|
LEASE AGREEMENT
<br /> THIS LEASE AGREEMENT(this"Lease")is entered into as of February 24,2017,by and among
<br /> CWH Properties LLC, a Colorado limited liability company ("CWH"), Connell Resources, Inc., a
<br /> Colorado corporation("Connell"),and Oldcastle SW Group,Inc.,a Colorado corporation("Tenant").
<br /> Background:
<br /> A. CWH is the owner of two parcels of real property located in Routt County, Colorado,
<br /> having Routt County Parcel Numbers of 940122001 and 940124001 (the"Property").
<br /> B. Tenant wishes to lease the areas of the Property designated as Mining Pods#1-4 on Exhibit
<br /> A attached hereto (the "Mining Pods") for the purpose of mining sand, gravel, and other aggregate
<br /> materials("Materials").
<br /> C. Certain portions of the Materials located within Mining Pod#1 may be subject to a claim
<br /> of ownership by the State of Colorado. Connell,an affiliate of CWH,has entered into that certain Sand&
<br /> Gravel Lease No.GL 3467 dated March 7,2014 with the State of Colorado Board of Land Commissioners
<br /> (the"State Lease")for the right to mine such Materials located within Mining Pod#1.
<br /> D. A permit from the State of Colorado to mine Mining Pod#1 has been issued to Connell
<br /> (the "Permit'),which permit also covers operations at an adjacent mining location located outside the
<br /> Property to the west of Mining Pod#1,known as the"Camillettl Pit".
<br /> Agreement:
<br /> 1. DEFINITIONS.
<br /> (a) "Commencement Date"means February 24,2017.
<br /> (b) "County Lease Areas" means those areas of the Property designated on
<br /> Exhibit A as"Routt County".
<br /> (c) "Depletion Date"means the date that is not less than 90 days after Tenant
<br /> notifies CWH in writing that the Tenant can no longer produce Products that meet prevailing specifications
<br /> of federal,state,and local-market users from the Mining Pods at commercially reasonable return to Tenant,
<br /> as reasonably determined by Tenant.
<br /> (d) "Environmental Damages"means all liabilities, whether accrued, fixed, or
<br /> contingent,known or unknown,and whether or not included in a schedule to this Agreement,any of which
<br /> are incurred at any time arising out of,based on,or resulting from the presence or release of Hazardous
<br /> Materials into the environment,before the Commencement Date,upon,beneath,or from the Premises.
<br /> (e) "Environmental Requirements"means all statutes,regulations,rules,policy,
<br /> guidance, ordinances, codes, common law, licenses, permits, orders, approvals, plans, authorizations,
<br /> concessions, franchises, and similar items, of all governmental authorities and all judicial and
<br /> administrative and regulatory writs,injunctions,decrees,judgments,and orders relating to(i)occupational
<br /> health or safety,(ii)the protection of human health or the environment,(iii)the treatment,storage,disposal,
<br /> handling,release,or remedial action,remedy,response,or removal action as those terms are defined in 42
<br /> U.S.C. §9601, or any corrective action as that term has been construed pursuant to 42 U.S.C. §6924, of
<br /> Hazardous Materials,or(iv)exposure of persons to Hazardous Materials.
<br /> (f) "Hazardous Materials" means any substance that (i) if present requires
<br /> reporting,investigation,removal,or remediation under any Environmental Requirement,(ii)is defined as
<br /> 1
<br /> r
<br /> 4
<br /> 4
<br /> r
<br />
|