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<br />2. Right 'to Prosvect and Mine
<br />Sublessor shall have the exclusive right to prospect the Premises
<br />for coal, to mine and rarove gal by strip, surface, or open face mining,
<br />to use quarry, shaft, slope, drift or any other method of mining to extract
<br />the croal on, in, and underlying the Prerises, and to store, prepare for
<br />selling and selling mal, subject to any limitation placed on such rights
<br />in the original coal leases.
<br />3. Use of Leased Prenises
<br />Sublessee is granted the right to use so much of the surface of the
<br />leased Premises as may be required, necessary or convenient for any and
<br />all purposes to or connected with prospecting, mining, ramval, preparation,
<br />and selling of coal aril transportation of coal, on, under, to or from the
<br />Prani_ses and to or from adjoining, adjacent, or nearby lands now or here-
<br />after held, owned, or lased by S+.~blessee. Sublessee shall have the right
<br />to dig, drill, construct, use and maintain .ells, ponds, pits and other
<br />excavations constructed by the Sublessee on the Premises. Sublessee shall
<br />have the right to divert, dam and use any and all water crourses on the
<br />Pr~++~~s in any legal manner which Sublessee deems necessary or convenient
<br />to aoooi~lish the purposes for which this Sublease is granted. The Sublessee
<br />shall have the right to per, drain, and transport water out of any Hell, pit,
<br />pond, or ~.nrlting place on, over, through, or across the Premises. These .
<br />rights shall be subject to any limitations placed on such rights in the
<br />original coal leases.
<br />4. R/ya1tY
<br />Sublessor reserves unto itself a royalty of nine percent (9~) of the
<br />F.O.B. mine site value per ton of coal mined and removed from the Premises
<br />by Sublessee. Sublessor shall make the royalty pay~rents required by the
<br />original coal leases to the lessors of those leases.
<br />5. Termv~ation of Lease
<br />If at any time Sublessee shall be in default in its perforr~noe under
<br />the terms and conditions of this Sublease, and if within thirty days after
<br />written entice of such default is given by Sublessor to Sublessee, Sublessee
<br />has not cured or oomRenced activities which will cure the default if pursued
<br />diligently, then Sublessor may tP*m~~~te this Sublease by providing written
<br />notice of termination to Sublessee. Upon any such termination, all the rights
<br />and privileges of Sublessee hereunder shall cease and tP*~*~~*+ate and Sublessor
<br />shall be entitled to resume its former estate and Sublessee shall surrender
<br />possession of the Premises upon demand.
<br />6. Covenants
<br />Sublessor covenants to and with Sublessee that subject to the finalization
<br />of the purchase of these leases fran CF&I Steel Corporation it has the right
<br />to execute this Sublease arri will warrant and defend the title to said lease-
<br />hold estate against the clairm; of all persons whatsoever.
<br />7. Parties Bound
<br />The burdens and benefits of this Sublease shall extend to and be
<br />binding upon the successors and assigns of the parties hereto.
<br />the following signatures, the day and year first above written.
<br />crmrFS~nR:
<br />NOKL'H CF~TPRAL EI~C,'Y CtY~ANY
<br />~y: 2~ ~..
<br />J Robert Wilson, C7~aiirnan
<br />.+l I p_
<br />Pa 1 C. Jon ,President ~
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