2022-07-19_REVISION - M1987026 (21)

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LEASE AGREEMENT This AGREEMENT is entered into as of the 1"day of June 2019 by and between Mary Frank,Glen Rowe and Mike Colgate, (the"Lessors"), and COLORADO QUARRIES(THE"Lessee"), whose address is 270 South 15t"Street, Canon City, Colorado 81212. Glen Rowe shall act as agent for Rowe family interest. Mike Colgate shall act as agent for Colgate family interest. The lands subject to this Lease (the"Premises") consist of patented claims situated in Township 22 South, Range 72 West,Sixth Prime Meridian in the Hardscrabble Mining District,Custer County, Colorado and are described as follows,to wit: Patented Claims Mineral Survey No. Fleetwood Lode 294 Wet Mountain 56 Calumet Lode 256 Victor Lode 183 Comor ising.approximately 50 acres, more or less. Items of concern for this Lease are as follows: 1. Lessee agrees to keep businesslike records of all Black Obsidian or Perlite removed from the Premises and shall make such records available to Lessors upon demand. 2. Production royalty payments by Lessee to Lessors will be based on a weighted tonnage of$2.00 per ton of Black Obsidian or Perlite removed from the Premises, with a minimum annual royalty of $1,000.00 per year. The minimum annual royalty shall be credited against the production of royalty otherwise payable in that lease year. 3. Payment of the minimum annual royalty shall be made on or before May 1st of each year the Lease is in effect. Payment of the balance of the production royalty, if any, shall be made on or before April 300 of each lease year. Payments shall be allocated and paid to each of the Lessors in proportion to each Lessor's number of shares. Payments shall be sent directly to the individual Lessors at the following addresses: 4. Mike Colgate 1/3 Share PO Box 278 Sahuarita,AZ 85629 Mary Frank 3018 Ave B Scottsbluff, NE 69331 1/3 Share *Glen C. Rowe 1017 Sitka Court 1/3 Share Loveland,CO 80538 *Rowe 1/3 interest will be distributed evenly as follows:Glen Rowe, Paul Rowe, Mary Pfau, &Judith Baesler 5. Lessee shall pay all expenses and charges for which he may become liable in connection with his operations on the Premises and shall keep the Premises free and clear of all liens and encumbrances arising out of such operations. In conducting his operations, Lessee shall comply fully with the terms and provisions of the Workman's Compensation laws of the State of Colorado and shall hold Lessor's harmless from and against any and all loss, damage or claim of whatsoever nature or character arising out of Lessee's operations.