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IIIIIIIIIIIIIIIIIII • ~ z~ ~~ • <br />Shy; EXHIBIT N <br />SOURCE OF LEGAL RIGHT TO ENTER <br />The proposed development of the Yankee Gulch Sodium Minerals Project (Yankee <br />Gulch Project) commercial mining operations at the Piceance Site would occur on two <br />sodium preference right leases held by American Soda, L.L.P. (American Soda). <br />American Soda holds the Yankee Gulch Joint Venture Leases (U.S. Sodium Lease Nos. <br />C-0118328 and C-0118329) for the purpose of developing the sodium resource and, as <br />such, has the right to enter and develop the leases for recovery of sodium. The leases <br />are located within the U.S. Bureau of Land Management (BLM) White River Resource <br />Area near Meeker, Colorado. Copies of the executed leases are included in this exhibit. <br />Also included is a letter from the BLM Colorado State Office issuing the leases effective <br />January 1, 1992. <br />Development of the pipeline corridor will require that rights-of-way from all affected <br />landowners be acquired prior to construction. American Soda has initiated right-of- <br />way (ROW) agreements with the primary landowners along the pipeline corridor. A <br />list of landowners along the ROW is provided in Exhibit U. Completion of these <br />agreements will be contingent upon successful permitting of the project, including <br />receipt of the Colorado Mined Land Reclamation Board 112 Reclamation Permit that is <br />the subject of this application. Given successful permitting, American Soda anticipates <br />completing pipeline ROW agreements by late 1999. ROW agreements will be provided <br />to the CDMG prior to initiation of pipeline construction. <br />American Soda is currently negotiating the purchase of an approximately 1,000-acre <br />parcel of land near Parachute, Colorado, from Union Oil Company of California <br />(Unocal). The Yankee Gulch Project final processing operation at the Parachute Site <br />would be conducted entirely within an approximately 300-acre portion of this parcel, <br />which is an existing industrial site that formerly housed the Unocal Shale Oil Upgrade <br />Facility. Completion of the Unocal purchase agreement will be contingent upon <br />successful permitting of the project, including receipt of the Colorado Mined Land <br />Reclamation Board 112 Reclamation Permit that is the subject of this application. Given <br />successful permitting, American Soda anticipates completing acquisition of the Unocal <br />property by early spring 1999. American Soda will furnish the CDMG with <br />documentation of the legal right to enter the property prior to initiation of construction <br />activities at the Parachute Site. <br />The project will also use a dedicated rail spur that runs approximately 4 miles from the <br />Piceance Site to deliver products to the Union Pacific Railway main line near the town <br />of Parachute. Appropriate rights of way will be obtained from owners of property <br />crossed by the rail spur prior to its being refurbished for use by the project. A list of <br />landowners along the rail spur is provided in Exhibit O. Copies of the rail spur ROW <br />agreements will be provided to the CDMG prior to initiation of rail spur renovation. <br />N-1 <br />