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EXHIBIT B - MINING PLAN <br /> Bachelor Mines-Khedive level - Federal Resources Corporation <br /> July 22, 1980 <br /> The Khedive level of the Bachelor Mines is an existing mine with <br /> approximately an 80,000 ton dump. This dump will be removed and <br /> hauled to the Camp Bird Mine for concentration. Ore will be <br /> mined underground by hard rock mining methods ( shrinkage stoping, <br /> back stoping, cut and fill stoping) used in most hard rock mines <br /> in the San Juan Mountains. The rock will be broken into <br /> manageable-sized pieces and trammed to the surface. Whenever <br /> possible, all broken barren rock will be left underground. <br /> As previously mentioned, this is an existing mine. All roads <br /> have been established and maintained by Ouray County since the <br /> early 1900's. <br /> The permit area cover 1 . 85 acres. No vent holes or additional <br /> adits are expected to be needed. <br /> Mining operations will cease when all existing ore is mined, <br /> estimating 150 years, at which time surface owner's reclamation <br /> plans will be initiated. <br /> The surface area surrounding this mine is owned by Carl F. Dismant. <br />