Document:

Passport Potash Inc. - Exhibit 10.11 - Filed by newsfilecorp.com

AGREEMENT TO PURCHASE REAL ESTATE 

Passport Potash, Inc. (herein "Purchaser"), hereby offers to
purchase from the owner, the Fitzgerald Living Trust (herein
"Seller")(collectively the "Parties"), real property, including the surface
rights, and subsurface mineral rights, owned by Seller near Holbrook, Arizona as
more fully described in Exhibit A (the "Property), upon the following terms and
conditions: 

1. Purchase Price and Condition of
Payment 

a. The purchase price shall be Fifteen
Million Dollars ($15,000,000) to be paid according to the following terms: 1) a
Down Payment and Deposit to be paid as set forth in Paragraph 2; and 2) the
balance of Fourteen Million Five Hundred Twenty Five Thousand Dollars
($14,525,000) to be paid in its entirety in cash at the time of closing of the
sale. 

2. Down Payment and Deposit 

a. Prior to the execution of this
Agreement, on August 17, 2011, Purchaser deposited $250,000 into escrow and
released to Seller Twenty Five Thousand Dollars ($25,000). Upon execution of
this agreement, the remainder of the money deposited into escrow on August 17,
2011 totaling Two Hundred Twenty Five Thousand Dollars ($225,000) will be
irrevocably released to Seller. 

b. Upon execution of this Agreement an
additional Two Hundred Fifty Thousand Dollars ($250,000) will be placed into an
escrow account that shall be held until July 1, 2012. Upon the expiration of
this period the earnest money shall be irrevocably released to Seller. 

3. Real Estate Taxes, Assessments, and
Adjustments 

a. Real Estate Taxes accrued against
the Property shall be prorated through the date of closing the sale and Seller
shall pay all taxes allocated to the Property through that date of acceptance of
this offer to purchase. Buyer shall pay the Real Estate Taxes thereafter. 

4. Title to the Property 

a. The title to the Property when
delivered to Purchaser shall be by special warranty deed conveying good and
marketable title, free and clear of all liens, encumbrances, exceptions, and
reservations except for those defects delineated in Exhibit A, or as shown by
title commitment. Such good and marketable title shall be evidenced by a
standard form title insurance commitment issued by First American Title
Insurance Company, subject only to the matters set forth in this Agreement, or as shown in the First American Title policy. Purchaser's sole recourse for errors of title shall be against First American Title Agency. Purchaser accepts the current status of title from the First American Title Agency commitment. Any mineral abstract shall be at Purchaser's sole risk and expense. Seller only transfers the minerals Seller actually has without further representation. Seller reserves no minerals at Close of Escrow. 

5. Possession of the Property 

a. Purchaser shall be given possession
of the Property upon closing. Purchaser agrees to allow Seller to remain on the
Property for nine (9) months after closing to remove cattle and personal
property after closing. A failure on the part of the Seller to transfer
possession after this period will not make Seller a tenant of Purchaser. All
other remedies, which Purchaser may have under law, are reserved to Purchaser,
including a claim for actual damages suffered, as a result of Seller’s occupancy
after nine (9) months of Close of Escrow. 

6. Exploration 

a. During the term of this agreement
Seller grants to Purchaser the right to enter into and on specific sections of
the property as set forth herein to explore for, develop, core drill and sample
ores, minerals and metals which are or may be found therein or thereon; provided
however, that such ores, minerals and metals may only be removed, treated and
produced in de minimis amounts from the core borings, solely for the purpose of
determining the saturation and existence of such ores, minerals and metals and
in no event shall Purchaser be permitted to sell any such ores. minerals or
metals. Purchaser shall first advise Seller of the time periods desired to enter
the property and the specific activity and locations on the Ranch Purchaser will
be operating. 

	 	i. 	
      Purchaser will have the right to drill eight (8)
      exploratory wells on the Property at its own expense.

	 	 	 
	 	ii. 	
      Purchaser is limited under this Section 6(a) to drilling
      in the following Sections of the Property:

	 	a. 	
      T17N R23E Sections 30 and 31

	 	b. 	
      T17N R22E Sections 2, 3, 4, 8, 9, 10, 11, 13, 14, 15, 17,
      18, 19, 20, 21, 22, 23, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34 and
    35

	 	c. 	
      T16N R23E Sections 3, 4, 5, 7, 8, 9 and 10

	 	d. 	
      T16N R22E Sections 1, 2, 3, 4, 5 and 12

	 	e. 	
      T17N R21E Section 25

ii. Purchaser, under this Section 6(a)
is entitled to perform seismic tests over all Sections of the property. 

iii. Other Sections not listed in
Paragraphs 6(a)(i) and 6(a)(ii) may be acceptable, but only upon written
approval from Seller, whose consent will not be unreasonably withheld. 

iv. All test locations and data
collection and conclusions of tests shall be delivered to Tom Rolston and shall
be subject to a covenant not disclose until default by Purchaser, or December
18, 2012. 

b. Purchaser may only make any use or
uses of the Property consistent with the purposes described in 6(a). The
construction of roads shall be subject to the prior written approval of Seller,
which approval shall not unreasonably be withheld and shall be given in a timely
manner. 

c. Indemnity. 

i. Except as specifically provided to
the contrary, Purchaser will indemnify and hold harmless Seller against all
liabilities, claims and causes of action for injury to or death of persons, and
damage to or loss or destruction of property resulting from the use or occupancy
by Purchaser of the Property or its operations performed under this agreement.

d. Maintenance. 

i. All operations on the Property will
be conducted in a manner which causes the least damage and defacement
practicable under the circumstances. 

ii. Purchaser will, as far as
practicable, leave the Property in the same state and condition as it was in at
the time of Purchaser's entry on it. 

iii. Purchaser will reimburse Seller
for all actual physical damage to the Property (not including mere depreciation
in value of the surface estate incidentally resulting from exploration
operations thereon) and actual damages to improvements, roads, wells, crops.
timber, grass and livestock resulting from Purchaser's operations, as reasonably
documented by Seller. 

7. Risk of Loss 

a. The risk of loss by destruction or
damage to the property by fire or otherwise prior to the closing of the sale is
that of Purchaser. If all or a substantial portion of the improvements on the
property are destroyed or damaged prior to the closing and transfer of this
title, this agreement shall not be voidable, or void, nor shall there be any
reduction in Purchase Price or other consideration paid. Purchaser shall have no
claim against Seller for any loss that may occur. 

8. Improvements and Fixtures 

a. The sale of the improvements,
fixtures, equipment if any, is incidental to the purchase and if on the property
Nine (9) months after Closing and not removed by Seller, are then deemed
abandoned by Seller to Purchaser. Otherwise, no improvements, fixtures or
personal property are being transferred by Seller.

9. General Conditions 

a. It is expressly agreed that this
agreement to purchase real estate includes the entire agreement of Purchaser and
Seller. This agreement shall be binding upon and inure to the benefit of the
heirs, personal representatives, successors and assigns of both Purchaser and
Seller. This agreement shall be interpreted and enforced in accordance with the
laws of the State of Arizona. 

10. Assignment of Purchaser's Rights

a. Purchaser's rights herein shall be
freely assignable by the Purchaser at any time, with notice given to Seller
identifying the assignee. Upon assignment of Purchaser’s rights herein an
additional Two Hundred Fifty Thousand Dollars ($250,000.00) will be placed in
escrow as earnest money to be released to Seller if escrow does not close by the
closing date in this Agreement. 

11. Representations and Warranties 

a. Purchaser hereby represents and
warrants that is has the corporate power, authority, and legal right to execute,
deliver, and perform this Agreement. The execution, delivery, and performance of
this Agreement by Purchaser has been duly authorized by all necessary corporate
action. This Agreement constitutes a legal, valid, and binding obligation of
Purchaser. 

b. Seller hereby represents and
warrants that a simple majority of the co-trustees has the legal right to
execute, deliver, and perform this Agreement. The execution, delivery, and
performance of this Agreement by Seller is not subject to any authorization or
consent required to be obtained by any estate or probate action or case, by any
trust or trustee, by any administrator, by any bank or banker, by any receiver,
or by any court of competent jurisdiction. This Agreement constitutes the legal,
valid, and binding obligation of Seller. 

12. Miscellaneous 

a. This agreement may be executed in
any number of counterparts with the same effect as if all parties to this
agreement had signed the same document and all counterparts will be construed
together and will constitute one and the same instrument and any facsimile or
PDF signature will suffice and shall be deemed to constitute originals. 

b. Purchaser shall assume the State
Land leases for grazing within the fee lands being purchased by Purchaser. 

c. Seller shall have the right to
accept a backup offer in the event that Purchaser does not close by the closing
date in this Agreement. 

d. The final purchase is subject to
TSX Venture Exchange approval. 

e. Purchaser will cooperate with
Seller in completing an Internal Revenue Service Section 1031 exchange for all
or part of the Property sale or its proceeds. 

13. Time for Acceptance and Closing

a. This offer is void if not accepted
by Seller and Buyer in writing on or before 7:00 P.M. EDT of the 9th day of May,
2012. 

b. Closing of the sale shall take
place on December 18, 2012. 

c. This offer is made at Apache
Junction, State of Arizona, this 4th day of May, 2012. 

Remainder of Page Intentionally Blank 

  Signature Page(s) and Schedules Follow 

On behalf of Passport Potash, Inc.: 

  /s/ John
Eckersley                                                 
John
Eckersley 
Director, 
Vice President 
Legal and Corporate Affairs

Passport Potash, Inc. 
3266 W. Galveston Dr., #101 
Apache Junction,
AZ 85120 

Acceptance by Seller 

The foregoing offer to purchase real estate is hereby accepted
in accordance with the terms and conditions specified above. 

Dated this 7th day of May, 2012. 

On behalf of Fitzgerald Living Trust: 

  /s/ Margaret
Ouellette                                           
Margaret
Ouellette 
Co-Trustee of the Fitzgerald Living Trust 
P.O. Box 344

Buena Vista, CO 81211 

  /s/ Donley F.
O’Brien                                             
Donley
F. O'Brien 
Co-Trustee of the Fitzgerald Living Trust 
14821 High Valley
Rd. 
Poway, CA 92064 

____________________________________
Robert Fitzgerald

Co-Trustee of the Fitzgerald Living Trust 
P.O. Box 417 
Holbrook, AZ
82065 

EXHIBIT A 

Parcel Number 1. - Parcel Identifier 105-10-002F 

All of Sections 23, 24, 25,26,27,28,33 and 34; those portions
of Sections 13, 15, 21, 29 and 31 lying south and east of the Puerco River; the
southeast quarter and the northwest quarter of the southwest quarter and the
south half of the southwest quarter less the railroad right of way of Section
14; the northeast quarter and south half of Sections 22 and 32; and the west
half and the west half of the southeast quarter of Section 35, all lying in
Township 18 North, Range 22 East of the Gila and Salt River Base and Meridian,
Navajo County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 2. - Parcel Identifier 105-10-OO2D 

The northeast quarter of Section 35 less the southeast quarter
of the northeast quarter, Township 18 North, Range 22 East of the Gila and Salt
River Base and Meridian, Navajo County, Arizona. Except all oil and gas rights,
petrified wood and geothermal resources whatsoever underlying or appurtenant to
said lands as reserved in deed recorded in docket 809, page 953-955 of official
records. 

Parcel Number 3 - Parcel Identifier 105-10-004 

The northwest quarter of Section 32 lying in Township 18 North,
Range 22 East of the Gila and Salt River Base and Meridian, Navajo County,
Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 4 - Parcel Identifier 110-09-007 

The north half of Section 5 lying in Township 16 North, Range
22 East of the Gila and Salt River Base and Meridian, Navajo County, Arizona.

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 5 - Parcel Identifier 110-09-008 

The south half of Section 12, AKA: Lots 1 through 8, lying in
Township 16 North, Range 22 East of the Gila and Salt River Base and Meridian,
Navajo County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 6 - Parcel Identifier 110-09-011 

All of Sections 1 and 2; the north half of Sections 3, 4 and
12, all lying in Township 16 North, Range 22 East of the Gila and Salt River
Base and Meridian, Navajo County, Arizona. 

Except all oil and gas rights,
  petrified wood and geothermal resources whatsoever underlying or appurtenant to
  said lands as reserved in deed recorded in docket 809, page 953-955 of official
  records. 

