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oEb3WOS., ino. <br />29703 HWY 97 <br />PO Bog 889 <br />Nuela, Co 81424 <br />970- 864 -7662 <br />February 6, 2014 <br />Division of Reclamation Mining and Safety <br />Grand Junction Field Office <br />Mr. Russ Means <br />101 S. 3`a St. <br />Grand Junction, CO 81501 <br />RE: Sego Mine 110 Permit #M-1977-417,2013 Annual Report <br />Dear Mr. Means: <br />RECEIVED <br />FEB 14 2014 <br />Division of Reclamation, <br />Mining & Safety <br />There has been no work at the mine in the past year, with the exception of weed spraying. We believe that there are <br />reserves remaining at the mine that, although not economic at the current prices of uranium and vanadium, will be <br />economic in the near future. Therefore, Sutherland Drilling continues to hold this mine in an inactive condition. <br />The initial bond remains in place. We believe that the reclamation liability bond is representative of the cost to reclaim <br />the mine. <br />Sincerely, <br />Bob Sutherland <br />`i <br />Sutherland Drilling <br />PO Box 889 <br />Nucla, CO 81424 <br />Phone (970) 428 -7600 <br />