductions shall be
based on Lessee’s actual costs and in no event shall Lessee receive a better
price than Lessor.
8. Oil and gas operations may not interfere in any manner with
operations of the Barton County landfill. Barton County shall make the
determination if oil and gas operations are interfering with landfill
operations. If such determination is made, the Lessee will cease such
operations immediately. If the Lessee does not, the Lessee agrees to pay a
daily fine of $500 until the interference ceases.
9. The operator shall promptly pay to Barton County reasonable costs
for damages caused to County owned property.