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AGREEMENT <br />THIS AGREEMENT made this 2nd day of August, 1988, between the COUNTY <br />OF MONTROSE, State of Colorado, ( "County ") and PEABODY COAL COMPANY, 1300 South <br />Yale, Flagstaff, Arizona, ( "Peabody "), <br />W I T N E S S E T H: <br />In consideration of the mutual covenants and payments hereinafter con- <br />tained, the parties agree as follows: <br />1. The County hereby grants to Peabody the right to use the County <br />road right -of -way as described in Exhibit "A ", attached hereto and incorporated <br />herein by this reference, for mining and related purposes. This use shall <br />include temporary closure and the tearing up and removal of said County road. <br />This use is temporary and is projected to cover the period of time of the mining <br />persit and any renewal thereof, but in no event shall the closure exceed fifteen <br />US) years. <br />2. After completion of mining related activities subject to this <br />Agreement, Peabody shall reconstruct the gravel road with its own equipment, <br />supplies and labor at its expense. This reconstruction shall include, but not <br />be limited to the engineering and reconstruction of said County road from the <br />b3ttom of the pit to the finished road surface in accordance with Engineering <br />Standards described in Exhibit "DR, attached hereto and incorporated herein by <br />this reference. The reconstruction shall be completed within a reasonable time <br />af_-er the conclusion of all mining and related activities by Peabody affecting <br />this right -of -way. <br />3. Peabody further agrees to conduct an engineering study to deter- <br />mine a plan and a design for both short and long term corrective measures to <br />• repair approximately one -half (J) mile of Montrose County Road AA described in <br />Exhibit "B ", attached hereto and incorporated herein by this reference and <br />approximately one- quarter (}) mile of Montrose County Road 26.50 described in <br />Exhibit "C ", attached hereto and incorporated herein by this reference. Said <br />engineering study shall be completed within one (1) year from the date of this <br />Agreement. After said engineering study is prepared, Peabody shall determine <br />the corrective measures to be taken and notify the County. The County and <br />Peabody shall then agree upon a time schedule and the manner in which the work <br />shall be performed. Peabody shall assume all costs for said engineering and <br />- reconstruction for the described Montrose County Road AA and 26.50 Road in <br />accordance with this section. Further, Peabody shall construct side ditches <br />along that portion of Road AA described in Exhibit "B" to control runoff water <br />as a short term corrective measure. Initiation of the long term corrective <br />measure shall begin on or before September 1, 1989. <br />4. This Agreement is expressly conditioned upon no landowners being <br />landlocked by the closure of the county road right -of -way as described in <br />Exhibit "A ". Further, this Agreement is expressly conditioned upon Peabody <br />b 'd SHL'ON 'aul 'uoiiej:ossv slan4 uaa;sam .wQ1:1 9007 '07 . 1pW <br />• <br />Revised March 2010 (PR06) Attachment 2.05.3(3) -8 -2 <br />