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<br />Sodium Lease C-0118329
<br />of the !rase at trc rate of 2S cents fw the first ralatdar year w fraction
<br />drreof, 50 cents for the second, third, fourth, and filth calendar years
<br />ecuvety, and SI for Ne suN aril rack succeeding Calendar year.
<br />(b) RENTAL CREDITS • Tlie mural fw any year will be credited
<br />againu the fast royalties as they accts under the kau during the year
<br />fw which rental was paid
<br />Sec 2. (a) PRODUCTION ROYALTIES .Lessee shall pay lessor a
<br />pivduction royalty of 5 peiceu of the grow value of Nc output of the
<br />leased deposits at the patio of shipment w market Such protlucuon
<br />royalty it due the Last day of the monN nett following the month in
<br />which the minerals are sold a removed from the kazed lands.
<br />(b) MIIQIMUM ANMJAL PRODUCTION AND MRQIMUM ROY-
<br />ALTY -Beginning with the sixty lrse yc.
<br />(1) Lessee shall produce on an annual basis a mirtimum amount of
<br />1.000 tore of sodium orrUarrd produce through the truth lease year.
<br />2.000 tons the eleventh through fifteenth lease years, and 3.000 tons
<br />dierrafter for the rernauida of the initia120-year lease tam; a
<br />(2) At the request of the lessee, made prior m initiadon of the lease
<br />year, the audionzed officer may allow in whting the payment of a
<br />53.00 per acs or frae¢on thertof minimum royalty inliw of produc-
<br />tionfor any particular lease year. Minimum royalty payments shall t<
<br />~+~ to Production royalties for than year oNy.
<br />a~~K 4s4 ~ALLzss
<br />any duly authonzed officer o! lessor, dte leased pttmtsrs aril all
<br />surface and iuidaground im pmvem en e, works, rriachinery, ore stodo-
<br />piles. egmpmrnt and all books. accounts. maps. and record[ r*I+,ive
<br />to operations, surveys, w inveuigations on w under the leased laidt
<br />Lessee either shall submit w shall provide lessor atx:eu to, sod
<br />copying of, documents reasonably necessary to verify lessee compli-
<br />arcs with terms and conditions of the lease.
<br />While des lease remains in effect information obtained ender this
<br />section dull be closed to inspection by dte public in accordance wir6
<br />the Freedom of Inf¢rntation Ac (5 U.S.C.::2).
<br />See. 6. WATER RIGHT'S -All watt rights developed by the hs~
<br />through optradore on the lease lands shall immediately booms the
<br />prc~erry of the lessor. Le:sc s'scll have die rgh: m u.;. ttu>.sr. zc
<br />nghe free o[ charge for operations under this lase.
<br />Sec. 7. CONDUCT OF OPf3RATIONS - (a) Lessee shall cxt~r
<br />reasonable diligence, skill, and rase in the operation of the property
<br />a¢d shall c:lry on all operations, having due regard for Ne prevearia
<br />of injury w life.htalth, orptsiperry,and prevention of waste ordamagr
<br />w degradation m any land. warn, or mineral tesousces.
<br />(1) Lrsstx shall not conduct exploration or operations, otherth>s
<br />casual use, prior m approval of plans of exploration or optratitros bf
<br />lessor and the receipt of necessary pes>rtirs
<br />./The authorized officer shall not accept payment of minimum
<br />royalty for more titan a totti of 10 years during me initial base tam.
<br />See. 3. SUSPE*1SiON -Lessee shall notify the authorized offices
<br />when optnatioru are inu.:mpted by mikes, the Dements, w casualties
<br />notatitibutabie to the lessos. Upon application of lessee, lessor may
<br />approve suspension of opera¢ons under the kale when marketing
<br />conditions ors such that Ne lease cannot be operated except at a loss.
<br />In the interest of const:rvation of natural resources, the lessor may
<br />waive, suspend, or reduce rental, or minimum royalty, or reduce
<br />royalty, and may direct Or assent to Ne stupertsion of opeationS and
<br />producuon under des lease in accordance with see¢on 39 of the
<br />Mineral Leazing Act 30 US.C. 209.
<br />See. 4. BONDS - t .R., shy ~~ ~ the proper ofLce an inidal
<br />lease bond is the araotmt of SS,000, w im liw thereof, an acceptable
<br />statewide w nationwide bond. The authmimd officer tray adjust Ne
<br />brad amotmt as tkoesatiried appttrp^,'• for operatiotu under this
<br />lease Lessor shall requite a lease band sttffident to satisfy rental and
<br />royalty paymene as will as lessee's performance bard under43 CFR
<br />23 foropcationsandttxlamationtegttitsmmu in the evemthat lessee
<br />fails to fully comply with lease tams, eondidotu, and stipulations
<br />Sec S. DOCUMENTS, EVTn174CE AND INSPECTION - At such
<br />tunes and in such form az lessor may presaibe, lessee shall famish
<br />do 4 statements showing the amounts and quality of all predate
<br />reriwved and sold from the lease, the proeeids dierefmm, and the
<br />amount used for prodrcdon purptrsrs or umvoidably lost
<br />Lessee shat! keep open ar all masaubk times, for the inspection of
<br />(2) I.esseeslul! Carry on all OperallOttS in at.eordanee with aPRo~
<br />methods asd praeuces, and az provided in the operating sgulatioo
<br />and in the approved mining plan. in a mantra that minimizes advex
<br />impacts to the land., air. water. eulttaal biological, visual. and ati'e
<br />rtsources, including mineral deposits and fortnadons of
<br />dtposte not leased hereunder, and to other land uses of users.lssaQ
<br />shall take mnsmts darned necessary by lessor ro accomplish m
<br />intent of this kaze term. Such measures may include, but ate ttc
<br />limited m, modification to proposed siting or design of fadlider
<br />timing of operations, and specification of interim and foul ret*ma
<br />lion p~edurs.
<br />(3) Lxssw reserves to itself the right to lease. se4 or othertais
<br />depose of the sttrfaee or other mineral deposits in the lands and th
<br />right w tatrtiaue eiisting uses and m atuhoriu fu¢ue rues ¢pao a b
<br />the leased lands, including issuing leases for mince! deposits m
<br />covered lieretmder and approving of easrme¢ts or tighu-of~way
<br />Lessor tccpsessly reserves the right to issue oil shale leases foray o
<br />arty Pan of the lands subject a this lease, including the Saline Inc
<br />Lector also reserves the right to issue sodium leases for all or a¢ypar
<br />of the lands sub ject m this lease. excludin g the Saline Tart; giving tds
<br />[egad to therights of lessee m the deposiu leased hereut Ltusorshal
<br />cmdidon such use m prevent unnecssvy w tsmeasonabk mterfe
<br />once with righe of lessee az may be consisterit with corieepas o
<br />multiple use and multiple mineral devebpment
<br />(b) i_xploration, Dtswlvpmenr, and Prodiittian of Leered Depttst
<br />and Other Opcrarions in Oil Shalt or Other Learable Deposes
<br />Lessee shall not conduct exploration w mining operations drat >a
<br />~.. 'jU
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