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Section 2.03 Page 2.03-14 June 2024 (TR-26) <br />Under this agreement SMPA sold to WFC the property in NW1/4 and <br />W1/2NE1/4, Section 36, T47N, R16W, NMPM. <br />None of the above referenced rights is the subject of pending litigation. <br />2.03.6-2 Severance of Minerals Estate <br />The surface and the minerals are owned separately in SW1/4 of Section 25, Garvey <br />& Co. LLC owns the surface. NHN right of entry for this surface is given in <br />Appendix 2.03.6-1(a). The coal under this surface is owned by NHN as evidenced <br />in Appendix 2.03.6-1(b) and 2.03.6-1(c). <br />2.03.7 Relationship to Areas Designated Unsuitable for Mining <br />2.03.7(1) Unsuitable Designation Status <br />A determination was made under the criteria set forth in Section 7.05 that no lands <br />be designated unsuitable for mining at NHN. Furthermore, no Alluvial Valley <br />Floors exists in the mine area or the potentially affected area associated with NHN. <br />NHN is unaware of the availability of any information which indicates that any <br />portion of NHN property has been or is under consideration or study for designation <br />as land unsuitable for mining. <br />2.03.7(2) Legal and Financial Commitments <br />Not applicable. <br />2.03.7(3) Ownership Waivers <br />Mining activities are proposed to occur within 300 feet of a dwelling west of the <br />permit boundary on the Garvey Bros. Land & Cattle Co. property. However, since <br />this is an unoccupied dwelling, no waiver is required. <br />2.03.8 Permit Term Information <br />NHN began mine development in 2012. Mining of coal began in mid-2013 and <br />mining concluded in 2017. The total area within the mine permit is 230.0 acres.