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SURFACE USE AGREEMENT <br />b ~' <br />This Surface Use Agreement ("Agreement") is made this ,~'~ day of.~J~'`~, 200, and is <br />between ME III Corporation, a /,o%radn corporation, with an address of 14812 NV. 4r° Avenue, <br />Golden, Colorado 80401, hereinafter referred to as "Operator", and Asphalt Paving Co., a Colorado <br />corporation, with an address of 14802 West 44th Avenue, Golden, CO 80403, hereinafter referred to as <br />the "Surface Owner". <br />A. Surface Owner owns the surface estate of that certain tiact of land more particularly <br />described on Exhibit A attached hereto, being a portion of the South %: of the Northwest %., <br />Section 25, Township 1 North, Range 67 West, 6t° P.M.,' Weld County, Colorado (hereinafter <br />referred to as the "Property"); <br />B. Surface ownership of the Property is subject to the rights of the oil and gas mineral <br />leasehold estate, a portion of which is now owned by Operator; <br />C. Surface Owner owns the surface of and t)#e gravel rights on the Property; <br />E. Operator currently operates the Perry #3 well (the "Existing Well") on the Property and <br />has the right to further develop its oIl and gas leasehold estate by drilling additional wells <br />(hereinafter referred to as "Future Wells") on the Property; and <br />F. This Agreement sets forth the parties' rights and obligations regazding the relationship <br />between the development of the Property by Surface Owner and Operator's operation and <br />development of its oil and gas leasehold estate, such rights and obligations to be binding upon the <br />parties' successors and assigns. <br />In consideration of the mutual covenants contained herein, and other good and valuable <br />consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: <br />1. AREA RESERVED FOR FUTURE WELLS. <br />Surface Owner shall provide Operator the spaces designated on Exhibit B (Ure "Oil and Gas <br />Operations Areas") for the Existing Well and Future WeIIs and for any operations conducted by Operator <br />in connection with the Existing Well and Future Wells, including, but not limited to, production activities, <br />workovers, well deepenings, recompletions, fracturing and replacement wells. Except for the space <br />included within the Oil and Gas Operations Areas, access and necessary easements associated with <br />flowlines, gathering lines and pipelines as provided in this Agreement, Operator shall not occupy the <br />surface of the Property except in the event of an emergency, and Operator shall be strictly and solely <br />responsible for any damages that may occur as a result of Operator's activity on such portions of the <br />Property. <br />2. WELL LOCATIONS AND PAYMENT FOR DIRECTIONAL DRILLING. <br />Operator shall have the right to drill two Future Wells within the Oil and Gas Operations Areas as <br />shown on Exhibit B. Operator shall not otherwise have the right to drill new wells on the Property. <br />