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Basin Resources, Inc. -2- 10/21/03 <br />Following our receipt of the September 16, 2003 letter, we verbally recommended to <br />Basin that there maybe specific shaft completion information available through the <br />construction contractor, and it is our understanding that such information was obtained. It <br />is also our understanding that the construction information verifies that the shaft casing is <br />indeed perforated Crom top to bottom. Based upon this information, it seems that a video <br />assessment of the shaft is probably not needed at this time. <br />It now seems certain that construction records will verify that the shaft is not in a <br />condition that complies with the permanent closure requirements of Rule 4.07. We <br />appreciate that Basin conducted the reseazch to answer this issue. Please provide a <br />Technical Revision to Permit No. C-81-013 that provides a permanent closure plan for <br />the North West #1 Bleeder Fan Shaft that complies with all aspects of Rule 4.07. Please <br />also include the fan shaft construction completion materials obtained from the <br />construction contractor so that we may assess the adequacy of the closure proposal. The <br />plan must include a timely implementation schedule and the issue of bonding must also <br />be addressed. Please provide this Technical Revision no later than November 21, 2003. <br />Thank you for you continued cooperation, and please call with any questions. <br />CC: Bob Montgomery, Western Energy, Inc. (via FAX to 406-748-5202) <br />