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Upon completion of its gravel mining operations, Surface Owner shall provide a 200' x 200' <br />window in the SW/4NW/4 to accommodate one Future Well as shown on Exhibit B. Prior to the <br />commencemertt of drilling operations, Operator shall obtain a written statement from Surface Owner <br />stating that Surface Owner has completed its gravel mining operations in the area where this Future Well <br />is to be drilled. <br />Surface Owner shall have the right to require Operator to drill one Future Well in the SE/4NW/4 <br />directionally. Surface Owner shall make aone-time payment for <br />-,toward the incremental costs of directionally drilling such well upon notice of Operator as <br />follows: <br />A. Within 30 days after Surface Owner=s receipt of a written notice from Operator that it <br />intends to directionally drill [he Future Well on the Pro erty, Surface Owner shall deliver <br />a payment of Operator for the incremental <br />costs to directionally drill the Future Well. <br />B. Operator will drill the well within 18 months of receipt of <br />3. SETBACK REQUIREMENTS. <br />The Oi] and Gas Operations Area is more particularly described on the attached Exhibit B. <br />Surface Owner will not locate any building or structure within the Oil and Gas Operations Area. <br />However, from time [o time, Surface Owner will disturb the surface of portions of the Oil and Gas <br />Operations Area no closer than eighty feet (80') from the well(s) for gravel mining purposes, which area <br />shall be backfilled and leveled by Surface Owner upon 30 days' notice of operations from Operator. <br />4. ACCESS. <br />Surface Owner shall provide to Operator all necessary non-exclusive easements for access to the <br />Oi] and Gas Operations Area and easements as shown on Exhibit B. <br />5. BATTERIES AND EQUIPMENT. <br />Operator shall have the right to locate, build, repair and maintain tanks, separators, dehydrators, <br />and other equipment reasonably appropriate for the operation and production of any Future Wells only <br />within the Oil and Gas Operations Area shown on Exhibit B. <br />With respect to Operator's equipment and facilities other than flowlines; <br />a. Operator shall install and maintain, at its sole cost and expense, al] fences around the <br />Existing Well and any Future Wells in compliance with the Rules and Regulations of the COGCC and as <br />are mutually agreed to by Surface Owner and Operator; <br />b. Operator shall install and maintain, at its sole cost attd expense, all gates and locks <br />necessary for the security of any wells or facilities in the Oi] and Gas Operations Area. Such gates and <br />locks shall be the standard gates and locks used by Operator; <br />c. Operator shall paint any production facilities for any wells, including wellhead <br />guards, with paint that is approved by the COGCC and as mutually agreed to by Surface Owner and <br />Operator; and <br />