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<br />operation, consistent with the regulations. Th0
<br />advance royalty shall be based on a percent of
<br />the value of a minimum number of tons determined
<br />1n the manner established by the advance royalty
<br />rcqulations in effect at the time the I,essec
<br />requests approval to pay advance royalties in
<br />lieu of continued operation.
<br />Sac. 3. BONDS - Lessee shall maintain in the
<br />proper office a lease bond in the amount of
<br />5920,000. The authorized officer may require an
<br />inCTPA+'e in this amount when additional coverage
<br />is determined appropriate.
<br />Saa. 4. DILIGENCE - This lease achiyved diligent
<br />development Match 15, 1994, and is subject to the
<br />conditions of continued operation. Continued
<br />operation may he ereused uhcn operations under
<br />the lease are interrupted by strikes, the
<br />elements, or casualties not eft ribucsble to the
<br />Lessee.
<br />The l,esaor, in the public interest, may suspend
<br />the condition of continued operation upon payment
<br />of acivanec roysleies in aeeordanee with the
<br />regv).a Lions in existence at the Limo of the
<br />suspension.
<br />The Lessor reserves the power t0 assent to or
<br />order rho suspension of the terms and conditions
<br />of this lease in accordance with, inter, aria
<br />Section 39 of rho Mineral Leasing Act, 3l~U.S. Cam.
<br />209.
<br />Sec. 5. LOGICAL MINING DNIT ILMD) - Either upon
<br />approval by the Lessor of the Lessee's
<br />application or at the direction of the Lessor,
<br />this lease shall become an LMV or part of an LMU,
<br />subject to the provisions set forth in the
<br />zegulation.s,
<br />The stipul.a Lions established in an LMU approval
<br />in effecC at the time of LMU approval or
<br />modification will supersede the relevant
<br />inconsistent terms of this lease so long as the
<br />lease remains committed to the LMU. If the LMU
<br />of which this lease is a part is dissolved, the
<br />lease shall then ba subject to the lease terms
<br />which would have been applied if the Lease had
<br />not been included in the LMU.
<br />Sea. 6. DOC[ASfiNTS, EVIDENCE AND INSIIECTIOM - AC
<br />such times and in such form as Lessor may
<br />prescribe, Lessee shall furnish detailed
<br />sty l'ements showing the amounts and quality of all
<br />pcoducte removed and sold from the Lease, the
<br />proce¢ds therefrom, and rho amount used for
<br />production purposes or unavoidably lost.
<br />Lessoc shall keep o an at all reasonable limos
<br />fox the inspection of any duly authorized officer
<br />of I,essur, the leased premises and~all surface
<br />and underground improvements, works, machinery,
<br />ore stockpiles, equipment, and all books,
<br />accounts, maps, and records relative to
<br />operations, surveys, or investigations on or
<br />under the leased lands.
<br />Lessee shall allow Lessoc peters to and copying
<br />of documnnts reasonably necessary to vyrify
<br />i,essee compliance with forms and conditions of
<br />the inert.
<br />While this lease remains in effect, infoanation
<br />. obtained under this section shall he closed to
<br />inspection by the public in accordance with the
<br />Freedom 0f Information Action (5 U.S.C. 552).
<br />Soc. 7. DAMAGES TO PROPEATI AND CONDOCT O&
<br />OPERATIONS - Lessee shall comply at its own
<br />expense with all rcasonablo orders of the
<br />Secretary, respecting diligent operations,
<br />prevention of waste, and protection of other
<br />resources.
<br />Lessee shall not conduct exploration operations,
<br />other than casual use, without an approved
<br />exploration plan. All exploration plans prior to
<br />the commencement of mining opperations within an
<br />approved mining permit area shnll be submitted to
<br />the authosi zed officer.
<br />Lessee shall Carry on all operations in
<br />accordance with approved methods and practices as
<br />provided in the operating regulations, having due
<br />regard for the prevention of injury to life,
<br />health, or property, and prevention of waste,
<br />damage or deyradacion any land, air, water,
<br />Cultural, brologiesl, visual, and other
<br />resources, including mineral deposits and
<br />formations of mineral deposits not leased
<br />hereunder, and to other land uses or users.
<br />Lessee shall take measures deemed necessary by
<br />t.essor to accomplish the intent of this lease
<br />term. Such measures may include, but not limieed
<br />to, modification, to proposed siting or design of
<br />speoificatlona of interim and final reclamation
<br />procedures. Lessor reserves to itself the right
<br />to lease, sell, or otherwise disppore of the
<br />surface or other mineral deposits in the lands
<br />end Che right to continue existing uses and to
<br />authorize future uses upon or in the leased
<br />lands, Sncluding issuing leases for mineral
<br />deposits not towered hereunder and approving
<br />easements or rights-of-way. Lessor shall
<br />condition such uses to prevent unnecessary or
<br />unrcasonablo interference with rights of Lessee
<br />as may be consistent with concepts of multiply
<br />use and multiple mineral develotaaent.
<br />Saa. 8. PROTECTION Op DIVERSE INTERESTS, AND
<br />EQUAL oPPOATONITr - Lessee shall: pay when due
<br />all taxes legally assessed and lnvied ~rndor the
<br />laws of the State or the United States; accord
<br />ell employees complete freedom of purchase) pay
<br />all wages at leeaL twice oath month in lawful
<br />money of the United States; maintain a salt
<br />workrnq environment in accordaneo with standard
<br />industry practices) restrict L•he workday to not
<br />more than 8 hours in any one day for underground
<br />workers, except in emergences; and take measures
<br />necessary to protect rho health sad safety of the
<br />public. No person under the ago of 16 years
<br />^hall be employed in any mine below the surface.
<br />To rho extent that laws of the state in which the
<br />lands are situated era more restrictive than the
<br />provisions in this paragraph, then the state laws
<br />aPPly.
<br />Lesscc will comply with all provisions of
<br />Executive Order No. 11246 of September 24, 1965,
<br />as amended, and the rules, regulations, and
<br />relevant orders of the secretary of Labor.
<br />Neither Lessee nor Lessee's subcontractors shall
<br />maintain segregated facilities.
<br />sac. 9. (a) TRANSFERS - Phis lease may be
<br />transferred in whole or in part to any person,
<br />association or corporation qualified to hold auoh
<br />lease interest.
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