2009-01-13_GENERAL DOCUMENTS - M1984101 (2)

Home Browse Search

Hard Rock Paving & Redi Mix, Inc., _?& P.O. Box 37 Salida, Colorado 81201 Phone 719-539-2222 PIT AGREEMENT .Effective Date of Agreement: March 5, 2008 Monte Downare, owner of a gravel pit located approximately 4 1/2 miles south east of Hartsel, Colorado. Pit #M-84-101 does hereby agree to an exclusive lease for the above gravel pit to Hard Rock Paving & Redi-Mix, Inc. of Salida Colorado for a period of five (5) years from the above effective date with the option to renew. Owner agrees to assist Hard Rock Paving & Redi-Mix, Inc. with any and all permits. Hard Rock Paving & Redi-Mix, Inc. will pay $.50 per U.S. Ton royalty for aggregate taken from the above-described pit for the period of the lease. The royalty amount will increase $0.05/ per U.S. Ton each year for the five year. Payment shall be made by the 20u' of each month following the month the material is removed from the mining site. Hard Rock Paving & Redi-Mix, Inc. agrees to pay a prepayment minimum of $1000.00 per year for pit royalty. The first payment will be made on March 5, 2008, and will be paid each year on the same date for the term of the pit agreement. 2008 $.50/ U.S. Ton 2011 $.65/ U.S. Ton "2009 $.55/ U.S. Ton 2012 $.70/ U.S. Ton 2010 $.60/ U.S. Ton Hard Rock Paving & Redi-Mix, Inc. shall have the right to set crushing plants, asphalt plants, concrete plants, and all equipment necessary to operate such plants in the pit area, and have access to pit twenty four (24) hours per day seven (7) days per week. Hard Rock Paving & Redi-Mix, Inc. agrees to slope on the portions of pit mined by Hard Rock Paving & Redi-Mix, Inc. at A 3-1. Hard Rock Paving & Redi-Mix, Inc. also agrees to let Mr. Downare set up his screening plants and produce material whenever he deems necessary. Hard Rock Paving & Redi Mix, Inc. also agrees to sell crushed aggregate to Mr. Downare at a negotiated price lower than book price. Agreed a n I n P. Ary Date Monte Donware Date z a