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It is important to note that NSI will probably not drill all 21 holes. Several holes will be <br />omitted if data is sufficient to model the nahcolite resource intervals accurately. For <br />example: If the first well drilled is M, and halite is found in the UBB, then there may be no <br />need to drill K or L. If M shows only nahcolite in the UBB, then K and L will be drilled to <br />further locate and define the Transition facies (Figure 1A). Also, in the line of wells A <br />through E, A and E will be drilled first, if halite is seen in E, it may be necessary to drill D to <br />more accurately define the Transition Facies. It may not be necessary to drill B and C. <br />Access roads and pads would only be constructed once the core hole was known to be <br />essential. <br />A select few core holes may be completed as groundwater and /or subsurface subsidence <br />monitoring wells. Potential groundwater monitoring well completions may include wells F, <br />E, G, I, J, K, and L. A few wells may be utilized as subsurface subsidence monitoring wells if <br />they are proximal to a planned production well pair. Potential subsurface subsidence <br />monitoring well completions may include wells A, B, C, D, H, and N. Typical construction <br />would compliment the core drilling operations. The scabliner would be removed, a <br />cement plug set from core hole TO to the bottom of the interval to be monitored, and the <br />well would be sanded back across the monitored interval, cased and cemented (Figure 3). <br />NSI will use the same drilling, coring, and completion procedures specified in the BLM <br />approved 2010 NSI Coring Program. <br />NSI wishes to complete these wells in a timely fashion during 2014. One option is to use <br />multiple core rigs working simultaneously, to complete the program in a timely manner. <br />Another option would be to utilize a small rotary rig to drill the pre -core surface hole and <br />set the temporary scabliner. A core rig would then come in and core the desired interval. <br />The rotary rig or a workover rig would move onsite to abandon or complete the well. <br />Daub & Associates, Inc. NSI 2014 Exploration Program <br />Page 4 of 10 Revised 3/14/14 <br />