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• VRANES III IIIIIIIIIIIIIIII C <br /> ATTORNEYS AT LAW <br />JEPRV W, RAID CH 1)20 IAr STREET, SUITE 200 <br />JOHN R. HENOEg30N <br />M IO HAEL O. SHIM NIN P. O. BO% B71 <br />EUGENE J. RIO RDAN BOULDER, COLORADO 80306-0871 <br />PAUL J. 21 LI$ <br /> TELEPHONE ]D]/AA]-6131 <br /> TELECO PIER ]O]/~~]-9396 <br />May 2, 1996 <br />Mr. Rocky Connor <br />999 Pinion Hills Dr. <br />Carson City, NV 89701 <br />Re: Phil Sheridan Mine <br />Dear Rocky: <br />GEORGE vRAH ESN IRCTIRED) <br />THOMAS MOR R15 <br />MARGA RET J, WOOD$ <br />Mr. Covey received your letter of April 24 on April 26, <br />and brc•ught it to me today. As you know, the 1995 Agreement <br />terminated without exercise of the purchase option. We will <br />withhold Mr. Covey's letter following up the termination until the <br />resolution of your request. <br />Prior to executing a new agreement, Mr. Covey and I would <br />like to meet with you and/or Mr. Oh here in Boulder for the <br />following purposes: <br />1. A full physical inspection of the mine site and <br />mine workings; <br />2. An accounting for 1995-1996 activities; and <br />3. Negotiation of a new agreement. <br />Though the concept of a new agreement structured irl <br />similar manner to the old is generally acceptable, we would require <br />additional modifications as follows: - -- _ - <br />4. More specific provisions regarding the manner and <br />timing of accounting for ore mined and shipped; <br />5. A full review of the insurance provisions; <br />6. Provision for sampling by the Owner and the <br />specific release by Owner of sample lots of ore; <br />and <br />c:',cllen ^rugglconngr.lb <br />