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-2- 3. The proposed mining and reclamation operations can ~e carried out in conformance with the requirements of the Act. D. The Operator has made a showing satisfactory to the Boa d: 1) that it will employ, during and after its underground mining and/or sur ace operations, procedures designed to minimize environmental disturbs ce from such operation; 2) that it will provide for reclamation of the Aff cted Lands appropriate to the subsequent beneficial use of such lands; and 3) that, in the event of the failure of its proposed reclamation plan, it will take whatever measures may be necessary to assure the success of reclam tion of the lands affected by such operations in accordance with the Act. E. A copy of the Operator's application, as amended and sulplemented, has been approved by the Board and is, by this reference, incorpor ted herein. F. The Mined Land Reclamation Board advises the Permittee hat all mining operators must comply with all applicable Federal, State an County statutes, including State water law. GRANTS, CONDITIONS AND AGREEMENTS i The Board, in reliance upon the representations and promise made in the permit application, as amended and supplemented, and the perfo ante warranty, hereby issues a life of the mine permit to the Operator, to engage in the operations described in the application on certain lands ly ng in the County of Mesa, State of Colorado. These lands are described in t e permit application, as amended and supplemented, and are referred to here n as the "Affected Lands". This permit is issued subject to the following conditions a~d agreements: 1) The Operator will be bound by all applicable requiremen s of the Act, and all applicable rules and regulations of the Board, as ame ded from time to time, the terms of the permit application, the terms of th performance warranty, and the terms of the financial warranty file with the Division. 2) The Operator will file with the Division its annual rep~rt and fees on each anniversary date of this permit. 3) If analyses of the mining and reclamation operation and the data collected through monitoring and experimentation by the Operator o monitoring by the Division indicate that the operation will not be able to co ply with the requirements of the Act and applicable rules and regulations o the Board, the Operator hereby agrees to exercise its best efforts, after con ulting with the Division, to modify the plans to correct such deficiencies in he future. Such modifications may require technical revisions or amendments t the permit.