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THIS AGREEMENT, dated December 15, 1969, by and between
HUNTINGTON BEACH COMPANY, a novporation (hereinafter gall,,, "Wo") ,
and the CITY OF HUNTINGTON BEACH, a municipal corporation (hereinafter
called "City' ,
WITNESSETH:
A. The property subject to this agreement (hereinafter
called "said property") is described as follows:
by City.
That certain land containing 11.70 acres, more or less,
known as Lots 1 through 22, inclusive, of Block 2002,
Lots 1 through 6 inclusive, and Lots 8 and 10 o.'
Block 2001, and Lots 2 through 14 inclusive, and Lots 163
17: 13, 20 ah.1 22 of Block 1903, all in Tract Ito. 22,
as recorded ir+ Book 9, Page 13 of Miscellaneous :Raps,
Records o.f O'r-ange County, California.
B. Said property is presently under condemnation proceedings
C. HBCo desires to sell and City desires to purchase said
property upon the terms and conditions hereinafter set forth.
NOW., THEhEFORE, it is herpby agreed by and between HBCo and
City as follows:
1. City agrees 'Co buy from H''BCo and HBCo agrees to sell and
convey by grant deed to City said property in fee, subject, however, to
the exceptions and reservations set forth in the form of grant deed
annexed hereto as Exhibit "All and made a part hereof, and subject to
the rights reserved to HBCo under, this agreement, for a total rurebase
Drice of Three Hundred Six%.y Thousand Dollars ($360,000.07), payable as
follows :
(a) The sum of One Hundred Eighty Thousand Dollars
($1.80,000.00; when such grant geed is recorded in the Orange County
Recorder's officer and
(b) The sum of One Hundred Forty-five Thousand Dollars
($145,000.0() when HBCo has performed all matters and things required
of HFCo by paragraph 7(b) of this agreement; and
(c) The slim, of Thirty --five Thousand Dollars ($35, 000.00 )
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whQn Wo has performed all matters and things required of HBCo by
paragraph 7 (a) (1) and (2) of this agreement,
2. The transaction ohali be consummated through a closing
conference to be held as soon as convenient to both parties but in
any event prior to December 31, 1969. At said eunference, HBCo shall
execute and ,��liver to City said grant deed and policy of title in-
surance in accordance with paragraph 7(b) of this agreement, and City
shall deliver to HBCo its check in the suin of One Hundred Eighty
Thousand Dollara ($180,000.00) as provided in paragraph 1(a) of this
agreement.
follows:
3. The expenses of this transaction shall be allocated as
(a) All property taxes, assess:uents and insurance shall
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be prorated as of the date of said clo3 ing conference.
(b) HBCo shall pay for all documentary stamp taxes
imposed upon the transfer of said property.
k e) %Jity shall pay for recording the grant; deed.
(d) HBCo shall pay any possessory interest tax assessed
against it by reason of any possessory interest retained
• --- or reset' ved to it by this agreement.
r 4. By execu.t3.ng this Agreement, City anknowledges that it
has examined said property and knovfs the condlti on thereof and that
HBCo has made no representation of ariy kind obi nature respecting such
condition or respecting any matter, affecting the value or usef ulne:.s
of said property for Pny purposes. HBCo agrees that, upon termination
of the '10il Operating Period" (as hereinafter defined),, it .shall have
cleared all oil equipment from said property and abandoned all oil
wells situated then -con and have accomplished all other matters as
provided in paragraph 7 and all subparagraphs thereof of this
agreement,
5. During the Oil Operating Period (as hereinafter defines),
Me shall have the right to continue to operate, produce and maintain
certain oil wells, pipelines, equipment and other structures (as de-
pioted on Exhibit "B," attaohed hereto and rrs►de a pert hereof, and
hereinafter collectively called "Oil Facilitiez") presently situate on
2.
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4 said propailt,y; provided, however, that HBCo may, at its election,
at any timdi or from tine to time during -the Oil Operating Period,
terminate its oil operations and abandon and remove all or any
portion of the oil facilities, The "Oil Operating Period" shell
mean the period commencing with the date* of recording of such grant
deed anti extending through the ninetieth day after receipt of HBCo
of written notice from City to terminate itr, oil operations and
abandon and remove the oil. facilities, or in the event City shall
order an abandonment and removal of the oil facilities in phases,
the ninetieth day after receipt of HBCc of written notice from City
to terminate its oil operations and abandon and remove the last of
the oil facilities. During the Coil Operating Period, HECo shall pay
to City the sum of Seventy-five Dollars ($75.00) per month for each
oil well situate on said ;property during said month for the foregoing
right; to operate, produce and maintain said oil facilities; provided,
however, that if the .first or last month of said Oil Ope:�aating Period
is less than thirty (30) days, staid sum of Seventy --five Dollars ($75.00)
shall be prorated accordingly.
6. During the Oil Operating Period, HBCo shall retain all
receipts, proceeds and products of the oil opera.tIons and production
and shall pay all costs and expenses attributable therato, and I4110o
shall indemnify and hold City harmless f'ron. any such cost;:, or expenses.
HBCo shall indemnify and hold City harmle.bs from any damage, expense,
claim., suit, loss or, liability of whatsoever kind or nature and by
whttrnsoever asserted, arising directly or indirectly from the operating,
producing or maintaining by HBCo of w'ne oil facilities during the Oil
Operating Period, or caused by the negligence of HBCo during the Oil
Operating Period.
7. On or before the termination of the Oil Operating Period,
KBCo shall, at no cost or expense to City:
(a) Abandon and remove the oil facilities as follows:
(1) By the subsurface abandonment of all oil
wp11s currently on said property in accordance with all
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applicable laws, rujM...And•`regulations pertai g to
such abandonment; and
(2) By removal from said_ .property of the oil
and gas pipelines and other equipment and _structures
nnoa d Fxh3k' ''8;'depicte _ovided,.. however,
that HBCo may abandon in place_siach. of -..said pipelines,
equipment or structures as to wh.icb _City gives itp.
prior consent in writing.
(b) Uri xa7i7-11 xtiting by City, remove all ex-
ceptions of title, referred to on Exhibit "C,." annexed
hereto and madab a pant hereof. It is agreed and understood
that Whe condition of title of such property was as shown
on the fol;,uwing 1;t1gation guarantees of the First
American TitlE Insurance Company, on the dates indicated,
CR-io62036, dated September 17, 1966 at 7:30 a.m. , and
CAR--10055060, dated October 15, 1.968 at 7:30 a.m. , and that
Exhibit 110 annexed hereto, was prepared with reference to
such two litigation guarantees. In the event addii.ional
title except' ores appear pr:J or to the time when the grant
deed is to be recor•do-d, pursuant to paragraph l(a) of this
agreement, such grant deed shall. riot- be recorded and the
apayment of money, as provided in such paragraph ?(a) shall
not be accomplished until such exceptions are removed by
HB<<i. At said closing conference HB%'Io at its cost shall
provide to Cs ty a. standard policy of title insurance on
said property to be issued by First American Title
Insuran�,,e Company in the sum of Three Hundred Sixty Thousand
Dollars ($360,000.00), showing; title of said property in
City free and cl,�►ar of all exceptions refer red to An
Exhibit "Call
8 . In the event that within three (3) yeare from and after
the Z" to of recording of said grant deed, City shall fail to com-
mence actual construction on said property of improvements which,
when eompl.etedo would constitute a civic center, then for a period
of six (6) months from and after the t1hird anniversary date of said
4
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"NOW ...WWW4W+0A.�PM. 1011INIvINOWN,
grant deed recording date, HSCo shall have the right, at its election,
to repurchase said property by payment or tender of pelym(nnJt to City
of said sum of Three Hundred Sixty Thousand Dollars ($360,000.00),
and City shall thereupon raconvey, said property to HW-o by grant
deed subject to all matters of record at the time of recordation
of said grant deed to City under paragraph l(a) of this agreement,
and subject to all physically existing oil facilities (as of the date
of this agreement), and free and clear of any exception:, caused to
appear, of record by City or any successor in interest claiming under
City, subsequent to the recordation of said grant deed to City.
9. Tima is of the essence of this agreement.
10. Any notice required under the term:, of Lhis agreement
may be given by personal delivery of such notice or, at the option
of the party gwing such notice, may be. given by registered, or certi-
fied mail, addressed to the respective parties, as follows;
Huntington Beach Company
2110 Main Street,
Huntington Beach, California 92646
City of Huntington Beach
Post Of"fice Box 190
Huntington Beach, California 92648
11-, Neither this agreement nor any memorandum thereon shall
be recorded in the Change County Recorler's office.
