PERMFILE139647

• Permit No: C1981031
• IBM Index Class Name: Permit File
• Doc Date: 12/11/2001
• Section_Exhibit Name: Section 2: Rule 2.03
• Media Type: D
• Archive: No

• mine coal by surface mining methods and the reasonable right of
ingress and egress to and from said premises as necessary.
It is understood that certain portions of the leased
property contain materials remaining from past coal mining
operations. This lease grants to American Fuels the right to
extract or process these materials with the understanding that
recovered marketable product from such processing is subject to
the payment of royalties as set forth in Paragraph 2. herein.
C&U warrants that it is vested with merchantable title to
the coal which may be contained in the tracts herein leased and
that C&U shall defend American Fuels' rights hereunder to use
said lands to explore, extract and market such coal pursuant to
the terms of this lease.
• RESERVING, however, to C&U, its successors and assigns:
A. The right to use or lease the demised lands or any
parts thereof at any time for any purpose including, but not
limited to, the right to prospect for and develop coal de-
posits, which use shall not be inconsistent or interfere with
the rights and privileges herein specifically granted.
B. The right at all times during the life of this lease to
go upon the demised lands and any part thereof, for the purpose
of inspecting same, and of ascertaining whether or not American
Fuels and those holding thereunder, by and from it, are carry-
ing out the terms, covenants, and agreements in this lease con-
tained.
1. TERM OF LEASE
a) This lease shall be in full force and effect from
and after the date first above written.
b) The operational term of this lease shall--be in full
force and effect for five (5) years from and after
the effective date hereof, unless sooner terminated
pursuant to the provisions herein.
c) American Fuels shall be entitled at its option, by
giving written notice to C&U no less than thirty
3~b
~ -2-