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4. EY]k:Ng10N ItY 1'R000CR9N-Alvan may rtes be!¢IJ in ferptmflY; huwtecr.a4ax willemumx mdfwtlur s.. L+ng as cruln pndacW <br />m paying yumtirtes. C'cavlion u! pnxluoion fur v ycriuJ m eaess of Ikll wnunnivc Jays will vurout. Wly Itniovr use auw form Ardacing <br />wrv> uNns oNerv.-iu agr<eil m in writing by lessor I<sstc sha:f sxaify 1 eswr of each «ssminn o(prtJUnivn, the retains dnrrlm, ad slx unm <br />pcnd Jmingwhich pnJUUiaswill urJW[cast "Payingquumx«i•mum pmJunion suffw«mto serum ruYalUcsw UU&a«cyWl wthc aJVancc <br />minimwn myalry hw rw Ices Uun son Jnllars per xre (<r y<u, <br />3. PHODUC)]ON ROYALTY -1<awr hereby «serves enJ lessee aPrus In pay m l ...,r as MpWniun myatry Use following; <br />Ivr coal «movW 67 under6T"d nJ»ing mcsltais a sum equal m eigln pc«cn118 n I v! Um grins vle pine m U< fiat puvrt of vle; fur t'sW <br />rcmorW by fine mining meJsWS a win ryual sotwdve enJ arohalf perxnl fR'A %1 o(We gross vlc price as Um fiat point a! ale; aW far hgmle <br />wino W by avtp ntiuing nrcU:Ws a win cyu.J w us nnJ oeeyruncr pentm (b'L R I v(Urc grws ffic yrite at she ftsr point of sde, fw wch arW <br />nary wn I1A%x71Ds.) of oral or lignin niimJ form Um IeasrJ prenuscs, nt, in dm esem U,c sal m lignnc mitwst by enhrr mxlcrgrouuJ ur sine <br />mining urtMJS it so)J on a capuvc rrwrter, a mm epul w Jet sane «aµcsive {xrstms o[ Um reawmble aurker valee of coal ur lignite v(drc <br />scone quality Imm U,e torte gencnl area uW nrurW unJcr Uu came ger¢rat conJiliura, whitbcver is grutrr. All sums past as prnlumion royalty <br />>k,Jl 4 subKn m avsew upon Jerlw,d ntwle by <iilstr piny. In nn coat slwll the prs:Suctmn royilry m sha Sum b: less than forty r<nw 1~1 per <br />son. "Lignite" mwtu coal having an average ulurific value u[7,)t?];au iwlcss per puuW. "This raluc nsrY G: xgaiw W hswr<n 1<ssuc ad lessor. <br />If aq:«std by I<ssor. 4sace shall WsrdsL ptmf of prier nrnvW (w all cwt sold Such myahy shwa he Juc am7 payahle on or before she <br />rwtmpfifth (Jdq day u(<acA wltnJarnvarNr Junug Ux Icnu oI Uus luxe ias cad nun W, restwv W, ad wIJ by levee During the prwding erlen. <br />Jar nwmh. <br />Lessor saervo Ihr nght Iv reuorubly Wjusl Ue pu<Iwlion myahy cart az 1hr enJ of usch len~yvr Innul of U« lux prm'iJW Use IwuJ <br />presnisef a« LeIJ by praWaiun. <br />b. ROl'A1.TY IN IJh7y - As Um option of lesswr enJ wills six nwrrchs' ruvice to Le>sm, 4ssor may uke its myatry tool in lid, m which event <br />leaste shall Deliver suvh myahy coal m 4awr on the load premisca, mm starry pipdims or amv stooge piles JesigwW by lessoq aW 4sxe <br />slwll ncx insu[h ux be reywrd mpmvWe frr<slongeor paYalurry Aipeluu Wurges far arty swh cwt sunuusn stonke ps:e>ar imoslarry P'~Pclines. <br />7. DYERRRa1NG HOYALTI'1.IlI1TA7ONS-It is agrwxl Uunhu luu or any sul,nluem assigrunnn larw(fhWl tax be bwJeunl wish mror. <br />ru]:ng wyahies the agga¢me of whwh exceWS 2%ol Urc gross valx of the oral ar slx lint (wins of ale. Ilasur nwa be msiLW of all nvcmdmg <br />inyalliw accmnrg su Uru kax, Violation of tlu aWvc rswy wb)ect dris Wze so cam<Ilariw by (<swr. llm hmi;W avuinbug coy-aloes slutl Is <br />eatluJN Uum Ua assigmsent mmiJCrarimu