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Page 3 of 4 <br />tools, and materials remaining on the leased lands beyond <br />180 days, or approved extension thereof, shall become the <br />property of the Lessor, but Lessee shall either remove any <br />or all such property or shall continue to be liable for <br />the cost of removal and disposal in the amount actually <br />incurred by the Lessor. If the surface is owned by third <br />parties, Lessor shall waive the requirement for removal, <br />provitled the third parties do not object to such waiver. <br />Lessee shall, prior to the termination of bond liability <br />or at any other time when required and in accordance with <br />all applicable laws and tegulations, reclaim all lands the <br />surface of which has been distu r6ed, dispose of all debris <br />or solid waste, repair [he otfsite and onsite damage <br />caused by Lessee's activity or activities incidental <br />thereto, and reclaim access roads or trails. <br />Sec. 11. PROCEEDINGS IN GSE OF DEFAULT - If Lessee fails <br />to comply wrth applicable laws, existing regulations, or <br />the terms, conditions and stipulations of this lease, and <br />the noncompliance continues for 30 days after written <br />notice thereof, thrs lease shall De subject to <br />cancellation by the Lessor only by judicial proceedings. <br />This provision shall not be construed to prevent the <br />exercise by Lessor of any other legal and equitable <br />remedy, including waiver of the default. Any such remedy <br />or waiver shall not prevent later cancellation for the <br />same default occurring at any other time. <br />(3) Lessee shall protect all known cultural <br />resource properties within the lease area from lease- <br />related activities until cultural resources avoidance of <br />mitigation measures can De implemented as part of an <br />approved exploration plan or an approved mining and <br />exploration plan. <br />(4) The cost of conducting the inventory, <br />preparing reports, and carrying out mitiga lion measures <br />shall be borne by lessee. <br />~5) If cultural resources are discovered during <br />operations under this lease, lessee shall immediately <br />notify the authorizetl officer of the BLH or OSM. Lessee <br />shall not disturb such discovered resources except as <br />subsequently authorized. witRin two (2) working tlays of <br />notification, the authorized officer will evaluate, or <br />have evaluated, any cultural resources discovered and will <br />determine if any action may be required to protect or <br />preserve such discoveries. Cost of data recovery for <br />cultural resources discovered during lease operations <br />shall be borne by the surface managing agency unless <br />otherwise specified by Che BLM authorized officer. <br />(6) All cultural resources discovered shall remain <br />under the jurisdiction of the United States until <br />ownership is determined under applicable law. <br />Sae. 12. HEIRS AND SUCCESSORS - IN-INTEREST - Each <br />obligation of this lease shall extend to and be binding <br />upon, and every benefit hereof shall insure to, the heirs, <br />executors, administrators, successors, or assigns of the <br />respective parties hereto. <br />Sec. 13. INDElpII FICTION - Lessee shall indemnify and <br />hold harmless the United States from any and all claims <br />arising out of the Lessee's activities and operations <br />under this lease. <br />SeC. ld. SPECIAL STATUTES - This lease is Subject t0 the <br />Federal wacer Pollution Control Act (37 U.S.C. 1151 - <br />1175): the Clean Air ACC (42 U.S.C. 1857 et seq.), and t0 <br />all other applicable laws pertaining to exploration <br />activities, mining operations and reclamation, including <br />the Surface Mining Control and Reclamation Act of 1977 (30 <br />U.S.C. 1201 et seg.) <br />Sac. 15. SPECIAL STIPULATIONS - This lease is subject to <br />special stipulations ~a) Cultural Resources, Ib) <br />Pa leon[ological Resources, and (c) Subsidence which are <br />incorporated into and made a part of the terms antl <br />conditions Eor all lands included in modified coal lease <br />COC 60991. <br />(a) Cultural Resources. (1) Before beginning <br />any surface disturbing activities on the leased lands, <br />lessee shall conduct a cultural resource Intensive fieltl <br />inventory on [hose portions of the mine plan area and <br />adjacent areas, or exploration plan area, which may be <br />adversely affected by lease-related activities and which <br />were not previously inventoried at such a level of <br />intensity. The inventory shall be conducted by a <br />qualified professional cultural resource specialist (i.e., <br />archaeologist or historian, as appropriate) approvetl by <br />the authorized officer of the Bureau of Land Management <br />(BLM) and shall be conducted in [he manner that the <br />authorizetl officer specifies, <br />(2) Lessee shall submit an inventory report, <br />including reco~mnenda lions for protecting any significant <br />cultural resources, [o Che Reglonal Dl rector, Western <br />Regional Coordinating Center, Office of Surface Mining <br />(OSM), and the BLM authorized officer. Lessee shall not <br />begrn surface disturbing activities until permission to <br />proceed is given by the approp gate authorized officer. <br />(b) Pelson tologicel Rasourcas. (1) Before <br />beginning surface disturbing activities on the leased <br />lands, lessee shall contact the BLM authorized officer to <br />determine whether lessee will be required to conduct a <br />paleontological appraisal of lease areas that may be <br />adve csely affected by lease-related activities. Any <br />paleontological appraisal required shall be conducted by <br />a qualified paleontologist approved by the BLM authorized <br />officer and in the manner the authorized officer <br />specrfies. <br />(2) Lessee shall submit an appraisal report, <br />including recommendations for protecting any larger and <br />more conspicuous fossils of significant scientific <br />interest identified on the leased lands to the BLM <br />authorized officer. <br />(3~ If any such fossils are discovered during <br />operations under this lease, lessee shall invnediately <br />notify the authorized officer of the BLM or OSH. <br />Operations may continue as long as the fossil specimen(s) <br />would not be seriously damaged or destroyed by the <br />activity. within five (6) working days of no [ification, <br />the authorized officer of the eLM or OSM shall evaluate or <br />have evaluated such discoveries and shall notify Che <br />lessee what action shall be taken with respect to such <br />discoveries. <br />(4) Lessee shall not knowingly disturb, alter, <br />destroy, or take any larger and more conspicuous fossils <br />of significant scienti Eic interest and shall protect all <br />such fossils in conformance with the measures included in <br />the approved mining and reclamation plan or exploration <br />plan. <br />(5) These conditions apply to all such fossils of <br />significant scientific interest discoveretl within the <br />leased lands, whether discovered in the overburden, <br />interburde n, or coal seam or seams. <br />(6) All fossils of significant scientific interest <br />shall remain under the jurisdiction of the United States <br />until ownership is determined under applicable law. <br />