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Dan Hernandez January 3, 2007 Page 2 No reclamation cost estimate is provided with this amendment request. Northfield's full reclamation bond is still in place with the Division since the three drill sites subject to this amendment request aze still in use for groundwater monitoring purposes. The proposed drilling activities will be substantially the same as those described in the NOI including the number of holes, hole size and depth, and will not involve any additional surface disturbance. In addition, the holes will be immediately abandoned and plugged as previously stated. Based on these conditions, Northfield believes that the existing reclamation bond is adequate for the proposed work. Details for the proposed exploration activities are summarized on the table below. Legal Projected Length of Description Total Depth Access Treil Exploration (all situate in T19S, (FT) (Fr) Site Site Identification R70W, 6'" P.M.) Soil Type NF-O1B SEl/4,SE1/4, 835 5637 TravessillaRock (NF-Ol twin) Section 14 Outcrop NF-02A El/2, NWl/4, 340 2482 Fort Collins Loam and (NF-02 twin) Section 13 Louviers-Travessilla Complex NF-03B El/2,NE1/4, 775 9530 TravessillaRock (NF-03 twin) Section 14 Outcrop The Division issued adequacy questions for the initial activities proposed by Amendment AM-Ol in a letter dated December 13, 2006. Following are Notthfield's responses, numbered the same as the Division's adequacy questions. 1. The NF-04 drill site is eliminated; Northfield will not enter Cotter Corporation property during the proposed drilling. 2. The NF-04 drill site is eliminated along with any use or modification of the existing road to the site. 3. The NF-04 drill site is eliminated; no drilling will be done within an ephemeral drainage. 4. Northfield will use portable bins in lieu of mud pits to contain and re-circulate drilling fluids when utilizing mud-drilling methods. 5. The NF-04 drill site is eliminated; no soil removal and salvaging operations will occur. 6. No significant amounts of groundwater are expected to be encountered during the drilling of the three proposed holes. Minor quantities of groundwater that may dischazge to the surface will be contained on-site and will not require a dischazge permit.