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Peak Project Management, LLC <br />August 4, 2004 <br />Mr. Kent Gorham <br />Division of Minerals and Geology <br />1313 Sherman St., Rm. 215 <br />Denver, CO 80203 <br />Re: Golden Eagle Mine Permit No.: C-81-013 <br />Technical Revision 56, Pos[ Mining land Use <br />Dear Mr. Gorham: <br />34115 County Road 20.8 <br />Trinidad, CO 81082 <br />PhonelFax: (719)846-4975 <br />RECEI~/ED <br />au~ o s 2ooa <br />Oivisi~n of Minerals and Geology <br />Basin Resources is proposing a modification of the post mining land use for the two areas within Apache <br />Canyon containing sealed airshafts. The proposed post-mining land use classification would be changed <br />from Rangeland to Industrial Use (for development of natural gas wells and related facilities). <br />XTO Energy, the current owner of the natural gas estate within the Apache Canyon Area, plans to develop <br />additional gas wells, a compressor station and access roads to these sites. The main access road runs <br />through Apache Canyon and crosses both of the reclaimed mine facility areas. <br />The owner of the natural gas estate has the right to enter upon and modify the use of these areas. The <br />change in post mining land use is necessary to coordinate the regulation of this activity between the <br />Division of Minerals and Geology and the Oil and Gas Conservation Commission. <br />Please contact me if there are any questions. <br />S psg ly~ <br />{,'{R(/o~/na)'1^d Thompson <br />Enclosures: <br />Pnblic Notice <br />Page 2.05-27 <br />Exhibit 19-7 <br />