Parcel Number 7 - Parcel Identifier 110-13-005A 

All of Sections 4, 5,7,8; all of Section 9 less 1.8AC per
1048/950; the west half of Section 3; the west half of Section 10 less highway right of way and 100 feet
X 116.5 feet in the southeast quarter of the southwest quarter, all lying in
Township 16 North, Range 23 East of the Gila and Salt River Base and Meridian,
Navajo County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 8 - Parcel Identifier 110-17-001 

All of Sections 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 14, 15, 17, 18,
19, 20, 21, 22, 23, 26, 27, 28, 29, 30, 31,32, 33, 34 and 35; and that portion
of Section 25 lying south of old Highway 180, all lying in Township 17 North,
Range 22 East of the Gila and Salt River Base and Meridian, Navajo County,
Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 9 - Parcel Identifier 110-18-002 

All of Section 31; that part of Section 30 lying south of old
highway 180 less 100 feet by 116.5 feet to AT&T less 24.56 acres to highway;
that portion of Section 33 lying south of old highway 180 all lying in Township
17 North, Range 23 East of the Gila and Salt River Base and Meridian, Navajo
County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Parcel Number 10 - Parcel Identifier 109-15-OO2A 

All of Section 24; those portions of Sections 15, 23, and 25
lying north and east of the Little Colorado River; that portion of Section 9
lying east of the Puerco River and north of the Little Colorado River; the south
half and the northeast quarter of Section 14 all lying in Township 17 North
Range 21 East of the Gila and Salt River Base and Meridian, Navajo County,
Arizona. 

Except all oil and gas rights, petrified wood and geothermal resources
  whatsoever underlying or appurtenant to said lands as reserved in deed recorded
  in docket 809, page 953-955 of official records. 

Except all the coal and other minerals as set forth in the
patent to said land. 

Parcel Number 11 - Parcel Identifier 109-15-OO2B 

All of Sections 1 and 12; the south half of the northeast
quarter, the south half of the northwest quarter and the south half of Section
3; Section 11 less 9.78 acres to highway right of way; Section 13 less 12.3
acres to highway right of way less .267 acres to AT&T all lying in Township
17 North, Range 21 East of the Gila and Salt River Base and Meridian, Navajo
County, Arizona .. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Except all the coal and other minerals as set forth in the
patent to said land. 

Parcel Number 12 - Parcel Identifier 109-15-OO9A 

The west half less 37 acres, the south half of the southeast
quarter of Sectionl0; the northwest quarter of Section 14 all lying in Township
17 North, Range 21 East of the Gila and Salt River Base and Meridian, Navajo County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records. 

Except all the coal and other minerals as set forth in the
patent to said land. 

Parcel Number 13 - Parcel Identifier 109-15-OO9B 

The northeast quarter; the north half of the southeast quarter
of Section 10 all lying in Township 17 North, Range 21 East of the Gila and Salt
River Base and Meridian, Navajo County, Arizona. Except all oil and gas rights,
petrified wood and geothermal resources whatsoever underlying or appurtenant to
said lands as reserved in deed recorded in docket 809, page 953-955 of official
records. 

Except all the coal and other minerals as set forth in the
patent to said land. 

Parcel Number 14 - Parcel Identifier 109-23-008 

That portion of Section 35 lying south and east of the Puerco
River lying in Township 17 North, Range 21 East of the Gila and Salt River Base
and Meridian, Navajo County, Arizona. 

Except all oil and gas rights, petrified wood and geothermal
resources whatsoever underlying or appurtenant to said lands as reserved in deed
recorded in docket 809, page 953-955 of official records.Passport Potash, Inc. - Exhibit 10.12 - Filed by newsfilecorp.com

JOINT EXPLORATION AGREEMENT 

between 

PASSPORT POTASH INC. 

and 

HNZ POTASH, LLC 

TABLE OF CONTENTS 

	ARTICLE 1. DEFINITIONS AND CROSS-REFERENCES 	1 
	 	1.1	Definitions 	1 
	 	1.2	Cross-References 	1 
	 		 	  
	 		 	  
	ARTICLE 2. PURPOSES AND TERM 	1 
	 	2.1	General 	1 
	 	2.2	Purposes 	2 
	 	2.3	Term 	2 
	 		 	  
	 		 	  
	ARTICLE 3. REPRESENTATIONS AND WARRANTIES 	2 
	 	3.1	Representations and Warranties of Both Participants 	2 
	 	3.2	Representations and Warranties of PPI 	3 
	 	3.3	Representations and Warranties of HNZ 	4 
	 	3.4	Survival of Representations; Knowledge 	4 
	 	3.5	Disclosures 	4 
	 		 	  
	 		 	  
	ARTICLE 4. RELATIONSHIP OF THE PARTICIPANTS 	4 
	 	4.1	No Partnership or Joint Venture 	4 
	 	4.2	Other Business Opportunities 	5 
	 	4.3	Implied Covenants 	5 
	 	4.4	No Third Party Beneficiary Rights 	5 
	 		 	  
	 		 	  
	ARTICLE 5. PARTICIPANT OBLIGATIONS 	5 
	 	5.1	Initial Obligations 	5 
	 	5.2	Rental and Exploration 	6 
	 	5.3	Additional Exploration Expenditures 	8 
	 	5.4	Sharing of Existing Data 	8 
	 	5.5	Non-Interference 	8 
	 		 	  
	 		 	  
	ARTICLE 6. INTERESTS OF PARTICIPANTS 	9 
	 	6.1	Initial Interests in Future Entity 	9 
	 	6.2	Participating Interest in Permits 	9 
	 		 	  
	 		 	  
	ARTICLE 7. COORDINATION OF EXPLORATION 	9 
	 	7.1	Appointment of Co-Managers 	9 
	 	7.2	Decisions 	9 

- i - 

	 	7.3	Meetings 	9 
	 	7.4	Action without Meeting in Person 	10 
	 		 	  
	 		 	  
	ARTICLE 8. EXPLORATION PLANS 	10 
	 	8.1	Powers and Duties of Participants regarding Exploration
      	10 
	 	8.2	Standard of Care 	12 
	 	8.3	Transactions with Affiliates 	13 
	 	8.4	Activities during Deadlock 	13 
	 		 	  
	 		 	  
	ARTICLE 9. WITHDRAWAL AND TERMINATION 	13 
	 	9.1	Termination by Expiration or Agreement 	13 
	 	9.2	Withdrawal 	13 
	 	9.3	Continuing Obligations and Environmental Liabilities 	13 
	 		 	  
	 		 	  
	ARTICLE 10. AREA OF INTEREST 	13 
	 	10.1	Joint Pursuit of Interests 	13 
	 	10.2	Joint Ownership of Interests 	13 
	 	10.3	Exploration and Mine Development within Area of Interest
      	14 
	 		 	  
	 		 	  
	ARTICLE 11. MUTUAL GRANT OF ACCESS 	14 
	 	11.1	PPI Access 	14 
	 	11.2	HNZ Access 	14 
	 	11.3	Prior Notification 	14 
	 	11.4	Fences 	14 
	 	11.5	Restricted Access Purpose 	15 
	 	11.6	Confirmation of Access 	15 
	 		 	  
	 		 	  
	ARTICLE 12. TRANSFER OF INTEREST; TAG ALONG RIGHT 	15 
	 	12.1	General 	15 
	 	12.2	Limitations on Free Transferability; Tag Along Right 	15 
	 		 	  
	 		 	  
	ARTICLE 13. DISPUTES 	16 
	 	13.1	Governing Law 	16 
	 	13.2	Forum Selection 	16 
	 		 	  
	 		 	  
	ARTICLE 14. CONFIDENTIALITY, OWNERSHIP, USE AND DISCLOSURE
      OF INFORMATION 	16 
	 	14.1	Confidential Information 	16 

- ii - 

	 	14.2 	Participant Information 	17 
	 	14.3 	Permitted Disclosure of Confidential Information 	17 
	 	14.4 	Disclosure Required By Law 	17 
	 	14.5 	Public Announcements 	18 
	 		  	  
	 		  	  
	 ARTICLE 15. GENERAL PROVISIONS  	18 
	 	15.1 	Notices 	18 
	 	15.2 	Construction; Interpretation 	19 
	 	15.3 	Currency 	19 
	 	15.4 	Headings 	19 
	 	15.5 	Waiver 	20 
	 	15.6 	Modification 	20 
	 	15.7 	Force Majeure 	20 
	 	15.8 	Further Assurances 	20 
	 	15.9 	Entire Agreement; Successors and Assigns 	20 
	 	15.10 	Severability 	20 
	 	15.11 	Expenses 	20 
	 	15.12 	Non-Recourse 	20 
	 	15.13 	Limitation on Damages 	21 
	 	15.14 	Counterparts 	21 

	Exhibit
      A1 — Permits and Permit Property 
	Exhibit
      A2 — HNZ Property 
	Exhibit
      A3 — Area of Interest 
	Exhibit
      B — Accounting Procedures 
	Exhibit
      C — Definitions 
	Exhibit
      D — Insurance 
	Exhibit
      E — Costs Previously Incurred by PPI 

- iii - 

JOINT EXPLORATION AGREEMENT 

                    This JOINT EXPLORATION AGREEMENT (this “Agreement”) is
made as of July 26, 2012 (“Effective Date”) between Passport Potash,
Inc., a British Columbia corporation (together with its successors and
assigns, “PPI”), with an address of 608, 1199 West Pender St., Vancouver,
BC V6E 2R1, and HNZ Potash, LLC, a Delaware limited liability company
(together with its successors and assigns, “HNZ”), the address of which
is 1900 N. Akard Street, Dallas, Texas 75201. PPI and HNZ are referred to herein
collectively as the “Participants” and individually as a
“Participant”. 

RECITALS 

                   
A.      PPI through its wholly owned subsidiary, PPI
Holding Corp., holds certain mineral exploration permits for State of Arizona
trust lands located in Navajo and Apache Counties, Arizona. Such permits
(collectively, the “Permits”), which are identified on Exhibit A1,
cover the land described in Exhibit A1 (such land, collectively, the
“Permit Property”). 

                   
B.      HNZ and its Affiliates own certain real
property and certain mineral exploration permits located in Navajo and Apache
Counties, Arizona, which are described on Exhibit A2 (such land,
collectively, the “HNZ Property.”) 

                   
C.      PPI and HNZ wish to jointly explore, evaluate
and, if justified and later agreed to by the Participants, seek a mining lease
with the State of Arizona to develop and mine the potash resources within the
Permit Property. 

                   
D.      PPI and HNZ wish to jointly investigate
opportunities with the Hopi Tribe in an “Area of Interest” comprised of land
owned by or held in trust for the Hopi Tribe for future mineral exploration and
development. 

                   
NOW THEREFORE, in consideration of the covenants and conditions contained
herein, PPI and HNZ agree as follows: 

ARTICLE 1. DEFINITIONS AND CROSS-REFERENCES

                             
1.1      Definitions.
The terms defined in Exhibit C and elsewhere shall have the defined
meaning wherever used in this Agreement, including in Exhibits.

                             
1.2     
Cross-References. References to “Exhibits,”
“Articles,” “Sections” and “Subsections” refer to Exhibits,
Articles, Sections and Subsections of this Agreement.

ARTICLE 2. PURPOSES AND TERM 

                             
2.1      General.
PPI and HNZ hereby enter into this Agreement for the purposes hereinafter
stated. All of the rights and obligations of the Participants in connection with
the Permits, Permit Property, Assets, Exploration, or the Area of
Interest shall be subject to and governed by this Agreement. 

                             
2.2      Purposes.
This Agreement is entered into for the following purposes and for no others, and
shall serve as the exclusive means by which each of the Participants
accomplishes such purposes: 

	 	(a) 	
      to conduct Exploration of the Permit Property;

	 	 	 
	 	(b) 	
      to acquire interests within the lands owned by the Hopi
      Tribe commonly referred to as the Dobell Ranch lands as more particularly
      described in Exhibit A3 (such land, collectively, the “Area of
      Interest”);

	 	 	 
	 	(c) 	
      to evaluate the potential for development and mining of
      the Permit Property, and, if justified and later agreed to by the
      Participants, to form an entity to seek a lease to jointly engage in
      development and mining of the Permit Property;

	 	 	 
	 	(d) 	
      to complete and satisfy all Environmental Compliance
      obligations and Continuing Obligations affecting the Permit Property;
      and

	 	 	 
	 	(e) 	
      to perform any other activity necessary, appropriate, or
      incidental to any of the foregoing.

