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<br />BY THIS LEASE, LESSOR INTENDS TO LEASE TO LESSEE ALL OF LESSOR'S RIGHT,
<br />TITLE AND INTEREST IN THE COAL IN, ON OR UNDER THE Benson East Property, UPON THE
<br />• ~ TERMS AND CONDITIONS STATED HEREIN.
<br />3. IEma. This Lease shall be in effect for ten (10) years commencing on the Lease Date
<br />stated above and for so long thereafter as: (1) coal is produced in commercial quantities from the
<br />leased lands or any part thereof, or any contiguous or nearby lands as a part of a continuous or
<br />integrated mining operation or mining plan, (2} the Benson East Property is being reclaimed per the
<br />requirements of the mining permit covering the Benson East Property issued by the Colorado
<br />Division of Minerals and Geology, Office of Mined land Reclamation and (3) all reclamation bonds
<br />issued on the Benson East Property are fully released.
<br />Notwithstanding any other provisions made in this Lease to the contrary, Lessee sha{I have
<br />the right at any time, upon the basis of at least thirty (30) days advance written notice to Lessor, to
<br />terminate this Lease effective on December 31 of any year, but Lessee must pay to Lessor all
<br />amounts, if any, due under the terms of this Lease to the day previous to the effective date of
<br />termination.
<br />Alter expiration or termination of this Lease, Lessee shall have an additional ninety (90) days
<br />during which Lessee shall have the right to re-enter the Benson East Property and remove all of
<br />Lessee's properly from the Benson East Property, and thereafter, as and when required bylaw, and
<br />until such time as Lessee is released by all appropriate regulatory agencies, Lessee shall have the
<br />right to perform reclamation and environmental work on and respecting the Benson East Property,
<br />provided however, that reclamation and environmental work shall be performed in a reasonable and
<br />timely manner after termination of the Lease.
<br />. ~~ 4. Sneciat Riahtc_ of Lac_see. In addition to whatever rights Lessee may have by
<br />implication of law hereunder, Lessor spec~cally grants to Lessee the following exclusive rights
<br />('Rights'):
<br />(a) to drill, take core samples, survey, map and otherwise evaluate the Coal, and
<br />to perform environmental and cultural resource studies. Lessee will be liable for the destruction of
<br />growing crops and field improvements, provided, however, that once Lessee provides six (6) months
<br />notice to cease irrigating and other farming operations, Lessee shall no longer be liable for crop or
<br />field improvement losses.
<br />(b) to mine, extract, remove, process, market or otherwise use the Coal, including
<br />mining by the strip, auger and/or any other methods now or hereafter in existence. Upon payment
<br />of royalties due, Lessor relinquishes any ownership right of coal under this lease. It is expressly
<br />agreed that Lessee has the right to damage the surface and any surface improvements during
<br />mining operations. However, Lessee agrees to reclaim the surface (and is required by law to do so}
<br />to standards that will be included in mining permits issued by the State of Colorado.
<br />(c) of free access to, in, from and across the Benson East Property and the Coal
<br />with any persons, tools, machinery, and appliances, and also the right to install, maintain, use and
<br />change buildings, fipples, railroad tacilities, conveyors, roads, haulage ways of all kinds, pumping
<br />stations, pipelines, powerlines, ditches, storage facilities, substations, excavations, pits, openings,
<br />stockpiles, mine refuse disposal areas, drains, dams, ponds, natural and/or artificial water courses,
<br />and any other facility, and to undertake any other thing or use necessary or convenient for exercising
<br />the Rights otherwise specified in this Section 3, all with respect to the mining of the Coat and with
<br />~ respect to the mining of other coal on other lands situated in the same township(s) in which the
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