(Rest of page not used)
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12. This agreement shall inure to the benefit of and
be 'finding upon the successors and assigns of the parties her3to
IN WITNESS WHEREOF, the parties have executed this
j agreement
DATED: Z199,
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HUNTINGTON BEACH COMPANY
a corporation,
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By
By 7 f 'r;(-A Presidemt
� �;�s=k'�rt Secretary
DATED: �d•,�.�C._ 19 6 9 •
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CITY OF HUNTINOTON BEACH, a
municipal corporation,
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By_ d , • A
Mayor
ATTEST:
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_. APPROVED AS TO FORM:
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APPROVED:
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MIBIT "A"
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CORPORATION GRANT DEED
FOR A VALUABLE CONSIDERATION, reQelpt of which Is
hereby acknowledged, Huntington Beach Company, a corporation,
(hereinitrter called "HB Co.") hereby GRANTS to the City of
EiuntA. g';on Beach, a •municipal corporation, (hereinafter called
"City") the following described real propert;/ in the County of
Orange, State: of California:
That certkin land containing 11.70 acres,
more or less, known- as Lots 1 through 22 ,
inclusive, of Block' 2002, Leas 1 thraugh
6, inclusive, and Lots 8 and 10 of Block
2001,'and Lots 2 through 14, Inclusive,
and hots 16, 1.7, 19j 20 and 22 of Block
19033, all ,in 'bract. No. 12, as recorded
in Book 9, Wage 13 of Miscellaneous Maps,
Records of Orange County, California,
hereinafter called "said property,"
EXCEPTING AND RESERVING TO HB Co., .its successors and
assigns, all oil, gas, asphalt and asphaltum and other hydro-
carbons, and all other minerals, whether similar or dissimilar
#,o those her,' --in specified, lying below five hundred (500) feet
under the surface of touch real property wi~hi.n or that may be pro-
duced from said property, together with the exclusive right from
time to time to drill in, into and within said property bestow
five, hundred (500) feet under the surface of such real - property
by means of a well or Wells drilled from the surface of land other
than said property, and with the exclusive right to repair, re --
drill, deepen.. maintain, rework and operate such well or well:;
and produce saki oil, gas, asphaltum and other hydrerarbons and
other ri,.Iry rals by means of such well or wells. Such exclusive
rights shp•11 not be limited by the first o-r any subsequunt exercise
thereof. Provided, however, that HB Co. shall not have the
right to use the surface of said property or five hundrea (5(,0)
feet under th£ surface therec•f for any of the aforesaid purpose:;.
AL50 EXCEr'I'1-NC AND RESERVING to HP. Co., its :�ucces:�or
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And araligne, the exclusive right from time to time to drill
into and through the oubiur face below Five hundred (500) E
feet under the surface of o-ii.d property and into and bottom j
under land other than said property by metanx of a well or, well. -
drilled from the surface of land other than rsnid property,, acc!
with the rxclusive right to repair, redriM, deepen, maintain
and rework and operate ouch well or wells, and produce oll, gnfl,
a:.phaltum and other hydrocarbons and other minerals whether
:;imllar or dissimilar to those mentioned herein from land other
t;h4n said property. Such exclusive rights shall not be limited
by the first or any subsequent exercise thereof.
This deed is madle eiub j ect to all matters of record.
IN WITNESS 'WHEREOF, this deed is executed oi, the /4/v '.
day of_ jer,, t/ 1969.
HUNTINGTON BEACH -COMPANY
a corporation
APPROVED AS TO FORM:
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City Atto't
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3T'ATS OF CAL1MMU )
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On ..•..4.1, 196(4, berore me, the under--
eignid, a Notary Public In tnd for said County and eta+4,
personally appeared
L•1andr , (a .1, , � '� .._�, known to me to
be the and
eespectiverly, of the corporation that executed the withgn
Instrument, on behalf or the corporation therein named,
and acknowledged to se that such corporation executed the
within Instrument pursuant to I.tv by-lawis o7o a resolution
of its board of direct ars .
WITNESS my hand and official veal.
;. tl ` �: �' ;c,i.+.LLAI tarp+ u 9 �c n n or f a ;
Jf1HANNA A. MCDONAlb
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EXHIBIT "C"
The following items refer to specific exceptions round in Litigation
Guarantee Order No. 10620360 dated September 17, 1968, and i,iti--
gation GuLrlantee Order No. 1065060, dated October 15, 1968, of the
First American Title Insurance Company, as Indicated. suet) ex-
ceptions are to be removed by HBCo as providAR in paragraph 7 ('b )
of the agreement to which this exhibit le attached.
1. A release or glitolaim of that certain right of way,
dated January 19, 19260 to Standard Oil affecting Lots 1, 41 Cs
8 and lid of Block 2001. (Item 4, OR--1062036)
2. A release or quitclaim of teat certain oil and gas lease
between Huntington Beach Company ane, Southwest Exploration Compway
dated November 5, 1952., affecting H?_oak 2001 and 2002. (Item 5,
ar.-].062036 )
3. A release or quitclaim of that certain oil and gas lease
between Huntington Beach Company and Southwest Exploration Com-
peny, dated January 7 1955, affecting Block 2002. (Item 6,
OR-1062036 and item 14, OIL-1065060)
11. A - .4. laJ. deed ,I- Standard Oil Company to Cic ' of
Hunt;ll:Fcon Beach of all surface rights from surface to 500 feet
below .�uri'2ce, 3 s required tc=liminate Item 2, Oil--10620 40" .
5. Th--, Hunihington peach Co-:.cany will obtain a_ quitclaim
{-- ed from. Holly .u7ar CC:P.;Jany i.G the City Of Fluntington Beach o
r---r t u a 1 right o1" va- y for Sewer --ine, dra--I lags and incidgental.
r tL'roose , as, con rey;&d to Holly Suirar Company icy deed, recorded
September 12, 1911 in 1981, D- age 360 of Deeds, t-•nd a -mended
by in::':rum ".-s recorded Val,, 15, 1926 in cool: C f.2 dace 317 of _
an-d 5, i 95: Lri Dool: 28 2 Paoe 352 of'v'J_`"Ficia!
C'r o1!er ..?'`i -'n� of '_o s �, �} �lf'1 J o �ZC.'%c1[IZ
..... .. .. J 1,
i 40wwlNflfO.t .•e ,+••,.,p. I. nd' .,r+,.,[R.INN •r• ...+,n .HMAWI.tR lIYW..rL�. w—v+•n.r +ww.4�"wi�jRr•�`�M'+ M•5Mf
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12. With reference to Item 6 of OR-Io65060, the Huntington
Beach Cor'r.iny will obtain a quitclaim deed executed by standard
Oil. ag L-an-cor to they City of Huntirig'-on meaah ao *rant• f
V11 W
a right of way for pipelines and inalftntal purposes over that
portion of Lots 17 and 22 included within a strut of land -one
rod wide lying southerly of, parallel• with�imediately ad-
jacent to the southerly boundary of Union Ar* as conveyed by
Huntington Beat; . Company to ,standard Oil Car►pany by deed, re-
cor.Ced November 12, 1921 in Book 408 page 365 of Deeds and re-
recorded Decermbe ii 7, 192:1 in Book 40�, page 52 of Deeds,
13. WIth reference to Item 7 of OR-1065060, the Huntington
Beach Company shall obtain a quitclalm deed from Standard Oil
Company, as Grantor, to the City of Huntington Beach, as Grantee:,
over that portion of Lots 3 and 17 included within a strip of land
10 fret wide, lying east of, parallel with and ,im ediately ad-
jacent to said west line of said hots 3 and 17 and extending
from the north line to the southeasterly line of said Lot 17 aqd
from the northwesterly line to the southwesterly line of said
Lot 3► as conveyed by Huntington Beach Company to Standard Oil
Company by deed recorded December 15, 1922 in Book 445, page 267
of Deeds, that will serve to eliminate exception No. 7.
