116 REPORT OF THE No. 3 



the same shall be cut into logs and paid for by the Company at such prices as 

 may be determined by the Minister in writing. 



11. 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. 



12. All pulpwood cut by the Company under this agreement shall be 

 manufactured 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 requiied in the manufacture of 

 newsprint at the Company's said plant at Nipigon, or at some other place in 

 the Province of Ontario approved by the Lieutenant-Governor-in-Council. 



13. 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. 



14. 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 yekr, the Company shall file with the Minister a rnap indicating 

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

 ties of wood and timber taken therefrom. 



15. 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 



