CO885-24 — Page 422

PUBLIC RECORD OFFICE

· Reference :—

C.O. 885

24 PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC-

COPYRIGHT PHOTOGRAPH-NOT TO

Lenee not to culti Tato.

(Trinidad Model, 1914, Part vii. || 4). Timber, ko., not to

be cut down. (Trinidad Model, 1914, Part IIL, § 3).

Land for surface

operations.

(Trinidad

model, 1914,

Part III.,

Section 1.)

(This clause and

the following one

are designed for a lease of Crown land

in Trinidad and

require special Donsideration as regards their

suitability for any other Colony. Some additions have been made to the

Trinidad wording

in order further to

define the position

of the lessee in regard to other oocuplers.)

Sale or lease of

land to third

parties.

(Trinidad

model, 1914,

Part III.,

Bection 2: see

note to last

clause.)

6

upon or within such lands and to collect, impound, and bore for the same for the purpose of working the said borings or works, but so that in the exercise of this privilege the lessee shall not deprive any lauds, villages, houses, or watering places for cattle of a reasonable supply of water as customarily drawn therefrom at the date of the lease;

(c) subject as hereinafter mentioned, to enter upon, use, and occupy a sufficient part of the lands specified in the lease and any borings for depositing thereon the products of the said borings and all the earth, soil, and other substances brought to the surface and for otherwise carrying on the works of the said borings;

(d) to refine oil upon such lands on any site approved by the Governor in writing,

whether for the purpose of sale or otherwise;

(e) to store, take, lead, pipe and carry away, on, under, or over such lands oil and refined products and to dispose of the same at his own will and pleasure, save as otherwise provided by this Ordinance or any regulations inade thereunder ;

(f) to erect, set up, and make, in, upon, and over such lands workmen's houses, sheds, engines, machinery, furnaces, building erections, pipe lines, railroads, tramroads, and other roads necessary or convenient for the effectual working of the borings, diggings, or works connecte 1 therewith and the exercise of the several liberties and powers granted by the lease;

(7) to search for, dig, and get gravel, sand, and stone for the purposes of his

undertaking, but not for sale ;

(h) except as regards any lauds lawfully set apart as a forest reserve or otherwise lawfully excluded from the operation of this subsection or expressly reserved by the Governor when the lease is granted, to cut down and fell any timber standing or growing on the lands specified in the lease for the purpose of facilitating ingress and egress to and from such lands, or of clearing lands for the erection of machinery and plant in connection with the said borings, or of clearing lands for erecting and making habitable and healthy the houses of workmen and other persons employed by the lessee; (i) and any other power expressly mentioned in the lease. 25. A lessee shall not cultivate or use the lands specified in his lease in any manuer save for the purposes of his lease and the rights thereby granted.

26. Except as provided in this Ordinance a lessee shall not without the express sanction of the Governor or his representative cut down or injure any trees or timber or any crops or produce but may clear away brushwood or undergrowth which interferes with the due exercise of the liberties and privileges granted by his lease.

27. (i) Before taking any land for surface operations the lessee shall give to the Governor or his representative fourteen days' previous notice in writing speci fying by name or other sufficient designation and by quantity the land proposed to be taken and the purpose for which the same is required.

(ii) If the land so specified is not required by the Governor for any public purpose and is not legally and beneficially occupied by any person other than the Crown, the Governor may, by notice in writing, grant permission to the lessee to take the land for the purpose named.

(iii) If the land proposed to be taken by the lessee is, at the time, legally and beneficially occupied by any person other than the Crown, the lessee shall, before taking such land, pay to the occupier reasonable compensation, and any dispute with regard to such compensation shall be determined by arbitration.

(iv) If satisfied that any such land as last aforesaid is the only reasonably suitable site available and that the lessee will be materially injured by any delay in acquiring it, the Governor may, by writing under his hand, authorize the lessee to enter upon the land without awaiting the result of any arbitration, provided that the lessee gives security to the satisfaction of the Governor for the payment of any compensation awarded and of any costs of arbitration, when due.