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bolGMeAYer File
fAJiS E Q CITY CLEfiK�
THIS AGIUMENT, dated August 1, 1971, by az4 lwtrisen ti11 2W
BE/CS CWANY, a corporation (hereiwftar called '%DCo") and this CITY ('
Si> MM;TCM MACH, a municipal corporation reinafteyr called "City") ,
1%11AA" I
A. By Agreevent da.tsd nec•mber 15, 1959, thareinafter called "said
agreemat"; J.3Co agreed to sell. and City agreed to purchase upon the termF
and conditions thcxcin set forth tee property described as follows
Thai certair_ land cc_ztaining U.70 a---res. More or less;
Lo,-:, t thrcuw 22, inclusive, of Block 2002,
r.J 'J L� 3 ..i�_��:r •fin 6 {.n: iv�i-��:, :ind Lots 8 zr_o 110 of 11
•10c1:
•..1�' Iw.a .'?._. ... .. 1._ . L:�a. �1.�.: 11 �./ ...:. .. .: •{: ....'3 T, .. ..il1 1 f
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• such HBCo would be Ifilifived of its Obligation per said DeceWar 139 1969
Agreemevt to ranve Such oil wells. Pipeliage and oil UcllitIOX-
for and in consideration of tho am of tau and n01100
dollars ($10.00) and otter pad sanA val.uable considerations, th* receipt MA
--roby
sufficiency of which are haroby acknowledged, thatoartiap t hereto do ly.
mutually agree ae follows:
1. Faragraph 4 of the aforesaid agroaaant betwir- the parties harsto
dated DAcamber 15, 1969, is hereby amended by deleting the "rand saute n-ce
thereof and by adding thD 116ollowing:
'%Dco agrees that within rdaaty da-s following ractipt of
written notice from City to abandon and rsmKnra tho fle-iliciaa
dupLeted or. Lthtbit "B" Revised, attached her*to and mads a
part hereof, it sball have cleared all, of said .acid ties
except thooe facilities depicted is red from said proparty
sn-d gave ELCL-Mplished P-7.1 other MiLters as provided iu
Z-F-araDh 7 F-nd -z�bparagrzphl,- thereo-F of this
2. ph Pa:ayra5 of said agrctenent is hareby 6alecad,
az de -ad
3, PrtrAsrapl% 6 of said , -ree.-P-tui. Z ::era?-; a t-let
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THIS ASSIGNMENT, dated Ole' isL CNly of A%Igust', 1971, 1,%. mo
BEACH COVMY, a corporatlon (horeinaftor reteri-ed tk.o a. -
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r u t o a -i hervinaf ter provi.uum;
1. A!•signor dues herab.,.- gtal.U, assi.gn, transfer anfl -011VW., ;!111*11
-[.gnee, ,ill of Assignor's right, UtAc an-3 inter-wt in end 1.0 A4.1. we'll:;
pf.peli.nv!; and other equipment- us co 111 the operation of 5;,11"1 w- I I... pv,
1-.4ic proporty dei;eribud follow . ThalL cortain I. -rind
VtOrC. Or ILS.1i, known as LoLs 1. thr,l:Igh 22, i-ncliisivtt', of BIu(4- 21"4)2)
I 01r,migl) 0 kind Lot-; 8, imd LO ,!' [;Locit 2001, mid ? t.hrow�jl
and Lot:s 1.6, �71 -0 and of Woct,. U)03, O.J. in Tv;ict
.t}• ti'C'01:ded In book 9, pai;o--, 1:1 of 2-11aps, Record- ol' (fir-ni;o Col,TNO.. .
-ignot. 11"11'as lit) wo-I..'ini
avt! It t it, me I-,
n:'trt-jrill .qj- lj!.v t-)jj!reof, ant) As,,i-i,-tict! --iu I I. I
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,.-her equi.pniLwt Ili t.h(_tl- ;t,�w md .-onoi IL i0ll, "As I
tc A)i ch
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. ., ) I . - , . ". - !.'. - a.. — 41 $1 0 . . : t.- A W B , -, P 114% WA
EXHIBIT "A"
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•
i• A:;!,Jgnou ,agirc m tit tll,l!1':itUproduco •!lul I1ldlit.-tin said W'.I I.:; t:l
trrt,t c�,trlc is Vrlt h t1w t.!rms, ruv wrt ►tt1. ,atul ,►),1"Cul1w.11t.!> 60. t.h+: 1U.1,1C attacht-(I , .
Uhl. I,it. 11 to that curtaiti afire-M-anL dat1;d Au,;u:tL 1, 1971; but:'.we%I the par I!c s
i
1wrtito :and does also heraby indwitti•ty Assignor agdiDsL -;nd :stave, ; .asigliol
i
from any damage, expense, claim, ,sssit, 1mis or lirthi.lity t)f whALH(suVer k i.nd :,r
siaturt_ and by w►hoUlsoaver asserttad, arising diva-ctly or indirectly .from
1
.
-perating, producing, maintaining ur abandonment of said •x:11s, c=,tr;i►iy,l�il,wl tn+�
and other equLpment by Assignee.
i,
4. All right, title and f•nterest acquired b)l Agsigrwu pursuant Lo
this assigimunt shall be reassigned to Assignor in the cavtt.nt that Atioignor
i
exercicas its election to reacquire thu hereinabove described 1.1.10 acres
t
of lend pursuant to its election as set forth in Paragraph 8 of that: curtain
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agreement dated December 15, 1969, between the parties hereto.
S. This agreownt, shall be binding upon, and shall inure to the
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bunefi4t of the respective successors and assigns of the parties hereto.
IN VITNESS WHEREOF, the parties horet-) have executed this agreement,
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AS i�, GNEI ASSIGNOR
s
CITY OF HUNTINGTON BEACH HUNTINGTON BEACH COMPANY
t.i
a municipal corporation ra corporation
1
By By
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Mayor Vice President
By
is
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Assistant Secretary
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ATTEST:
Y;
City Clark AS TO F011114:
OON 11. B0111FA
City Attorney
Z:
APPROVED AS TO FORM:
By e
__. City AttorneyDeputy City Attorney
AP ROVED :
k
City Adirtinirst.rator
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OIL Ail GAS LEASE
ZRIS AGRUMT, mada and entered into as of the 1st: day of
August, 1971, between HUNTINGTON BEACH CWk4Y$', a corporation '(hereinafter
called "Lessor"), and the CMTY, Of HUNTINGTON PAA0K, s municipal corporation
(hereinafter cnilrsd %eaaee!').
1. Ths Lessor. for and in consideration of cite dollevr and: other,.
• •valuable conaideration, receipt and "sufficiency of'which is heisby acknowle:dgdd
• ,r
and in consideration of the covenants and agreements contained herein, hereby'
grants, lets and leases exclusively unto Lessee, the real property hereinafter
described for the purpose of producinS,.taking, removing, and. disposing oil,
. r.
k %c, and other hydrocarborz, and all other substarces produced therewith. Thq
property cowered by this lease, hereinafter referred to as "Said land", is
situate in the County of Orange, Statn of, California, and is de.scribeu as
follows:
"Said land" shall consist, of separate. and distinct cylindrical areas,
each 18 inches in di,a: meter, extending throughout the full. length,
course and distance of each of the wells assigned to Lessee by
maiganatint dated Aug/sat 1, 1971, and situatad on* the land described
as follows:
That certhin land containing 1.1.70 acr_s,, mare or less, known as
Lots 1 through 22, inclusive, of Block 2002, Lotm 1 through 6
inclusive,, and Lots 8 and 10 of Block 2001, and Lots 2 through
i 14 inclusive, and Lots 16, 17, 13, 20 and 22 of Block 1003, all
1ii i:4,4 . ►Yv. 1.49 U-4 beiLt)Lvau It i-I 37Vvn 7, 1JOA U J6J t!L ML;16:C1.Liii1%;17U i
Maps, Records.of Orange County, California.
2. This lease shall remain hi force' from the date hereof and for so
long thereafter are oil or gas is produced in payirg quantiLier, feorm said land,
or until such time as the Lus-,ce no lo�.,&ar owns the wells identified in
Muni X
NMRrvM\.MIA /7M1MurwV11 :' •+w. Wn.w��a�MIw+.M.rnsw. fir `>. l • � r '
* ,�/rr�N!~a�. '_ y,..'. r .� �iM4�11i7..NiNH�t 1rMM� f10 7wW�.w1/+IY'/ii1' !r�KYRJ�iYAY�11i+►�\►1%r�
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Aas+w,nmant dated Auguict 1., 1971.
3. Lai;:xrie nha1.1 pay Lc:;,sor as royalty t:iu: rr,rrl;t;t vrtl.tae at. the vi-J).
of 16 -2/3 par cant of all o-il, arid other hy,lrocarborm produced and saveto
from said land; or at Lesvorts option, in lieu ot: auch paynyInL, Lasuet shall
dwlivor said royalty share in kind to the credit of lessor into tics plpulixivs of
Le;rsor nocrest sat.d land to which the walls may be connected. Wssee may time,
free of royalty, oil, [gas or other hydrocarbons produced from said lands in its
operat{vn hsrqug0 r,
4. Except as otherwise provided herein, r�lyalty payments Ahall be
computed and paid monthly. Leaser shratl Furnish to Lessor monthl* written
stat:emants of the production from said land during the preceding calundfir
toonth. Royalties payable to crony with respect to production -from said land
during any calendar month shall. be paid not later than the last day . of the next
succeeding calendar month. If tha amount est;.mated to be payable to Lessor for
royalties is less than ton dollars ($10
)•;, or"if the amount of oil produced does
not justify shipments cili a monthly basis, tt,bn Lessee may,, upon prior written
notice to Lessor, make such royalty payments and written statements, on a quarterly,
semi. -annual or annual baths; provides!, he lever, all suns theretaofor accrued and
unpaid shall be paid at lreast once: each calendar year.
