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EXHIBIT D (Cont'd) <br />' Geologically, the entire property is covered by the undiffer- <br />entiated section called "Castle Rock Conglomerate, upper part of <br />the Dawson Formation, and upper part of the Denver Formation", in <br />miscellaneous map investigations, hlap I-731 by G. H. Chase and <br />J. A. rlcConaghy dated 1972. It is believed the clay being mined <br />is part of the Dawson Formation. <br />The sketch below depicts our impression of the existing local <br />' geologic conditions. Regional conditions have not been investi- <br />gated. Regional geology is beyond the scope of this application. <br />~ West ~soil-ti East <br />overburden <br />overburde <br />clay clay <br />sandstone and shale <br />' It appears that the clay formation is in disconformity with <br />the overlying sand or shaley sandstone. In many cases the drill <br />holes did not completely penetrate the clay sequence, so a more <br />exact interpretation of true conditions is not possible. It is <br />probable that all operations will be carried on within the Dawson <br />Formation. In almost every case where the clay was penetrated, the <br />hole log indicated.tY.a.t sand was encountered. In those cases where <br />sand was not indicated, a sandy material not considered commercial <br />clay was logged. <br />- 12 - <br />