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while drilling the initial core hole; for example, core is lost, the coring bottom hole <br />assembly (BHA) is lost downhole, the hole is lost, etc. It should be noted that, to date, NS <br />has not needed to re -drill a hole due to operational problems. <br />The typical pad disturbance, including cut and fill slopes, will be 0.5 to 0.7 acres. The pad <br />locations may require a maximum 1.5 acre well pad (depending on well location) to allow <br />sufficient space to skid the rig over and drill a contingency hole if needed. NS does not <br />intend to disturb the entire 1.5 acres. If a contingency hole is needed due to operational <br />or other problems, NS would make every effort to utilize the existing pad (typically 0.5 to <br />0.7 acres) without creating additional disturbance. Strategies to avoid creating additional <br />disturbance include drilling wells which are offset from the center of the well pad <br />(Figure 2). This strategy should allow the drill rig to skid a short distance from the original <br />core hole if a contingency (re -drill) hole became necessary. Again, it should be noted that, <br />to date, NS has not needed to re -drill a hole due to operational problems. Minimization of <br />cut and fill was taken into consideration when choosing locations. Topsoil will be stored <br />immediately adjacent to location, covered and clearly marked. NS does not intend to <br />disturb any more surface area than is necessary. <br />Access roads will be approximately twelve feet wide, and utilize pre-existing roads <br />wherever possible. The locations will be accessible from the Yellow Creek Jeep Trail <br />(RBC 83) and from RBC 31 (see Figure 1). Due to the temporary nature of the locations, NS <br />is not planning on using hauled in materials to construct the access roads, only native <br />material. Accesses will be designed to reduce disturbance of forested areas and existing <br />drainages. All of the proposed locations are located in sage brush parks, and not forested <br />areas. Access will be cut at the edge of forested areas whenever possible to minimize tree <br />damage and disturbance. The utilization of an alternate route could occur if, for example, <br />it is determined that a proposed well or wells are not needed and the alternate route <br />could provide access with less disturbance. <br />Daub & Associates, Inc. NS 2016 Exploration Program <br />Page 2 of 8 Revised 1/14/2016 <br />