5. Lessee shall be liable For and agrees to indemnify Lessor against
any and all losses,, damages, claims, demands or actions caused by, arising out
of, or connected with'tha operations of Lessee hereunder.
6. This Luse may not be assigned, transferred, or sublets, except
wi tli the prior written consent of Lessor. Should the Lessor consent in writing
to the .assignment, transfer, or subletting of this Lease, the Lessee
continue to assume, during the term cif this lease, or any extension thereof,
jointly with any assignee, transferne or sublessee, responsibility for- compliance
with all the: terms, covenants, eagreemc.nt:s and provisions of this Tease.
7. This Leash: may be surrendered arid tormi.nated in whole or in part:
as to any well or w►Als not capable: of prcclucing oil or gee in paying Itiant.ities
by the Lessee at any time wri.thoc.t consent: of the Less -.or upon the payment of
all royalties and other obligations, due and payable: to the Lessor ,ind provided
that said Lessee has fully performed and complied with all the terms of said
-2—
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k.t� C`�!! ,. � a, � �,/1J't� r�. �+�; �r��(�,�� '} y /t'�yyy+� �J,c,.•�. � �,
1 1., i���V.MtwltiF}5�7•`N���j�••.i�f�v$+1+1�!A .'.� rj '• . ., "'�,.
//' Irw/wi��"�- r+err'�w�!wr+�.�+w.�r�Fwr�r��rw�lww•a.n..�.1.�.1� ..+ww�..•,
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gr1.y VR�N WIrO1.N.n.�°t rrK',ti..1N
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Leaves up to the tin* of such surrender, but in no avant shall such tnrwinawion
be effoctive until the YAsaaes has complied vi.th all ok the thorn existing lams
1
and rtel.ea and regulctions r-ilative `to the abandoment of rail and gay wells.
A. Loss" shall not redrill, deepen, rscomp,lp►;s at a shallower
depth, car in any a= acr alter tha l.ocationt d:Jpcn of courts of the existing
wells in paid lard, nor drill any walls below a depth of 500 feet on said land.
The lose*& shall also use all roatson4laa precautions to prevent waeta of oil
I,
or gas from s414 lands, the entrance of water or other substahcts through any
wails to tba oil -beating strata, and the don truction or Injury to the oil-bearing!:
strata.
94 Tho Loss", shall eaaerci.ae reasonable ali?.igaace in the operation
of the ell or wells trhils the production tmrrfrose can be obtoitod in paying
quantities and shall not unreasonably or umacessarily suspavA continuous
operations zxcapt with the consent of tip Lossor. All operations hereunder
shall be carried on in a proper and workmanlike seantsrr in aaccoxdance with
approved met;cods. The drilling and operating requiromentr of this Mayas may
be suapetWedl %bile, but only so long as, Less" is reasonably pratyaantad from
complying therewith. an.; only to the extent that compliance in prevented !.n
whole or in part .by strikers, riatb, fire,, flood, acts of God, action of
federal, stato, county or any goverrental &Soacy of tho Statom and provided
that such pre`►nation or praaveentiohg are v%olly and completely beyond than
control of th#e ler see+.
10. 74en6ee shall pay all ts:rasis levied against L#Am**ae"s machinary
and perco,%al property and, until Lessor shall drill a wQll into the 11.70
acres of land dsocribed in Paragraph 1 hareinabovs, which wall is capable of
producing oil or gas in paying quantities, Lessee shall also pay all taxes
(except the royalty share thereof) assessed upon mineral right1h or assessed
upon or weasured by production frcmn nr allocated to evch load. Lett*or shall
pwi the royalty shais of taxes assa,ssad upon mineral rights atW production
frcmt or allocated to such land. In the qvcnt Lessor doom drill 6 wall into
such lads, which wall is capable of producing *I! or gaps in paying quantities,
Zessor sball pay say taxes attributable to the productions from said well.
Lessen may discharp fit whore or in part, on behaU of lrressar, any Ax, mortgage
r,
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or 001c:: lion 1.1- eft ??(A.d if ne-s C!. vo2y rCdc',.rl ih-',
any 111:; f'alo or '-elju'lil.:t:tior.p Zvd i '.:y :t4Udz) f frozi itnY I
to),_:J as Iacct:utrig horoutider nrlit chall 6 to rtl.:h 11on taith thtr
xight to 4kaforce imna.
It. Lessor shall not drill or c6mplete any ws11 during the term huraoff
in the lands described in Faragtraph t heroinabove in the M&= producing interval
and within 300 feet of any of the walls aequireer by Lessee in Assigmart -juted
August 1, 1971,
1.2. All "tices heroin provided to be given or which may be given
by either party to tho other 3hal1 us deemed to have been fully glvan when made
in Suiting and de"dbW In the United States mail, regioteva 'i sod postage
prepaid, and addressed as follows:
(To Ow Lessor): Huntington Peach Coppany
2110 Main S tree t
Hunti lugton Beach, California 92648
and
(To the Lessee): City of Huntington !!mach
F. Q. &K 190
Huntington Desch, California 92648
The addiressen to whiob'-,the notices aWl `oi may be ,mi.lyd, as aforepai.d to
either pas: tr, che'll or -Asy big rhaagod by written notice given by such party to
the other as heisi.rabove provided, but nothiAg herein contained shall precludt
the giving of say such notLve by pereona►l service upon an officer of the Ciry •of
Huntington Beach, or an officer of 'the Lessor.
IM WITNESS I&W''. Fv the part;:ias hereto have executed this agrer4wnt.
LESSOR:
HUNTINGTON BRACH COWAIM
a corporation
By...........
Mica Presid4nt~
by
LASSES:
CITY OF HURTOGTON NAM
a municip4l' corporation
hey
Mayor
AZ'TgwT: , ,....
City Clerk
A"ROVID AS TO FW:
APP ROVED :
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City Attorney
City Administrator
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ORIGINAL COPY
for Master File
MIUST BE REJURNED.
TO CITY WEAK'
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TUTS ASSIGY NT, dated the 1st day of AuSuat, 1971, by and botw.an
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HUNTINGTON BXACH COMPANY, a corporator. (hereitasftor referred to as "Assignor"),
and the CITY OF HUNTINGTON BU-CH, a 'municipal, corporation (hereinafter referred
to as "Assignee")
0.K1W
That, for and in consideration of Ten Dollars ($10.00) and other,
good And valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, and of the mutual cu.reaants and agreements of the t•..rti.es
t
hereto as hereinafter provided;
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1. Assi.gnur does hereby .grant, aosi•gn, transfer and convey unto
Assignee, all of Assignorts right, title and interest in and to all
casing, pipelines and other a ui .rent used in the operation of said wells presentLy
situated on the property described au follows: That c.utain land containing
1'l.70 ac*es, moreor less, known as Lots 1 tthrou,gh 22, inclusive, of Ti:lock 2002,
h
ti
Lots 1 through 6 inclusive, and V.lta 8 and 10 of Block 2001, and ;cots 2 Lhrough
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14 inclusive, ind Lots 16 r 17, 18, 20 and 22 of Bloch 1903, all in Trani No. 1.2,
as recorded in Boob. 9, page 13 of Miscellaneous Maas, Records of Orange County,
i' California.
2. Assignor wakes no warranty with respect to its title aX said wells,
_. casi>> i cal.ires and other equipment, nor as to the n-terchantrabili ty sus fitness
8, p P �
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for any particular use thereof, sad ,hasignee accepts said wells, casing, pipeline
and other' equipment in their present: otaM atnd condition, "as is" and "wLth all.
f
{ faultall :o which sarue may now be subject:. Amaignar does warrant., ;znvrever, that
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the title tharetro is free and clarar of all lions or encumbrances made, done
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�..«.. or suffered by Assignor.
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ln�' 'N'01c I y vi 4!�"' h)l n'ld 11MR, �J'�Pllkr(A
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1OHAUNA A. PACDOMAL L;ifl 1111VE mt, I c. ;;m. I T110 �MZCM V. J
NOTARYRIBLIC-CALIF0,opq Othin krolm;;r'1141, On Wv�'i rf'l, fltf,
ORANGE COUNTY R' hy-hitl Of
MyCurnaii'
of its boar!)
r.l11) Fain Stmit. IfunflnRlon G,,jcjl, Call,. 926% my hA(.Kl 0-1
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'. ETj1TE OF CALIFORNIA)
COUNTY OF c RME )
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Cli �.. f.�9 + before me, a Notary Public in and fe oeil
St a per
ns1Z a eared George C 24cCrac%da known to the f o be the Mayor v
P Y Pp
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an Paul
e donera, known Ito me to be the City Clark o: the Municipal
Corporation that vxecutcd the within inotrumentg 2crowra to me to be the
ptroone who e-.ecutod the within instrument , crn behalf of th* Municipal
r, Corporation therein named, and acknowledged to me that such Huniclpal
-corporation ex!cuted the within instrument.
