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<br />SPIRIT MOUNTAIN RANCH <br />Status of Minerals <br />C, <br />Factual data gathered from: <br />1)Colorado Oil & Gas Conversation Commission <br />2)Colorado Division of Mines <br />I Properties affected by Victor American Reservations to <br />Deed. <br />A. Percentage owned - (See Bxhibit 1 & Map "A") <br />B. Language of Reservation - (See &xhibi~ 2) <br />II Data gathered from State Agencies <br />A. Oil & Gas Commisssion - Bd Dimatio (303)894-2100 <br />ext-106. <br />1.There are current rules & regulations that would <br />supersede the language of a reservation taken in <br />1946 if it conflicted with current standards for <br />spacing of wells, underground and/or surface re- <br />sponsibllities, distances from property lines, <br />distances from existing structures, requirements <br />to mitigate the surface owners rights and cor- <br />rect any and all damages that might occur as a <br />result of any drilling operations conducted. <br />~{~2.Normal spacing for oil production is 40 acres. <br />J)(j S ~ `~li 3.Normal s acin for <br />II VII __ p g gas production is 160 acres. <br />B. Division amines l(Reclamation) - Kent Gorham <br />(303)866 3 0 <br />-Glvo,,, ec,Yro.K~ w~.w,-(c~~ ~r~b~s, ,uo5-~ c,~l v.~~1.es <br />~~~~ 1.CUrrent average area required in today's market G,ti-~ Ip„_~ <br />to mine for coal is 5-6 Square miles. L, <br />O~S CQYP.tIrZ; <br />2.NO new permits have been requested by mining ~-(p,.i,;z <br />companies in the Southern Colorado region in <br />"quite awhile". <br />3. Primary mining play in Colorado today is in <br />NW Colorado, in Moffe~. & Routt Counties. <br />u <br />4.The State of Colorado does require that a comp- <br />any must mitigate the surface owners rights and <br />Page - 1 <br />