Africa Oil Corp, a company incorporated under the laws of the province of british columbia and having an office at Suite 2101, Vancouver, BC, Canada, V6C 3E8
Page 1
Signataire(s), Etat
The Government of Puntland represented by the Puntland Petroleum and Mineral Agency.
Canmex Holdings (Bermuda) II shall establish and implement on the Department's approval, an active, continuing, and self monitoring environmental management program. Canmex Holdings (Bermuda) II shall ensure that all employees, subcontractors and the indigenous community in the Agreement area are fully aware of, and shall endeavor to ensure that they assist in the implementation of, the Canmex Holdings (Bermuda) II's environmental management program.
Canmex Holdings (Bermuda) II shall bear all costs for clean-up, rehabilitation, and reclamation of any and all environmental damage caused by it's petroleum operations.
Canmex Holdings (Bermuda) II shall also submit to the Department bi-annual reports on the implementation of the environmental management program.
Canmex Holdings (Bermuda) II shall conduct petroleum operations in a safe and proper manner in accordance with generally accepted methods in the international petroleum industry and shall not cause damage to the general environment, including, inter alia, the surface, air, lakes, rivers, marine life, animal life, plant life, crops, other natural resources and property, and shall repair any damage caused to the extent reparable, and shall pay reasonable compensation for all damage which is beyond repairs.
Canmex Holdings (Bermuda) II should comply with the applicable laws, regulations, and directives relating to the environment, to avoid the damages the petroleum operations may cause on the human and natural environment. In the absence of applicable laws, Canmex Holdings (Bermuda) II should apply environmental standards that are generally accepted in the international petroleum industry. In conducting petroleum operations, Canmex Holdings (Bermuda) II should pay strict attention to the prevention of pollution, treatment of wastes, safeguarding of the natural environment, and progressive reclamation and rehabilitation of lands disturbed by the Canmex Holdings (Bermuda) II's petroleum operations.
In the event of any dispute arising relating to peoples occupying land in the contract area that is required for the Canmex Holdings (Bermuda) II's petroleum operations, Canmex Holdings (Bermuda) II should attempt to negotiate a compensation settlement with such occupants. If Canmex Holdings (Bermuda) II is not able to negotiate such a settlement on terms acceptable to the parties, Canmex Holdings (Bermuda) II and the Department should discuss and negotiate a resolution of the dispute on terms acceptable to both.
This contract and any modification will be governed and interpreted according to the laws of the Province of British Columbia and the federal laws of Canada applicable therein except the laws that are inconsistent with the contract.