a lease bond in the amount of $5,000. The BLM may require
<br />an increase in this amount when additional coverage is
<br />determined appropriate.
<br />Sec. 4. DILIGENCE - This lease is subject to the conditions
<br />of diligent development and continued operation, except that
<br />these conditions are excused when operations under the lease
<br />are interrupted by strikes, the elements, or casualties not
<br />attributable to the lessee. The lessor, in the public interest,
<br />may suspend the condition of continued operation upon
<br />payment of advance royalties in accordance with the
<br />regulations in existence at the time of the suspension.
<br />Lessee's failure to produce coal in commercial quantities at
<br />the end of 10 years will terminate the lease. Lessee must
<br />submit an operation and reclamation plan for the BLM's
<br />approval pursuant to 30 U.S.C. 207(c) prior to conducting
<br />any development or mining operations or taking any other
<br />action on a leasehold which might cause a significant
<br />disturbance of the environment.
<br />The lessor reserves the power to assent to or order the
<br />suspension of the terms and conditions of this lease in
<br />accordance with, inter alia, Section 39 of the Mineral Leasing
<br />Act, 30 U.S.C. 209. '
<br />5. LOGICAL MINING UNIT (LMU) - Either upon approval
<br />by the lessor of the lessee's application or at the direction of the
<br />lessor, this lease will become an LMU or part of an LMU,
<br />subject to the provisions set forth in the regulations.
<br />The stipulations established in an LMU approval in effect at the
<br />time of LMU approval will supersede the relevant inconsistent
<br />terms of this lease so long as the lease remains committed to
<br />the LMU. If the LMU of which this lease is a part is dissolved,
<br />the lease will then be subject to the lease terms which would
<br />have been applied if the lease had not been included in an
<br />LMU.
<br />Sec. 6. DOCUMENTS, EVIDENCE AND INSPECTION -
<br />At such times and in such form as lessor may prescribe, lessee
<br />must furnish detailed statements showing the amounts and
<br />quality of all products removed and sold from the lease, the
<br />proceeds there from, and the amount used for production
<br />purposes or unavoidably lost.
<br />Lessee must keep open at all reasonable times for the
<br />inspection by BLM the leased premises and all surface and
<br />underground improvements, works, machinery, ore
<br />stockpiles, equipment, and all books, accounts, maps, and
<br />records relative to operations, surveys, or investigations on or
<br />under the leased lands.
<br />Lessee must allow lessor access to and copying of documents
<br />reasonably necessary to verify lessee compliance with terms
<br />and conditions of the lease.
<br />While this lease remains in effect, information obtained
<br />under this section will be closed to inspection by the public
<br />in accordance with the Freedom of Information Act (5 U.S.C.
<br />552).
<br />Sec. 7. DAMAGES TO PROPERTY AND CONDUCT OF
<br />OPERATIONS -Lessee must comply at its own expense
<br />with all reasonable orders of the Secretary, respecting
<br />diligent operations, prevention of waste, and protection of
<br />other resources.
<br />Lessee must not conduct exploration operations, other than
<br />casual use, without an approved exploration plan. All
<br />exploration plans prior to the commencement of mining
<br />operations within an approved mining permit area must be
<br />submitted to the BLM.
<br />Lessee must cant' on all operations in accordance with
<br />approved methods and practices as provided in the operating
<br />regulations, having due regard for the prevention of injury to
<br />life, health, or property, and prevention of waste, damage or
<br />degradation to any land, air, water, cultural, biological,
<br />visual, and other resources, including mineral deposits and
<br />formations of mineral deposits not leased hereunder, and to
<br />other land uses or users. Lessee must take measures deemed
<br />necessary by lessor to accomplish the intent of this lease
<br />term. Such measures may include, but are not limited to,
<br />modification to proposed siting or design of facilities, timing
<br />of operations, and specification of interim and final
<br />reclamation procedures. Lessor reserves to itself the right to
<br />lease, sell, or otherwise dispose of the surface or other
<br />mineral deposits in the lands and the right to' continue
<br />existing uses and to authorize future uses upon or in the
<br />leased lands, including issuing leases for mineral deposits not
<br />covered hereunder and approving easements or rights-of-
<br />way. Lessor must condition such uses to prevent unnecessary
<br />or unreasonable interference with rights of lessee as may be
<br />consistent with concepts of multiple use and multiple mineral
<br />development.
<br />Sec. 8. PROTECTION OF DIVERSE INTERESTS, AND
<br />EQUAL OPPORTUNITY - Lessee must: pay when due all
<br />taxes legally assessed and levied under the laws of the State
<br />or the United States; accord all employees complete freedom
<br />of purchase; pay all wages at least twice each month in lawful
<br />money of the United States; maintain a safe working
<br />environment in accordance with standard industry practices;
<br />restrict the workday to not more than 8 hours in any one day
<br />for underground workers, except in emergencies; and take
<br />measures necessary to protect the health and safety of the
<br />public. No person under the age of 16 years should be
<br />employed in any mine below the surface.
<br />To the extent that laws of the State in which the lands are
<br />situated are more restrictive than the provisions in this
<br />paragraph, then the State laws apply.
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