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01/27/03 MON 14:05 FAX <br />~3j 003 <br /> <br />good and wor'.unanlike manner and will equip the lakes with such <br />structures as are required by law. <br />4. Owner agrees to augment the South Platte River in <br />accordance with the gravel pit augmentation policy of Central, <br />thereby preventing injury to other water users, by conveying to <br />Central an amount of water equal to 2.1. acre-feet of consumptive <br />use water fo:r each of the 106.7 surface areas of lake for which <br />augmentation water= is required. Owner's plans call fur the <br />construction of approximately 126.7 surface acres of lake, of <br />which augmentation water is required for only 106.7 acres because <br />the other 2D acres were historically sub-irrigated and had a <br />historic evaporation loss equal to the amount of evaporation loss <br />from the proposed lakes. If, at the end of its mining operations <br />on the property, owner has constructed lakes having more or less <br />than 106.7 surface acres, Central shall convey to Owner any water <br />which has been conveyed to Central by Owner over and above the <br />amount determined by multiplying the number of surface acres of <br />lakes for which augmentation is required by 2.1 acre-feet, or, if <br />necessary, Owner shall convey to Central additional water in <br />order to equal the amount of 2.1 acre-feet for each surfaca area <br />of lake constructed for whicli augmentation water is required. A <br />map of the reclamation plan for the property setting forth the <br />Lake.Evapoxation Replacement Schedule agreed upon by the parties, <br />together wi>h a graphic representation of the location of the <br />106.7 acres for which augmentation water is required to be <br />provided and the location of the 20 acres for which augmentation <br />water is not required to be provided is attached hereto as <br />Exhibit "B" and is made a part hereof. <br />5. Owner further agrees that the water rights which <br />shall be used for augmentation in compliance with the foregoing <br />provisions and in compliance with the gravel pit augmentation <br />policy of Central shall be the water rights described on Exhibit <br />"C", or other water rights acceptable to Central. <br />6. In order to implement the provisions of this -- <br />agreement, the water rights described on Exhibit "C:" shall be <br />conveyed to Central by deed or appropriate stock transfer, and <br />any deed of conveyance or stock certificate issued to Central <br />shall bear the follorJing notation: <br />These water rights (shares] and the uses of <br />water attributable thereto are restricted by <br />an agreement dated March 18 , <br />1986 entered into between J Bar B, Inc, and <br />the Central Colorado Water Conservancy <br />District and the Groundwater Management <br />Subdistrict of the Central Colorado Water <br />-2- <br />