                   
2.3      Term. The
term of this Agreement shall begin on the Effective Date and extend to the
expiration date of the fifth year term of the last Permit, or any Permit
obtained as a replacement therefor (the “Term”); provided,
however, that, if during the Term the Participants (or an entity formed
by the Participants) jointly apply for a mineral lease or mineral leases on any
portion of the Permit Property, the Term shall be automatically extended to the
date a final determination is issued by the Arizona State Land Department (the
“ASLD”) regarding the last mineral lease application. 

ARTICLE 3. REPRESENTATIONS AND WARRANTIES

                   
3.1      Representations and
Warranties of Both Participants. As of the Effective Date, each
Participant warrants and represents to the other that: 

                             
(a)      it is a corporation or limited liability
company, as applicable, duly organized and in good standing in its state and
country of incorporation or organization and is qualified to do business and is
in good standing in those countries and states where necessary in order to carry
out the purposes of this Agreement; 

                             
(b)      it has the capacity to enter into and perform
this Agreement and all transactions contemplated herein and that all corporate,
board of directors, shareholder, surface and mineral rights owner, lessor,
lessee and other actions required to authorize it to enter into and perform this
Agreement have been properly taken; 

                             
(c)      it will not breach any other agreement or
arrangement by entering into or performing this Agreement;

                             
(d)      it is not subject to any governmental order,
judgment, decree, debarment, sanction or Laws that would preclude the permitting
or implementation of this Agreement; and 

                             
(e)      this Agreement has been duly executed and
delivered by it and is valid and binding upon it in accordance with its terms.

3.2     
Representations and Warranties of PPI. As of the Effective
Date, PPI makes the following representations and warranties to HNZ: 

                             
(a)      with respect to the Permits: (i) PPI has not
received any notice of default of any of the terms or provisions of the Permits;
(ii) PPI has the authority under the Permits to perform fully its obligations
under this Agreement; and (iii) to PPI’s knowledge, the Permits are valid and
are in good standing;

                             
(b)      with respect to the Permits, to PPI’s
knowledge, and except for any action involving HNZ, there are no pending or
threatened actions, suits, claims or proceedings related to the Permits; and

                             
(c)      except as to matters otherwise disclosed in
writing to HNZ prior to the Effective Date, 

                                       
(i)      to PPI’s knowledge, the conditions existing on
or with respect to the Permit Property are not in violation of any Laws
(including without limitation any Environmental Laws), nor causing or permitting
any damage (including Environmental Damage, as defined below) or impairment to
the health, safety, or enjoyment of any person at or on the Permit Property or
in the general vicinity of the Permit Property;

                                       
(ii)      to PPI’s knowledge, there have been no past
violations by it or by any of its predecessors in title of any Environmental
Laws or other Laws affecting or pertaining to the Permit Property, nor any past
creation of damage or threatened damage to the air, soil, surface waters,
groundwater, flora, fauna, or other natural resources on the Permit Property
(“Environmental Damage”); and 

                                       
(iii)      PPI has not received inquiry from or notice
of a pending investigation from any governmental agency or of any administrative
or judicial proceeding concerning the violation of any Laws.

                   
3.3      Representations and
Warranties of HNZ. As of the Effective Date, HNZ represents and
warrants to PPI that, other than the State of Arizona mineral exploration permit
lands identified on Exhibit A2, to HNZ’s knowledge, HNZ has sufficient
rights to and legal authority to grant PPI reasonable access at reasonable times
across existing paved and unpaved roads on the HNZ Property. PPI acknowledges
that the HNZ Property is subject to certain existing encumbrances and
commitments for non-exclusive uses such as grazing and other leases that may
restrict access to certain portions of HNZ Property and that the Participants
will need to confer in advance regarding a reasonable access plan to accommodate
such existing commitments. 

                   
3.4      Survival of
Representations; Knowledge. The representations and warranties set
forth in Section 3.2 and Section 3.3 shall survive the execution
and delivery of any documents of Transfer provided under this Agreement. For a
representation or warranty made to a Participant’s “knowledge,” the term
“knowledge” shall mean actual knowledge (or of facts that would
reasonably lead to the indicated conclusions) on the part of the officers,
employees, and agents of such Participant. 

                   
3.5      Disclosures.
Each of the Participants represents and warrants that it is unaware of any
material facts or circumstances that have not been disclosed in this Agreement,
which should be disclosed to the other Participant in order to prevent the
representations and warranties in this Article from being materially misleading.
During the Term, the Participants will disclose all information concerning their
respective properties and property rights as needed to comply in good faith with
the terms of this Agreement. Each Participant represents to the other that, in
negotiating and entering into this Agreement, it has relied solely on its own
appraisals and estimates as to the value of the consideration each is giving
related to this Agreement. 

ARTICLE 4. RELATIONSHIP OF THE PARTICIPANTS

                   
4.1      No Partnership or
Joint Venture. Nothing contained in this Agreement shall be deemed to
constitute either of the Participants the partner or the venturer of the other
Participant, or, except as otherwise herein expressly provided, to constitute
either Participant the agent or legal representative of the other Participant,
or to create any fiduciary relationship between them. The Participants do not
intend to create, and this Agreement shall not be construed to create, any
mining, commercial or other partnership or joint venture. It is therefore the
intention of the Participants that, as of the Effective Date, this Agreement be
excluded from the partnership provisions of the U.S. Internal Revenue Code as
well as any equivalent state or local provisions. Each Participant shall be
responsible for reporting on its own tax returns its respective share of any
income, deductions, or credits resulting from the activities contemplated in
this Agreement in a manner consistent with such exclusion. Neither Participant,
nor any of its directors, officers, employees, agents and attorneys, or
Affiliates, shall act for or assume any obligation or responsibility on behalf
of the other Participant, except as otherwise expressly provided herein, and
any such action or assumption by a Participant’s directors,
officers, employees, agents and attorneys, or Affiliates shall be a breach by
such Participant of this Agreement. The rights, duties, obligations and
liabilities of the Participants shall be several and not joint or collective.
Each Participant shall be responsible only for its obligations as herein set
forth and shall be liable only for its share of the costs and expenses as
provided herein, and it is the express purpose and intention of the Participants
that their ownership of the Permits and any other jointly-funded Assets and the
rights acquired hereunder shall be as tenants in common. 

                   
4.2      Other Business
Opportunities. Except as expressly provided in this Agreement, each
Participant shall have the right to engage in and receive full benefits from any
business activities or operations in the Holbrook Basin or elsewhere, whether or
not competitive with the activities or objectives of this Agreement, without
consulting with, or any obligation to, the other Participant. The doctrines of
“corporate opportunity” or “business opportunity” as those doctrines may exist
under the laws of the State of Arizona (or as otherwise may be applicable to the
Participants) shall not be applied to this Agreement nor to any other activity
or operation of either Participant. Neither Participant shall have any
obligation to the other with respect to any opportunity to acquire, retain, or
dispose of, any property outside the Permit Property or the Area of Interest at
any time, or within the Permit Property or the Area of Interest after the
termination of this Agreement. 

                   
4.3      Implied
Covenants. There are no implied covenants contained in this Agreement
other than that of good faith and fair dealing.

                   
4.4      No Third Party
Beneficiary Rights. This Agreement shall be construed to benefit the
Participants and their respective successors and assigns only, and shall not be
construed to create third party beneficiary rights in any other party or in any
governmental organization or agency. 

ARTICLE 5. PARTICIPANT OBLIGATIONS 

                   
5.1      Initial
Obligations.

                             
(a)      PPI hereby assigns to HNZ a one-half interest
(50%) in the Permits. PPI agrees to execute any and all documents required by
the ASLD to cause the ASLD records to reflect the assignment to HNZ of a
one-half interest in the Permits. The Participants shall share equally the
application fees to assign the Permits to PPI and HNZ as joint permittees. If
the ASLD denies such application for assignment of the Permits for any reason,
the Participants will take any reasonable actions necessary to effect the intent
of this Agreement, including if appropriate submission of new permit
applications for the Permit Property to replace the Permits and any legal action
to challenge any such denial. If replacement permits are secured by a
Participant or the Participants within the five-year terms of the current
Permits pursuant to this Subsection 5.1(a) , then such new permits shall
be deemed to be Permits under this Agreement. The cost of securing any
replacement permits pursuant to this Subsection 5.1(a) shall be shared
equally by the Participants.

                             
(b)      Subject to Subsection 5.1(d) , HNZ
shall pay fifty percent (50%) of the costs previously incurred by PPI with
respect to holding, renting, exploring and renewing the Permits, which costs are
identified on Exhibit E. The total amount of this payment shall not
exceed fifty percent (50%) of an amount equal to the sum of the minimum
statutory rent and payment-in-lieu of exploration work requirements for each of
the Permits from the effective date of the applicable Permit until the Effective
Date.

                             
(c)      HNZ’s failure to pay the amount due in
accordance with the provisions of this Article, if not cured within thirty (30)
days after written notice of such default, shall be deemed a termination of this
Agreement, and HNZ shall then have no further right, title or interest in the
Permits and shall take such actions as are necessary to ensure that any interest
acquired in the Permits is assigned to PPI free and clear of any Encumbrances
arising by, through or under HNZ, except for such Encumbrances to which the
Participants may have agreed.

                             
(d)      If the ASLD denies the application for
assignment of a one-half (50%) interest in the Permits as contemplated in
Subsection 5.1(a) , then HNZ is relieved of any obligation to pay to PPI
the amounts in this Article and any amounts paid by HNZ to PPI hereunder shall
be immediately refunded to HNZ by PPI.

                             
(e)      PPI acknowledges and agrees that the breach of
this Agreement would cause irreparable damage to HNZ and that HNZ will not have
an adequate remedy at law. Therefore, the obligations of PPI under this
Agreement, including PPI’s obligation to cause the Transfer of a one-half (50%)
interest in the Permits, shall be enforceable by a decree of specific
performance issued by any court of competent jurisdiction, and appropriate
injunctive relief may be applied for and granted in connection therewith. Such
remedies shall, however, be cumulative and not exclusive and shall be in
addition to any other remedies which any party may have under this Agreement or
otherwise. 

                   
5.2      Rental and
Exploration.

                             
(a)      After the Effective Date, each Participant
shall be liable for 50% of the annual rentals, 50% of the renewal application
fees, 50% of the minimum statutory exploration expenditure requirement for each
Permit (including any “payments in lieu”), and 50% of any other amount required
by the ASLD to maintain the Permits in good standing for the full 5-year term of
each Permit (such amounts with respect to each Permit, the “Statutory Minimum
Amounts”). The Parties’ respective co-managers will collaborate to ensure
that the Statutory Minimum Amounts with respect to each Permit are paid to the
ASLD in accordance with applicable Laws. 

                             
(b)      Notwithstanding the foregoing, the
Participants acknowledge that either or both Participants may wish to not renew
a Permit and, therefore, not meet the statutory requirements for renewal. In the
event that both Participants determine that they will not renew a Permit, the
Participants shall jointly submit any documentation to notify the ASLD of such
non-renewal in advance of the expiration date of such Permit. If one Participant
(the “Non-Renewing Participant”) decides that it does not wish to renew a
Permit (a “Relinquished Permit”) and the other Participant (the “Renewing Participant”) desires
to renew such Relinquished Permit, the Non-Renewing Participant shall deliver
notice to the Renewing Participant not later than 60 days in advance of the
expiration date for such Relinquished Permit. As soon as practicable thereafter,
the Non-Renewing Participant shall assign to the Renewing Participant all its
interests in such Relinquished Permit and Assets exclusive thereto; provided,
that if such interests cannot be so assigned prior to the expiration of such
Relinquished Permit, the Renewing Participant may satisfy any obligations with
respect to any Statutory Minimum Amounts due in respect of such Relinquished
Permit and the Non-Renewing Participant will take any actions necessary to
assign all its interests in such Relinquished Permit and any Assets exclusive
thereto as soon as practicable thereafter. Such assignment shall be free and
clear of any Encumbrances, except for such Encumbrances to which the
Participants may have agreed, and the Non-Renewing Participant shall then have
no further right, title or interest (including no Participating Interest) in the
Relinquished Permit or any Assets exclusive thereto. Each Relinquished Permit
shall be deemed to not be a “Permit” hereunder (and this Agreement shall no
longer apply with respect to such Relinquished Permit) upon the earlier of (i)
the assignment of a Non-Renewing Participant’s interests in such Relinquished
Permit or (ii) the expiration of the then-current term of such Relinquished
Permit.

