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GCC <br />GCC Energy, LLC <br />Telephone: 970.385.4528 6473 County Road 120 <br />Energy °Safety as a Value Facsimile: 970.385.4638 Hesperus, CO 81326 <br />May 29, 2015 <br />State of Colorado <br />Division of Mining, Reclamation & Safety <br />691 CR 233, Suite A-2 <br />Durango, CO 81301 <br />Attention: Marcia Talvitie, Reclamation Specialist <br />Re: King I & King II Mines; 2014 Annual Reclamation Reports — Review 2 Response <br />Dear Ms. Talvitie: <br />In response to your letter of May 28, 2015, please find enclosed revised Annual Reclamation <br />Report forms for the King I & King II mines; Mining Permit #C-1981-035. <br />King I cumulative total acres disturbed for 2013 was 10.88 acres, increasing 4.54 acres to 15.42 acres <br />in 2014. Acres backfilled, graded and topsoiled decreased from 2.05 acres to 1.06 acres. Changes <br />were due to expansion of refuse pile over last several years and a new aerial resurvey performed in <br />November of 2014. <br />King II cumulative total acres disturbed for 2013 was 22.36 acres, increasing 3.14 acres to 25.50 <br />acres in 2014. Acres backfilled, graded and topsoiled remained the same. Change in disturbed area <br />acreage was due to a new aerial resurvey performed in November of 2014. <br />Please contact me at (970) 385-4528 x 6503 if you have any questions or comments. <br />Sincerely, <br />Tom Bird <br />Manager of Coal Services <br />GCC Energy, LLC <br />