ns ws hvUr m the (allowing Anrtle LraJ<J .ASSIGNMENT unJ.:r pan¢raPh htwJW Assrgnmtm <br />ComiJuuskan. <br />B. Ati51GNM1fY:NT-lesxe, wills wnimn wnsem v[I<ssar. nay assign thu lean as to the lwxholJ inm«st nfsudJrssm in all or panaf Ue larxls <br />cuvtrW hereby, na1 less, however, Uwn uceu a(approamutdy (arty (y0) acres w Guvcsunsttual Iva co«w{xxWmg to a ytunerquaner xclson <br />iur any partial usrgm,rnt. <br />If an assignmene o(a pan of This lcax is appmveJ, t rxw Iwse will 4 issuW w the assigsre mvcring the lams esaigneJ fur Na balance of <br />she term of Ne Lae Iwse mr Ua wal mining ;use loon in use at she time of assigrunenl ad lunhd as m Iron u caul Iwx is IimitW, ad assignor <br />wi714 «Iw>eJ and rfis[haRW from NI further ubligaourss, aryl ah:Jl be 6tlJ w hav<rduseJ Wl ti8hts aW hrabu J«reafur awrvbtg wiN «>svs <br />so the assigned lara7, as :i the acme had rcrer tart a part u( the whym uuu<r of Jlis lose. <br />Nuavigmneru of uMrviJW in«reas nr «tentinn orrettrvasinnnf overridio¢ myali«s will l% ru'ognisW or aPpruvW by Lwwr, enJ d¢ etfwt. <br />ifany,of my such assigmrcru vrauna0ons well be strictly aW adyubcsw<enthe parties dxrcm. enJ rwoidc U«mrrm u(sNslwse No Jupute <br />btrwun panics to any assigmsnl nr «xrvasion shall Detrain to ¢Imve 1 user hum perfnmwnce of arty scorn ur <mJidmu hereof ur tss pvuR"rc <br />she lime Nete(or. I<swr well al all tins W entitled w Ink sWdy lu les>cc ar list assignor shown nn to stools as being sole nwn•r herw6 enJ <br />7w o4 tedu~,; of all ntxaw requital by this IeLe. (or the perfomwsc<of ali Terms ad cndniuns tserwf. <br />ASS1CNh/F.NT CUN5IDRNA770N -The mnsiJention !nr appoval of asignmem by lessor stuN be IOX of Uw value o(any enrtsWeration <br />¢rWerW w the Assigtwr by Us As>igrec for the avignnsent. DiwlRctre of else value n(ihese wnsiJaatwtrs dull }m nnrulamry. in a(frclavir faint, <br />which Wrm shall hd psex+nW le lcswr ilong wWS Use ndrcr mugmneut imwuxnu in nrJU mubam leswr's apPmval Gn Jx usigmrtm. An <br />assigm¢m drew nx <umlime a new Icase bvl is a cumimunw o{ Um hau Irate. Any amines to wnhhalJ shi> hdomwhnn stall be vormmd as <br />an artrmpt m dt(raud We State o(CulnraJo oral dull render U¢ Iwe nu1V, voW tmJ not<xisknt, m,J d1 nrauscs pail tv l<swr dull be (or(cbur <br />ro Lesvn. hs adJJian, she Wnen1 swwlury fat will h p+td at J+< tine Uw asignmem mnrJ toms a wbrninW <br />9. R'F.IGIfT OFCOAL-llis agreW Shal all real ininW enJ sak<n(mm the kwuJ premixahall tae wxighcJ arA the wcigm shcreofshJl s+e cnarW <br />in Jue b'ms in wakM recurJS lees for such patryssw by f esste. h is a&e<J tNt Um Inns "wri' u n•..I Ivaan naasst a ton uRp)(s puuds of <br />mercharwbk tool ns fhown by mircri luyrull chr<k van.lem ar <dfseiel mdrnad scale sickns, ru by wctgM Je¢msitsW m the mire uppel, nr by <br />wngMsmrc«r; PrwidrJ Uwe what ! eswsr Jnermints Uwr it is nor Ivnsible m Jrsmnhu xcwamly qrt wtlghl hY sorb mans n nay, ny m Jxly <br />auJwruW agrns m ag<ttu, <Iwv w compute n inn v! crwl as 37 cubic Cott al cost in the w1iJ or by Ux nuswarxn« tJ Um space from ubsrl+ for <br />ewl'u nand. dWuttmg shemfrona all space osuptW by sleet or udrcr impuritks, aW sn such case Ute sail mmpuutivn sluil m boll ad bn.lmg <br />ulwn t c..