LA County Recorder's Records - Leases, Book 3, Pages 379-382

This lease made this 12th day of April A.D. 1876, between R.S. Baker, E.F. Beale, Sanford Lyon, and Christopher Leaming, parties of the first part, and Reuben Denton party of the second part; Witnesseth that said parties of the first part for and in consideration of the stipulations, rents and covenants, hereinafter contained, on the part of the said party of the second part, his executors, administrators and assigns, to be paid, kept, and performed, has granted, demised and let unto the said party of the second part his executors, administrators and assigns for the sole and only purpose of mining and excavating for petroleum, coal, rock or carbon oil or other valuable mineral, or volatile substances, all of that certain tract of land situate in Los Angeles County, State of California, and bounded and described as follows, to wit: commencing at a point five hundred feet (500 ft) due east from what is known as the Pico oil springs, said point being a stake marked no. 1, from thence north five hundred feet (500 ft) to a stake marked no. 2, thence west one thousand feet (1000 ft) to a stake marked no. 3, thence south one thousand feet to a stake marked no. 4; thence east one thousand feet (1000 ft) to a stake marked no. 5; thence north five hundred feet (500 ft) to a stake marked no. 1, the place of beginning, the same being one thousand feet of what is known as the Pico oil springs claim.

To have and to hold, the said premises for the said purposes only unto the said party of the second part, his executors, administrators or assigns, for, during and until the full term of three (3) years next ensuing the day and year above written. The said party of the second part hereby covenants in consideration of the said grant and demise, to deliver up unto the said parties of the first part, their heirs and assigns, the full one eight part of the petroleum, coal rock or carbon oil, or other valuable mineral, or volatile substances discovered, excavated, pumped and raised on the premises herein leased as produced, excavated or pumped in the crude state, in tanks at the well, the party [missing words] case the said party of the second part shall pipe from the said wells to the plain below at or near the line of the railroad to be constructed through the place known as the San Fernando Tunnel, that then the said party of the second part will pipe down through their piping aforesaid to the end of said piping as above stated, at the option of the parties of the first part all or an [missing] their oil being the proportion as hereinbefore set forth, at the rate and charge not exceeding twenty five cents per barrel. Therefore, each barrel to consist of forty two gallons, the part of the second part further covenants and agrees at the election of the parties of the first part, to take all oil, which may be set apart to the parties of the first part under the agreement aforesaid at its market value during each calendar month of term of this lease, or any portion thereof, and to pay therefor every thirty day. That the parties of the first part shall elect to sell the market value of the oil to which the parties of the first part shall be entitled under the covenants above specified.

The party of the second part is to have the use of the four wells now in process of construction upon said premises, and no more, for the purpose of taking oil and petroleum from said premises without the written consent, and further agreement of the said R.S. Baker, one of the said wells to be by the said party of the second part sunk to a depth of five hundred feet (500 feet) unless a full flowing will be struck at a less depth. It is expressly understood and agreed by the parties hereto that the well now on said premises known as the Sanford Lyon's well shall be and hereby is exempt and reserved from the operation of this lease to the Sanford Lyon or any other person or persons by him thereunto authorized for any and all purposes, for which the same was sunk, and especially for the purpose of taking oil and petroleum from the premises aforesaid, and the said Sanford Lyon, his heirs and assigns, shall during the full period of this lease, be allowed free access across and over said premises to said well for all purposes necessary for its use and free enjoyment of the uses and purposes for which said well is constructed.

It is further covenanted and agreed that the parties of the first part during the time of the continuance...case the said party of the second part shall pipe from the said wells to the plain below, at or near the line of the railroad to be constructed through the place known as the San Fernando Tunnel, that then the said party of the second part will pipe down through their piping aforesaid to the end of said piping, as above stated, at the option of the parties of the first part, all or an [missing] of their oil being the proportion, as hereinbefore set forth, at the rate and charge not exceeding twenty five cents per barrel. Therefore, each barrel to consist of forty two gallons.

The party of the second part further covenants and agrees, at the election of the parties of the first part, to take all oil, which may be set apart to the parties of the first part under the agreement aforesaid, at its market value, during each calendar month of the term of this lease, or any portion thereof, and to pay therefore every thirty days. That the parties of the first part shall elect to sell the market value of the oil to which the parties of the first part shall be entitled under the covenants above specified. The part of the second part is to have the use of the four wells, now in process of construction upon said premises, and no more, for the purpose of taking oil and petroleum from said premises, without the written consent and further agreement of the said R. S. Baker, on of the said wells to be by the said party of the second part sunk to a depth of five hundred feet (500 ft) unless a full flowing will be struck at a less depth. It is expressly understood and agreed by the parties hereto, the well now on said premises, known as the Sanford Lyon's well, shall be and hereby is exempt and reserved from the operation of this lease, to the Sanford Lyon or any other person or persons by him thereunto authorize for any and all purposes, for which the same was sunk and especially for the purpose of taking oil and petroleum from the premises aforesaid, and the said Sanford Lyon, his heirs and assigns, shall, during the full period of this lease, be allowed free access across and over said premises to said well for all purposes necessary for the use and free enjoyment of the uses and purposes for which said well is constructed.

It is further covenanted and agreed, that the parties of the first part, during the time of the continuance of this lease, shall have free and uninterrupted passage and right of way over, and all of the premises hereby leased, to any and all lands, claimed, occupied or owned by the said parties of the first part, at or near the above demised premises, and for which it may be necessary or convenient to pass over or above the above demised premises, for necessary or convenient ingress or egress or either. And the party of the second part covenants and agrees at the expiration of this lease to give and surrender up the said premises and the said wells peaceable without consideration. It is further mutually understood and agreed, that in case the said party of the second part of the second part shall fail or neglect for the space of ninety (90) days, shall fail or neglect for the space of ninety (90) days at any time during the continuance of this lease to properly and in a workmanlike manner operate and use said wells, that then this shall terminate, be void, and of no further force and effect, and the parties of the first part will thereupon be restored to all their rights, privileges and estates in like manner as though this lease had never been executed. Time is hereby declared and expressly agreed to be of the essence of this lease.

In witness whereof, the said parties hereto have hereunto set their hands and seals this 12th day of April A.D. 1876.

Robert S. Baker
E. F. Beale by his attorney in fact Robt. S. Baker
Sanford Lyon
Chr. Leaming
Rueben Denton