                             
(c)      If a Participant does not deliver a notice of
its intention to not renew under Subsection 5.2(b) and fails to deliver
to the ASLD or the other Participant 50% of any Statutory Minimum Amount prior
to the date such Statutory Minimum Amount is due under applicable Law, then the
other Participant may deliver such Statutory Minimum Amount to the ASLD. If the
non-paying Participant fails to reimburse the paying Participant its fifty
percent (50%) share of such amounts, and such failure to pay is not cured within
thirty (30) days after written notice of such default, the non-paying
Participant will have the obligations of a Non-Renewing Participant (including
the obligation to transfer all its interests in the applicable Permit and any
Assets exclusive thereto in accordance with Subsection 5.2(b) ) and the
applicable Permit shall be deemed to not be a “Permit” hereunder at the end of
such thirty day cure period.

                             
(c)      Each Participant’s 50% share of the Statutory
Minimum Amount for any individual Permit may be met through proof of exploration
expenditures so long as both Participants determine prior to the renewal date of
such Permit that the exploration expenditures meet the ASLD’s exploration
expenditure requirements and such proof is submitted to the ASLD prior to the
renewal deadline for such Permit. 

                             
(d)      The Participants acknowledge that there may be
situations where one Participant has, by itself, funded Exploration (whether or
not on the Permit Property) that the ASLD is willing to apply to the Statutory
Minimum Amounts in respect of the Permit Property. If the ASLD applies a
Participant’s Exploration expenditures to satisfy more than such Participant’s
fifty percent (50%) share of the Statutory Minimum Amounts due for a Permit and
no other amounts have been paid or Exploration funded in respect of a Permit,
then the Participant who funded such Exploration shall receive a reimbursement
from the other Participant an amount equal to fifty percent (50%) of the minimum
Statutory Minimum Amounts credited to the Permit in respect of such Exploration.
If the Participant responsible for such reimbursement fails to so reimburse
fifty percent (50%) of such amounts, and such failure to pay is not cured within
thirty (30) days after written notice of such default, the non-paying Participant will
have the obligations of a Non-Renewing Participant (including the obligation to
transfer its interests in the applicable Permit and any Assets exclusive thereto
in accordance with Subsection 5.2(b) ) and the applicable Permit shall be
deemed to not be a “Permit” hereunder at the end of such thirty day cure
period.

                   
5.3      Additional
Exploration Expenditures.

                             
  (a)      Each Participant may spend
  in excess of 50% of the minimum statutory exploration expenditure for Exploration
  on any Permit Property (any such expenditure, an “Additional Expenditure”),
  so long as any such expenditures are made pursuant to a Plan of Exploration
  approved by the Participants and submitted to the ASLD in accordance with Article
  8 and are otherwise in compliance with Article 8 and applicable Law.

                             
  (b)      If a Participant incurs Additional Expenditures
  for Exploration of the Permit Property, then the other Participant may (at its
  election and in its sole discretion) reimburse the Participant for fifty percent
  (50%) of the Additional Expenditures within sixty (60) days of receiving a written
  billing statement for such Additional Expenditures. If the other Participant
  does not pay its fifty percent (50%) share of the Additional Expenditures within
  sixty (60) days of receiving such billing statement, then two hundred percent
  (200%) of the Additional Expenditures shall be deemed a capital contribution
  by the Participant that incurred the Additional Expenditures to any entity formed
  by the Participants for the purpose of holding any mineral leases in respect
  of the Permit Property (or any portion thereof). 

                   
5.4      Sharing of Existing
Data. PPI will make available for inspection by HNZ all Existing Data
in its possession or control, and true and correct copies of all permits and
authorizations relating to PPI’s Permit Property. HNZ will make available for
inspection by PPI all Existing Data in its possession or control. On a case by
case basis, if a Participant requests the assistance of the other Participant’s
technical experts, such Participant shall not unreasonably withhold its consent
to such assistance, provided that such assistance shall not include the sharing
of any analyses, reports or other information not constituting Existing Data. At
no further cost to the Participant receiving the Existing Data from the
providing Participant, the receiving Participant may use such Existing Data to
update its existing or future resource reports or other reports. Except as
provided in Article 3 above, neither Participant makes to the other
Participant any representation or warranty, express or implied, as to the
accuracy or completeness of any Existing Data or related information provided
pursuant to this Section 5.4. 

                   
5.5     
Non-Interference. Each Participant agrees that: 

                             
(a)      during the Term, other than for the
enforcement of the terms of this Agreement or any future agreement between the
Participants, neither it (nor any of its Affiliates) will take any legal action
against the other Participant (or its Affiliates) related to any right, title or
interest in any of the Permit Property, or any permit or lease, either currently
held, or that may be held during the Term of this Agreement, related to
Exploration, development, or mining of Permit Property; and 

                             
(b)      neither it (nor any of its Affiliates) will
take any legal action against the other Participant (or its Affiliates) related
to any right, title or interest of such Participant in any State of Arizona
mineral exploration permits currently held by such Participant within the
Holbrook Basin and not listed on Exhibit A1 through the fifth-year
expiration date of such existing permits. 

ARTICLE 6. INTERESTS OF PARTICIPANTS 

                    
6.1      Initial Interests in Future
Entity. If the Participants choose to pursue with the ASLD one or more
mineral leases on the Permit Property, or any portion thereof, then the
Participants shall create an entity for the purpose of pursuing such mineral
lease(s) and holding all mineral leases on the Permit Property, which entity
shall initially be owned equally (50%/50%), subject to adjustment by any capital
contributions described in Section 5.3(b) and which shall be formed
pursuant to a separate agreement between the Participants. Any costs associated
with the pursuit of such mineral lease(s) will be borne by such entity.

                   
6.2      Participating
Interest in Permits. Each Participant shall hold a fifty percent (50%)
undivided interest as tenants in common in the rights and interests granted to
permittees pursuant to the Permits, and shall hold such rights and interests as
are described in this Agreement (such 50% interest, the “Participating
Interest”).

ARTICLE 7. COORDINATION OF EXPLORATION 

                   
7.1      Appointment of
Co-Managers. Each Participant shall appoint one or two persons to serve
as co-managers of Exploration for the Permits, and shall notify the other
Participant in writing of such appointment(s). At least one co-manager shall be
designated by each Participant as a decision maker that is authorized to make
final decisions and execute documents binding upon the Participant. Co-managers
for each Participant can be replaced upon written notice from an authorized
person to the other Participant. 

                   
7.2      Decisions.
Each Participant, acting through its appointed co-manager(s) in attendance at
the meetings described in Section 7.3, shall have one (1) vote. 

                   
7.3     
Meetings.

                             
(a)      The Participants’ respective co-managers shall
meet regularly, but not less than monthly if requested by either Participant, to
coordinate the maintenance of the Permits and to determine Plans of Exploration
for the Permit Property. Either Participant may call a special meeting of the
co-managers upon seven (7) days’ notice to the other Participant. In case of an
emergency, reasonable notice of a special meeting shall suffice. 

                             
(b)      The Participants shall designate a person to
prepare minutes of all meetings and shall distribute copies of such minutes to
the respective co-managers of the Participants within three (3) days after the meeting. The
Participants shall sign and return or object to the minutes within thirty (30)
days after receipt, and failure to do either shall be deemed acceptance of the
minutes as prepared. The minutes, when signed by an authorized co-manager for
each Participant or deemed accepted by both Participants, shall be the official
record of the decisions made by the Participants. If a Participant timely
objects to minutes, the co-managers, for a period not to exceed thirty (30) days
from receipt of the non-objecting Participant, will seek to agree upon minutes
acceptable to both Participants. If the Participants do not reach agreement on
the minutes of the meeting within such thirty (30) day period, the minutes of
the meeting as prepared together with the other Participant’s proposed changes
shall collectively constitute the record of the meeting.

                   
7.4      Action without
Meeting in Person. In lieu of meetings in person, the Participants’
respective co-managers may conduct meetings by telephone or video conference, so
long as minutes of such meetings are prepared in accordance with Section
7.3(b) . The Participants may also take actions in writing signed by both
Participants, or their appointed co-managers. 

ARTICLE 8. EXPLORATION PLANS 

                   
8.1      Powers and Duties of
Participants regarding Exploration. Subject to the terms and provisions
of this Agreement, the Participants shall have the following powers and duties
regarding Exploration on the Permit Property, which shall be discharged in
accordance with adopted Plans of Exploration. 

                             
(a)      Either Participant alone or both Participants
jointly may conduct Exploration of any or all of the Permit Property pursuant to
one or more Plans of Exploration. The Participants will coordinate with each
other regarding the details of implementation of each Plan of Exploration. 

                             
(b)      Prior to submitting any Plan of Exploration
and Budget to the ASLD, a Participant desiring to conduct Exploration will
prepare a Plan of Exploration and Budget for review and approval by the other
Participant. The approval of the other Participant will not be withheld or
delayed so long as the planned Exploration is to be conducted in accordance with
applicable legal requirements and is designed to reasonably determine the
presence of mineable potash resources within the Permit Property. If a
Participant fails to approve a Plan of Exploration and Budget offered in writing
by the other Participant within thirty (30) days after the Plan of Exploration
and Budget is so offered, the Participants will document their areas of
disagreement for future consideration during the formation of a new entity to
hold mineral leases on the PPI Property, but both Participants will otherwise
cooperate in good faith to submit the Plan of Exploration as proposed to the
ASLD and obtain its approval. The Parties will coordinate Exploration activities
on each Permit as necessary to ensure that only one Plan of Exploration is
submitted for each Permit each annual period. 

                             
(c)      In conducting Exploration of the Permit
Property, each Participant shall use reasonable efforts to: (i) purchase or
otherwise acquire all material, supplies, equipment, water, utility and
transportation services required for Exploration on the best terms available,
taking into account all circumstances; (ii) obtain such customary
warranties and guarantees as are available in connection with such purchases and
acquisitions; and (iii) keep jointly-funded Assets free and clear of all
Encumbrances, unless such Encumbrances are specifically approved by both
Participants (which approval shall not be unreasonably withheld). 

                             
  (d)      The Participant conducting Exploration
  shall immediately notify the other Participant of any material deviation from
  an adopted Plan of Exploration or Budget. If the Participant conducting Exploration
  exceeds an approved Budget by more than ten percent (10%) in the aggregate and
  does not receive the other Participant’s written consent to the amount
  of such excess, then the portion of such excess over ten percent (10%), unless
  directly caused by an emergency or unexpected expenditure made pursuant to this
  Subsection 8.1(d) or unless otherwise authorized or ratified by the Participants,
  shall not be included in the calculations of the other Participant’s 50%
  share of costs or the Additional Expenditures. In case of emergency, a Participant
  may take any reasonable action it deems necessary to protect life or property,
  to protect the Assets or to comply with Laws. The Participant conducting Exploration
  may make reasonable expenditures on behalf of both Participants for unexpected
  events that are beyond its reasonable control and that do not result from a
  breach by it of its standard of care. The Participant shall promptly notify
  the other Participant of the emergency or unexpected expenditure. 

                             
(e)      The Participants shall cooperate to (i)
jointly apply for all necessary permits, licenses and approvals as needed by
either Participant to implement an approved Plan of Exploration; (ii) comply
with all Laws; (iii) notify the other Participant promptly of any allegations of
substantial violation of any Laws; and (iv) prepare and file all reports or
notices required for implementation of this Agreement. A Participant shall not
be in breach of this provision if a violation has occurred in spite of the
Participant’s good faith efforts to comply. Each Participant shall timely cure
any violation on behalf of both Participants (after consultation with the
Participants’ respective co-managers, if time allows) through performance,
payment of fines and penalties, or both, and the costs shall be shared equally
by the Participants. 

                             
(f)      Both Participants will jointly confer and
respond to litigation or other proceedings relating to the Permits, the Permit
Property, and any Exploration conducted thereon. Nothing in this provision shall
require that either Participant pay for the other Participant’s response costs
unless one Participant is later determined by an arbitrator or court to be
responsible for such costs. 

                             
(g)      Each Participant shall provide insurance for
the benefit of both Participants as provided in Exhibit D or as may
otherwise be determined from time to time by the Participants.

                             
(h)      Each Participant shall have the right to carry
out its rights and responsibilities hereunder through agents, Affiliates or
independent contractors. 

                             
(i)      Even though the Participants are not partners
or joint venturers, for the purpose of sound record-keeping, both Participants
shall keep and maintain accounting and financial records for all jointly-incurred costs, Exploration
costs, and Additional Expenditures pursuant to the procedures described in
Exhibit B, and in accordance with customary cost accounting practices in
the mining industry. Each Participant shall make available to the other
Participant upon reasonable request such Participant’s financial records
sufficient for an audit relating to these costs and expenditures. 

