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SETTLEMENT AGREEMENT AND WAIVER OF CLAIMS <br />among <br />James E. Tatum, <br />Ann Tatum, <br />Colorado Division of Minerals and Geology, <br />Colorado Mined Land Reclamation Board, <br />and <br />Basin Resources, Inc. <br />Made effective this L~ day of 3 ~, 2003 among James E. Tatum, Ann Tatum, the <br />Colorado Division of Minerals and Geology, the Colorado Mined Land Reclamation Board, and <br />Basin Resowces, Inc. <br />WHEREAS: <br />A. The Colorado Division of Minerals and Geology ("Division") issued Notice of Violation <br />No. CV-2000-009 (the "NOV") on November 1, 2000 to Basin Resowces, Inc. ("Basin"). <br />B. Basin timely appealed the NOV to the Colorado Mined Land Reclamation Boazd <br />("Boazd"). James Tatum and Ann Tatum (collectively, "the Tatums") timely intervened <br />in the administrative appeal. <br />C. The Tatums brought a civil action in Las Animas County District Court, Case No. Ol- <br />CV-38, seeking temporary relief from the hearing to be held on the NOV. The district <br />court granted temporary relief, and made its temporary order the final judgment of the <br />court by an order dated August 15, 2002. <br />D. Basin has appealed the final order of the district court pwsuant to an appeal captioned <br />Basin Resources. Inc. v. Jim and Ann Tatum, Case No. 02CA1915. The Division and the <br />Boazd have filed an appeal or cross-appeal in Case No. 02CA1915. <br />E. After the issuance of the temporary order in Case No. Ol-CV-38, the district court <br />remanded the NOV to the Boazd for further proceedings. The Board issued an order <br />dismissing Basin's appeal of the NOV on June 11, 2001. <br />nvs~9 a <br />Exhibit B <br />