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.MOUNTAIN COAL ~~ ~ ~ COMPANYLL.t:. A Subndiarv o(.lrch Wetcm Roourtq LLC February 9, 2000 Mr. Richard Reiser !~ Attorney at Law C.L. Werner Revocable Trust P.O. Box 45308 Omaha, Nebraska 68145-0308 VIA FACSIIvIII,E Dear Mr. Reiser: iii iiiiiiiiiiiiiiii 999 West Elk Mine P O Hox 391 3174 Highway 173 $omerseL CO g14J4 (970)929-5013 Fax (970) 929.3393 On Friday, January 28'", Mountain Coal Company, L.L.C. (MCC) detected higher-than-normal levels of carbon monoxide in the mine. Following the detection of these elevated levels, we systematically evacuated the mine and launched an investigation to determine the cause of these unusual readings. The higher than normal readings of carbon monoxide and other hydrocarbons would suggest that some degree of combustion is present somewhere within the mine. We are currently in the process of monitoring the gas levels in the mine at a number of locations, including a drill hole that we recently completed just off the Apache Rocks road on U. S. Forest Service land in the 1/4 of Section 29, Township 13 South, Range 90 West. MCC has a monitoring well (SOM C-72-H) that is located on the property owned by the C.L. Werner Revocable Trust in the vicinity of the "hunting cabin" that was built by the previous landowner that we want to establish as an additional monitoring location. The well is plugged just above the mine workings so in order to utilize the hole for monitoring, we need to bring a drill rig into the area to breach the plug and set up as a mine gas monitoring well. Our plan is to access the area from the top of the hill (from the Apache Rocks road). We will need to clear snow off the road and blade the road as needed to provide a safe access for the dri]( rig. Once the hole is drilled we plan to monitor the hole for at least a couple of days. A four-wheel drive pickup will be utilized to access the site for monitoring. We are unable at this time to determine how long we will need to monitor this hole, but will keep you, or Ross Kirkham, informed of our activities. However, we anticipate that the monitoring of the well will not fast for a significant amount of time. We are aware of the conditions of the road, and the great lengths that Mr Kirkham has gone to improve the condition of the roads on the propety. We will make every intention to keep the road on the property in good condition as current weather conditions allow. Once we have determined that the monitoring of this well is no longer necessary, we will bring a drill rig back in[o the site to reseal the well and remove the well head and monitoring pipe We will then regrade the road to put it in back in the condition we found the road to be in prior to our work. Our intent is to work with Mr. Kirkham, as he is available, to ensure that we fix the road