                             
(j)      Upon request by a Participant, the other
Participant will make available to the requesting Participant a summary of work
conducted to date under a Plan of Exploration, including an estimate of the
actual costs incurred to date compared to the approved Budget for the
Exploration. 

                             
(k)      Each Participant shall have the right to
inspect and, at such Participant’s cost and expense, copy the Existing Data and
all maps, drill logs and other drilling data, core, pulps, reports, surveys,
assays, analyses, production reports, operations, technical, accounting and
financial records, to the extent preserved or kept by the other Participant
relating to the Permit Property. Either Participant, at its sole risk, cost and
expense, and subject to reasonable safety regulations, may inspect Permit
Property at all reasonable times and without interference by the other
Participant. 

                             
(l)      Unless otherwise agreed, a Participant shall
individually own any data, maps, drill logs, drilling data, core, pulps,
reports, surveys, assays, analyses, production reports, and other records
(collectively, “Drilling Data”) created and funded by such Participant,
to the extent of such funding. Drilling Data created and funded jointly pursuant
to this Agreement shall be owned by each Participant to the extent of the
funding provided to create such information (e.g., if the Participants
share equally (50/50) the costs of a drilling program, all Drilling Data
produced by such drilling program shall be jointly owned (50/50); if one
Participant funds a drilling program alone and the other Participant does not
reimburse the funding Participant in respect of its 50% share of the costs of
such program, then the non-funding Participant will not own or have any rights
with respect to such Drilling Data). The Participants and their respective
Affiliates shall not disclose or share such Drilling Data with any other person
or entity at any time without the consent of the Participant who owns such
Drilling Data, and further will take all actions reasonably necessary to
maintain each Participant’s respective ownership and confidentiality of its
Drilling Data. 

                             
(m)      Each Party shall be liable to timely perform
and pay for Continuing Obligations in the first instance unless and until an
entity is formed to hold a State of Arizona mineral lease for the PPI
Properties. Unless otherwise agreed, the Participants shall share the cost of
any Continuing Obligations equally. 

                   
8.2      Standard of
Care. Neither Participant shall be liable to the other Participant for
any act or omission resulting in damage or loss except to the extent caused by
or attributable to such Participant’s willful misconduct or gross
negligence.

                   
8.3      Transactions with
Affiliates. If a Participant engages Affiliates to provide Exploration
services hereunder, it shall do so on terms no less favorable than would be the
case in arm’s-length transactions with unrelated persons. 

                   
8.4      Activities during
Deadlock. If the Participants for any reason fail to agree to a
decision critical to the Exploration of the Permit Property, the Participants
shall continue to make payments in lieu of Exploration (as required under
applicable law) and take all other actions necessary to maintain the
Permits.

ARTICLE 9. WITHDRAWAL AND TERMINATION 

                   
9.1      Termination by
Expiration or Agreement. This Agreement shall terminate as expressly
provided herein, unless earlier terminated by written agreement executed by both
Participants. 

                   
9.2      Withdrawal.
A Participant may elect to withdraw from this Agreement by giving thirty (30)
days’ advance written notice to the other Participant of the effective date of
withdrawal. Upon the effective date of such withdrawal, the withdrawing
Participant shall assign its interests in the Permits and jointly-funded Assets
to the non-withdrawing Participant and shall execute and deliver all instruments
as may be necessary in the reasonable judgment of the other Participant to
effect the assignment of its interests in the Permits and jointly-funded Assets
to the other Participant. 

                   
9.3      Continuing
Obligations and Environmental Liabilities. Upon an assignment of
interests in Permits and jointly-funded Assets under Section 9.2,
and in the event a termination under Section 9.1, each Participant shall
remain liable for its respective share of liabilities to third persons (whether
such arises before or after such withdrawal), including Environmental
Liabilities and Continuing Obligations. 

ARTICLE 10. AREA OF INTEREST 

                   
10.1      Joint Pursuit of
Interests. The Participants have established an Area of Interest
identified in Exhibit A3. The Participants agree that, for the Term, any
attempt by either Participant to acquire or renew any interest or right to
acquire any interest within the Area of Interest shall be pursued jointly by the
Participants, and that no substantive contact will be initiated with Area of
Interest landowners or their representatives without prior joint consultation
and cooperation regarding the approach to be pursued. The Participants will
reduce to writing (e.g., e-mail) any plans for such contact. 

                   
10.2      Joint Ownership of
Interests. Any interest or right to acquire any interest in real
property (including minerals or water rights) within the Area of Interest either
acquired or proposed to be acquired during the Term by or on behalf of either
Participant or any Affiliate of such Participant, unless otherwise agreed, shall
be deemed owned fifty percent (50%) by each Participant and subject to the terms and provisions of this Agreement. No
interest in the Area of Interest may be acquired by a Participant for its own
benefit or for the benefit of any of its Affiliates during the Term unless 50%
of such interest is acquired by the other Participant or any of its Affiliates.
For the avoidance of doubt, each Participant and their respective Affiliates for
their separate account shall be free to acquire lands and interests in lands
outside the Area of Interest. Failure of any Affiliate of either Participant to
comply with this Article 10 shall be a breach by such Participant of this
Agreement and any right to a portion of the Area of Interest acquired by a
Participant or its Affiliate during the term of this Agreement shall be deemed
to be jointly administered and held by the Participants in 50%/50% joint
ownership for the term of such acquired interest or right. 

                   
  10.3      Exploration and
  Mine Development within Area of Interest. The Parties will separately
  agree to procedures and cost sharing provisions for exploration and mine development
  on lands within the Area of Interest. The Parties anticipate that exploration
  and mine development will occur on lands within the Area of Interest pursuant
  to a separate business entity created by the Parties and jointly owned for that
  purpose.

ARTICLE 11. MUTUAL GRANT OF ACCESS 

                   
11.1      PPI Access.
During the Term, HNZ hereby grants PPI vehicular access across existing
paved and unpaved roads on the HNZ Property at reasonable times for the
exclusive purposes of PPI accessing PPI’s properties or PPI’s mineral
exploration permit holdings in the Holbrook Basin. 

                   
11.2      HNZ Access.
During the Term, PPI hereby grants HNZ vehicular access across existing paved
and unpaved roads in the Holbrook Basin on any land owned or controlled by PPI
at reasonable times for the exclusive purpose of HNZ accessing HNZ’s properties
or permit holdings in the Holbrook Basin. 

                   
11.3      Prior
Notification. Unless otherwise agreed in writing, a Participant
desiring to access the other Participant’s lands pursuant to the rights granted
in Sections 11.1 and 11.2 will notify the other Participant at
least 48 hours in advance of accessing the other Participant’s property and will
abide by reasonable requests for accommodation for existing uses. Access may
require the Participants to cooperate to open locked gates at reasonable times
when both are available in the area. If access is requested across lands of a
Participant that does not have a clearly-defined right to grant such access,
such as across lands where surface rights are owned by a third party, then the
Participants will reasonably cooperate to establish access, but neither
Participant in that case is obligated to incur costs to clear title or provide
such access rights. 

                   
11.4      Fences. If
a Participant needs to open a gated area pursuant to the grant of access in this
Article, such Participant will immediately pass through the gate and close the
gate securely after passing through to prevent escape of cattle through an open
gate. If a Participant finds it necessary to cut any fence on the other
Participant’s the purpose of passage on or near and existing road, the
Participant desiring such access shall, prior to cutting the fence, install and
brace heavy “corner-type” posts at each end of the opening to be made, to which
the fence wire shall be securely fastened in such a manner as to prevent sagging. The
Participant desiring access shall install a gate of a quality acceptable to the
other Participant in each opening.

                   
11.5      Restricted Access
Purpose. No Participant shall use the access granted in this Article
11 for any purpose other than reasonable vehicular access to that
Participant’s land holdings (including permit lands). No Participant shall hunt
or fish on another Participant’s land, or permit or encourage others to do so.

                   
11.6      Confirmation of
Access. Upon the reasonable request of a Participant, the other
Participant shall promptly confirm in writing its grant of access in accordance
with this Article. 

ARTICLE 12. TRANSFER OF INTEREST; TAG ALONG
RIGHT 

                   
12.1      General.
Subject to the limitations in Section 12.2, a Participant shall have the
right to Transfer to any third party its Participating Interest (whether as to
all Permits or any single Permit), including an interest in this Agreement or
the jointly-funded Assets. 

                   
12.2      Limitations on Free
Transferability; Tag Along Right. Any Transfer by either Participant
under Section 12.1 shall be subject to the following limitations: 

                             
(a)      No Transfer of a Participant’s Participating
Interest, Assets or rights hereunder shall be effective unless and until the
transferring Participant has provided to the other Participant notice of the
Transfer, and the transferee has committed in writing to assume and be bound by
this Agreement to the same extent as the transferring Participant with respect
to the rights being Transferred; 

                             
(c)      Neither Participant, without the consent of
the other Participant, shall effect a Transfer that shall violate any Law, or
result in the cancellation of any permits, licenses, or other similar
authorization; 

                             
(d)      No Transfer permitted by this Article
12 shall relieve the transferring Participant of its share of any liability,
whether accruing before or after such Transfer; and 

                             
(e)      Each Participant agrees that it will not, in
any one transaction or a series of similar transactions, directly or indirectly,
sell or otherwise dispose of part or all of its Participating Interest to any
third party not affiliated with a Participant unless the terms of such sale or
other disposition to such third party include a written offer by such third
party to the other Participant of the same terms of sale for such other
Participant’s Participant Interest which corresponds to the Participating
Interest of the selling Participant (e.g., if a third party makes an
offer for a Participant Interest in Permit No. 08-115078, such offer must be for
each Participant’s Participant Interest in such Permit). The Participant
desiring to sell its interest shall provide the other Participant with notice of
the third party’s written offer (the “Tag Along Notice”) and an
expiration date of the right to accept the offer in the Tag Along Notice prior
to the completion of the Participant’s sale. The non-selling Participant shall
be given in the Tag Along Notice at least 5 Business Days after receipt of the notice to accept the written
offer. If the non-selling Participant does not accept the offer as proposed on
or before the deadline in the Tag Along Notice, then the selling Participant may
sell or otherwise dispose of its Participating Interest free of the other
Participant’s rights under this Section 12.2(e) . If the proposed sale or
other disposition is not consummated, then the tag along rights in this Section 12.2(e) shall continue to apply to future offers to either
Participant. If the proposed sale or other disposition is consummated, then the
rights granted in this Section 12.2(e) shall apply to any future offers
made after the closing with respect to any Participant Interest not included in
the transaction. If the non-selling Participant accepts the written offer on or
before the deadline in the Tag Along Notice, then the Participant initiating the
Tag Along Notice will sell its Participating Interest only with the other
Participant’s Participating Interests, and only pursuant to the terms stated in
the Tag Along Notice. 

ARTICLE 13. DISPUTES 

                   
13.1      Governing
Law. This Agreement and any claims, controversies, causes of action
(whether in contract or tort) or disputes that may be based upon, arise out of
or relate hereto, to the transactions contemplated hereby, to the negotiation,
execution or performance, or the validity, interpretation, enforceability,
formation, breach or termination hereof, or to the inducement of any party to
enter herein shall be governed by, and interpreted and construed in accordance
with, the laws of the State of Arizona, without regard to the principles
governing conflicts of laws. 

                   
13.2      Forum
Selection. The Participants hereby irrevocably submit to the exclusive
jurisdiction of any federal or State court in Maricopa County, Arizona over any
dispute arising out of or relating to this Agreement or any of the transactions
contemplated hereby and each Participant hereby irrevocably agrees that all
claims in respect of such dispute or any suit, action or proceeding related
thereto may be heard and determined in such court. The Participants hereby
irrevocably waive, to the fullest extent permitted by applicable law, any
objection, which they may now or hereafter have to the laying of venue of any
such dispute brought in such court or any defense of inconvenient forum for the
maintenance of such dispute. Each of the Participants agrees that a judgment in
any such dispute may be enforced in other jurisdictions by suit on the judgment
or in any other manner provided by law. Each of the Participants hereby consents
to process being served by the other Participant in any suit, action or
proceeding by the delivery of a copy thereof in accordance with the provisions
of Section 15.1. 

ARTICLE 14. CONFIDENTIALITY, OWNERSHIP, USE AND
DISCLOSURE OF INFORMATION 

                   
14.1      Confidential
Information. Except with the prior written consent of the other
Participant, each Participant shall keep confidential and not disclose to any
third party or the public any Confidential Information. All data and information
obtained, generated, or secured by the Participants as a result of Exploration
pursuant to this Agreement will be shared between the Participants but as to
third parties will be treated as Confidential Information. 

