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® DESERADO MINE <br />BLUE MOUNTAIN ENERGY <br />3807 County Rd. 85 <br />Rangely, CO 81848 <br />(970)875-4300 <br />fax (970)875-4399 <br />July 30, 2015 <br />Ms. Jennifer Maiolo <br />BLM — Little Snake Field Office <br />455 Emerson Street <br />Craig, CO 81625 <br />RE: Deserado Mine —Permit No. C-1981-018. <br />Minor Revision #165 — Addition of four exploration holes and the relocation <br />of RS -12L shaft. <br />Dear Jennifer: <br />Enclosed is BME's application to drill four exploration holes at the Deserado Mine. <br />Three copies are included for distribution among your resource specialists. If you need <br />more copies please let me know. <br />The main area of concern is cultural resource avoidance. All areas affected by this <br />proposal have been surveyed for cultural resources. All known cultural resources were <br />avoided. Of particular note are the avoidance of 5RB.6754 and 5MF.7623. 5RB.6754 <br />was effectively avoided with the shaft relocation. 5MF.7623 is in close proximity to drill <br />hole 310119.23. However, these locations are separated by an existing road. All <br />disturbance activity related to this drill hole will occur west of the road. A two -wire <br />barbed wire fence will be constructed between the drill site and the adjacent corner of <br />5MF.7623 to ensure no inadvertent disturbance occurs. <br />No problems are anticipated related to T&E species. Prior reviews of this area did not <br />identify any potential habitat. <br />If you have any questions, please call me at 970-675-4322. <br />Sincerely, <br />Scott Wanstedt <br />Environmental Engineer <br />enc: <br />cc: Zach Trujillo - DRMS <br />Jeff Dubbert <br />