SHALL BE DEEMED
ABANDONED BY LESSEE AND SHALL BECOME AND REMAIN THE PROPERTY OF LESSOR. LESSOR
SHALL HAVE THE RIGHT OF FIRST REFUSAL TO PURCHASE SAID FACILITIES IF SUCH
FACILITIES ARE OFFERED FOR SALE DURING THE TERM OF THIS LEASE OR AT TERMINATION,
FORFEITURE OR SURRENDER OF THIS LEASE.
LESSEE SHALL HAVE THE OPTION TO KEEP A WATCHMAN ON THE LEASED PREMISES
DURING SAID 90 DAYS.
22.
REVERSION TO LESSOR:
EXCEPT AS PROVIDED IN PARAGRAPH #21 OF THIS DOCUMENT,UPON TERMINATION,
FORFEITURE OR SURRENDER OF THIS LEASE, THE LEASED PREMISES SHALL REVERT IN ITS
ENTIRETY TO THE LESSOR UNLESS THE OPTION TO PURCHASE HAS BEEN EXCERCISED.
23.
MEMORANDUM:
UPON THE REQUEST BY LEESEE, LESSOR SHALL EXECUTE A MEMORANDUM OF THIS AGREEMENT
IN A FORM SUFFICIENT UNDER THE LAWS OF THE STATE OF CALIFORNIA TO GIVE NOTICE TO
THIRD PARTIES OF THE RIGHTS GRANTED HEREUNDER. THIS MEMORANDUM
SHALL NOT BE
RECORDED.
24.
ASSIGNMENT OF LEASE:
THIS LEASE SHALL BE BINDING UPON AND INURE TO THE BENEFIT OF ATHENA AND THE
STRACHAN TRUST AND THEIR RESPECTIVE SUCCESSORS AND ASSIGNS. WRITTEN NOTICE OF
ANY ASSIGNMENT OR SUBLEASE SHALL BE GIVEN TO LESSOR. LESSEE SHALL DELIVER TO
LESSOR A COMPLETE AND TRUE COPY OF ANY ASSIGNMENT OR SUBLEASE WITHIN 10 DAYS OF
EXECUTION OF SAID DOCUMENTS.
PAGE # 13
LESSEE'S INITIALS
LESSOR'S INITIALS
25.
DEFAULT BY ASSIGNEE:
LESSEE SHALL HAVE THE RIGHT TO ASSIGN THIS AGREEMENT, HOWEVER ATHENA MINERALS
INC., SHALL BE OBLIGATED TO MAKE ALL PAYMENTS AND TO PERFORM ALL OTHER
REQUIREMENTS WHICH ARE ENUMERATED IN THIS DOCUMENT IN THE EVENT OF DEFAULT BY
THE ASSIGNEE.
26.
MODIFICATION OF THIS DOCUMENT:
THIS LEASE SETS FORTH THE ENTIRE UNDERSTANDING BETWEEN THE PARTIES AND MAY BE
MODIFIED OR AMENDED ONLY IN WRITING BY AN INSTRUMENT SIGNED BY BOTH PARTIES.
27.
APPLICABLE LAWS:
THIS LEASE SHALL BE GOVERNED BY AND INTERPRETED IN ACCORDANCE WITH THE LAWS OF
THE STATE OF CALIFORNIA.
28.
ARBITRATION OF DISPUTES:
ANY DISPUTE BETWEEN LESSOR AND LESSEE ARISING OUT OF THIS LEASE SHALL BE
RESOLVED BY ARBITRATION IN ACCORDANCE WITH THE RULES OF THE AMERICAN ARBITRATION
ASSOCIATION THEN OBTAINING AND ANY PARTY DESIRING TO ARBITRATE ANY DISPUTE SHALL
INITIATE THE PROCESS BY FILING A WRITTEN REQUEST FOR ARBITRATION WITH THE
AMERICAN ARBITRATION ASSOCITION SPECIFYING THE DISPUTE TO BE ARBITRATED.
29.
EXAMJNATION OF RECORDS:
LESSOR OR ITS REPRESENTATIVE, UPON 10 DAYS ADVANCE NOTICE MAY EXAMINE THE
LESSEE'S BOOKS AND RECORDS AND INCOME TAX RETURNS TO THE EXTENT NECESSARY TO
CONFIRM THE ACCURACY AND COMPLETENESS OF PAYMENTS UNDER THIS LEASE.
30.
AGREEMENT TO COOPERATE:
LESSOR HEREBY COVENANTS AND AGREES TO COOPERATE WITH LESSEE IN THE ENDEAVOR TO
OBTAIN PERMITS AND TO CONSUMMATE A SUCCESSFUL MINING OPERATION (FOR EXAMPLE
SIGNING APPLICATIONS, ETC.)
PAGE # 14
LESSEE'S INITIALS
LESSOR'S INITIALS
31.
USE OF PROPERTY-OPERATIONS:
THE EXCLUSIVE RIGHT TO EXPLORE, PROSPECT, DEVELOP, MINE AND EXTRACT, WHETHER BY
UNDERGROUND, SURFACE, SOLUTION MINING OR OTHER METHODS, ANY AND ALL METALS,
ORES, MINERALS, MINERAL SUBSTANCES, GRAVELS, AGGREGATES AND MATERIALS OF ALL
KINDS, IN, UNDER AND UPON THE LEASED PREMISES AND THAT