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Ms. Erica Crosby, Division of Minerals and Geology March 31, 2005 Page 2 Office of the State Engineer b. Hall-Irwin will obtain a well permit and an approved water supply plan prior to exposing groundwater on the site. In addition, the applicant will obtain a waiver of objection from all well owners with wells within 600 feet of the permit area or request a hearing before the State Engineer. Army Corps of Engineers c. Per the Parker/Dersham Project Wildlife Assessment Report prepared by Savage and Savage Environmental, the parcels are isolated from the South Platte River and riparian corridor by active mining operations and they do not contain any waters of the United States or wetlands. Kerr-McGee Rocky Mountain Corporation d. We have spoken with Landman Specialist Mr. Terry Enright and are working with him to enter into a mutually acceptable surface use agreement. We will keep the Division apprised of our progress. Please note that Kerr-McGee does not h~3ve any existing facilities on the property. Merit Energy e. We are trying to contact Merit Colorado's Operation Manger Frank Holubec to arrange a meeting on-site to discuss Merit's proposed wells and to enter into a mutually acceptable surface use agreement. Please note that we have ~slready shown a future drilling site on the Dersham parcel for Merit. Rule 6.4.3 Exhibit C• Pre-Mining and Mining Plan Maas 4. Per Rule 6.4.3(g), the applicant will need to depict 'the owner's name, type of structure and location of all significant, valuable and permanent man-made structures on the area of affected land and within 200 feet of the affected land. Please identify the owners of all structures on and within 200 feet of the affected land. This would include roads, ditches, pipelines, gas lines, gas wells, utility lines, water wells, etc... The owner's name, type and location of the man-made structures are shown on the Mining Plan Map. 5. Rule 6.4.3(f) requires that all water wells in the surrounding area be identified on the map. The map submitted by the applicant in Exhibit G was at a scale that was difficult to determine the location of the wells. Please locate the wells on a map and state the owners of the wells. Attached please find another map of the water wells in the surrounding area. 6. The applicant makes note of the adjacent Baseline Resources Pit. Please revise the map to include the correct permit number of M-1997.05f. In a few cases, the incorrect permit number was noted on the map, We've revised the Existing Conditions Map to indicate that the Baseline Resource is permit M- 1997-058.