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FORM State of Colorado C0L011. ° <br />COLpRADO <br />2 Oil and Gas Conservation Commission <br />Rev 1120 Lincoln Street, Suite 801, Denver, Colorado 80205 Phone: (303) 894-2100 Fax: (303) 894-2109 <br />12/05 OIL & <br />GAS <br />APPLICATION FOR PERMIT TO: <br />1. FX_ Drill, Deepen, Re-enter, Recomplete and Operate <br />2. TYPE OF WELL <br />OIL GAS COALBED FX_ OTHER <br />SINGLE ZONE 1_X MULTIPLE COMMINGLE <br />E JET JOE JES <br />Document Number: <br />400240723 <br />RefilingI PluggingBond SuretylD <br />Sidetrack 20050098 <br />3. Name of Operator: VESSELS COAL GAS INC 4. COGCC Operator Number: 10124 <br />5. Address: 730 17TH ST - SUITE 340 <br />City: DENVER State: CO Zip: 80202 <br />6. Contact Name: PAUL JORDAN Phone: (303)809-1273 Fax: (303)575-9697 <br />Email: PAUL(aD_NP3LLC.COM <br />7. Well Name: ELK CREEK FAN BOREHOLE Well Number: #1 <br />8. Unit Name (if appl): Unit Number: <br />9. Proposed Total Measured Depth: 202 <br />WELL LOCATION INFORMATION <br />10. QtrQtr: NWNE Sec: 8 Twp: 13S Rng: 90W Meridian: 6 <br />Latitude: 38.939230 Longitude: -107.466970 <br />FNUFSL FEUFWL <br />Footage at Surface: 643 feet FNL 2010 feet FEL <br />11. Field Name: WILDCAT Field Number: 99999 <br />12. Ground Elevation: 6407 13. County: GUNNISON <br />14. GPS Data: <br />Date of Measurement: 01/11/2012 PDOP Reading: 4.6 Instrument Operator's Name: KRIS CRAWFORD <br />[15. If well is Directional Horizontal (highly deviated) submit deviated drilling plan. <br />Footage at Top of Prod Zone FNUFSL FEUFWL Bottom Hole: FNUFSL FEUFWL <br />L------ Sec:-- -- <br />Twp--- -- ----- Sec:---- Twp----- --------- <br />16. Is location in a high density area? (Rule 603b)? Yes FX No <br />17. Distance to the nearest building, public road, above ground utility or railroad: 90 ft <br />18. Distance to nearest property line: 1960 19. Distance to nearest well permitted/completed in the same formation(BHL): 7 mi <br />ft <br />20. LEASE, SPACING AND POOLING INFORMATION <br />Objective Formation(s) Formation Code Spacing Order Number(s) Unit Acreage Assigned to Well Unit Configuration (N/2, SEA, etc.) <br />CAMEO COAL CMEOC <br />21. Mineral Ownership: jX— Fee State Federal Indian Lease #: <br />22. Surface Ownership: jx Fee State Federal Indian <br />23. Is the Surface Owner also the Mineral Owner? rx— Yes No Surface Surety ID#: <br />23a. If 23 is Yes: Is the Surface Owner(s) signature on the lease? Fx— Yes No <br />23b. If 23 is No: Surface Owners Agreement Attached or $25,000 Blanket Surface Bond $2,000 Surface Bond $5,000 Surface Bond <br />Date Run: 2110/2012 Doc [#400240723] Wel! Name: ELK CREEK FAN BOREHOLE #1 Page 1 of 3 <br />