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JoOlen Turner <br />CY-0� <br />gyp• �.j�('�•,,(�t'j`(' <br />970- 864 -7682 �—�— p.2 <br />t,�' V <br />A ENT AGREEMENT AND MUTUAL RELEASE <br />[DRAi,'T 5/1/131 <br />This Settlement Agreement and Mutual Release ( "Agreement ") is entered into by <br />and between Frank Morgan, Mary Lou Morgan, Michael 'Morgan, and JoEllen Turner <br />(collectively: "Morgans ") and Westem Fuels Colorado, LLC ( "WFC) as set forth below. <br />I. RECITALS <br />a. The Morgans are the Plaintiffs and WFC is Defendant in Case Number 10 CV <br />367, District Court, Montrose County, Colorado. That action has resulted in a judgment <br />in favor of Frank and Mary Lou Morgan which is under appeal to the Colorado Court of <br />Appeals in Case Numnrt 13 CA 724. Collectively these cases will be referred to as the <br />"Civil Action." The Civil Action alleges, inter alia, violations of the Colorado Surface <br />Coal Mining Reclamation Act ( "SCIVIRA ") and its regulations. <br />b. The Morgans are Plaintiffs and WFC is Defendant along with the Colorado Mined <br />Land Reclamation Board ( "MLRB ") and the Colorado Division of Reclamation, Mining <br />& Safety ( "DRMS ") in a companion proceeding, Case Number 10 CV 548, District <br />Court, Montrose County, Colorado. This case will be referred to as "10 CV 548." <br />C. The Morgans, NNFC, MUM and DR;I�IS are parties to various administrative <br />objections pertaining to a surface coal mining permit issued by DRMS to MIFC and <br />known as C1981 -008 ( "Mining Permit")- Collectively these objections will be referred to <br />as the "Permit Objections." <br />d. The Morgans, WFC. and DRMS are parties to one or more administrative <br />objections pertaining to permit C1981 -008 which may be pending before the federal <br />Office of Surface Mining ("OSM" ). Collectively these objections will be referred to as <br />the "OSM Objections." <br />C. WFC and the Morgans are parties to Case Number , now pending in the <br />Water Court, Montrose County, Colorado (the "Water Case. ") <br />f. Frank: Morgan and Mary Lou Morgan, as Lessor, have granted to WFC, as <br />Lessee, a Surface Coal Mining Lease, with amendments, a true and correct copy of which <br />is attached as Exhibit 1, and which will be referred to as the "Coal Lease." The lands <br />described in the Coal Lease are referred to as the "Morgan Property." <br />9. Mining pursuant to the Coal Lease is complete, and the activities by WFC on the <br />Morgan Property are confined to reclamation, which is expected to continue for ten years <br />from the effective date of this Agreement. <br />h. it is die vitention of the Morgans and XU-C to fully and finally resolve all <br />remaining disputes between them, and to arrive at a binding and enforcenble agreement <br />which will result in the dismissal, with prejudice, of die Civil Action, 10 CV 548, and the <br />