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Purchase and Sale Agreement <br />With the signatures of the authorized individuals below, the 120 Estates Partners, LLP <br />and Donna Schultejann (Sellers) agree to sell, and the Henderson Water Ski Club, LLC <br />(Purchaser) agrees to purchase a ground water well located iii the SW quarter of the SW <br />quarter of Section 35, Township 1 South, Range 67 West of the 6th PM, near Henderson, <br />Colorado. The Purchaser will purchase the well for consideration given and its <br />cooperation in all permitting efforts of the 124 Estates Partners and the Sellers to allow <br />mining and reclamation of the property located immediately south of and adjacent to the <br />property of the Purchaser in Section 35, Township 1 South, Range 67 West of the 6 PM. <br />The Sellers will be resionsible for assuring that the well and the well pump are in <br />working condition pridr to finalizing this purchase and sale. <br />In addition to the well; which has the permit number 10899R, issued by the Office of the <br />State Engineer of Colorado, the Sellers agree to convey the water rights associated with <br />the ground water well,, as defined by Case Number W -2924 in the State of Colorado <br />Water Court for Water Division 1. The Sellers also agree to convey easements for <br />reasonable access to the well for maintenance, for reasonable conveyance of water from <br />the well to the lake of the Ski Club and /or to the Fulton Ditch by pipeline or open ditch, <br />and for providing electricity to the well, if necessary. The location and width of the <br />easements will be defined by the Sellers, so long as the easements meet the purposes of <br />the Purchaser of providing reasonable maintenance access to the well, of providing <br />electricity to the well, and of conveying water from the well to the lake of the Ski Club or <br />to the Fulton Ditch, whether such conveyance is by open ditch or by pipeline. <br />If necessary to avoid construction impacts to the well from the realignment, widening, <br />and/or improvements planned for 120 Avenue by Adams County or other entities with <br />authority for such activities, the Sellers, at their expense, will move the well not more <br />than 200 feet, as allowed without a requirement to re -apply for a well permit by the <br />Office of the State Engineer. The Sellers agree to move the well and easements, <br />described above, at any time before January 1, 2008, as soon as it becomes necessary to <br />avoid construction imp` acts from construction activity on 120 Avenue. If such a need <br />arises after December 31, 2007, it shall be done at the Purchaser's expense. <br />The sale and purchase; described herein, is contingent upon receipt of permits and <br />approvals from the Colorado Mined Land Reclamation Board and from the Adams <br />County Board of County Commissioners to allow mining and reclamation, substantially <br />as described in applications made to those entities in December 2002, on the 44 acre <br />parcel, owned by the Sellers and where the subject ground water well is located. If the <br />necessary permits and'approvals from these entities, are not received by the 124 Estates <br />Partners and/or the Sellers, this agreement to sell and purchase becomes void and has no <br />binding effect on the Sellers and the Purchaser. For clarification, in December 2002, the <br />124 Estates Partners applied to the Colorado Mined Land Reclamation Board to amend <br />Permit No. M- 2001 -085 to include the 44 acre parcel as part of the already permitted <br />124 Estates Sand an4 Gravel Mine; and Sellers, as owners of the land, applied to the <br />