DEPARTMENT OF
NATURAL RESOURCES

OLYMPIC REGION
411 TILLICUM LANE
FORKS, WA 93331

360-374-2800
OLYMPIC. 


 

October 9, 2017

 

lnnes Weir, General Manager CERTIFIED MAIL
Cooke Aquaculture Paci?c, LLC 9414 7102 0088 3588 7659 85
4019 let Ave 

Seattle, WA 98199
Subject: Notice of Defaults under Lease No. 20-131 0237
Dear Mr. Weir:

This letter provides you with formal notice that Cooke Aquaculture Paci?c, LLC (Cooke) is in
default of its obligations under Aquatic Lands Lease No. 20-B10237 (Lease). The Washington
Department of Natural Resources (DNR) has determined that Cooke is not in compliance with
Section 11.2(a) of the Lease.

Section 11.2(a) of the Lease states that, ?Tenant shall, at its sole cost and expense, keep and
maintain the Property and all improvements (regardless of ownership) in good order and repair,
in a clean, attractive, and safe condition.? Following the inspection on September 28 and 29,
DNR identi?ed the following issues that constitute noncompliance with Section 1 

- One 12 inch by 12 inch hole in the predator net that was observed on the easterly side of
Pen 5 just below the water surface;

Severe corrosion to bull rails and their supports throughout the facility (see Photos 
Severe corrosion to walkway framing throughout the facility (see Photos 5 

Severe corrosion to predator net pole supports throughout the facility (See photo 
Severe corrosion to containment net railings throughout the facility (see Photo 
Severe corrosion to guardrail supports throughout the facility (see Photo 

Loose and/or damaged surface grating (see Photo 10).

To cure the default listed above, on or before December 8, 2017, Cooke must: (1) Repair the hole
in the predator net or replace the net entirely; (2) Replace all of the severely corroded
improvements listed above using new materials that are the same or similar to the materials used
for the existing improvements; and, (3) Secure, repair, or replace all loose and/or damaged
surface grating.

DNR expects Cooke to cure the defaults under Section 11.2(a) above as expeditiously as
possible. If Cooke fails to cure all of the defaults listed in this letter by December 8, 2017, DNR

Innes Weir
October 9, 2017
Page 2 of 7

will declare an event of default under Section 14(b) of the Lease, and, in addition to any other
remedies available to it, may terminate the Lease.

By providing this notice, DNR does not waive its right to declare a default or event of default for
any existing or future breach of your obligations under the Lease. DNR reserves its right to
pursue any remedies available to it for all existing or future defaults, regardless of whether such
defaults are identi?ed in this notice.

If you have any questions regarding this notice, please contact me at 360-732?7411.

Sincerely,

4mm

Sean Carlson, Land Manager
Aquatic Resources Division, Orca-Straits District

Enclosure (1)

c: Kevin Bright, Permit Coordinator, Cooke Aquaculture Paci?c, LLC
Philip, Kurpiewski, DNB Bank, ASA New York Branch
District File; TRO File; 

Innes Weir
October 9, 2017
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Photo I

 

Photo 2

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Photo 5

 

Photo 6

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Photo 7

 

October 9? 2017
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Innes Weir

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Photo 9

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Innes Weir
(h?ober9,2017
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