                   
14.2      Participant
Information. In performing its obligations under this Agreement,
neither Participant shall be obligated to disclose any Participant Information.
If a Participant elects to disclose Participant Information in performing its
obligations under this Agreement, such Participant Information, together with
all improvements, enhancements, refinements and incremental additions to such
Participant Information that are developed, conceived, originated or obtained by
either Participant in performing its obligations under this Agreement
(“Enhancements”), shall be owned exclusively by the Participant that
originally developed, conceived, originated or obtained such Participant
Information. Either Participant or both Participants may use and enjoy the
benefits of such Participant Information and Enhancements in the conduct of the
activities contemplated in this Agreement, but the Participant that did not
originally develop, conceive, originate or obtain such Participant Information
may not use such Participant Information and Enhancements for any other purpose.
Except as provided in Section 14.4, or with the prior written consent of
the other Participant, which consent may be withheld in such Participant’s sole
discretion, each Participant shall keep confidential and not disclose to any
third party or the public any portion of Participant Information and
Enhancements owned by the other Participant that constitutes Confidential
Information. 

                   
14.3      Permitted Disclosure
of Confidential Information.

                   
(a)      Either Participant may disclose Confidential
Information: (a) to a Participant’s officers, directors, partners, members,
employees, Affiliates, shareholders, agents, attorneys, accountants,
consultants, contractors, subcontractors or advisors, for the sole purpose of
such Participant’s performance of its obligations under this Agreement; (b) to
any party to whom the disclosing Participant contemplates a Transfer of all or
any part of its Participating Interest, for the sole purpose of evaluating the
proposed Transfer; or (c) to any actual or potential lender, underwriter or
investor for the sole purpose of evaluating whether to make a loan to or
investment in the disclosing Participant. 

                   
(b)      The Participant disclosing Confidential
Information pursuant to this Section 14.3 shall disclose such
Confidential Information to only those parties who have a bona fide need to have
access to such Confidential Information for the purpose for which disclosure to
such parties is permitted under this Section 14.3. The Participant
disclosing Confidential Information shall be responsible and liable for any use
or disclosure of the Confidential Information by such parties in violation of
this Agreement and such other writing. 

                   
14.4      Disclosure Required
By Law.

                   
(a)      Notwithstanding anything contained in this
Article 14, a Participant may disclose any Confidential Information if,
in the opinion of the disclosing Participant’s legal counsel: (a) such
disclosure is legally required to be made in a judicial, administrative or
governmental proceeding pursuant to a valid subpoena or other applicable order;
or (b) such disclosure is legally required to be made pursuant to the rules or
regulations of a stock exchange or similar trading market applicable to the
disclosing Participant. 

                   
(b)      Prior to any disclosure of Confidential
Information under this Section 14.4, the disclosing Participant shall
give the other Participant at least two (2) Business Days prior written notice
(unless less time is permitted by such rules, regulations or proceeding) and, in
making such disclosure, the disclosing Participant shall disclose only that
portion of Confidential Information required to be disclosed and shall take all
reasonable steps to preserve the confidentiality thereof, including, without
limitation, obtaining protective orders and supporting the other Participant in
intervention in any such proceeding. 

                   
14.5      Public
Announcements. Prior to making or issuing any press release or other
public announcement or disclosure of information relating to this Agreement and
the activities contemplated in this Agreement that is not Confidential
Information, a Participant shall first consult with the other Participant as to
the content and timing of such announcement or disclosure and no such
announcement or disclosure shall be issued without the written consent of the
other Party. 

ARTICLE 15. GENERAL PROVISIONS 

                   
15.1      Notices.
All notices, payments and other required or permitted communications
(“Notices”) to either Participant shall be in writing, and shall be
addressed respectively as follows: 

	 	If to PPI: 	Passport Potash Inc. 
	 	  	3346 W. Guadalupe Rd. 
	 	  	Apache Junction, AZ 85120 
	 	  	Attention: John Eckersley 
	 	  	Telephone:      (480) 288-6530
  
	 	  	Facsimile:       
       (480) 288-6532 
	 	  	 
	 	               
         With a Copy to: 	Linda Hogg 
	 	  	McMillan 
	 	  	Royal Centre 
	 	  	1055 W. Georgia St., Suite 1500
    
	 	  	Vancouver, BC V6E 4N7
  

	 	If to HNZ: 	HNZ Potash, LLC 
	 	  	1900 N. Akard St. 
	 	  	Dallas, Texas 75201 
	 	  	Attention: C. Brian Boutte 
	 	  	Telephone:      (214) 978-8684
  
	 	  	Facsimile:        
      (214) 855-6996 
	 	  	 
	 	               
         With a Copy to: 	Nathan J. Christensen 
	 	  	HNZ Potash, LLC 
	 	  	1900 N. Akard St. 
	 	  	Dallas, Texas 75201

                                
All Notices shall be given (a) by personal delivery to the Participant, (b) by
electronic communication, capable of producing a printed transmission
confirmation, (c) by registered or certified mail return receipt requested, or
(d) by overnight or other express courier service. All Notices shall be
effective and shall be deemed given on the date of receipt at the principal
address if received during normal business hours, and, if not received during
normal business hours, on the next Business Day following receipt, or if by
electronic communication, on the date of such communication. Either Participant
may change its address by Notice to the other Participant. 

                   
15.2      Construction;
Interpretation. The singular shall include the plural and the plural
the singular wherever the context so requires, and the masculine, the feminine,
and the neuter genders shall be mutually inclusive. The words “this Agreement”,
“this instrument”, “herein”, “hereof”, “hereby”, “hereunder” and words of
similar import refer to this Agreement as a whole (together with Exhibits) and
not to any particular subdivision unless expressly so limited. The Participants
have each participated in the negotiation and drafting of this Agreement and if
an ambiguity or question of interpretation should arise, this Agreement shall be
construed as if drafted jointly by the Participants and no presumption or burden
of proof shall arise favoring or burdening either Participant by virtue of the
authorship of any of the provisions in this Agreement. References to “written”
and “in writing” or words of similar import include in electronic form. When
calculating the period of time before which, within which or following which any
act is to be done or step taken pursuant to this Agreement, the date that is the
reference date in calculating such period shall be excluded. 

                   
15.3      Currency.
All references to “dollars” or “$” herein shall mean lawful
currency of the United States of America.

                   
15.4      Headings.
The subject headings of the Sections and Subsections of this Agreement and the
Paragraphs and Subparagraphs of the Exhibits to this Agreement are included for
purposes of convenience only, and shall not affect the construction or
interpretation of any of its provisions.

                   
15.5      Waiver. The
failure of either Participant to insist on the strict performance of any
provision of this Agreement or to exercise any right, power or remedy upon a
breach hereof shall not constitute a waiver of any provision of this Agreement
or limit such Participant’s right thereafter to enforce any provision or
exercise any right. 

                   
15.6     
Modification. No modification or amendment of this Agreement
shall be valid unless made in writing and duly executed by both Participants.

                   
15.7      Force
Majeure. Except any monetary obligations (i.e., obligations that can be
satisfied by the payment of money) hereunder, the obligations of a Participant
shall be suspended to the extent and for the period that performance is
prevented by any cause, whether foreseeable or unforeseeable, beyond its
reasonable control. 

                   
15.8      Further
Assurances. Each of the Participants shall take, from time to time and
without additional consideration, such further actions and execute such
additional instruments as may be reasonably necessary or convenient to implement
and carry out the intent and purpose of this Agreement. 

                   
15.9      Entire Agreement;
Successors and Assigns. This Agreement contains the entire
understanding of the Participants and supersedes all prior agreements and
understandings between the Participants relating to the subject matter hereof.
This Agreement shall be binding upon and inure to the benefit of the respective
successors and permitted assigns of the Participants.

                   
15.10     
Severability. If any term or other provision of this Agreement is
invalid, illegal or incapable of being enforced by any law or public policy, all
other terms and provisions of this Agreement shall nevertheless remain in full
force and effect for so long as the economic or legal substance of the
transactions contemplated by this Agreement is not affected in any manner
materially adverse to either Participant. Upon such determination that any term
or other provision is invalid, illegal or incapable of being enforced, the
Participants shall negotiate in good faith to modify this Agreement so as to
effect the original intent of the Participants as closely as possible in an
acceptable manner in order that the transactions contemplated by this Agreement
are consummated as originally contemplated to the greatest extent possible.

                   
15.11      Expenses.
Except as otherwise expressly set forth in this Agreement, all costs and
expenses incurred in connection with this Agreement and the transactions
contemplated by this Agreement shall be borne by the party incurring such costs
and expenses. 

                   
15.12      Non-Recourse.
No past, present or future director, officer, employee, incorporator,
member, manager, partner, equity holder, employee, Affiliate, agent, attorney or
representative of the Participants or any of their respective Affiliates shall
have any liability (whether in contract or in tort) for any obligations or
liabilities of the Participants arising under, in connection with or related to
this Agreement or for any claim based on, in respect of, or by reason of, the
transactions contemplated by this Agreement, including any alleged
non-disclosure or misrepresentations made by any such persons. 

                   
15.13      Limitation on
Damages. Notwithstanding anything to the contrary elsewhere in this
Agreement, no Participant shall, in any event, be liable to any other
Participant or any other person for any consequential, incidental, indirect,
special or punitive damages of such other Participant or person, including loss
of revenue, income or profits, diminution of value or loss of business
reputation or opportunity relating to the breach or alleged breach hereof;
provided, however, that the terms “consequential”, “incidental” and “indirect”
are not intended to preclude recovery of compensatory money damages that
represent direct damages. 

                   
15.14     
Counterparts. This Agreement may be executed in any number of
counterparts, and it shall not be necessary that the signatures of both
Participants be contained on any counterpart. Each counterpart shall be deemed
an original, but all counterparts together shall constitute one and the same
instrument. Delivery of an executed counterpart of a signature page of this
Agreement electronically (including portable document format (pdf.)) or by
facsimile shall be as effective as delivery of a physically delivered
counterpart. 

[Signature Page Follows] 

                   
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the
Effective Date. 

PPI: 

Passport Potash, Inc., a British Columbia corporation

By    /s/ Joshua
Bleak                                                          
Name:
Joshua Bleak 
Title: President 

HNZ: 

HNZ Potash, LLC, a Delaware limited liability company

By  /s/ C. Brian
Boutte                                                         
Name:
C. Brian Boutte 
Title: General Manager 

EXHIBIT A1 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

PERMITS AND PERMIT PROPERTY 

	Permit Number 	Township/Range 	Sections 
	08-115078 	15N 24E 	16 
	08-115079 	15N 24E 	18 
	08-115080 	15N 24E 	20 
	08-115081 	15N 24E 	22 
	08-115100 	15N 24E 	30 
	08-115101 	15N 24E 	32 
	08-114982 	15N 23E 	8 
	08-114984 	15N 23E 	10 
	08-114983 	15N 23E 	14 
	08-114985 	15N 23E 	16 
	08-115096 	15N 23E 	24 
	08-115097 	15N 23E 	28 
	08-115098 	15N 23E 	32 
	08-115099 	15N 23E 	36 
	08-114987 	15N 22E 	2 
	08-114988 	15N 22E 	12 
	08-115094 	15N 22E 	16 
	08-115095 	15N 22E 	36 
	08-113367 	16N 24E 	22 
	08-113366 	16N 24E 	24 
	08-113361 	16N 24E 	36 

EXHIBIT A1 
Page 1 of 1

EXHIBIT A2 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

HNZ PROPERTY 

HNZ Surface Properties: All real property with respect
to which HNZ holds surface rights.

HNZ State Mineral Permits: 

	Permit Number 	Township/Range 	Sections 
	08-114503 	16N 24E 	2 
	08-114325 	16N 24E 	14 
	08-116230 	16N 25E 	16 
	08-116231 	16N 25E 	32 

EXHIBIT A2 
Page 1 of 1

EXHIBIT A3 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

AREA OF INTEREST 

All land owned or controlled by Hopi Tribe and Affiliates in
the Holbrook Basin, as outlined on the attached map. 

EXHIBIT A3 
Page 1 of 1

EXHIBIT B 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

ACCOUNTING PROCEDURES 

          The
financing and accounting procedures to be followed by the Participants under
this Agreement are set forth below (collectively, these “Accounting
Procedures”). All capitalized terms in these Accounting Procedures shall
have the definition attributed to them in this Agreement, unless defined
otherwise herein. 

