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5. Appendix 2.03.6-1(e). Memorandum of Coal Mining Lease dated December 20, <br />2007 between George E.L. Glasier and WFC. The lease gives WFC right to <br />enter and mine the property. <br />6. Appendix 2.03.6-1(f). Quitclaim Deed dated 16th day of October, 2002 between <br />San Miguel Power Association, Inc. (SMPA) and Western Fuels -Colorado. <br />Under this agreement SMPA sold to WFC the property in NW1/4 and <br />W 1/2NE1/4, Section 36, T47N, R16W, NMPM. <br />None of the rights acquired under any of these documents is the subject of <br />pending litigation. <br />2.03.6-2 Severance of Minerals Estate <br />The surface and the minerals are owned separately in SW 1/4 of Section 25, Garvey <br />& Co. LLC owns the surface. NHN right of entry for this surface is given in <br />Appendix 2.03.6-1(a). The coal under this surface is owned by NHN as evidenced <br />in Appendix 2.03.6-1(b) and 2.03.6-1(c). <br />2.03.7 Relationship to Areas Designated Unsuitable for Mining <br />2.03.7(1) Unsuitable Designation Status <br />A determination was made under the criteria set forth in Section 7.05 that no lands <br />be designated unsuitable for mining at NHN. Furthermore, no Alluvial Valley <br />Floors exists in the mine area or the potentially affected area associated with NHN. <br />NHN is unaware of the availability of any information which indicates that any <br />portion of NHN property has been or is under consideration or study for <br />designation as land unsuitable for mining. <br />2.03.7(2) Legal and Financial Commitments <br />Not applicable. <br />2.03.7(3) Ownership Waivers <br />Mining activities are proposed to occur within 300 feet of a dwelling west of the <br />permit boundary on the Garvey Bros. Land & Cattle Co. property. However, since <br />Section 2.03 Page 2.03-16 September 2016 (SO -01) <br />