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REVISED MINING PLAN for MINING LEASE No. AT(OS-1)-ML-60.8-C-SM-18 <br />AUGUST, 2004 <br />INTRODUCTION <br />Cotter Corporation is proposing the following revision to its mining plan on the C-SM-18 <br />Lease Tract. The purpose of the revised mining plan is to have a way to more efficiently <br />mine the ore in the southwestern part of the Lease Tract by using the Wright Mine for <br />access. Cotter Corporation currently has an Amendment Application being reviewed by <br />the Colorado Division of Minerals and Geology to Mine Reclamation Permit No. M- <br />1978-116 addressing all proposed surface disturbance associated with the plans for the <br />Wright Mine portal area and ventilation hole. No mining will begin until that <br />Amendment is approved by DMG. <br />A. MAPS-LOCATION <br />The new surface facilities will be in the SWl/4 section 27, T 48 N, R 17 W, NMPM, <br />Montrose County, Colorado. Cotter Corporation will use the Wright Mine portal, located <br />on private land (patented mining claims) owned by Cotter, to access the Lease Tract ore. <br />The Wright Mine workings extend northeastward to the Lease Tract boundary, where ore <br />has been mined immediately south of the Lease Tract property line. On the surface above <br />that stope is the location of the proposed ventilation hole. These areas are shown on the <br />accompanying maps, A-1 and A-2. <br />ACCESS <br />Access to the Wright Mine portal will continue to be via Montrose County Road U-17, <br />stopping about a mile and a half before reaching the SM-18 Mine portal and surface <br />facilities area. An existing exploration drill road will be used to access the ventilation <br />hole site, with minor repairs, as needed. Most of this drill road is on Cotter's private <br />land, with the last 500 feet and the ventilation hole site being on DOE withdrawn land. <br />This road will be maintained to prevent erosion by construction of water bars where <br />necessary. This road is highlighted on the enclosed map, A-2. <br />B. MINING <br />Other than the entryway, via the Wright Mine, the method and procedures for the <br />underground mining will be the same as described in the original Mining Plan submitted <br />in March, 1978. That is, it will be random room and pillar, using rubber-tired equipment. <br />Rock support will be by timbering or rock bolting, as needed. Proposed development <br />drifts are shown on the accompanying map, A-2. Since stoping will follow the ore as it is <br />found to exist, it is not shown. Surveying of underground workings will be kept updated, <br />especially when mining approaches the property boundary of the Lease Tract. <br />C-SM-18 Revised Mining Plan <br />8/30/04 <br />