LEASE CONTINUATION APPLICATION
(Note: PrairieSky’s receipt and your submission of this Lease Continuation Application shall be without prejudice to any of the parties’ rights and obligations under the lease described herein and Lease Terms will prevail.)
Part 1 Applicant InformationApplicant: / Internal Use Only
Address: / Date Received: (YYYY-MM-DD)
Authorization(s) Attached (Data submitted by a company other than a recognized lessee must be accompanied by an Authorization Form to support this Application).
Part 2 Lease Information
Lease Date: (YYYY-MM-DD) / PrairieSky File Number: / Lessee File Number:
Leased Substance(s):
Leased Lands / Said Lands / T / R / W / : Sec
Leased Formations / Demised Estate:
Expiry Date: (YYYY-MM-DD)
Rental Cheque Attached: / Yes No If No, please provide explanation:
Part 3 Continuation Requested
Use separate columns for EACH well/formation related to this lease. Use additional pages if more than four (4) wells/formations.
Land(s) requested for continuation: T R W : Sec
UWI / /---W/ / /---W/ / /---W/ / /---W/
Well Type / Vert. Deviated
Hz / Vert. Deviated
Hz / Vert. Deviated
Hz / Vert. Deviated
Hz
Formation(s) producing
Open Perforations in metres (TVD for vertical or MD for horizontal) TVDMD / TVDMD to TVDMD / TVDMD to TVDMD / TVDMD to TVDMD / TVDMD to TVDMD
Formation Tops in metres (TVD for vertical or MD for horizontal) TVDMD / TVDMD to TVDMD / TVDMD to TVDMD / TVDMD to TVDMD / TVDMD to TVDMD
All Well Data Sent to PrairieSky / Yes / Yes / Yes / Yes
Check applicable:
Pooled
PAUA
Spacing Order
Unitized / Details: / Details: / Details: / Details:
PRODUCTION STATUS (Provide information for one selection – 1, 2 or 3)
1. On Production Date (YYYY-MM-DD);
2. Production Operations / Drilling Operations
(Anticipated on production date YYYY-MM-DD); or / Date/Details: / Date/Details: / Date/Details: / Date/Details:
3. Deemed Production Operations
(Compensatory Royalty Payments) / Yes Offset Formation(s):
Part 4 Signature and Contact Information
Applicant Name (Printed) / Title / Phone / Date (YYYY-MM-DD)
Applicant Signature
Technical Contact (Printed) / Title / Phone / Fax
Forward Completed Application To:
PrairieSky Royalty Ltd.
Attention: Land Compliance
1700 - 350 7th Ave SW
Calgary, Alberta, T2P 3N9
-- Or –
P.O. Box 780 Station M
Calgary, Alberta T2P 2J6 / For Internal Use Only
Continued Land(s)
Formation(s)
Meters: m TVD m TVD on the log of the well below
UWI
Geology Sign Off:
PrairieSky Royalty Ltd. Lease Continuation Application Version March 2017
INSTRUCTIONS FOR COMPLETING LEASE CONTINUATION APPLICATION
PART 1 APPLICANT INFORMATION
§ Provide the requested company information
§ Is applicant the registered lessee? If not, an Authorization Form(s) is required. Form can be downloaded and completed at http://www.prairiesky.com
PART 2 LEASE INFORMATION
§ Lease Date: Indicate date of the lease
§ Leased Substance(s): Indicate any and all substances included under the applicable lease.
§ PrairieSky File Number: this is the PrairieSky assigned lease number as noted on the bottom left corner of the lease. Please use a separate form for each lease.
§ Leased Lands (Said Lands/Lands): Indicate the Township, Range, Meridian and portion of the section covered by the leases.
§ Demised Estate (Leased Formations): Indicate the formations that were granted under the leases.
§ Expiry Date: Indicate the expiry date of the primary term or expiry date of any primary term extensions granted by PrairieSky as specified in the lease.
§ Rental Cheque Attached: Continuation applications will not be processed without rental payment.
PART 3 CONTINUATION REQUESTED
· Land(s) requested for continuation: Indicate the Township, Range, Meridian and portion of the section that will be continued per the lease terms.
§ UWI: Identify the unique well identifier for each well related to the lease.
§ Well Type: Specify if well is Vertical, Deviated or Horizontal. If well is Horizontal please attach a production allocation unit agreement (PAUA) if applicable.
§ Formation(s) producing: Indicate the name of each formation producing for the UWI. These producing formations will determine the Demised Estate (Leased Formations) to be continued under the lease. The terms of the lease will indicate if there is deep rights reversion or Formation based continuations.
o Formations: PrairieSky reviews each formation for which productions operations are being diligently and continuously conducted or drilling operations are being conducted at the end of the primary term. Please note the examples of "formations" recognized within groups:
§ Edmonton Group – Scollard, Horseshoe Canyon
§ Belly River Group – Oldman, Foremost, Basal Belly River
§ Mannville Group – Glauconite, Ostracod, etc.
Formations vary by region and the above examples are provided for illustrative purposes only
§ Open Perforations: List all open perforated intervals for each well (i.e. 1500 to 1525 metres, 1575 to 1622 metres True Vertical Depth (TVD) for vertical wells or Measured Depth (MD) for horizontal wells).
§ Formation Tops in metres TVD or MD: Include the top and bottom depths of the requested formation(s) in metres TVD for vertical wells and MD for horizontal wells. Identify the formation depths on the logs submitted to support this application.
§ All Well Data Sent to PrairieSky: Please ensure that ALL well data has been provided as required under the lease. (Preferably sent electronically to .)
§ Pooled/PAUA/Spacing Order/Unitized: Check any that apply to each UWI. If pooled, provide details of lands, formations and substances that have been pooled. If there is a PAUA provide details and attach a copy to the Lease Continuation Application. If the lands have been downspaced, provide the order number and details of the new spacing unit. Please note that your lease will only be continued for rights within the spacing unit related to the well. If unitized, provide the unit name and details of unitized lands, formations and substances.
PRODUCTION STATUS: Provide details for one of the three choices (1-3) below.
1. On Production Date: Indicate the initial date of production for the well.
2. Production Operations / Drilling Operations: Provide details of the anticipated on-production date(s) of the well(s). Note, if you are requesting continuation based on a well that is not producing at the time of this application, PrairieSky will require an explanation noting why the well is not producing and the diligent and continuous Production Operations or Drilling Operations being conducted in order to produce the well.
3. Deemed Production Operations (Compensatory Royalty Payments): Some PrairieSky Lease forms define compensatory royalty payments as Deemed Production Operations. If requesting continuation based on these Deemed Production Operations, indicate in the box provided and provide the name of the offset formation.
PART 4 SIGNATURE AND CONTACT INFORMATION
§ Applicant Name: Indicate the name, title and contact information of the individual submitting the application. This person may be contacted for any non-technical information.
§ Technical Contact: Indicate the name, title and contact information of the individual to be contacted for technical information.
Please contact for questions about this form.
Additional information and PrairieSky contact information is available http://www.prairiesky.com
PrairieSky Royalty Ltd. Lease Continuation Application Version March 2017