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24. BOND - It is agreed that no operations aze to be commenced on the lands herein described unless and until Lessee or Lessee's agent has filed a good and sufficient bond with Lessor in an amount fixed by Lessor, to secure the payment for damages caused by Lessee's or Lessee's agent's operations on said lands. Lessor reserves the right to grant relief from the foregoing bond requirements. Lessor may require such bond to be held imfull force and effect for one yeaz after cessation of operations for which the bond was intended. -This requirement may be waived in favor of the requiietir6nts of the Division of Minerals and Geology. 25. WATER - If Lessee initiates or establishes any water rights for which the point of surface diversion or ground water withdrawal is on the leased premises, title to such water rights shall, upon termitation of the lease, become the property of the surface owner without cost, and title to the water rights shall be conveyed to the surface owner immediately upon termination, except that if Lessor is the surface owner the water right shall be taken in the name of Lessor in the first instance and shall be the property of Lessor without cost. 26. SURRENDER AND RELINQUISHMENT -Lessee may, at any time, by paying to Lessor, all amounts then due as provided herein, surrender and cancel this lease insofaz as the same covers all or any portion of the lands herein leased and be relieved from further obligations or liability hereunder with respect to the lands so surrendered; provided that no partial surrender or cancellation of this lease shall be for less than tracts of approximately forty (40) acres or governmental lot corresponding to a quarter-quarter section, the rental being reduced proportionately. This surrender clause and option herein reserved to Lessee shall cease and become absolutely inoperative immediately and concurrently with the institution of any suit in any court of law by Lessee, Lessor or any assignee of either to enforce this lease, or any of its temts, express or implied, but in no case shall surrender be effective until Lessee shall have made full provision for conservation of the minerals and protection of the surface rights of the leased premises as tray be determined by Lessor. Notwithstanding the foregoing, no surrender and relinquishment of this lease shall be effective unless and until all reports, documents and infomtation of any kind required to be submitted to Lessor under this lease, or to such state agencies as provided in this lease have been submitted to Lessor or such state agency. 27. RIGHT OF REMOVAL - In the event this lease is terminated by surrender, or the expiration of its tet~rr, and all obligations of Lessee under this lease are satisfied, all Lessee's improvements, equipment, man-made objects of any type, including stockpiles and dumps except as these stock piles and dumps may be disposed of pursuant to the reclamation plan, shall be removed from the leased premises within six months from the date of such termination at Lessee's expense. Such removal is to be accomplished without unnecessary waste or damage to the premises and Lessee shall restore the surface of the leased premises to the same condition as immediately prior to the execution of this lease as it pertains to such removal. All improvements and equipment remaining on the leased premises six months after the termination hereof shall be forfeited automatically to Lessor without compensation and without necessity of execution of additional documents. 28. CONDEMNATION - If the leased land shall be taken in any condemnation proceeding, this lease shall automatically terminate as of the date of taking. The awazd for such condemnation shall be paid to Lessor, except for any specific awazd(s) paid to Lessee for severed minerals reserves, in which event Page 7 of 9