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Date Run: 3/13/2015 Doc [#400538488] Well Name: Bear Creek Fan Borehole 1 Page 4 of 5 <br />This borehole was originally drilled in 2010 for mine ventilation purposes. Vessels Coal Gas Inc. would now like to <br />• <br />permit the well as a gas well so that methane can be produced, captured and converted to electricity. The well has <br />already been drilled. No further action or equipment is needed for this well. <br />This application is in a Comprehensive Drilling Plan CDP #: <br />Location ID* <br />Is this application being submitted with an Oil and Gas Location Assessment application? Yes <br />I hereby certify all statements made in this form are, to the best of my knowledge, true, correct, and complete. <br />Signed- Print Name: Andrea Gross <br />Title: Permit Agent Date: 1/23/2015 Email: agross@upstreampm.com <br />Operator must have a valid water right or permit allowing for industrial use or purchased water from a seller that has a valid <br />water right or permit allowing for industrial use, otherwise an application for a change in type of use is required under Colorado <br />law. Operator must also use the water in the location set forth in the water right decree or well permit, otherwise an application <br />for a change in place of use is required under Colorado law. Section 37-92-103(5), C.R.S. (2011). <br />Based on the information provided herein, this Application for Permit-to-Drill complies with COGCC Rules and applicable orders <br />and is hereby approved. <br />COGCC Approved: / Director of COGCC Date: 3/13/2015 <br />API NUMBER Expiration Date: 03/12/2017 <br />05 051 06136 00 <br />Conditions Of Approval <br />All representations, stipulations and conditions of approval stated in the Form 2A for this location shall <br />constitute representations, stipulations and conditions of approval for this Form 2 Permit-to-Drill and are <br />enforceable to the same extent as all other representations, stipulations and conditions of approval stated in <br />this Permit-to-Drill. <br />COA Type Description <br />(1) Operator shall comply with the most current revision of the Northwest Notification <br />Policy. See attached notice. <br />Best Management Practices <br />No BMP/COA Type Description <br />Applicable Policies and Notices to Operators <br />NW Colorado Notification Policy. <br />Notice Concerning Operating Requirements for Wildlife Protection. <br />Attachment Check List <br />Aft Doc Num Name <br />400538488 FORM 2 SUBMITTED <br />400771573 WELL LOCATION PLAT <br />400771575 LEASE MAP <br />Total Attach: 3 Files <br />Date Run: 3/13/2015 Doc [#400538488] Well Name: Bear Creek Fan Borehole 1 Page 4 of 5 <br />