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t <br />• AGREEMENT <br />THIS AGREEMENT made as of the 13th day of May, 1994, between LARRY and ELAINE <br />MAUTZ ("Mautz") and 1•IOUNTAIN COAL COMPANY ("Mountain Coal"). <br />1. Jerkins Pro.nerty <br />Mountain Coal grants to Mautz a 20 year leasehold interest in the Jenkins property, described <br />in Exhibit A and comprising 22.4 acres more or less. <br />Mountain Coal also grants to Mautz a 20 year lease of the water rights associated with the <br />Jenkins property, described in Exhibit A. Mautz agrees to exercise those water rights to the <br />maximum extent practical, and shall each year irrigate at least eight acres of the Jenkins <br />property. Mautz may, upon receiving permission from Mountain Coal, clear and make <br />irrigable additional acreage on the Jenkins property. Mountain Coal reserves the right to <br />make use of those water rights as needed during the term of the lease. <br />Mautz shall not be responsible for any environmental liability arising from a preexisting <br />condition of the Jenkins Property. Mautz shall not use the Jenkins Property as a landfill or for <br />the disposal of hazardous wastes, hazardous substances, oil or petroleum products, or other <br />materials that could cause a+tvironmental harm. Mautz may, however, engage in typical <br />agricultural uses of the Jenkins Property. <br />Mountain Coal shall, by a separate instrument, convey to Mautz for one dollar the structures <br />on the Jenkins property. Mau[z shall demolish and/or remove the structures from the Jenkins <br />Property before or at the end of the lease term. <br />Mautz shall perform all maintenance of the Jenkins Property during the term of this lease. <br />Mautz shall not, however, erect any structure or make other improvements of the Jenkins <br />Property without the prior written approval of Mountain Coal. <br />2. )yiautz Lands <br />Mautz grants to Mountain Coal a 20 year surface easement in the real property described as <br />Mautz Lands on the map attached as Exhibit B, comprising 140 acres, more or less. <br />Mountain Coal shall use Mautz Lands for construction of a ventilation facility, including a <br />ventilation fan, and for other uses incident to coal mining. Mountain Coal shall minimize the <br />acreage of tl+e ventilation facility "footprint" (presently estimated to be less than ten acres) and <br />sl+all avoid, if possible ,the area designated on Exhibit B. <br />3. Mou~+tain Cord Lands <br />Mountain Coal grants to Mautz a license to use the real property described as Mountain Coal <br />Lands on the map attached as Exhibit B. Mautz shall use the Mountain Coal Lands solely for <br />agricultural uses, including as an irrigated hay meadow. Mautz shall not cut roadways, erect <br />structures, or make improvements to the Mountain Coal Lands without the prior written <br />approval of Mountain Coal. Mautz shall not place refuse or otherwise discard items on <br />Mountain Coal Lands. The use of the Mountain Coal Lands by Mautz shall be subordinate to <br />any use Mountain Coal may wish to make of the Mountain Coal Lands. Mautz shall have no <br />claim or right to relief if the Mountain Coal Lands are affected by mining activities or other <br />activities of Mountain Coal. <br /> <br />~, ~5 <br />