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Premises and to carry on its operations herein, Tenant shall have the right to make use of all roadways presently
<br />existing on the Premises and shall have the further right to upgrade or widen such existing roads as pertaining to the
<br />mining and removal of materials hereunder. Tenant will bear all cost of constructing the road across the property
<br />described on Exhibit B from County Road 61 in order to gain suitable access to the mining area. In the event
<br />Tenant elects to purchase the property described in Exhibit B as provided above, Tenant shall grant to Landlord, in
<br />perpetuity, the right of ingress and egress on said road.
<br />In constructing, upgrading or widening roads, Tenant may use materials from the Premises and Tenant shall not be
<br />required to pay any royalties to Landlord for materials so used. Tenant shall not build new roads upon the Premises
<br />without written consent of Landlord. Landlord shall permit reasonable access from the Grand County Road 61 to
<br />the Premises. If a new road is required for such reasonable access, the parties shall mutually agree upon a suitable
<br />location of said road.
<br />4. Tenant may construct and operate a crushing, washing, screening equipment, concrete plants, and/or
<br />asphalt plants upon the Premises to process mined materials. Tenant may construct such buildings and install such
<br />materials and equipment as Tenant may deem useful in connection with its operations. Tenant may place or
<br />construct an office, scale house, and other necessary buildings upon the Premises, but Tenant shall not construct,
<br />maintain or allow the Premises to be used for residential purposes, including, but not limited to homes, houses,
<br />apartment, campers, living quarters or mobile homes which may be used as a temporary or permanent residence..
<br />Tenant shall have the right to allow other persons to build, or place upon the Premises, such plant or plants on the
<br />Premises, either temporary or for the term of this Lease Agreement for any purposes permitted herein.
<br />5. Tenant shall have the right to drill water wells or build temporary reservoirs upon the Premises for use in
<br />connection with the operations permitted herein. Landlord shall provide from the property described in Exhibit A
<br />no more than 3 shares of Vail Mutual Ditch Company shares of water, when available pursuant to the operation of
<br />the Mutual Ditch Company and shall provide the water rights attendant to the property described in Exhibit B for
<br />the operation of the quarry. Tenant shall have the right to extend electrical power to the Premises for use in
<br />Tenant's operations. Such improvements shall be the property of the Tenant, with the exception of the water well
<br />and electric lines which shall be the property of the Landlord. Landlord consent to installation of power line and
<br />agrees to grant any easement required by the power company for such lines.
<br />6. Upon the termination of this Lease Agreement, with the exception of any roads, water well, water pumps,
<br />and culverts constructed on the Premises, Tenant shall have the right to remove any buildings, plants, pumps,
<br />motors, surface pipes, equipment, structures, or other improvements constructed on the Premises. Tenant shall
<br />have a reasonable period of time following termination within which to remove the above as such reasonable time
<br />is set forth as six (6) months following termination. At the termination of this Lease Agreement, Landlord may
<br />agree to purchase from Tenant any buildings at a price offered by Tenant and in such case, such building shall
<br />remain upon the Premises. Landlord agrees to give consent to any and all reclamation authorities for any building,
<br />culvert, well or any other improvement which the parties have agreed will remain upon the Premises after
<br />termination, and such improvement shall so remain unless removal is required by any applicable reclamation
<br />authority. Tenant shall have the right to keep sufficient equipment upon the Premises following termination to
<br />perform any and all reclamation work until completion of reclamation work to the satisfaction of all reclamation
<br />authorities.
<br />7. No dogs, pets or other animals, firearms or hunting will be permitted on or conducted on the property or
<br />adjacent lands of Landlord without the expressed written consent of the Landlord.
<br />8. Tenant shall fence that portion of the leased Premises which is being used for mining operations. All
<br />fencing material, gates and cattle guards will be provided by Landlord. All gates or cattle guards to be installed in a
<br />workmanlike manner, with properly braced fence comers. All fences constructed around the mining site, plants,
<br />and buildings shall be properly stretched and maintained by Tenant so as to prevent the migration of livestock.
<br />Tenant may install a locked gate, at the entrance of the mining area, provided that Tenant provides a key to
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