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~- r.'.'.MRR 12 '98 01~34PM COTTONWOOD LRND COMPRNY ,-- -- - --_ P.2/7 INn1vIDUAr.7ICENSE aGRF MENT FORI.IlVIITED ACCESC WA_IVL'R OF cI A~'MC RFI FACE OF LrABTLTTY 11Ni1 NOTICE OF WARTTrNC TkiIS AGREEMENT, is made and entered into this 16th day of May, 1996, by and between Hayden Gulch Terminal, Inc. ("Owner") and Cottonwood Lsnd Company ("Licensee"), whereby the parties agree as follows: 1. a~jT OF PL:Rtvri_SSION. Owner in consideration of Licensee's promises herein, such promises being the sole consideration received by Owner, hereby gives permission to Licensee, revocable and terminable as hereinafter provided to enter upon the land owned by OWNER as described below, for the sole purpose of conducting coal exploration and environmental studies, all on the terms and conditions herein set forth which Licensee promises to comply and abide with. 2. DF,~eRIPTION OF PROPERTY. The land owned by OWNER subject to this Agreement (herein referred to as the "Premises' is described as follows: Township 5 North Ranee 88 Wect 6th p m Section 22: Part S 1 /2 N 1 /2 lying east of Routt County Road 53 and Part S 1/2 lying east of Routt County Road 53, except that tract of land owned by Robert and Mary Barnes of approximately 40 acres iocated in the S}il/4 of Section 22. Section 26: NWl/4 NWl/4 and S1/2 NWl/4 Section 27: N/2 NEl/4, SEI/4 SEl/4, and NEl/4 NWI/4 Licensee's access to Owner's land is limited to the premises. Licensee shall notify Owner's lessee{s) prior to entry on the Premises. 3, TF, M OF C: ANT, The permission granted hereunder shall be effective as of December 15, 1996, and shall continue to December 31, 1997, unless terminated earlier u provided in paragraph 1 D of this Agreement. 4. WAR~C~ CONDITIONS OF T8E PREMISES. OWNER hereby wazns Licensee that the Premises may be dangerous and hazardous, OWNER further warns that it has not maintained or prepared the Premises for the purposes of the Licensee, and that OWNER cannot examine the Premises or be aware of its condition, or of the conduct of other persons. Therefore, OWNER does not warrant or represent that the Premises are safe or suitable for the purposes for which they are permitted to be used under the terms of this Agreement and makes no representation as to the conditions of the Premises, or as to the conduct of persons,-including OWNER employees and agents on the Premises, except that the Premises may be unsafe for the purposes of the Licensee, Licensee, by this Agreement, is informed and understands that OWNER would be exposed to legal liability and cost of an unknown amount in order to extend this use of the Premises and would no; and does not, allow this usage without the relief of liability, waiver of claims and compliance with conditions provided for by this Agreement 5. e0 LIANCE W[TA APPLiCARL.F. j.a'ViV$. Licensee shall comply with all applicable laws, rules, regulations, orders and ordinances of federal, state and local government offices and authorities, and Licensee shall indemnify and hold harmless OWNER, its directors, officers and employees from all penalties, fines end other charges resulting from violations or alleged violations by Licensee, of such laws, rules, regulations, orders and ordinances.