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ANSWERS TO LETTER DATED May 29, 2007 <br />II. Exhibit "C" Mining Plan. <br />a. Under the exhibit, you stated that "the depth of trench will not exceed 60 <br />feet maximum and 60 feet maximum width. The processing area will <br />consist of 100 tons? Hour maximum. Waste water from this operation <br />will then enter a series of three small inter connected settling ponds to <br />allow the filtering of sediment particles before it is returned to the <br />retention pond. This is a closed system loop water recycling system and <br />therefore zero discharge. The wash plant requires 300-600gpm to operate <br />efficiently." Where is the location of these settling ponds? <br />Answer: Should read "The depth of the trench will not exceed 40 feet <br />maximum, with a width of no more than 50 feet at the bottom." The <br />processing area will contain a 100 ton (max) per hour gravel wash plant, <br />and a 75 kw generator to provide power for this operation. Waste water <br />from this operation wilt then enter a series of these small interconnected <br />process/holding ponds to allow the filtering of sediment particles before it <br />is returned to the retention pond. See New Exhibit E-3 attached for the <br />location of the process/holding ponds, retention pond, and wash plant & <br />generator areas. <br />