Section 8: GENERAL RIGHTS OF THE COMPANIES

(i) Subject to the strict observance of the provisions of this Agree ment, the Companies shall have full and effective control of all operations. (i) The Companies have exclusive right to explore, search and drill for and produce petroleum within the Mining Area by any methods that they consider appropriate in compliance with good oil field practice; to convey the petroleum produced to any point as necessary for use, treatment, storage, or export or sales for use or consumption outside of Sierra Leone, to store it wherever needed; and to deliver it to any transportation facilities for export. (ii) In addition to the other rights granted them by this Agreement and the Mining (Mineral Oil) Act and Regulations and other applicable laws of Sierra Leone, the Companies shall have the following rights: (iv) Rights incidental to mining operations as follows (a) To create all facilities for exploring for end producing petroleum; (b) to drill wells, pits, shafts and make vxcavations; (c) to make dams, drains and water-courses; (d) toreclaim land and create islands; (e)toconstruct tanks, reservoirs and other storage facilities; No. 2 Exploration, Mining and Processing of Mineral 1982 11 () to construct gas-oil separators, topping plants, cassing head gasoline plants and sulphur planis; ()to create power-lines and telegraph, telephone, radio a d other communication facilities; (h) to provide pipclines, pumping stations, power hóuses, and power stations; build ofices,factories, warehouses and other buildings: )to create ports, docks, harbours, piers, jetties, dredgings, breakwaters, submarine loading line and terminal faci lities; (k) to makerailways, roads, bridges, ferries, airways, airports and other transport facilities; () to administer and maintain allthe above facilities. The reclaiming of land, the creation of islands and the construction of any railway lines, ports, telephone, telegraph and radio services, power and aviation facilities shall require the prior consent of the Government which shall not be unreasonably withheld or delayed. In cases where the conduct of Authorised Operations necessi tates the use of land belonging to the State, such land shall upon application by the Companies be placed at its disposal in consideration of a surface rent to be fixed by the Government, but not exceeding the surface rent or similar land in the vicinity of the Exploration or Mining Area. Easements, rights of way, the right to construct vads, railways, pipe-lines and the like where the State land is concerned shall be granted to the Companies as necessary, in the same manner. The Government shall have the right to refuse the Companies appli cation for any land which comprises historical or religious sites or which is deemed unsuitable for Petroleum Operations for sa ety and security reasons. Where the conduct of Authorised Operations involves the use of land which is privately owned, or the acquisition of easements, rights of way and the like over privately-owned land, the Companies shall negotiate with the owner for the acquisition of the ttle desired, either by purchase or lease. If the owner refuses to sell or lease the land or to grant the casement, or if he demands unreasonable terms, the Companies may apply to the Government to intervene on its behalf and to ensure that such land is placed at its disposal, or that the casement required is granted on reasonable terms. Any relinquishment of parts of the Authorised Area effected in accordance with the provisions of this Agroement shall not affect the Companies' access rights acquired over land so relinqu shed. 12 No. 2 Exploratio1, Mining and Processing Mineral 1982 The Companies may, for the purpose of conducting Authorised Operations, and subject to any third party rights, use any water found on land which it shall have acquired hereunder or on unutilized State land; it may likewise, subject to third party rights, cut timber and take building materials from such land, and may clear parts from a forest existing thereon. However, when land has been rented from a private owner, the exercise of such rights shall depend on the owner's consent. The Companies shall acquire title to its share of all of the Petro leum which it shall find in accordance with the provisions of this Agreement. The Companies shall have the right to export the Petroleum produced by it without being subject to any export taxes, duties or other charges. It shall be free to decide with whom to contract for the shipment of its cargoes of Petroleum, and also whether and with whom cargoes shall be insured. However, the Companies shall give preferential consideration to the transportation of its cargoes by vessels belonging to Sierra Leone, provided such means of transportation are available on reasonable and competitive conditions.