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SLB 260 5/89 STATE OF COLORADO STATE BOARD OF LAND COMMISSIONERS Department of Natural Resources QUARRY MINING LEASE N0. OR 3280 THIS MINING LEASE, Made in duplicate and entered into this 26th day of March 1996 , by and between the State of Colorado, acting through its STATE BOARD OF LAND COMMISSIONERS, hereinafter referred to as Lessor, and Western Nutrients Co P O Box 731 Canon City CO 81215 hereinafter referred to as Lessee: WITNESSETH: Lessor, for and inconsiderationofthesumof five hundred~thirt}'-four and no/100- Dollars ($ 534.00 ), receipt of which is hereby acknowledged as payment of the filing fee in the amount of $ 20.00 ,first year's rent in the amount of $ 514.00 , and a bonus in the amount of $ -0- ,and in further consideration of Lessee's agreement to pay Two and no/100 - Dollar(s) ($ 2.00 )per acre annually as rental in advance of the anniversary date of this lease so long as said lease shall remain in effect; and in further consideration of the terms, conditions and agreements herein and of the payments of annual rentals and royalties reserved herein, to be kept and performed by Lessee, its successors and assigns, does hereby lease to Lessee the right and privilege of exploring and prospecting for, and mining of and taking of Gypsum minerals from the lands herein described, situated in the County of Fremont ,State of Colorado, to wit: ACRES SUBDIVISION SEC.TWP.RGE. PATENTS 157.42 in NE/4; 59.00 in N/2SE/4; 40.00 NEf4SW/4 26-17S-68W None FUND: School containing 256.42 m/I acres, more or less, together with the right to use as much of the surface as may be reasonabiy required in the exercise of the right to mine, including strip mining, in situ solution mining, and heap leaching; and the right to reasonable ingress and egress; the right to construct buildings, make excavations, stockpiles, dumps, drains, roads, railroads, powerlines, pipelines, and other improvements as may be reasonably necessary in the mining and removal of said minerals; subject, however, to all existing easements and rights-of-way of third parties, and the rights of surface lessees and surface patentees, and further subject to the terms, conditions and agreements set out in this lease. The above-mentioned rights may be exercised in connection with mining on other or adjacent lands only when mining on such lands is carried on in conjunction with the actual mining on the land herein leased. The above right to use state lands without mining on the lands herein leased will be at the discretion of Lessor. RESERVING, however, to the State of Colorado: A. All rights and privileges of every kind and nature, except as are herein specifically granted.