108 REPORT OF THE No. 3 



12. All spruce, balsam or poplar cut into logs, under the provisions of the 

 preceding paragraph hereof shall be manufactured into lumber or other manu- 

 factured products to the satisfaction of the Minister in the Province of Ontario. 



13. All pulpwood cut by the Company under this agreement shall be manu- 

 factured into newsprint or other finished product of pulp approved by the 

 Lieutenant-Governor-in-Council and requiring the expenditure of no less labour 

 and money in the manufacture thereof than is required in the manufacture of 

 newsprint at the Company's said plant at Port Arthur or adjacent thereto. 



14. It is distinctly understood that the right is hereby reserved to the 

 Crown to deal with the lands above described and the timber standing, growing 

 and being thereon, for reforestation and other purposes as the Minister may see 

 fit, and in particular, but not so as in any way to limit or restrict the generality 

 of the foregoing, it is hereby specifically stipulated and agreed as follows: 



(a) All red and white pine on said territory is reserved to the Crown. 



(b) The Crown reserves and excepts from the lands above described the 



right of way of any and all railways or travelled roads, islands, Indian 

 Reserves and all lands under the water of all rivers, lakes and streams; 

 also all lands heretofore patented, licensed, leased, located, or applied 

 for in respect of which such proceedings have been taken or shall here- 

 after be taken as in the opinion of the Minister of Lands and Forests, 

 entitles the applicant or applicants to a lease or patent of such lands, 

 together with the right to sell, lease, locate or otherwise dispose of any 

 lands within the area allocated for settlement, mining, summer resort 

 or other purposes on such terms and conditions as may be deemed 

 advisable. 



(c) All water powers and privileges on the said territory are reserved to 



the Crown. 



(d) The Company shall not have the right to cut or remove timber of any 



kind from any lands already under timber license or permit from the 

 Crown, without the special permission in writing of the Minister. 



(e) In no event shall cutting be performed within one-half mile in perpen- 



dicular width along the shores of Lake Nipigon, without the consent 

 in writing of the Minister of Lands and Forests. 



15. On or before the first of September in each year the Company shall 

 apply to and get the permission in writing of the Minister for the area within 

 said territory on which the cutting for the then coming season shall take place, 

 and the Company shall not be entitled to cut at any other place or places in said 

 territory other than and except those specially designated in such permission. 

 At the end of each season's operations, and on or before the first day of June in 

 each and every year, the Company shall file with the Minister a map indicating 

 thereon the area cut over during the preceding season, and the kinds and quan- 

 tities of wood and timber taken therefrom. 



16. The Minister shall have the right in and by the written permission 

 •provided for in the preceding paragraph hereof, to fix a minimum diameter for 



all timber to be cut and to make any regulations and impose any restrictions 

 and conditions in connection with the cutting of pulpwood and timber on such 

 area, that he may think right and proper for the purpose of preserving young 

 timber in the interests of reforestation or for any other purpose. The Minister 

 shall also have the right to require the Company to leave any suitable seed trees 