«. <br />I0. REPORTS-Afros opcsadarw ue hegm,il is aged tluf on or before the ISth dayo(earh ad every momh Juring the corm. vftbss lcau Lessu <br />wJl nwk<a swam xp.m rv Ltswr, in whisfi mean AW I tx rnurd enJ u1 Juwn the coats smsvum in weighs o(all rM mind wW rcmmd from <br />sail p¢misa oral Um pritt at Ur f N evict v(sale lac which Uw tint was wkl duimg sK ptmW in¢ nasnW, which rcpmc sluli show she urwum <br />of work (<r(omtd During U« pmeWm¢ tmsrtth; Lessee shill also, Jmng U¢ term ohhis Icaze, nuke a sworn susrnenr ro Leswr dscfusing We <br />number of tans o! all cal minW Irom the Preniues Juring Ute p«eding Ywr anJ such awwal swmmmLLS nwy coio:e4 wNt 1<>sre's foul ywas <br />orwislso{faal calcrafar years Jmingthe corm of Jsis le1u. further, Iesw:r alwll humsh a nap nmtullY>hnwing al{ worlmgs, JcplhaanJ thidnnx+ <br />o(cval witA Ixasiun u(same Bird m a earner rsublisttW by UmIW Smrct survey, certihW try a licensd surveyor. Maps fumsaMl to Ne L'a:arwlu <br />Division of Mints nay musty shu rujuirusans. <br />Lesut muss proYitle w I<swr, ulssn uyuwr, a rnnsplem « Inn ou prnspening uW etplormian o[rcratiom, including grwlugu imerpresations <br />enJ recav<raFlc «xrve cWwhhons, amt naps arvl tints swsiotu shuwsng Ivcmam nl any oW wmtnry, Uall holes. bcsxhu, coal IxJics oral <br />Wrct pruspecung aW exploration acsriniu. 71e recurJS requital w tR nubaaind by l-es>e< enJ AmviJeJ w Ln>or u1>'n raryeas :nluJt pigs <br />ul all ao-au pessurnW and all gwlagir cur] hyJmlo6ie cudisions rne,wmerW, acct topics al imhole wntys -shs infanrution w M rulluaJ <br />aW paytW a Wer the wprrvunm v(a ywlihW gwlugW. gwhsgiwl <ngmur, or nsimng engineer. OJrcr 9uWifu•J perwro nay Cullen ad <br />prcp+se Usu Jan if agstW w in writing berwan s<xse< u¢I f<swr. <br />Any requesuo keep certain inlumulion eun(Wemial slwulJ tse N writing w Lessor citing U.e psov i>wns o(th<law which requir<eanfi.knriafiry <br />0(Ihe lnfnmautian. <br />Other Umununu penaimng to U¢ icase which spry tmessevtia!!o Ieasor m nuking shciabam rossccminB Urc lose may be requwtW by L<ssar <br />I I. OPERATION PLAN - AU plans fm eaplawtinn enJ mining slw1: be wbmiuwl m!<swr fur rygvovW hY 7<swr bt/em Ibex apenriurs begin. <br />I2. F.YVIRON87EMA1,ANALYSIS- gulxnnul of an enviwmrcrtwl yulyus nay be sequirW for a(ry>sovJ by Ieawr 6e(me any tgrWrtiun or <br />nairdng hc¢ms an )cued pranius. <br />13. RECLLSSATION'- A)1 plans [onesmmtiwt and raUmslion of IuteJ P«mixs afwll 6c whmiRW so 1<isnr fur Lessor's preliminary approval <br />bclmc rtdatlwrwn oral uasoruisw hegira. Ru'<a oral rc¢npsions as xl forth by she MinW 4d Rw'latwwon OuaJ u(ColvraJu for +wuvtry oral <br />«swr+tivnuf;mnW )aW wUl sppiy where applicable soUw Iwo and lads kaseJ hucwish. Varubmss stay be ¢nm W aNy wish appwvW of li>wr. <br />H O'171ER ST,t77: AC.ICN'Cl£S- Invmnxau oral Jnrumcros aquircJ Try odrtr Stac aocncics may w'islr mum snlarrcwtnu ~f UPS Iarx. In <br />N: corm Uur Irss<e u uquirul m h:e immnnrm mrJ Jl:Ylttluls with nU¢r Stain agencies, wJS as elm bhixJ l..d NrJmemrp 6.aN, bs¢ <br />pivisism a(Sllnu, ea., (<tsce J.dl msdy 1-<saor o(saW Pomg an.l L:asur rraervu Nc right so reyuut anJ.Ax.in tapirs of.w9s uwota.enu enJ <br />dwussxaus. <br />