Construction of Instruments: Four Corners Canon

摘要

In 1974, Stuart Brothers contracts to convey the surface estate in certain tracts in Sections 17 (160 acres) and 18 (480 acres) to Consolidation Coal Company (Consol). In 1977, Stuart Brothers completes the contract by executing two warranty deeds, one deed for each tract in each section. The two deeds provide that Consol would pay a "surface royalty" to Stuart Brothers for all coal mined from "said lands." Thereafter, Consol conveys the surface estate in the Section 17 tract to Atlantic Richfield Company, which later conveys it to its subsidiary, Thunder Basin. Consol conveys the surface estate in the Section 18 tract to Kerr-McGee Corporation, which is later conveyed to Jacobs Ranch. The federal government owns the coal under both tracts. In 1992, the federal government leases the coal to Thunder Basin. In 1993, Thunder Basin enters into a "Consent to Mine Agreement" with the predecessor to Jacobs Ranch regarding the Section 18 tract. In 1999, Thunder Basin enters into a "Surface Use and Lease Agreement" with Jacobs Ranch, which applies to about half of the surface of the Section 18 tract.