Fill and Sign the Chapter 1 Conveyances Form

SUBORDINATION AGREEMENT(Deed of Trust) STATE: COUNTY: On ______, _____ executed and deliver to ______, as Trustee for _____, a Deed of Trust covering the following tract of land in _____ County, _____: The Deed of Trust is recorded in Book/Volume _____, Page _____, of the _____ Records of that County, to secure the payment of certain indebtedness, as more fully set out in the Deed of Trust. Reference is made to the Deed of Trust for all purposes. The present owner of the lands described above has executed an Oil and Gas Lease (the “Lease”) to _____, as Lessee, covering the described lands. The Lease is dated _____, and recorded in Book/Volume _____, Page _____ of the _____ Records of that County. The Lessor desires that the Lease, as to the mineral interest it covers, be superior to the Deed of Trust and the lien created by it. The undersigned, being the present holder and owner of the indebtedness and lien created by the Deed of Trust, for adequate consideration, the receipt and sufficiency of which is acknowledged, and in order to induce the Lessee to explore and develop the Lease, agree s that the lien shall be and is hereby made subordinate, subject to, and inferior to the Le ase. In the event of a sale of the lands by the Trustee under the power of sale provided for in the Dee d of Trust, it is agreed that the leasehold estate created by the Lease shall in no wise be affected by a sale. It is understood and agreed, however, that the lien shall not be impaired as t o the Lessor’s reversionary mineral estate, the possibility of reverter, or as to the royalties reserved by the Owner of the described lands in the Lease. This Agreement is executed as of the date of the acknowledgment below, but shall be deemed effective, for all purposes as of the date of the Lease described above. LIENHOLDER (Acknowledgment)