~rt~
<br />Fwm 3130-1
<br />. -' (f3crober 1967)
<br />UNITED STATES
<br />DEPARTMENT OF THE INTERIOR
<br />BUREAU OF LAND MANAGEMENT
<br />COAL LEASE
<br />Lend Offitt Serial Number
<br />C-0125516
<br />This lease, entered into on A1AY 1 1968
<br />through the Bureau of Lend Management, and
<br />, by the United States of America, the lessor,
<br />Induetsfal Resourceea Ina.
<br />P. 0. Box 1008
<br />Clentmod Springer Colorado 81601
<br />,the lessee,
<br />pursuant and subject to the terms and provisions o[ the aM M February 25, 1920 (41 Stet. 437), as amended, herein-
<br />after referred to es the act, and to a!I reasonable regulations o[ the Secretary of the Interior now or hereafter in force
<br />which ere made a pert hereof,
<br />IPITNE$SETH:
<br />Sec, 1. Rigbtz o/ Lessre. The lessor, in Consideration of the rents and royalties to be paid errd the conditions to be
<br />observed es hereinafter set forth does hereby grant and (ease to the lessee the exclusive right and privilege to mine
<br />and dispose of ell the coal in the following-described tracts M lend, situated in the State M Colorado.
<br />r. g s., R. 102 p.. 6t6 Y.M.
<br />Sea. 2: All (Coto 5-33 Lnel.r
<br />
<br />See. 3: Lots 5-20 Lnel.a
<br /> Sad (dl) .
<br />Sec.' 4: Cote 5-15 inel.a 18a
<br /> 19a 20a N~SIS}t SE}s8li
<br />See. 10: tis.NN~
<br />
<br />containing 2522.)2 acres, more or less, together aith the right to Construct all such works, buildings, plants,
<br />structures, end appliances as may be necessary end convenient fw the mining and preparation of the coal [or market,
<br />the manufaduro M coke or other products of coal, the housing and welfare of employtts, end subJect to the conditions
<br />herein provided, to use so much of the surface as may reasonably be required in the exercise of the rights end privi-
<br />leges herein granted.
<br />Sac. 2, la <onsideralien o[ the foregoing, the lessee
<br />hereby agrees:
<br />(a) Bond. To maintain the band furnished upon
<br />the issuance of this lease, which band is conditioned
<br />upon compliance with ell the provisions of the lease,
<br />and to increase the amount w furnish such other bond
<br />as may be required.
<br />(6J Rents(. To pay the lessor annually, In ad-
<br />vance, for each acre or fraction thereof covered by this
<br />lease, beginning with the dale hereof, the following
<br />rcnlals: 25 cents for the tirsl year, SO cents for the
<br />second, third, fourth, end fifth years, respectively; end
<br />SI (w the sixth end each succeeding year during the
<br />continuenee of the lease, such rental (or any year to 6e
<br />credited against the first royalties as they accrue under
<br />the lease during the year for which the rental was paid.
<br />(cl Roya((y. To pay the lessor a royalty of '
<br />cents on every ton of 2,000 pounds of coal mined doting
<br />the first 20 years succeeding the execution of this
<br />30 days from the expiretion of the quarter in which the
<br />coal is mined. See addLtlotal loyalty on
<br />reverse aide.
<br />(d) Minimum production. Beginning with the sixth
<br />year o[ the lease, except when open[ions are inter-
<br />rupted by_, strikes ~.211e_elements,.-or easualtiea~~~not-~-
<br />atlrihutable to the lessee, or unless on application and
<br />showing made, operations shall he suspended when
<br />~merkel conditions are such that the lessee cannot op-
<br />erate except at a lase or suspended for the other
<br />reasons specified In section 39 of the set, to mine coal
<br />each year and pay a royalty tfiercon to a value of S1 pea
<br />acre or fraction thereof. Operations under this lease
<br />shell be continuous except in cucumslantes described
<br />er unless the lessee shall pay s royalty, less rent, on
<br />such minimum amount o[ /he leased deposits, for one
<br />year In advenee, in which case operations may be
<br />suspended for that year.
<br />(eJ Payments. To make renlel payments to the
<br />manager of the appropriate lend office, ercrpt that
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