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Frank E. and Mary Lou Morgan <br />P. O. Box 4 <br />Nucla, CO 81424 <br />(970)864 -7473 <br />April 8, 2003 <br />R. Lance Wade, Mine Manager <br />Western Fuels- Colorado, LLC <br />P.O. Box 628 <br />Nucla, CO 81424 -0628 <br />RE: Amendment to Coal Mining Lease Dated September 10, 1998 <br />We the undersigned hereby request that Section 8. Lessee's Additional Commitments. <br />be amended to include the following: <br />(i) Right of First Refusal. Lessor shall have a right of first refusal to perform any <br />work related to farming of Lessor's property that is mined by Lessee (the <br />"Right of First Refusal'. The farming work subject to the Right of First <br />Refusal includes seedbed preparation, seeding, fertilizing, irrigation and <br />fencing that Lessee elects to have performed by third party contractors. <br />(ii) Notice of Work to be Performed. Prior to performing any work subject to the <br />Right of First Refusal, Lessee shall give Lessor reasonable notice of the work <br />to be performed (including the material specifications related to the work) and <br />the low bid price for similar work paid by Lessee under Farming and Irrigating <br />Contracts in effect at the time (the "Low Bid Price"). Lessor shall have the <br />option to either perform the specified work at the Low Bid Price or allow <br />Lessor to contract with third parties to have such work performed. <br />a. In the event Lessor elects to perform the work, Lessor shall perform the work <br />in accordance with Lessee's specifications and Lessor shall be compensated <br />by Lessee at the Low Bid Price. <br />b. In the event Lessor elects not to perform the work, Lessor's Right of First of <br />Refusal with respect to the work which Lessor has elected not to perform shall <br />terminate. Lessee shall be entitled to contract with third parties with respect to <br />such work and Lessee shall not be required to re -offer such work to Lessor at <br />the time Lessee enters into a contract with a third party until that contract <br />expires and is rebid. <br />(iii) Harvesting of Crops. For crops planted on Lessor's property that is mined by <br />