JIA3
WITNESS my hand rand official real. OFFICIAL. SEAL
ERNESTINA DFA-
r*4OT"y PUBLIC-CALIFOORANGE COUNTY
htycoExpire,June2
ray. ti. 1Q� i1�rt hl�, i�tgadta ftook coo. Rim
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5. Assign.* agrees to operate, produce and maintain said wallc i.n
accordance with the terms, cownaLnts and agre►m an' is of tha lease attacnmd as
Exhibit B to that certain agr•awUnt: dated !august 1, 1971, betli+en the parties
hereto and does also hereby imlenma fy Assignor against and save Assignor hax'arles1
from any damaga, axpenss, claim, suit, loss or Liability of what,sovior kind or
nature and by whomanever. asserted, arising directly or indirectly from
operating, producing, maintaining or abandznment; of said valls, casing, pipelitu.
and other equipment by Assignee,,
4. All. right, title and interest acquired by Assig-se.pursuant to
this assignment shall be reassigned to Assignor in t:hn event that Assignor
exercises its eleation to reacquire the hereinabove described 11.70 acres
of land pursuant to its alaectiorc as set forth in;Paragraph 8 of that certain.
agreement dared Doi -ember l5, 1969, betwasn the parties hereto.
5. This agreement shall binding upon and aha'll inure to the
benefit of the respective successors and assigns of the parties hereto.
IN WITNESS Wfi RE0P, the parties hereto have 3xecut►d this agreement:.
ASSIG'
CITY OF HUMNGTQX MACH
a municipal corporation
,min. w•.Lw .. .��. w.�ra_
Mayor
P
ATTZST:
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A, Cifny �: k
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APPROM AS TOIrORyMi
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Ct ty AttorrAy
PROM:
Aos-o # -City MMLOiltr4tOT
" ON01k
HUNTYMTON BEACH C(MPA"
a corporation
0000 alftresLd
by
AVice entr
BY
sistan,t &a - rFt:ary
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Opp ku"-wrp" Not bMUNWORAtIft
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]LAUNTINGTON BEACH COMPANY
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2110 MAIN S7.'AMa"1' • PINW411 (714) ses-65 11
HUNT1INGTON 112&C10, CALIFORNIA 0!e'►,`e
August 1, 1971
PROMMON PTIRJCHA0 AGIMR49NT
.MC mnirrrr.arrrr..rr�w
ORKGINAw COPY
City of liuntingtou Beach for Master File
V. 0. Box 190 �� ��� � URNM
Huntington Zeach, California 92648
+8 �Y PINT
emen • ~OC
Gentlemen: ITY UERK
P1euse refer to Issi.gnmenw dated August 1, 3.971, covering tho walla
(hereinafter referred to as "said wells") and certain other facilities
on the proposed Civic renter site and to Oil and Crae Lease dated August 1, .
1971, covering the operation of these 4a~.►%l+e .
Thin letter agreement, wnen fully executed and delivered to Huntington
Beach C Vany, shall constitute an agre3awnt between the City of Huntingtort
Beach (hereinafter referred to as "City") and Huntington Beach Company
(hazreinaftear .!eferred to as "Ma") with respect to the handling and Bale of
oil produced "rom the wells and oil and gas :Cease referred to above.
1. vita oil production from Raid wells is currently baling told to
Standard Oil Company of California under contract of sale with Standard
.dated June 18, 1969, which sales contract a.pplien to aril produced from
said wn-Ils and ottler r-alls oTimed by HBCo. A ropy of such sales contract Is
attached h areto as Exhibit A.
2. It is recognized that as of the Augu&t 1., 1<<71 Assi:gtwsrent of
said wells to the City, the oil produced theref-r.m ►..icame the property of
the City, subject to the aforesaid Oil anc° Was Lease dated August 1, 1971.
However, it is hereby agreed that so long nee the aforesaid sales contract
to Standard remains in full force Aad effect:, IMCo will continue to handle
read dispose of oil production from said wells on behalf of the City
subject to the following conditions:
a. As to oil produced from said wells and handled purruunt to
this agrebelment, City agrees to all conditions of "Seller"
as set forth in the aforesaid sales contract of June 189 19690
with 8taudard Oil.
b. City shall provide oil flow linos from they said wells and
derl,ivs r all oil from said walls to HBCo ar do's gatheri ur,
Was .adjacent to the City property upon which raid wells are
located@ for traWport,ing to ma's Xilay-lack tank fan `are
the oil my be camin,gleed with oilo gets or other hydrocarbons
from any other wall, or w all@,
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SPATE OF CALNFOirf A
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before W,, the u;*,dsm1Wj, a Nuterr WIC in arW for th5 Hw Stefe, Prson 4WNW
Hi
tt to >no to be tMl
r �t',. yj►. _Pre:idc�rt, and._..ti..-.•�,..'ax�t- Itmeart to rro
_ to be the _,AX-i5UxA'_—S:cratery of -----
MINT
�.�.o..---..�.w.YO FII+ C EAi. x T�tINT fNt� _ Y , �'�
th® rCop+ntion they e:cecutt the wtthln��I kr+orini to me to be M9 {�ar�alra
Jc?Hn►'tNA A. MraDraALn executed IN within Instr behatf of N Carttlon bet"•��WW, and idtrrom*w
NOTARY PUBLIC-
:f i �• f r ORAN.GE COUN Y to li!!t tf�r vtd tit'.;1 ex atett � hNthll! I�t pilredl� to Its of 1!
,•.,:r. 4CDVW13lonCxPitesOct.26,1973 : retalat�On of its rd`of &rat r
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• �' I 2110 t6ain Street, Nut,tington utac!i, Calif. 42S4fi
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STATE or caxlxFORxz k)
COUNTY OF ORANGL ) ,�
On before beforez4�, a Nataxy Pubic: in and for said ,
" St e, sonal. y appeared. Oeorge C McCraeke4,,known to me to be the Mayor,
?a, :". Jones, known to me to be the City Clerk of the Municipal
' Corporation that executed the withim inetriLnent, known to men to be: the
,�.Vtl pt,raoria who executed the within instrument,un behalf of the 1tuni.cilal.
orporation therein named, and ac knowle3dgnd to me that such Municipal
Corpaa�e.ti:n executed :rie wi thEn instrument,
M1;
WITNESS my hand u-nd oTf'•iftal areLl.
On-ICIAL SEA!
aewraY� �;,•,; ..,,,Ya..n
- ! ERNESTINA UiFAB11)
NOTARY PUBLIC- C.4WFORP1b'1 � •'
OFZA14GE Cl)tONV
• l� MiCamniairnExpinsiuiw25.1913
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City of Huntington Beach •2« August 1., 1971
c . City shall install faci?•i.tiess for maturing and sampling
all oil deilivered to HBCo at the point al. delivery to Wo's
gathering lines 'for the purpose of measuring the quantity of
oil delivered.
d. oil produced from said wellm shall be metered continu.oualy
and met&r readings taken daily by City, with the right in H.SCo
to do the mama, and adjusted in accordance with cbetomary
pract:! ce to conform to chipping tank ms;amurements of the
commingled oil-,
e. HBCo shall by pr3per devices and in accordant.a with customary
methods and prac:ticae, crake sc►roples and makes tests of the oil
produced prior to commingling, and a sch samples and tests to he
rmalde at least monthly shall be the basis of: determining the water,
sand and other foreign substance content of such oil. Thereaftar
the oil produced front a$id wells may be gathered with, and commingled
with and run to central storage tain:cs witlr oil produced from other
w ;lla and lands.
9, H.r3Co shall remit to City for the oil delivered hersundler the -
price per carrel it -Aachi,1es for the commingled oil under its
contract with Standard Oil Company of California, referred to in
Paragraph 1, above.
3. Vis agreemnt shall become affective an of August 1, 1971,
and shall continue in effect until terminated by eith-3r party
hereto on six month's prior written notice.
Please indicate your approval and acceptance of the foregoing by signing and
returning the attached copy of this latter.
ACCEM..1) A�lU RSI D THIS
s2a�rst�.DAY (1:F ' ..,, 1971.
CITY 01' Hi1NTINGTON MACH
a municipal corporation
By zy,`�
Mayor
Yours very truly,
BEACH CM ANY
: J % 1?