          The
purpose of these Accounting Procedures is to establish equitable methods for
determining charges and credits applicable to Exploration. In the event of a
conflict between the provisions of these Accounting Procedures and those of this
Agreement, the provisions of this Agreement shall control. 

ARTICLE I 
GENERAL PROVISIONS 

          1.1      General
Accounting Records. Each Participant shall maintain its own detailed
and comprehensive cost accounting records in accordance with these Accounting
Procedures, including general ledgers, supporting and subsidiary journals,
invoices, checks and other customary documentation, sufficient to provide a
record of revenues and expenditures for managerial, tax, regulatory or other
financial, regulatory, or legal reporting purposes related to this Agreement.
Such records shall be retained for the duration of the period allowed the
Participants for audit or the period necessary to comply with tax or other
regulatory requirements. The records shall reflect all obligations, advances and
credits of the Participants. 

          1.3      Statements
and Billings. Each Participant shall prepare statements and bill the
other Participant for reimbursable amounts. Payment of any such billings by
either Participant shall not prejudice such Participant’s right to protest or
question the correctness thereof for a period not to exceed twenty-four (24)
months following the calendar year during which such billings were received by
such Participant. All written exceptions to and claims upon a Participant for
incorrect charges, billings or statements shall be made upon the Participant
within such twenty-four (24) month period. Failure to bill timely is not a
waiver of any reimbursable amount due from either Participant. 

EXHIBIT B 
Page 1 of 4 

ARTICLE II 
ELIGIBLE ADDITIONAL EXPLORATION
COSTS 

          Unless
otherwise agreed in a Plan of Exploration approved by both Participants in
writing, Exploration costs eligible as Additional Expenditures as described in
Section 5.3 of this Agreement include the following: 

          2.1     
Materials, Equipment and Supplies. The cost of materials, equipment and
supplies (herein called “Material”) purchased from unaffiliated third
parties or furnished by either Participant as provided in Paragraph 3.2.
The Participant shall purchase or furnish only so much Material as may be
required for immediate use in efficient and economical Exploration. The
Participant shall also maintain inventory levels of Material at reasonable
levels to avoid unnecessary accumulation of surplus stock. 

          2.2      Equipment
and Facilities Furnished by Participant. The cost of machinery,
equipment and facilities owned by the Participant and used in Exploration or
used to provide support or utility services to Exploration, charged at rates
commensurate with the actual costs of ownership and operation of such machinery,
equipment and facilities. Such rates shall include costs of maintenance,
repairs, other operating expenses, insurance, taxes, depreciation and interest
at a rate not to exceed Prime Rate plus three percent (3%) per annum. Such rates
shall not exceed the average commercial rates currently prevailing in the
vicinity of the Exploration. 

          2.3      Contract
Services and Utilities. The cost of contract services and utilities
procured from outside sources, other than services described in Paragraph
2.6. If contract services are performed by the Participant or an Affiliate
thereof, the eligible cost shall not be greater than that for which comparable
services and utilities are available in the open market within the vicinity of
Exploration. The cost of professional consultant services procured from outside
sources in excess of Twenty-Five Thousand Dollars ($25,000.00) per annum per
contract shall not be eligible unless approved by the both Participants’
respective co-managers. 

          2.4     
Insurance Premiums. Net premiums paid for insurance required to be
carried for Exploration for the protection of the Participant that is not
overseeing the Exploration. When Exploration is conducted in an area where the
Participant may self-insure for Workers’ Compensation and/or Employer’s
Liability under state law, the Participant conducting Exploration may elect to
include such risks in its self-insurance program and shall be eligible for
related costs not to exceed published manual rates. 

          2.5      Damages
and Losses. All costs in excess of insurance proceeds necessary to
repair or replace damage or losses to any Assets resulting from any cause other
than the willful misconduct or gross negligence of the Participant incurring the
cost. The Participant shall furnish the other Participant with written notice of
damages or losses as soon as practicable after a report thereof has been
received by the Participant incurring the cost. 

EXHIBIT B 
Page 2 of 4 

          2.6      Legal
and Regulatory Expense. All legal and regulatory costs and expenses
incurred in or resulting from Exploration or necessary to protect or recover the
Assets, including costs of title investigation and title curative services. All
attorney’s fees and other legal costs to handle, investigate and settle
litigation or claims, and amounts paid in settlement of such litigation or
claims in excess of Twenty-Five Thousand Dollars ($25,000.00) per annum shall
not be eligible Exploration costs unless approved by both Participants’
respective co-managers. 

          2.7     
Environmental Compliance Fund. Costs of reasonably anticipated
Environmental Compliance to be determined by the Participants’ respective
co-managers as part of a Plan of Exploration. 

          2.8     
Other Expenditures. Any reasonable direct expenditure, other than
expenditures which are covered by the foregoing provisions, incurred by a
Participant for the necessary and proper conduct of Exploration. 

ARTICLE III 
BASIS OF ELIGIBLE ADDITIONAL
EXPENDITURES 

          3.1      Purchases.
Material purchased and services procured from third parties shall be
deemed eligible as Additional Expenditures at invoiced cost, including
applicable transfer taxes, less all discounts taken. If any Material is
determined to be defective or is returned to a vendor for any other reason, an
adjustment shall be made when received from the vendor. 

          3.2      Material
Furnished by a Participant. Any Material furnished by either
Participant for Exploration shall be priced on the following basis: 

                         (a)      New
Material. New Material furnished by either Participant shall be priced
F.O.B. the nearest reputable supply store or railway receiving point, where like
Material is available, at the current replacement cost of the same kind of
Material, exclusive of any available cash discounts, at the time it is furnished
(the “New Price”). 

                         (b)     
Used Material. 

                                   (i)      Used
Material in sound and serviceable condition and suitable for reuse without
reconditioning shall be priced as follows: 

                                             (A)      Used
Material furnished by either Participant shall be priced at seventy-five percent
(75%) of the New Price; 

                                             (B)     
Used Material distributed to either Participant shall be priced (i) at
seventy-five percent (75%) of the New Price if such Material was originally
charged as an Additional Expenditure as new Material, or (ii) at sixty-five
percent (65%) of the New Price if such Material was originally charged as an
Additional Expenditure as good used Material at seventy-five percent (75%) of
the New Price. 

EXHIBIT B 
Page 3 of 4 

                                   (ii)     
Other used Material that, after reconditioning, will be further serviceable for
original function as good secondhand Material, or that is serviceable for
original function but not substantially suitable for reconditioning, shall be
priced at fifty percent (50%) of New Price. The cost of any reconditioning shall
be borne by the transferee. 

                                   (iii)      Bad-Order
Material which is no longer usable for its original purpose without excessive
repair cost but further usable for some other purpose shall be priced on a basis
comparable with items normally used for that purpose. 

                                   (iv)     
All other Material, including junk, shall be priced at a value commensurate with
its use or at prevailing prices. 

                         (c)     Obsolete
Material. Any Material that is serviceable and usable for its original
function, but its condition is not equivalent to that which would justify a
price as provided above, shall be priced by agreement of the Coordinators. Such
price shall be set at the value of the service to be rendered by such Material.

          3.3      Premium
Prices. Whenever Material is not readily obtainable at published or
listed prices because of national emergencies, strikes or other unusual
circumstances over which the Participant has no control, the Participant may
charge on the basis of the Participant’s direct cost and expenses incurred in
procuring such Material and making it suitable for use. The Participant shall
give written notice of the proposed charge to the other Participants prior to
the time when such charge is to be billed, whereupon either Participant shall
have the right, by notifying the Participant incurring the cost within ten days
of the delivery of the notice, to furnish at the usual receiving point all or
part of its share of Material suitable for use and acceptable to the
Participant. 

          3.4      Warranty
of Material Furnished by a Participant. Neither Participant warrants
any Material furnished beyond any dealer’s or manufacturer’s warranty. No
credits shall be made for defective Material until adjustments are received by
the Participant from the dealer, manufacturer or their respective agents. 

          3.5     
Disposal of Material. Sales of Material used in Exploration shall be
credited against eligible Additional Expenditures when the funds are received by
a Participant. 

EXHIBIT B 
Page 4 of 4 

EXHIBIT C 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

DEFINITIONS 

          “Accounting
Procedures” is defined in Exhibit B. 

          “Additional
Expenditures” is defined in Section 5.3(a) of this Agreement.

          “Affiliate”
or “Affiliates” means any person, partnership, limited liability
company, joint venture, corporation, or other form of enterprise which Controls,
is Controlled by, or is under common Control with a Member. 

          “Agreement”
means this Joint Exploration Agreement, including all amendments and
modifications, and all schedules and exhibits, all of which are incorporated by
this reference. 

          “Area
of Interest” means the area described in Exhibit A3. 

          “ASLD”
is defined in Section 2.3 of this Agreement. 

          “Assets”
means the Permits, Confidential Information directly related to the Exploration
pursuant to this Agreement, and all other real and personal property, tangible
and intangible, including existing or after-acquired properties and all contract
rights used directly in Exploration pursuant to this Agreement. Each Asset is
owned separately by the Participant that developed it, except Assets that are
jointly funded by the Participants and are held by the Participants as tenants
in common. 

          “Budget”
means a detailed estimate of all costs to be incurred by a Participant with
respect to a Plan of Exploration. 

          “Business
Day” means any day of the year on which national banking institutions in
Arizona are open to the public for conducting business and are not required or
authorized to close. 

          “Confidential
Information” means all information, data, knowledge and know-how (including,
but not limited to, formulas, patterns, compilations, programs, devices,
methods, techniques and processes) that derives independent economic value,
actual or potential, as a result of not being generally known to, or readily
ascertainable by, third parties and which is the subject of efforts that are reasonable under the circumstances
to maintain its secrecy, including without limitation all analyses,
interpretations, compilations, studies and evaluations of such information,
data, knowledge and know-how generated or prepared by or on behalf of either
Participant. 

EXHIBIT C 
Page 1 of 5

          “Continuing
Obligations” mean obligations or responsibilities that are reasonably
expected to continue or arise after Exploration on a particular area of the
Permit Property has ceased or is suspended, such as future monitoring,
stabilization, or Environmental Compliance.

          “Control”
used as a verb means, when used with respect to an entity, the ability, directly
or indirectly through one or more intermediaries, to direct or cause the
direction of the management and policies of such entity through (i) the legal or
beneficial ownership of voting securities or membership interests; (ii) the
right to appoint managers, directors or corporate management; (iii) contract;
(iv) operating agreement; (v) voting trust; or otherwise; and, when used with
respect to a person, means the actual or legal ability to control the actions of
another, through family relationship, agency, contract or otherwise; and
“Control” used as a noun means an interest which gives the holder the ability to
exercise any of the foregoing powers. 

          “Drilling
Data” is defined in Section 8.1(l) . 

          “Effective
Date” means the date set forth in the preamble to this Agreement. 

          “Encumbrance”
or “Encumbrances” means mortgages, deeds of trust, security interests,
pledges, liens, net profits interests, royalties or overriding royalty
interests, other payments out of production, or other burdens of any nature.

          “Enhancements”
is defined in Section 14.2 of this Agreement. 

          “Environmental
Compliance” means actions performed during or after Exploration to comply
with the requirements of all Environmental Laws or contractual commitments
related to reclamation of the Permit Property or other compliance with
Environmental Laws. 

          “Environmental
Damage” is defined in Section 3.3(c)(ii) of this Agreement.

          “Environmental
Laws” means Laws aimed at reclamation or restoration of the PPI Property;
abatement of pollution; protection of the environment; protection of wildlife,
including endangered species; ensuring public safety from environmental hazards;
protection of cultural or historic resources; management, storage or control of
hazardous materials and substances; releases or threatened releases of
pollutants, contaminants, chemicals or industrial, toxic or hazardous substances
as wastes into the environment, including without limitation, ambient air,
surface water and groundwater; and all other Laws relating to the manufacturing,
processing, distribution, use, treatment, storage, disposal, handling or
transport of pollutants, contaminants, chemicals or industrial, toxic or
hazardous substances or wastes. 

