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<br />substantially from our estimates. Furthermore, the cost of each well is anticipated to
<br />vary widely depending on topographical and geological features at the well site, its
<br />location and drilling sequence within the mining panel, and its specific suitability for
<br />reuse of infrastructure and equipment.
<br />Notwithstanding the above, the estimated average cost of a fully developed solution
<br />mining well, including well pad preparation, drilling, materials, supporting
<br />infrastructure (surface piping), closure, and well pad reclamation is anticipated to range
<br />Erom $250,000 to $400,000. Accordingly, using a figure of $350,000 per well:
<br />• Well Field Development (Table ~ 3, initial 2b wells)
<br />• Well Field Development (years 1 - 5, 50 new wells)
<br />• Well Field Development (years 6 - 10, 75 new wells)
<br />• 6Ve11 Field Development (years tl - l~, 75 new wells)
<br />• Well Field Deve{opsrent (years 15 - 20, 75 new wells)
<br />• Well Field Development (years 20- 25, 75 new wells)
<br />• Well Field Development (years 25- 30, 7d new wells)
<br />Subtotal for Well Field Development (total of 450 wells)
<br />$10,777,617
<br />$17,500,000
<br />$26,250,000
<br />$26,250,000
<br />$26,250,000
<br />$26,250,000
<br />525,900.000
<br />$159,177,617
<br />Note that wells will be retired, closed, and reclaimed at about the same rate as they aze
<br />being developed, so that, after initial startup, it is anticipated that about l5 wells will be
<br />in production at any time, \vith an additional number ~•ither in the l~rocess of being
<br />developed or in closure and reclamation.
<br />It should be reiterated here that, depending on the project's success in fully developing
<br />this Hurting technology, the number of wells and the actual cost per well may be
<br />substantially different from those presented here.
<br />Estimated Operating Costs
<br />The annual operating costs for the entire l iceance Mining Operation, including the
<br />solution mining operations and the initial processing facility, are estimated to range
<br />from 56.0 to $8.0 million dollars.
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