Y
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stant
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IN
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*AM Oil
t 14d AGO I I or. Md
UUM IS QWM a wLam' a *OrP� ►tioe* iiewd WUN, h$M1WfWr 46119d
I T.,94 0 8'.11 T I
661 ler-MV41V A$ I Is' am to da"r llto Wwrj daria, the-.00ftetive term of 014
si, and* 0
trvlm,oflo "Wait -to tM. vatle.w linits hmiagwr "t forth, of a
gravity of lot I"$ AsPole at a W06fataft of QUO (40) d@VM
fthrOMMIto Ondwd fkV tM1.A*Oi4,41tft§q �,ft 00 Oil yield,
da"Ahed of tollwo:
00f M PTOW
WZ
PEUVERIES
-.1
4
7hin contract shall, be effective ft
ot)stlaue after -
a- "Diifter othwivise prorldod) until
there,(unless norouter termlzLt4w 0
tiwWnatsd tj either party by sivI2111 not uses thus .—WAt-he pilar written mtke
of temination te the othor.tarty.'
Boller hereby warreats the title to all c"WO oil to be doliverrA herewdar W Soarm-
te'an ja) that oald cil will bye producedAwk strict complinee w1th sell aiwplitcable laws,
sM all ,rulers wad rvOilatlom Isawd theraWer, W M that said oil Is *M. %Til be at th
time of Wlrary fro,,) wW clear of smaj"rame or a&bsr OlLption, Miller berslyj agrom to
ItAqmlo-fter for %:W Ios* cr 6mge vhidh 'XWer a" su-sWo, and to bold Wye z har%;A'ew
from ww 11ability 01ch Buyer my Imur, by rem of wi failure or breach of aoy of Mw
foreselar, warmtles ane, goaruntles,
All deliTaries homxWr *Ull be."Irm tankW on tft, protarty Owrlbod 64M W4
litto the pipe 114 dss1P%W,1w'sir. or Into taik. trwA;A *,Frw,*#W for I* M.%or In the rail
fleld ro.*Orr*d to abovi, kUllar shall, at Itau0saim losWAP natutaln ind operate all
tanksle, P%ft", pipe lints . wW other facilities new*sary 44 aMe each dellvqrlis tJ MI
Itch time to tim. filler stall", at. Its AW PaIntaft a Auto nlro. In, the
outlet ItrA from *gab truth. Any wmgos In comations or (itber feeLlitin to aftwoo&te
Seller.shall be We at the expense. It pipe lince are nt avallablo for traimportimp
oil face such field, Boller shall pay fto cost of trusportlag sack cil by'temk trvpka...
arranpd for tw Maer over the obortest PMU"ble rwt* b1tween the point of deliverj is
the fiald and dowtination. All doliverUM Call bo Imped In Rebas texhLge. "r rijall
Mys the right to dovwW, tAW IWII*r *W1 be obliptsid to mks, dellyerr of said all at
aw time WMM, to the oPlaloa of Nyor. there U aontalaqWi im eveh tankage a qm%'Ity of
01.1 sufficient to wenrant ftwor's takfag delivery "mf, No 4*11"ry Well oe conisdered
We "r oball titlo to uY all profs to Baer nOW the all has boeC doll"W, luto'plps
line or toak tram as aranoild, WithmVin MW my 2WIfYIN4 the forelplago ftller
vote to Wier' W to so walses wtoo baer aW aa-W)rise to tale dellyM of 611 here-
elwe'r, the rl#%t to lay, saistain, operate and rsuo,* all primps, pipe liass 4*4 **or
fa illitles owasary to take deliveries of maid oil, toletber with the - right of in
imi-egraiss frow tine sbm-ftsorlbod property for *a &W all purpows k9rovabr, NWIWUW
M.,*W wirr"'tp that it has the authority to arght eveik r1Ah4;' provided, he"Twi .606T.
owl ba".00 Irlobt to, TO.MM $VWLlIMSa, pJpe 118" at Otmoi fatillites UWtalled St."
eapme of Seller,
as. -Me' to 044 Y w I CONDA 1. 1 C 04 no* g, I
11
I
+; All6d�l1 "liveries h4. :sasWsr mall Dot e1~4_.
M 4TIit,Y 1m Mls IN any ON wath or_.__*W•,ssM4M '( barrels in ear
AND "HT T an* fty.
{' DEL IVINY
s1i0 AND"r sleall not be oblitaa is 'w to take delivery horr, .%Mir of and- oil containing more than
MATE(! tnrwle (3) per cunt of toter, saner and other foreign aubitancesr,, as ssecert.uined by ef.ther the
TEETH "Qaaoline Test" or the "'slansol Teat," at the option of lityer, in a centrifugal machine.
6hou:d the lost used show threo (3) per cent or less of water, sand and other forsian
jubst.utes in sold oil, Btt *r shall aacipt the all %ad make deduction for the amount of
"3 water, sand amd other foreiin substances tberels As •ham by. said pest. It is understood
and agr*" that said *%spillae Teat" .shall be of such prvoortion of Iprtoline, rWned
bivulphide of carbon asael/ot alyr other solvent or&put d*aip atr*d by Door as My♦ be required
wholly to precipitate the water, sand and other foreign matt*- in the oil, and that said'
ad 'Wasol Test" .shall be me In acaazdame with ktbad of fist foir Water and Minent �1,B.T.td.
Desipation; D-H In its• t ea latest revision.
SA L;S All tests shall be t.ssde by Wysr xt its laWratory or at such other point as kory be,
' agreod upon bk buyer aid Boller, and all testa shall be side in xhe presence of a repro-
centsstive of Boller, sisou),d Seller so dtnlre. All wimples for testing shall be taken by
Beier from the tankage of Seller.
GRAVITYThe gravity of all delivered h6roundershs12 be deemed to be the smTity of the ales
i:{ereof taken sus hslr*ino1*vo provided.• as isndick0d by the hrdrouter and corrected .}o slit,/
(60) degrees fthreubei.t as shown ip. Table 5, A.B.T.M. Designation D-2250 in its then latest
revision.
tE1d•EltAltaRE The Quantity of all at sixty (40) degrees FitbreAheit shall be determined in a ccordrAnce
�, AEC71�6 with 'Cable ?, A.B.T.M. Designation 0-1250 in ita theA latest; revision.
' lMTCRO In Ilia event of interruption of the•production or delivery of oll by Seller frrm the
RUPTION OF property desorlWd above artaing out of or caused or contributed to by strtkou, lockouts
r pElt►�E!lIE9 or 3ther labor disputes, fires, washouts, ssslndtng of velis, baeakap of tankage or pipe
�. OR RE( I 9P'( '110e0, War, 13tuvitable cause, or any other Gaullre wit i-s ever not under the cosntroi of Selle+lr,
OF OIL Boller shall not be required to -deliver oil heromWer during the pert-.d of such lnternop,
tion, but tnollor shall re' swim making such, dellve-its imasedlintely upon caessatiosr of such
Interruption.* s nd in ti,e eve, -it of .total or partial interruption of the receipt, use,
mcessing ar diepos4~1 h "wr of oil being delivered beroundar, arising out of or caused
or contributed -to by ww of the aforesaid causes, or gory other cavoa whatsoever not under
the control of >hryer, &per shall not rA rm1uired to recaive W oil hereunder during the
period of such Interruption, but Buyer shall rearssvee receiving such oil iaw:distely upon
i cessation of such interruption.
PRICES Tor all cil delivered he«eundwr, Geller agrees to accept and Buyer e.urees to per,
except as herein otherwise provided, the current: prices offered by Buyer on the day of
delivery fo; oil of like Croupy +md quality in thw __...._.___Oil field,
The current prices offered by fyer are understood to be t e current prices as posted by
Buyer fram tiot to time, and Wane other. The prices currently panted by Buyer per barrel
of forty-two (42) U.S. Oellons in bulk are shown on sabodule No. a copy of
t whi/sh fa attached hereto.
C p16E1.) Whenever and 161 often as the prices eo offered !w boor for oil of gravity and qusaitty
fp lake that being delivertd hereunder are raised or Yowexed. Seller shall receive such hither
PRICES or lamer prtoess, sass tto cases my bt, for all oil delivered on and after the dty such pricers
are so offered., provided, that In �.be event such prices are lower than, the prices theretofore
in effect hereunder and are saslsto lower than the prices shown on thm schedule attached
hereto. 8e11r,r shall have the riSht, to be eaeraised within ten (10) dayb after such lower
y prices are ro suffered, to terminate this contract by giving one (1) day'ss written =tics
1
thereof to 'Myer.
l�A1'MEtI'fS All payments for the oil delivered during each calendar wnth stall bo asade betwoeu t2re
t firtt and fifteenth days of the, succeeding calendar sa mth. In the event of dispute age to
t the+ title to said ail, of any pars thgreof, or as to any payment hereunder, or av portlas
thereof, ;lamer ,say, without incurrinc any liability, withhold Payment pending determigatiaa
of such dfnpute, or mad► interplead the claineents, and the payment into court by mot' of
the Lwunt due fcr oil delivered. hereunder shall be deeasW sR complionco with the previaiaw
hereof in respoet to payment to," such oil.
