78 EEPOET OF THE No. 3 



Now Therefore This Indenture Witnesseth and it is agreed by and 

 between the Grantees and the Government as follows, that is to say: 



1. The Grantees shall with all convenient despatch proceed to the construc- 

 tion of a pulp mill or pulp mills at or near Iroquois Falls within the limits of 

 the territory hereinafter described and will thoroughly equip the same so that the 

 expenditure in the construction and equipment* of the said pulp mill and of such 

 other buildings and constructions as are necessary to the undertaking will be at 

 least five hundred thousand dollars ($500,000.00) and will operate the same so 

 that the daily output of the said mill or mills shall not be less than one hundred 

 tons- of pulp, and so that at least two hundred and fifty hands on an average 

 shall be kept employed in connection therewith for at least ten months of each 

 and every year; 



2. Of the said sum of five hundred thousand dollars not less than one hundred 

 thousand dollars ($100,000,00) shall be expended within one year from the date 

 hereof and not less than two hundred thousand dollars ($200,000.00) within two 

 years from the date hereof, and the balance within three years from the date 

 hereof ; 



3. The Grantees shall within such time and at such place within said territory 

 as the Lieutenant-Governor-in-Council shall direct, erect a paper mill of the 

 capacity of at least one hundred tons of paper per day, and shall after the 

 erection thereof operate the same continuously so that the daily output shall not 

 be less than seventy-five tons of paper per day; 



4. The Grantees shall pay to His Majesty, His heirs and successors in advance 

 at the Treasury Department, Toronto, yearly and every year during the period 

 hereinafter mentioned for the cutting and removal of wood the sum of five thou- 

 sand dollars ($5,000.00) of which payments of five thousand dollars each, the 

 first five, amounting to the sum of twenty-five thousand dollars, have been paid 

 in advance by the Grantees, and the receipt of which is hereby acknowledged; 



5. The Grantees shall during and after the year 1913 advance for the purpose 

 of being expended or shall expend as and when The Honourable The Minister of 

 Lands, Forests and Mines may determine, sums of money up to a total of fifty 

 thousand dollars in clearing, erecting buildings and preparing for settlement lands 

 selected by the Minister in the neighborhood of Iroquois Falls, such lands to 

 remain the property of His Majesty and to be disposed of at such prices and 

 upon such terms as the saJid Minister may determine, subject to a lien, as against 

 purchasers of said lands, in favour of the Grantees for the amounts advanced or 

 expended by the Grantees and interest thereon, the same to be repaid to the 

 Grantees at such times and in sjich manner as the said Minister may determine; 



6. The Grantees shall assist and co-operate with the Government in promoting 

 settlement upon the lands of His Majesty in the said District by buying the wood 

 and agricultural products of and giving preference in the matter of employment 

 to bona fide settlers upon said lands; 



7. The Grantees shall forthwith proceed to incorporate and organize a Joint 

 Stock Company under the provisions of the Ontario Companies Act, with a sub- 

 scribed capital of at least One million five hundred thousand dollars ($1,500,000.00) 

 for the purpose of developing water powers, erecting mills and carrying on the 

 business of manufacturing pulp and paper in said territory; 



8. In consideration of the said expenditure and of the contracts and engage- 

 ments entered into on the part of the Grantees, the Government will and doth 

 for the rat.es and prices hereinafter set forth and provided, and subject to such 



