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r <br /> accordance with the mining rights vested in the Lessor, and Lessor grants only such <br /> mining rights and privileges as it possesses or has acquired in connection with the f <br /> i <br /> ownership of the coal covered by this Lease, and in mining, removing and carrying away <br /> i <br /> the coal, Lessee shall be limited to the Lessor's mining rights and privileges and by all <br /> applicable law. <br /> 6. Operations. Lessee's mining operations on the Leased Premises <br /> shall be conducted in a skillful, efficient and workmanlike manner, and in conformity <br /> with present and future laws and regulations of the State of West Virginia, the United <br /> States, or any other governmental unit with authority over such operations now in force <br /> or which may hereafter be adopted. Lessee shall employ machinery and methods that are <br /> adequate and efficient and shall develop the property according to a proper system of <br /> mining. Lessee shall determine, in its discretion, the order in which it will mine portions <br /> of the Leased Premises and seams of coal in the Leased Premises and the methods by <br /> which such coal will be mined. It is understood that Lessee may conduct mining <br /> operations hereunder in connection with operations on nearby lands and that Lessee shall <br /> have the sole discretion to determine from time to time the timing of operations <br /> hereunder. This Lease shall not be forfeited or cancelled for failure on the part of Lessee <br /> to commence exploration, development or mining operations on the Leased Premises or <br /> to diligently prosecute mining operations once such operations have been commenced or <br /> to mine any coal which Lessee deems not to be mineable and merchantable, it being <br /> expressly understood that the payment of minimum royalties fully compensates Lessor <br /> for any such failure. <br /> "�`' {L0406960.10) <br />