00@100 M49T sumo. t cau019) (co. tale)
+� NlllltTf! IM Y.�A.'
7.44
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;g R It as mw ts" oil 3thred for detiwezy borouaftr r be of a gratuity later "*a
the
ricetAps speoiflad' `MO Mwer, at its optla, my rift_ riot t d+el1my of said of l or ;
larrc hwn wild all' at mob Priee as Myer will ply sod Seller saosprt. it at ww timo all
attend for delivery berersoder *ball aont4in sere then three (t) pef cent of Later, mod
or ether forotgs'suhstasoos, fs secostained 4 e► toit provided for bon. -Log Nyor, at its
optics, fty *00opt sniff oil and reefs deduction for took reWee, s'tad or other form"
substasaes as determined by said toot. It at any tU* ail shall t*s offered for delivery
Leriwler to aryr quaatity to wxeesr of the nopthly or daily ms>tf,m hersinbstore spec!': iod,
Myer at its agtion, may Purchase said exo+oss oil in accardwe with the tet*s bereot.
No purchase of oil b:r fter wader the provision of this paradriph shall k� dtssod a waiver
of llVer` s right to require e11 deliveries herounder at ate► tim Y. vrpatter to W strictly
in acaordaace with the tome &rid cc.nditioas set forth is the other psrspraphs of this
contract.
OIL UNKA' Iten requested to do so bw Myer, Boller will deliver rill cil of a gravity of late tb"
too GUVI Y twenty (NO) degre$ A.P.I.•, including all delivered aeder the provisions of the, next pr*-
ceding parsimpb, at whatever tempersturs, from one' hundred (100) degrees fthrenheit to
on* hundrod seventy (170) asgriss Fahrnnhdit, User mom► from time to t1w specify.
GENERAL Any notice hereunder, addressed 'to the tarty for whom it is intend A and depoelted
P4PQYINI4>!Is in a United States Poet Office, Poatase 1 rotalid, shall be oow.14erwd good VW valid notice
berewder affective from the date of mailins. -
The waiver by ctither party of any br4fth of any. provision hereof shall not be deemed
a waiver of any caber breach of the si►rioe or sir other provision.
Time is of the assence of this contract.
Everything herein contained which binds or aff4ots the palrtion herato shall in like
alaritl+arr bind end affect their respective successors and assigm.
IN QITMW ROli A%W, the said parties hereto hoe" caused this contract 'to be executed
In duplicate by their proper officers. who are thereuato duly authorized.
11
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FIELD COL M! MINI I I Comm F I RD COO"
ALrrr.1T2 ANTICLINE 20 4}tti,ELEY it FALC4A 2Y
ANTELOPE HILLS 20 GUIJARRAL HILLS is PLEASANT VALLEY 95-
ALI5O CANYON 12 PLCITO CRILK t1
ANT HILL OLCESE 21 HOLSER CANYON 12 Pt)SO CRt EK ; ti
A2PHALTO 22 HONOX. RANCHO 12 PYAM-410 HILl5 74•
HUNT1NGTOK BEACH 1
BAND kNt 7 RAILROAD PAP 22
BARGSOALE 12 INGLEWOOD 6. RAISIN CITY 2�,
BELGIAN ANTICLINE Rkh'M NA 12
(MAIN & NW) 20
f3ELl.E�'t!E WEST 22
:A! ALfTOS 25 RICHFIELD 4
.
ROSECRANS 7 '
SELt•RONT OFFSHORE 3
KERN' LiLUr1• ? 1 )!05Ef)ALr.. 2;
UELM I IJGL 20 c ,
KIRK FRONT 21 ROSEDALE PINCH 19
.. BLACKWELL'S CORNER 24
KERN RIVER z t RO;,ND MOUNT41 H 21
6RAULEY CANYON 17
KEITLENIAN HILLS 25
SUENA VISTA. HILLS 24 i
SANTA FE SPR I14GS 7 ( 9
,
LAS CII:Nt:(iAS 7 SANTA MhRIA VALLEY III
CANAL 22
LONG BEACH (SIGNAL HIL-L) ( SATIC:OY 12
C.ARFtr11r'kIA QFrSHtOR: I?
t.OST HILLS 13 SEAL BEACH 3
CA:.tA1C HELLS 12
1.05 ANGELES DOWNTOWN ;► SLMITRsJPIC 27 1
CASTAIC .►UNCTION 12
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`�• IS'' ��rrYu tan yin, re I.r r'• ..,
sFt. MCDONALD ANTICLINE 20, STRAND 22
;• COAL i NGA 25 1
Mc K I TTR I CK 2 I SU4.1ERL 4hD OF 1• SHORE 12
COLES LEVEE 22
►ID AY•SUMSET 24
CRESCENT..HEIGHTS f
,, • MISSION 12 TEJON GRAPEVINE 1p '
c.' C Yrrrt ! C 2 0
►. FAONTAI,VO WCST TEJON BILLS 19
(COLONIA POOL)
TORRANCE 5
' DEL VAL'.E 1 z AICfITALVO WEST
(NICGRATH POOL) 10
i4ONTEOELLG 7 VAL.-L,. 2S
' EAST COYOTE 9 �
t;• MORALES CPNION 2- VE:N ICE EEACH 5
.';. ED I SUN t
" VENTURA AVC. 14 I
t" Et. Rio ) I
. f MOUNTAIN VIEW 4a i
I EL SEGUNDO 5
WESr CON'OTk
e'+ ELd HILLS (SHALLOWI 24
yr NEWPORT WHEELER RIDGE 20
L'L!' 11',c.LS (ST6EUS) 22 'iAF:.Y;.tlki SUGAR AREA) 2
t g 11'H;TT IErr
ELWOOD 15 NEWP.ORT
+w (OTHER THAN A14AHEIM WIL.MINGTON 4 i'
r; { SUGAR AkEA) i I
f I LLMORE 12 NOFt')•1l TE JON 19
FRUITVALE 21
► 0!(N&RD 10
GATO RIDGE 16 i
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ORIGINAL COPY.
for Martm FIN
MUST BE RETURNED
TO CITY CLERK
WS AGUNCT, made and antored into as of the lot day of
Auprt, 1971, between l!MNGTOR MUM 00NPAXY, a corporation (hereinafter
ta1144 .%enser"), +and the CITY CW lit MYGM EXACB, a" munici.p&l cot oration
s+rioalter called "Lessee").
1. Tice Lessor, for and in consideration of one dollar and other
valuable consideration, receipt and aufficieancy of which i.a hereby acknowledged
and in consideration of the covenants and agreements contained %erei.n, tsraby
1 .
grants, lots argil leases exclusively unto Lessee, the real property hereinafter
} describad for the purpose of producing, taking, :removing, and disposing oil,
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$as, and other hydrocarbons, end all. other substancas produced therewith. The
r. ro.arty capered by this lease, hereinafter referred to as "said land", is
`. situate in the County of Orange, Stale of California, and is do cribed as
follows:
wow w+.+�r.wr IwI.F•�...M ��••�
"Saidi latnd" shall cotmiit of separate and distinct cylindrical, areas,
each 18'9.nchas in diaueeter, itxte ndi,ng throughout the full Length,
course and distance of each of the a*-lls assigned to Lessee by
Assignunt dated August 1, 1971, and situated on thc, lend described
as follows:
T1hat certain, land containing 11.70 acres, more or leas, known as
Lots L through 22, inclusive, of Block 2002, Lots l through 6
incl.ueive, and Lets 8 and 10 of Block 2001, and Lots 2 through
14 irclusi.vg, and Lots 16, 17, 13, 20 and 22 of Block 1903, all
1a Tract No. 12, as recorded in X-)ok 9, page 1.3 df Miscellaneous
Maps, i6cords of Orange County, Cali.forri.a.
2. This lease shall remain in force from thce date hareaf and for so
long thereafter au oil or gas is produced in paying quant:i.t:Loh, from said landp
or until such time as the lessee no lr,.onger ogee they wells identified in
. :,t .i.'.7. .1.1 �, ., .'11�,. ,,, yCti�),,#�'111��i��i P".ti+1�1�`7f+'iO4t�YQP�R�.+w.u+sal+nor..w...�.........».«.�..•»........._-._.........� ._.. .... ......... «`....,_....�.... ' ..... � f
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N O�l.laaM1twt.li.1V V.1YRVSY'... N O•.. •r ...tiNfNMY'1� Ir Wrr►M•RwM�IN�.t�•�l `,
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b�M1N�!►,yy'y!�,�'1t :1!1Fe'�P�i 1119�,. '+.i��!9�!���11�'ia�, ,'', ' i�%aa,�y `•,�+�I
Asti.grmnt dai,ed Au3ust 1, 1971.
