EQUIPMENT LEASE AGREEMENT

KNOW ALL MEN BY THESE PRESENTS:

This Agreement is executed this 21 st day of September, 2016, in Daet,

Camarines Norte, by and between the following parties, to wit:

BBBBBBBBBBBB, of legal age, Filipino citizen, married, and with residence

and postal address at Purok 2, Brgy. Talobatib, Labo, Camarines Norte, hereinafter
referred to as the LESSOR; and

AAAAAAAAAAAAAAA, of legal age, Filipino citizen, married, and with

residence and postal address at Purok 1-B, Brgy. Anahaw, Labo, Camarines Norte,
hereinafter referred to as the LESSEE;

WITNESSETH:

Whereas, the LESSOR is the lawful owner of that certain heavy equipment
more particularly described as one (1) unit Link-Belt excavator:

Whereas the LESSEE is desirous of leasing the above-described heavy

equipment;

Whereas, the LESSOR agrees to lease the said equipment for the quarrying
business of the LESSEE, and for such period and rental rates as herein agreed to
the LESSEE;

NOW THEREFORE both parties bind themselves and agree as follows:

1. CONDITION OF THE EQUIPMENT. LESSOR and LESSEE acknowledges that

the above-described equipment is presently in a condition necessitating
repair. For this reason, LESSEE agrees to pay to the LESSOR the amount of
ONE HUNDRED FIFTY THOUSAND PESOS (Php150,000.00), Philippine
currency, representing ADVANCED PAYMENT which the LESSOR shall use to
cover for the expenses that shall be incurred for the said repair.
Commencing on ____________, LESSOR shall be given a period of TWELVE
(12) DAYS within which to repair the said equipment. However, should the
said period elapse without the LESSEE having caused the completion of the
repair, he shall be given another period of EIGHT (8) DAYS thereafter to
further cause the completion. However, for the said period, LESSOR
acknowledges that there shall be a penalty of TWO THOUSAND PESOS
(Php2,000.00) PER DAY. Should the said period likewise further expire
without the equipment having been repaired, the LESSOR hereby grants
authority for the LESSEE to cause the repair thereof, the cost and expenses
of which shall be deducted from the rent.

2. LEASE TERM. After the successful repair of the leased equipment and
delivery thereof to the LESSEE, LESSOR hereby grants a TWO-DAY PERIOD
within which the LESSEE may use the same for his business operation free
of rental charge. Thereafter, the formal lease term shall commence and
shall expire after the period of ONE (1) YEAR and SIX (6) MONTHS.

3. PAYMENT. Daily rental charge for the said equipment shall be fixed at FIVE
THOUSAND PESOS (Php5,000.00), Philippine currency. However,
payment for the lease shall be made by the LESSEE to the LESSOR for every
FIFTEEN (15) DAYS. It is expressly agreed that it is the LESSOR who shall

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 collect said rental payment at the site of the operation of the LESSEE
whenever due;

4. DELIVERY. LESSOR shall be responsible for the shipping of the equipment

to LESSEEs premises, and at the end thereof, of shipping the equipment
back to LESSORs premises.

5. USE/MAINTENANCE OF EQUIPMENT. LESSEE shall use the equipment

solely for quarrying business and in a careful and proper manner and shall
comply with all laws, rules, ordinances, and orders regarding the use,
maintenance and storage of the equipment. However, payment of wages of
the operator and fuel and hydraulic oil consumption shall be at the expense
of the LESSEE while other ordinary maintenance required to be made to the
equipment in order to keep it in good repair and running order shall be
covered by the LESSOR; The LESSEE shall be responsible for the
safekeeping and custody of the equipment for the duration of this
Agreement. Should the LESSEE desire to ship or transport the equipment to
another quarrying site, he may do the same provided that any and all costs,
expenses, or damages that may arise therefrom shall be shouldered
exclusively by the LESSEE; Further, should the LESSEE desire to utilize the
equipment for other purpose other than for his own quarrying business, he
shall secure the prior written consent of the LESSOR who may impose
additional or different charges therefor;

6. DAMAGE TO EQUIPMENT/INDEMNIFICATION. Except for damages,

claims or losses due to LESSORs acts or negligence, LESSEE, to the extent
permitted by law, will indemnify and hold LESSOR and LESSORs property,
free and harmless from any liability for losses, claims, injury to or death of
any person, including LESSEE, or for damages to property arising from the
use or possession of the equipment or from the acts or omissions of any
person or persons, including LESSEE, using or possessing the equipment
with LESSEEs express or implied consent.

7. OWNERSHIP/ASSIGNMENT. The equipment shall remain the exclusive

property of LESSOR. The LESSEE shall not be entitled to assign any of his
rights under this Agreement without the written consent of LESSOR
previously obtained in writing, but LESSOR shall be entitled to assign its
rights hereunder subject to the observance by the assignee of all the
obligations of LESSOR hereunder.

8. APPLICATION. Both parties agree that should any unfortunate event

befalls upon any party, the surviving party shall honor the terms of this
agreement should the heirs of the former desire to continue the lawful
operation of his business;

9. WAIVER. The failure of either party to enforce any provisions of this

Agreement shall not be deemed a waiver or limitation of that party's right
to subsequently enforce and compel strict compliance with every provision
of this Agreement. The acceptance of the lease payment by LESSOR does
not waive his right to enforce any provisions of this Agreement.

10. ENTIRE AGREEMENT. This Agreement constitutes the entire

agreement between LESSOR and LESSEE, and it shall not be amended,
altered, or changed except by a written agreement signed by the parties
hereto.

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 IN WITNESS WHEREOF, the LESSOR and LESSEE have hereunto set their
hands this ____________, in Daet, Camarines Norte.

BBBBBBBBBBBB AAAAAAAAAAAAAAA
Lessor Lessee

Signed in the presence of:

______________________ ______________________
ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES )

PROVINCE OF CAMARINES NORTE ) SS.
MUNICIPALITY OF DAET )

BEFORE ME, a Notary Public for and in the Province of Camarines

Norte, this _________________, personally appeared the above-named
persons, known to me through their valid IDs indicated above which they
presented to me as competent evidence of their identities, and to me
known to be the same persons who executed the foregoing instrument
which they acknowledged before me as their free and voluntary act and
deed.

This instrument refers to an Equipment Lease Agreement consisting

of three (3) pages including the page on which this acknowledgment was
written, signed by the parties and their two instrumental witnesses on
every page hereof.

WITNESS MY HAND AND SEAL on the date and place first above
cited.

Doc. No.
Page No.
Book No.
Series of 2016.