|
EXPLORATION AGREEMENT
<br />THIS EXPLORATION AGREEMENT (Agreement is made and entered into as of the
<br />8t1, day of �T a , 2005 (the "Effective Date"), by and between Vivian Mock
<br />and Virgil Mock, individuals, ("Licensor"), and Kfewit Mining Group Inc., a Delaware
<br />corporation ( "Licensee ").
<br />PRELA41NARY STATEMENT. Licensor is the owner of certain real property rights
<br />located in Elbert County, Colorado as more specifically described, an Exhibit attached hereto
<br />(the "Premises "). Licensee holds certain mineral and coal rights underlying said premises.
<br />Licensee desires to prospect, explore and evaluate the Premises for possible future development,
<br />mining and sale of any mineral and all coal and/or lignite which may be found in, underlying,
<br />located in, on, or under the Premises. Licensor is willing to grant to Licensee the exclusive right
<br />to conduct exploration activities in and upon the Premises
<br />NOW, THEREFORE, in consideration of the premises and the mutual covenants and
<br />agreements contained herein, and such other good and valuable consideration, the receipt and
<br />sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound,
<br />agree as follows:
<br />1. Giant of Exylonyion Rim Licensor hereby gratUs to Licensee and its
<br />employees, agents and contractors ( "Agents") access to and the right to enter upon, over, and
<br />• across the Premises, together with the exclusive license and right, pursuant to the termer of this
<br />Agreement, to conduct exploration activities for coal and/or lignite and their constituent products
<br />, within and upon the Premises, including without limitation, the right to excavate test pits, gather
<br />samples for testing, analyze mineral deposits, conduct a drilling prog_ ram, perform surface or
<br />aerial mapping, conduct environmental data collection and conduct other related exploratory
<br />activities as Licensee, in its discretion, may deem necessary to evaluate the Premises for possible
<br />future development, mining and sale of such coal or minerals. The rights granted hereunder shall
<br />include the right of licensee and its Agents to use existing access roads owned by Licensor and
<br />the use of such rights of way for access that Lacensor may hold over other surface lands not
<br />included in the Premises. Licensee shall have the right to purchase water and power as available
<br />from Licensor under such teens as may be negotiated between Licensor and Licensee. All
<br />exploration undertaken by Licensee shall be at its sole cost, risk, and expense. Licensee will
<br />provide reasonable notice to Licensor before commencing drilling or excavation activities and
<br />Licensor will cooperate with Licensee and its Agents to the extent reasonably necessary for
<br />Licensee to complete its exploration program. Licensor will make available to Licensee and its
<br />Agents all relevant materials and documents;, except for materials or documents subject to
<br />confidentiality restrictions, which reasonably relate to the Premises, including, without
<br />limitation, title reports, surveys, engineering and geological studies, and previous drilling logs, if
<br />any.
<br />2. Title Licensor represents and warrants that: (a) it is the We and lawful owner of
<br />the Premises; (b) it has good right and lawfid authority to grant to Licensee the rights granted
<br />herein; and (c) neither the execution and delivery of this Agreement, nor the fulfillment of or
<br />compliance with the terms and conditions hereof, conflicts with or results in a breach of any of
<br />the teams, conditions c r provisions of any other restriction, agreement or instrument to which the
<br />Licensor is a party or by which it is bound.
<br />0
<br />
|