3. Lessee shall pay lessor as royalty the market value at the wall
of 16.2/3 per cent of all oil, gas and other hydrocarbons produced and salved
from said land; or at Lessor's option, in lieu of such payment, Lease& shall
deliver said royalty share in kind to the credit of Lesson into the pipelinas of
lessor nerrest said land to which the wells may be connected. Lessee may use,
free of royalty,'oil, gas or other hydrocarbons produced from aaid lands in its
operations hereunder.
4. fteept as otherwise provided herein, royalty payments shall be
computed and paid monthly. Lessee shall furnish to Lessor monthly written
statements of.the production from said land during the preced;ng caiendfir
month. Royalties payable in money with respect to production fray said land
during any calendar month shall be paid not later than the last day Iof the next
succeeding calendar month. It the amount estimated to be payable to Lessor for
royalties is less than Len dollars ($10)0 or if the amount of oil produced doss
not justify shipments on a monthly basis, then Lessee may, upon prior written
notice to Lessor, make: such royalty payments and written statements, on a quat:terl.y,
semi -,annual or annual basis; provided, however, all sums theratofor accrued and
unpaid shall be paid -at least once each calendar year.
5'. Lessee shall be liable Ear and agrees to itidewniff Lessor against
any and all losses, damages, claims, demands or act;ona caused by, arising out
of, or connect&d with the operations of Lessee. hereunder.
6. This Leatie may not be ass igued, transferred, or sublet;, e::cept
With the prior writrcn consent of Lessor. Should the Lessor consent in writing
to the assi.gtuwnt, transfer, or subletting of. this Leasa, the Lasses shall
continua to assume, during the term of this, lease, or any extension thereof,
jointly with any assignee, transferee or sublessee, responsibility for compliance
with all the terms, covenants, agreamnts and provisions of this Lease.
7. ',d,'his Lease may be surrotdered and terminated in whole: or in part
as to any well or veils not capable of producing oil or gas in payi•rg quantities
by the Lessee at any tims without consent of the Lessor upon the paymanr of
�f
all royalties and tither obligations dUO and paYabla to the Lessor and provided �
that said itessee has fully parlonn and comp? ied with sa.l. 6 w trAraas of said
y5'
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. 11Y4I.�M.RIK'l�W`JNrrTI'rMi/'•w4�lM �NiSMM AM'r^q'NW w�MYIiMAMW'MMW......YIMMVMM'tl1A'MA♦K.l'MMI'MM�N71�
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Leas* up to the time of such surrender, but in no event shill such termination
be effective until the Losses has cmrtsplied with all of the them existing lairs
and rules and regulations relative to the abandoment of oil and gas wells.
8. Lessee shall not •rrdrill, deepen, reeomplaete at a shallmor
depth, or in any mannear alter the location, depth or course of the existing
,eella in said land, nor drill any wells below a depth of 300 feet on said land.
The lease* shall also use all reasonable precautions to prevent waste of oil
or gas from said lands, the entrance of water or other eaubstances through any
wells to the oil-bearing atrat4, and the destruction or injury to the oil-bearing
strata.
9. The Lease* shall exercise reasonable diligence in the opsr!et:ion
of the wa11 or wells while the production tlstierefrom can be obtoined in payinh
quantities'and shall not unreasonably or unnecessarily suspend continuous
operations except with the consent of the Lessor. All uparations here�,under
shall ba carried on in a proper and workmanlike manner in accordance with
approved DAtliods. The drilling and operating requirements of this Lease may
be suspended while, but only so long as, Losses is reasonably praventl&d frum
complying therewith and only to the: extent that compliance is prevented in
whole or it part by strikes, riots, fire, florid, acts of God, action of
federal, state, county or any goveartmeental agency of the State,, and provided
that such prevention or preventiones are wholly and completely beyond the
control of the Lessee.
10. Lessee shall pay all taxes levied against Lessee's machinery
and personal property and, until Lessor shall drill a mall into the: '11.70
acres of land described in Paragraph 1 hsreinabove, which well is capatze of
producing oil or gas in paying rquantitlea, Lessee shall alen pay All taxes
(except the. royalty ahare thereof) assessed upon mineral rights or assessed
upon or measured by production from or allocated to such land. Le>arNor shall
pay the royalty share of taxer ass6ss*d upon mineral rightea and production
from or allocated to such land. In the event, Lessor does drill a well into
such lands, which wall is capable ox" p!rode:e.ing oil or gas in pitying quatntit:i ol,
Lasser shall pay any tax** r.,ttributable to the production from said well.
Lessee may disehargs in whole or in pant., on hahalf of Laaxar., any that, mortgage
"3
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3747t uF CAiIFOWL,
COUNTY
ON
before me, the ersigned, a Notary Public in and for the said te, permit°iy arod
und
knawtl to me to be the
Jim _ --prosident, and......_—.4- J G00W n knuNn to me
' to be tl fL—asMj It•-nt-Aecretary of -------
OFFICIf�i, SEAL TT
y `"� • the ►rparat�tf exem a the in sratrurnelnt, knorlm to me is l� the pelaolra who
JOHANNA A. McbONALA Instrsnr, on behalf of tha Corporati01 eaf, and acicxrwledged
•�'+ NOTAAY PUSILIC•CALIFVRNIA ; e><ecated the within ,
` ;-`'•.'. �� ORANGE C.)UNTY to me that 99h C Ion a uteri tree within Ir�tr , pursa> to its by-ltvu� or a
}lytnr�ml;slnnExpucs4cL2G,1973 ; resolvticn of its d of INrert `� r
2110 N!" WITNESS my ha and official s I. /
L r SIreet, flu i(ington V00, C2111.-92G S
r + NAME (TYPED 011 PRIM7EDy
Notrry i *11c In &M for Uid Stile.
�•-- ACIW0111i0�MENT— rA.--ern. a toe —wowtb Form v1=1v. 3'M
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F STATE OF CAtIFCMIA 6S
iic OF- 01iPW1iG ) °
r+ ►:�� r % , before me, a Notary Public in and for said
h�, S e, p aonslly appeared George C McCrackenjknown to me to be the Mayor,
caul P. Jokes, known to me to be the Cit,r Clark of the Municipal
Corporation that executed the within instrument, known to me to be the
_.._,_.. persons who executed the within instrument , c7rt behalf of the Mun icipea
4: Corporation therein named, and acknowledged to me that such Municipal
3 -Corporation executed the within instrument.
WITNUS my hand and official seal.
A�OFCICir\', SEAL
E:NNE=ST;NA DiFABIO
- j NOTARY PUBLIC-CAI.IFORN{A
r— i! ORANGE cO:INTY
' MyCommissionExpire&June25,1973
` P. 0. su 190, Hu►4tinvon ile+rh, Wit. 9
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or oth6v liar upon said sand, or may redeem the sale from any pur-ahasas aL
any tax saki or adjudication, and say reimburse itself from any rentals and
royalties accruing hereunder aiW shall be subroSated to such lien with the
right to enforce own,
11. Leesvr shall not drill or complete any well during the term hereof
in the lands deacrA.berd in Parat raph 1 hereiviobov4 in the *Nm producing interval
and within 300 foot of any -oil the wells acquired by. Lessee is Aesilpvwnt dated
August 1, 1971.
12. All notices hersin provided to be given or which may be given
by si.ther party, to the other shall be deemed to have been fully given When made
in writing and deposited in the United States mail, registered and postage
prepaid, and addressed as follows:
(To the Lessor): Huntington Beach Co"any
211C main Street
RunCin;tou Beach, QAlifornia 92648
and
(To the Lessee): City of Huntington Beach
P. 0. Bar 190
Huntington Beach, California 92648
The addresses to vh.ich the noti.cela shall or may be mailed. as aforesaid to
ei.ther party, shall or may be changed by wrimn notice given by such party to
the other as here:inabWe provided; but nothing herein contairwd shall preclude
the giving of any such notice by personal. service upon an officer of the City)of
Huntington Beach, or ,an officer of the Lessor.
IN WITNESS WfEREOF, the parties hersato have executed this agreement.
LESSOR: LESSEE:
HUAT' iNGTON BEACH COMPANY CITY OF Wi"T.IDGTO11 UACH:
r. a corpoon a municipal corporation
By By
c +. r'e 3i.dent � r
� B Z .air sT .
_..._......,..w_.�...,.... city clerk,r/ ,_......._.
A'PROM ,Ar,S TO FM: ;.
f kCity---Attorney
APPROVED:
i � wCity Administrator
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