EXHIBIT C 
Page 2 of 5

          “Environmental
Liabilities” means any and all claims, actions, causes of action, damages,
losses, liabilities, obligations, penalties, judgments, amounts paid in
settlement, assessments, costs, disbursements, or expenses (including, without
limitation, attorneys’ fees and costs, experts’ fees and costs, and consultants’
fees and costs) of any kind or of any nature whatsoever that are asserted
against either Member, by any person or entity other than the other Member,
alleging liability (including, without limitation, liability for studies,
testing or investigatory costs, cleanup costs, response costs, removal costs,
remediation costs, containment costs, restoration costs, corrective action
costs, closure costs, reclamation costs, natural resource damages, property
damages, business losses, personal injuries, penalties or fines) arising out of,
based on or resulting from (i) the presence, release, threatened release,
discharge or emission into the environment of any hazardous materials or
substances existing or arising on, beneath or above the Permit Property and/or
emanating or migrating and/or threatening to emanate or migrate from the Permit
Property to off-site properties; (ii) physical disturbance of the environment;
or (iii) the violation or alleged violation of any Environmental Laws. 

          “Existing
Data” means raw data from drill logs and other drilling data, core, and
pulps developed in operations on the Participants’ respective
properties in the Holbrook Basin prior to the Effective Date. 

          “Exploration”
means all activities directed toward ascertaining the existence, location,
quantity, quality or commercial value of deposits of potash products, including
but not limited to additional drilling required after discovery of potentially
commercial mineralization, and including related Environmental Compliance. 

          “HNZ”
means HNZ Potash, LLC, a Delaware limited liability company, and its successors
and assigns. 

          “HNZ
Property” means the property described in Exhibit A2. 

          “HNZ
Additional Mineral Property” means the property described in
Exhibit A4. 

          “Knowledge”
is defined in Section 3.4 of this Agreement. 

          “Law”
or “Laws” means all applicable federal, state and local laws (statutory
or common), rules, ordinances, regulations, grants, concessions, franchises,
licenses, orders, directives, judgments, decrees, and other governmental
restrictions, including permits and other similar requirements, whether
legislative, municipal, administrative or judicial in nature. 

          “New
Price” is defined in Exhibit B. 

          “Non-Renewing
  Participant” is defined in Section 5.2(b) .

          “Notices”
is defined in Section 15.1 of this Agreement. 

EXHIBIT C 
Page 3 of 5

          “Material”
  is defined in Exhibit B. 

          “Minimum
  Expenditure Amount” is defined in Section 5.2.

          “Participant”
is defined in the preamble to this Agreement. 

          “Participant
Information” means data interpretations, reports, studies, financial
analyses, and all other business information regarding a Participant’s business
and interests that is not Existing Data or information that a Participant is
obligated to disclose to the other Participant in this Agreement. 

          “Participating
Interest” is defined in Section 6.2 of this Agreement.

          “Permits”
means the Arizona State Land Department mineral exploration permits listed on
Exhibit A1, and any replacement permit intended by the Participants to
replace any permit for the same land listed on Exhibit A1. 

          “Permit
Property” means those Arizona State Land Department mineral exploration
permits described in Exhibit A1. 

          “Plan
of Exploration” means a description in reasonable detail of Exploration to
be conducted and objectives to be accomplished by a Participant. 

          “PPI”
means Passport Potash, Inc., a British Columbia corporation, and its successors
and assigns. 

          “Prime
Rate” means the interest rate quoted and published as “Prime” as published
in The Wall Street Journal, under the heading “Money Rate,” as the rate
may change from day to day. 

          “Relinquished
  Permit” is defined in Section 5.2(b) .

          “Renewing
Participant” is defined in Section 5.2(b) . 

          “Statutory
Minimum Amounts” is defined in Section 5.2(a) . 

          “Tag
Along Notice” is defined in Section 12.2(e) of this Agreement. 

          “Term”
is defined in Section 2.3 of this Agreement. 

EXHIBIT C 
Page 4 of 5

          “Transfer”
means, when used as a verb, to sell, grant, assign or create an Encumbrance,
pledge or otherwise convey, or dispose of or commit to do any of the foregoing,
and, when used as a noun, means such a sale, grant, assignment, Encumbrance,
pledge or other conveyance or disposition, or such an arrangement. 

EXHIBIT C 
Page 5 of 5

EXHIBIT D 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

INSURANCE 

          The
Participants shall, at all times while conducting Exploration, comply fully with
the applicable workers’ compensation laws and purchase, or secure protection for
such work comparable to that provided under standard form insurance policies for
the following risk categories: (i) comprehensive public liability and property
damage with combined limits of not less than Five Million Dollars
($5,000,000.00) for bodily injury and property damage; (ii) automobile insurance
with combined limits of not less than Two Million Dollars ($2,000,000.00); and
(iii) adequate and reasonable insurance against risk of fire and other risks
ordinarily insured against in similar operations. Each Participant may purchase
for its own account such additional insurance as it deems necessary. 

EXHIBIT E 
to 
Joint Exploration Agreement

between 
Passport Potash Inc. 
and 

  HNZ Potash, LLC 

COSTS PREVIOUSLY INCURRED BY PPI 

	

        

      Permit # 	

        

      Section 	

        

      Twnshp 	

        

      Range 	

        

      Acreage 	

      Effective 

      Date 	

      Expiration 

      Date 	

      Renewal 

      Fee 	Rental Fee 

      Years 1-2 

      [total] 	Rental Fee 

      Years 3-5 

      [per year] 	Exploration 

      Requirement 

      Years 1-2 	Exploration 

      Requirement 

      Years 3-5 	

      Year 1 

      Fee/Rental 	

      Year 1 

      Expenditures 	

        

      Year 2 	

        

      Year 3 	

        

      Year 4 
	08-113366 	24 	16N 	24E 	640.00 	11/21/08 	11/20/13 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-113367 	22 	16N 	24E 	640.00 	11/21/08 	11/20/13 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		 $  500.00 	$ 500.00 	$ 500.00 
	08-113361 	36 	16N 	24E 	640.00 	11/21/08 	11/20/13 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114982 	8 	15N 	23E 	480.00 	10/21/10 	10/20/15 	$ 500.00 	$ 960.00 	$ 480.00 	$4,800.00 	$ 9,600.00 	$ 1,460.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114983 	14 	15N 	23E 	640.00 	10/21/10 	10/20/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114984 	10 	15N 	23E 	640.00 	10/21/10 	10/20/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114985 	16 	15N 	23E 	640.00 	10/21/10 	10/20/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114987 	2 	15N 	22E 	120.00 	10/21/10 	10/20/15 	$ 500.00 	$ 240.00 	$ 120.00 	$1,200.00 	$ 2,400.00 	$ 740.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-114988 	12 	15N 	22E 	200.00 	10/21/10 	10/20/15 	$ 500.00 	$ 400.00 	$ 200.00 	$2,000.00 	$ 4,000.00 	$ 900.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115078 	16 	15N 	24E 	640.00 	12/23/10 	12/22/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115079 	18 	15N 	24E 	686.22 	12/23/10 	12/22/15 	$ 500.00 	$ 1,372.44 	$ 686.22 	$6,862.20 	$ 13,724.40 	$ 1,872.44 		$   500.00 	$ 500.00 	$ 500.00 
	08-115080 	20 	15N 	24E 	640.00 	12/23/10 	12/22/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115081 	22 	15N 	24E 	640.00 	12/23/10 	12/22/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115100 	30 	15N 	24E 	691.78 	12/30/10 	12/29/15 	$ 500.00 	$ 1,383.56 	$ 691.78 	$6,917.80 	$ 13,835.60 	$ 1,883.56 		$   500.00 	$ 500.00 	$ 500.00 
	08-115101 	32 	15N 	24E 	640.00 	12/30/10 	12/29/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115096 	24 	15N 	23E 	200.00 	12/30/10 	12/29/15 	$ 500.00 	$ 400.00 	$ 200.00 	$2,000.00 	$ 4,000.00 	$ 900.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115097 	28 	15N 	23E 	320.00 	12/30/10 	12/29/15 	$ 500.00 	$ 640.00 	$ 320.00 	$3,200.00 	$ 6,400.00 	$ 1,140.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115098 	32 	15N 	23E 	640.00 	12/30/10 	12/29/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115099 	36 	15N 	23E 	640.00 	12/30/10 	12/29/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115094 	16 	15N 	22E 	640.00 	12/30/10 	12/29/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 
	08-115095 	36 	15N 	22E 	640.00 	12/30/10 	12/29/15 	$ 500.00 	$ 1,280.00 	$ 640.00 	$6,400.00 	$ 12,800.00 	$ 1,780.00 		$   500.00 	$ 500.00 	$ 500.00 

	

        

      Permit # 	

        

      Section 	

        

      Twnshp 	

        

      Range 	

        

      Acreage 	

      Effective 

      Date 	

      Expiration 

      Date 	App. Fee+ 

      Rent 

      (Years 1-2) 	Year 2 

      Renewal Fee 

      (No rent) 	Year 3 

      Renewal Fee 

      + Rent 	Year 4 

      Renewal Fee

      + Rent 	

      Expenditures 

      Year 1 	

        

      Year 2 	

        

      Year 3 	

        

      Sub-Totals 
	08-113366 	24 	16N 	24E 	640.00 	11/21/08 	     11/20/13 	$ 1,780.00 	$ 500.00 	$ 1,140.00 	$ 1,140.00 	$6,400.00 	           $6,400.00 	$ 12,800.00 	$ 30,160.00 
	08-113367 	22 	16N 	24E 	640.00 	11/21/08 	     11/20/13 	$ 1,780.00 	$ 500.00 	$ 1,140.00 	$ 1,140.00 	$6,400.00 	           $6,400.00 	$ 12,800.00 	$ 30,160.00 
	08-113361 	36 	16N 	24E 	640.00 	11/21/08 	     11/20/13 	$ 1,780.00 	$ 500.00 	$ 1,140.00 	$ 1,140.00 	$6,400.00 	           $6,400.00 	$ 12,800.00 	$ 30,160.00 
	08-114982 	8 	15N 	23E 	480.00 	10/21/10 	     10/20/15 	$ 1,460.00 	$ 500.00 	 	 	$4,800.00 	 	 	$ 6,760.00 
	08-114983 	14 	15N 	23E 	640.00 	10/21/10 	     10/20/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-114984 	10 	15N 	23E 	640.00 	10/21/10 	     10/20/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-114985 	16 	15N 	23E 	640.00 	10/21/10 	     10/20/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-114987 	2 	15N 	22E 	120.00 	10/21/10 	     10/20/15 	$ 740.00 	$ 500.00 	 	 	$1,200.00 	 	 	$ 2,440.00 
	08-114988 	12 	15N 	22E 	200.00 	10/21/10 	     10/20/15 	$ 900.00 	$ 500.00 	 	 	$2,000.00 	 	 	$ 3,400.00 
	08-115078 	16 	15N 	24E 	640.00 	12/23/10 	     12/22/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115079 	18 	15N 	24E 	686.22 	12/23/10 	     12/22/15 	$ 1,872.44 	$ 500.00 	 	 	$6,862.20 	 	 	$ 9,234.64 
	08-115080 	20 	15N 	24E 	640.00 	12/23/10 	     12/22/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115081 	22 	15N 	24E 	640.00 	12/23/10 	     12/22/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115100 	30 	15N 	24E 	691.78 	12/30/10 	     12/29/15 	$ 1,883.56 	$ 500.00 	 	 	$6,917.80 	 	 	$ 9,301.36 
	08-115101 	32 	15N 	24E 	640.00 	12/30/10 	     12/29/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115096 	24 	15N 	23E 	200.00 	12/30/10 	     12/29/15 	$ 900.00 	$ 500.00 	 	 	$2,000.00 	 	 	$ 3,400.00 
	08-115097 	28 	15N 	23E 	320.00 	12/30/10 	     12/29/15 	$ 1,140.00 	$ 500.00 	 	 	$3,200.00 	 	 	$ 4,840.00 
	08-115098 	32 	15N 	23E 	640.00 	12/30/10 	     12/29/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115099 	36 	15N 	23E 	640.00 	12/30/10 	     12/29/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115094 	16 	15N 	22E 	640.00 	12/30/10 	     12/29/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	08-115095 	36 	15N 	22E 	640.00 	12/30/10 	     12/29/15 	$ 1,780.00 	$ 500.00 	 	 	$6,400.00 	 	 	$ 8,680.00 
	 	 	 	 	 	 	Totals: 	$ 33,816.00 	$ 10,500.00 	$ 3,420.00 	$ 3,420.00 	$ 116,580.00 	$ 19,200.00 	$ 38,400.00 	$ 225,336.00 
	 	 	 	 	 	 	 	 	 	 	 	HNZ
      Portion of PPI Sunk Costs 	 	$ 112,668.00

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