2017-02-22_PERMIT FILE - M2016030 (3)

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4274435 01/31/2017 12:19 PM ` Page 3 of 11 unreasonably withheld;such consent shall not be deemed unreasonably withheld if it is subject to conditions to ensure proper drainage,compliance with environmental, permitting and safety requirements, and otherwise to ensure that the land is suitable for Kerr-McGee or Anadarko's planned drill pad without additional material costs by Kerr-McGee or Anadarko. d. Notice before Commencing Operations. Kerr-McGee or Anadarko, as the case may be,will give Brannan thirty(30)days written notice prior to commencing drilling operations on the OGOA or surface disturbing activities in the Easement. The Parties agree to reasonably cooperate with each other to ensure that Kerr-McGee, Anadarko, and its contractors have reasonable access to and across the Subject Lands for the purpose of moving drilling rigs and other equipment, materials, goods and personnel to the OGOA and Easement area for oil and gas related Operations. Brannan grants to Kerr-McGee and Anadarko the right to use any roads or easements to access the Subject Lands that Brannan has the right to use to the extent Brannan is legally entitled to grant such access. Kerr-McGee or Anadarko,as applicable,shall be responsible for repairing any damage to such access roads caused by its use thereof. 3. Easement. Brannan also grants, bargains, sells and conveys to Kerr-McGee and Anadarko, and KMGG a seventy-five(75')foot wide permanent easement for roads, pipelines,flowlines, electrical lines, and other utilities and appurtenances Kerr-McGee or Anadarko may desire for oil and gas development ("Easement"). The Easement will be located along the eastern edge of the Subject Lands as depicted on Exhibit 1, The Easement shall permit Kerr-McGee, Anadarko and KMGG to transport oil, gas, water and other substances produced from any well, whether or not from a well drilled on its oil and gas lease covering the Subject Lands and neighboring lands, and whether or riot from a well drilled on lands pooled therewith, and to install roads, pipelines, electric lines and other utilities associated with such operations. It is understood that the Easement granted herein will permit the grantees to construct a pipeline or pipelines to transport any oil, gas, produced water or other substances regardless of where the production originates. 4. Consideration. Kerr-McGee,on behalf of itself and Anadarko and KMGG agrees to pay Brannan the sum set forth on Exhibit 2 in accordance with the terms of Exhibit 2, which shall constitute full and complete payment for the exclusive use of the OGOA and for the Easement and all surface damages associated with the reasonable use of the OGOA and Easement. The monetary terms set forth in Exhibit 2 are confidential and shall not be disclosed,directly or indirectly, to any other person except the parties' legal, tax and business advisors who have a need to know and who agree to keep such information confidential,except,and only to the extent that such disclosure is otherwise required by law or to enforce the terms of this Agreement. Should Brannan believe it is legally required to disclose such information to a third party, it shall provide prior written notice to Kerr-McGee and Anadarko at the earliest opportunity to enable them to seek appropriate protections. A copy of this Agreement,without Exhibit 2,shall be recorded in the real property records of Weld County,Colorado. 5. Withdrawal of Protest. Kerr-McGee and Anadarko shall promptly withdraw its pending protest to Brannan's Construction Materials Permit(M-2016-030). 3