Walton v. Zatkoff

On September 6, 1951, defendants Zatkoff entered into an oil and gas lease with Panhandle Eastern Pipeline Co. The provisions of this lease, pertinent parts of which are set forth in the margin, 1 gave Panhandle the right to annual extensions of the 'lease through September 5,1961. On April 24,1961, ¡Panhandle and plaintiff Walton made an agreement, whereby Walton was to drill a test well on the Zat'hoff land. Prior to August 31,1961, Walton had filed, with the State supervisor of wells an application for permission to drill a well, posted a bond, paid the' permit fee and received the permit,…