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Exhibit 10.34
Translation from Russian
Series A
No. 096436
Copy 1
for the leasee
Approved by the resolution of
KhKKL
(name of local office)
05/11/97 No. 25
Federal Timber Service of Russia
License No. 11
for long-term use(lease) of timber tracts
January 12, 1998
Region: Khabarovsk Territory
City: Vanino Settlement
Owner of timber tracts: Vysokogorny leskhoz
Forestry region: Tumninsky
Full title of the leasee: JSC "Forest-Starma"
for performance of the following types of timber harvesting:
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No Type of timber Metric Tracts Nos. Square, ha Set annual Amount of
s. tract usage system volume of lease
usage payments
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Timber m(3) in accordance 220,6 240 in
harvesting with the attached thousand thousand accordance
excerpt from the m(2) m(3) with
KhKKL attached
resolution annual
calculations
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Expiration date of this lease shall be January 12, 2046.
The lessee shall be obligated to provide timber tract usage in
accordance with set volume starting January 1, 1999.
Term and procedure for lease payments: In eight installments before
the l5th set forth in accordance with the procedures for calculating lease
payments and timber-related fees in effect in the Khabarovsk Territory.
Amount of withholdings for regeneration, ecological considerations,
terms and payment procedures: In accordance with the instructions on payment
procedure.
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Volumes of timber shipments to the state
[none]
The leasee shall be obligated to implement the following forest
maintenance and regeneration measures: In accordance with the lease agreements
and set annual volumes.
Conditions and procedure for financing of forest maintenance and
regeneration measures by the timber tract owner: Upon acceptance of work in
accordance with Acts, the amount of financing shall be determined expressly in
the lease agreement.
Requirements on the condition of the timber tracts upon the expiration
date of this license: Maintenance of the percent of trees on the leased
territories no lesser than the one as of the date of issuance of the license.
Liability of the leasee, territorial (city) authorities and the owner
of the timber tract for violation of terms and conditions of the lease: In
accordance with the legislation in force.
Indemnification procedure for losses incurred by the leasee: Shall be
determined by the authoritative body which passed the decision that caused
losses, by allocating an equal volume timber tract.
Special considerations: Usage volumes may be changed as a result of
closer research of resources upon determining the logging plans, forest
management measures and other changes.
Leskhoz director /s/ [signature]
License received /s/ A.K. Chuvanov
Extension of the term of the license (blank)
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THE PIONEER GROUP, INC.
00 Xxxxx Xxxxxx
Xxxxxx, XX 00000-1620
000-000-0000
[PIONEER LOGO]
The undersigned hereby certifies that the translation of License No.
11 for Long-Term Use (Lease) of Timber Tracts in the Khabarovsk Territory dated
as of January 12, 1998 issued by the Federal Timber Service of Russia to Closed
Joint-Stock Company "Forest-Starma" to which this certification is attached is
a fair and accurate translation of the original document executed in Russian.
Dated: May 22, 2000
/s/ Xxxxxxxxx Xxxxxxx
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Name: Xxxxxxxxx Xxxxxxx
Title: Vice President and Assistant
General Counsel, The Pioneer Group,
Inc.