28. The Governor or his representative may give notice in writing' to a lessee that application has been made to the Governor to purchase or lease any part of the Crown lands specified in a lease, and that if the lessee does not within ninety days from the date of receipt of such notice make objection on the ground that the proposed sale or lease by the Governor will detrimentally affect the rights of the lessee under the lease, the Governor sell or lease the land specified in the above-mentioned notice freed and discharged

may

7

Governor may work other minerals, ko. (Trinidad model, 1914.

from all rights of the lessee. The validity of any objection made by the lessee shall, in case of dispute, be determined by arbitration.

29. The Governor shall have in respect of

power

any lands specified in any lease- (i) to enter upon the lands specified in the lease and there to search for, work,

and get any minerals or substances other than oil; (ii) to enter upon the lands specified in the lease and there to make and maintain (Trinidad

such roads, tramways, railways, and pipe lines as shall be necessary or expedient for any purpose;

Part iv.. Section 1.)

model,

1914; Part iv., Section 2.)

model, 1914; Part iv., Section 3.)

(iii) to grant or demise to any person all or any part of such lands for any (Trinidad

purpose subject to the rights of the lessee under the lease; Provided that compensation shall be paid by the Governor for all loss, damage, or injury which the lessee may sustain in consequence of the exercise of the powers reserved by subsections (i) and (ii) of this section. The amount of such compensation shall be settled by arbitration in the event of any dispute.

1914;

30. Subject to the provisions of sections 31 and 32 of this Ordinance there shall be Royalty. paid to the Governor or his representative at such times and such places as the Governor (Trinidad inay appoint royalties on each ton of crude oil won and each thousand cubic feet of nodel, natural gas won and sold by a lessee under any lease at such rate or rates as may be Part v., and specified in the lease; and if no such rate or rates be specified the royalty on crude oil Cd. 6861.) shall be at the rate of two shillings for each ton and on natural gas at the rate of one penny for each thousand cubic feet of natural gas sold. For the purposes of this section the quantity of crude oil won shall be the quantity received into field storage tanks after deducting water and foreign substances and any oil in respect of which no royalty is payable; and the quantity of natural gas shall be calculated at an absolute pressure of one atmosphere and a temperature of 60 degrees Fahrenheit and due allowance shall be nade for any natural gas in respect of which no royalty is payable.

froe of

31. No royalty shall be payable on oil or natural gas which shall be certified by the Oil and gas officer appointed by the Governor for the purpose to have been used by a lessee for the royalty. usual and customary purposes of carrying on his works and for domestic consumption in (Trinidad the houses and offices of agents and workmen for the time being employed in and about Part vi

his works.

model, 1914;

Section 3.)

kind. (Tri-

32. The Governor shall have the right from time to time to call for the delivery Royalty in by a lessee at the place or places of production of a quantity of net crude oil not nidad model, exceeding ten per cent, of the net crude oil there produced in lieu of royalty. In 1914: Part this event the lessee shall be relieved from payment of royalty on the quantity of net crude oil so taken by the Governor, and on a further quantity of net crude oil equal to nine times the quantity so taken by the Governor.

Y., Section 3.)

33. The Governor when granting a lease shall determine a sum of money which Minimum

Royalty. shall be payable by the lessee in respect of each year by way of minimum royalty (Trinidad whether or not any oil has been won by the lessee under the lease in that year.

Provided that

model,

1914;

(i) the Governor may when granting a lease determine a period, not exceeding Part v.,

five

years from the date of commencement of the lease, during which Sections I, either no sum or only a sum less than the amount thereafter payable Part vi., by way of minimum royalty shall be so payable;

Section 2.)

2.3:

5458

(ii) in any year in which the Governor shall call for the delivery by the lessees of a quantity of net crude oil in lieu of royalty the minimum royalty, if any, payable by the lessee in respect of that year shall be reduced by a sum equal to ten times the royalty payable in respect of a ton of net crude oil for every ton of net crude oil so taken by the Governor;

(iii) if in any year for which minimum royalty is payable the lessee shall not win such quantity of net crude oil as at the rate of royalty determined by his lease or by this Ordinance would produce for that year the amount of the minimum royalty payable in respect of that year, then during the year next succeeding that year, but not afterwards, the Governor may remit the payment of an amount of royalty equivalent to that required to make up the difference between the amount of minimum royalty paid and the royalty payable on the net crude oil actually won during that year. But no remission of royalty shall be made under this subsection in any year other than the year next succeeding that in which the amount of minimum royalty paid exceeded

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