Laserfiche WebLink
03/26/03 09:28 FAX 970 348 3777 BppTAA OIL <br />03/28/2003 09:22 FAX 972 960 8420 rtSRl'1' lilVlSk(ir <br />cu <br />~iuu3i/vio <br />including, but not limited to, the drilling of new wells, lease operating activities, <br />workovers, well deepenmgs, reaompletions and tleohltiag. In no event shall the Oil <br />and Csas Operations Areas be less tbau a 1 SO foot radius surrounding any individual <br />Well. <br />b. Merit shall have the right to drill fiatvr+e wells (including horizontal and dit+ectienal <br />walls that produce fivno and drain the Property and lands other thaw the Property) at <br />anyloeationwithin the Oil mod. Gas Operations Areas. Exoept £ornew wells drilled <br />is the Oil and Gas Operations Areas, Merit shall not otherwise have the right to drill <br />future wells on the Property. <br />c. Subject to this Secliva 1 and Section 7 hereiabelow, Hall-Irwin shall have the right <br />to reasonable use and occupancy of any part of the surface of the Oil and C?as <br />Operations Areas for the limited purposes of conducting its mining operations, <br />provided, however, that ao such use shall uareasoaably hinder or interfere with <br />Merit's operations and at no time shall Hall-Itwin's use ofthe surface of the Oil and <br />Gas Operations Areas cause an unsafe condition of ar;yldnd or nature for aszY party <br />to tlris Agreement <br />2. ACCE66. <br />a Hall-Irwin, shall at all limas provide to Merit the easemenffi for access to the Oil sad <br />Gas Operations Areas in the locations set forth on Exhibit C. Meat shall maintain <br />such access roads used solelyby Merit at its sole cost during the period of time that <br />Merit conducts operations (including production of any well) on the Property using <br />such access. <br />b. Aocess to the Oil and (3as Operations Areas maybe changed by mutual agreement <br />ofHall-Irwin and Merit <br />a Ha11-Irwin shall maintain and keep airy access jointly used by Hall-Irwin sad Merit <br />in a condition and state of repair that serves the needs of Hall-Irv~rin; however, if <br />either party to this Agreement causes damage to a road that rendeas the mad <br />unusable by fife other party, the party causing the damage, a€F~ to P~ptiY reP~r <br />any damage which it caused which is a direct result of its use of the road. In the <br />even sunh joint access roads Geed to be improved is order m nerve the needs of <br />either party to this Agreement, the parties agree to chordinate nay such <br />improvements as may be required by tho party who r~equixes the improvement, <br />Provided that nay such ituprovetttents shall be at such party's solo cost and expense. <br />Neither Meat, norHall-Irwin shall unreasonablyinterferewith the use by the other <br />party of access roads. <br />Page 2 of 32 <br />