COALBED METHANE LEASE
Made
and executed as of July 16, 2007, by and between
CHARLES D. BECKHAM, of Baldwin, Pennsylvania,
and TODD E. BECKHAM, of Milton, Massachusetts
(“Lessors”), and Inform Worldwide Holdings
Inc., having offices at 2501 North Green Valley Pkwy,
Suite 110, Henderson,
Nevada. (“Lessee”).
WHEREAS,
Lessors are the owners of certain pieces, parcels
or tracts of land (“the premises”), containing
approximately 180 acres, located in Monongahela Township,
Greene County, Pennsylvania, more fully described on Exhibit A
attached hereto and made part hereof; and
WHEREAS,
Lessors desire to lease and demise the premises to Lessee, and
Lessee desires to take and hire same from Lessors, for the
purpose of drilling for, mining, removing and marketing
coalbed methane from within the seams or veins of coal
underlying the premises.
NOW, THIS COALBED METHANE LEASE (“this Lease”),
WITNESSETH, that Lessors and Lessee hereby covenant and
agree as follows:
Article I
Grant - Term
1.01. Lessors
hereby lease and demise unto Lessee, and Lessee hereby takes
and hires from Lessors, for the sole purpose of drilling for,
mining, removing and marketing, the coalbed methane
from within the seams or veins of coal underlying the
premises, being those certain pieces, parcels or tracts of
land located in Monongahela Township, Greene County,
Pennsylvania, more particularly described on Exhibit A
attached hereto and made part hereof. In connection
therewith, Lessors hereby grant, let, lease and demise unto
Lessee the rights of ingress, egress and regress in, to and
from the premises for the purpose of conducting all operations
necessary for drilling for, mining, removing and marketing the
coalbed methane, the right to install all equipment, fixtures
and appliances necessary in connection therewith, and the
right to lay such pipes and pipelines as are necessary to
remove coalbed methane from the premises in connection with
transporting same to market. Provided, however,
that Lessee shall place wells, equipment,
fixtures, appliances and pipelines only at such locations as
are specifically approved by Lessors.
1.02. This
Lease shall commence on the date first above written, and,
unless sooner terminated pursuant to any provision hereof,
shall remain in force until the exhaustion of all coalbed
methane from within the seams or veins underlying the premises
which is commercially marketable.
Article II
Production Royalties
2.01. As
royalty for the coalbed methane produced and
marketed hereunder, Lessee shall pay unto Lessors
the sum equal to twelve and one half percent (12.5%) of the
selling price of the coalbed methane, received by Lessee in an
arms’ length sale of the coalbed
methane. Provided, however,
that if Lessee disposes of the coalbed methane other than in
an arms’ length sale, i.e., by selling it to a
related person or entity, the royalty shall be the sum equal
to twelve and one half percent (12.5%) of the market value of
the coalbed methane, i.e., the price for which the
coalbed methane would be sold between unrelated parties in the
location of the premises
2.02. Lessee
shall pay all production royalties on or before the 25
th day
of the calendar month following the month in which the coalbed
methane for which payment is made is
marketed.. Payment shall be made by checks directed
to Lessors at the addresses set forth in Paragraph
8.03.
2.03. In
order that Lessors may determine that they have been paid all
production royalties to which they are entitled under the
terms hereof, Lessee agrees to keep full and accurate records,
including books of account and invoices to purchasers of
coalbed methane produced and marketed hereunder, which fully
disclose the volume of coalbed methane produced and marketed
and the purchase price received by Lessee
therefor. Such records shall be available for
inspection by Lessors or Lessors’ duly authorized agent
during regular business hours upon 7 days’ notice from
Lessors that they desire to make such an
inspection.
2.04 For
the signing of this Lease, Lessor shall receive One Thousand
restricted shares of Inform Worldwide Holdings
Inc.
Article III
Delay Rental
3.01. Beginning
on the first day of August, 2008, and thereafter on the first
day of each November, February and May until Lessee has begun
marketing coalbed methane and paying Lessors production
royalty therefor pursuant to Paragraph 2.01, Lessee shall pay
unto Lessors a delay rental in the amount of $180.00 each
calendar quarter. Lessee shall not be entitled to
take as a credit against production royalties due when Lessee
markets coalbed methane any delay rentals paid pursuant to
this paragraph. Payment shall be made by checks
directed to Lessors at the addresses set forth in Paragraph
8.03.
Article IV
Permitting Requirements - Compliance with Law
4.01. Lessee
shall be responsible, at its sole cost and expense, to apply
for and procure all licenses and permits required by the
United States of America, the Commonwealth of Pennsylvania,
and any loc
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