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Estimated Timetable for Construction, Drilling, and Reclamation Activities <br />ALC proposes drilling all sites in 2007. The commencement of access road and site <br />prepazation work is expected to be late spring of 2007. Drilling would start at the more readily <br />accessible sites during which, sites with more difficult access aze prepazed. <br />Estimated total time to complete drilling and geophysical logging is approximately 10 to <br />12 weeks. The anticipated drilling schedule is 10 to 12 hrs/day, 10 days on, 4 days off. Should <br />24-hr/day drilling be needed to enhance the project or to meet the contractors schedule, 2 crews <br />per rig working in 12-hour shifrs would be required. <br />Reclamation of roads and drill sites is expected to require no more than 30 days to <br />complete after drilling activities aze done and to the extent possible will be contemporaneous <br />with drilling. Hole sealing will be performed prior to the drill rig leaving the drill site. <br />The program is expected to be complete by approximately October 31, 2007. <br />Amount of Coal to be Removed <br />Coal to be removed for analysis during this exploration will be in the form of 3 inch <br />diameter cores. An estimated maximum of 2975 lbs. of coal (1.48 tons) may be removed and <br />tested for a wide range of quality parameters by an independent laboratory. This is based upon a <br />combined total coal thickness of 35 feet of coal core in each hole at a diameter of 3" having a <br />weight of 85 lbs/cubic-foot. <br />Measures to be Used to Comply with Performance Standards for Exploration <br />(43 CFRII 3484.1(a), 30 CFR 815.15, and Colorado State Permanent Program Rules): <br />Ark Land will comply with the standards of the rules of 43 CFR 3484.1 (a)(1) and with <br />applicable requirements of the rules of the Colorado Division of Reclamation, Mining, & Safety. <br />The lands proposed for coal exploration may be valuable or prospectively valuable for oil, <br />gas, or geothermal resources. Surface casing will be set and cemented and suitable blowout <br />prevention equipment installed as may be required by the authorized officer. <br />The drill hole plugging method described in 43 CFR II 3484.1(a) will be used for all <br />holes. Each hole will be plugged with cement slurry through mineably thick coal beds and <br />aquifers for a distance of at least 50 feet above and below. The rest of the hole will be filled with <br />an approved bentonitic completion nmd or gel, cuttings, or cement to within 10 feet of the <br />surface. A 10-foot surface plug will be set, and a brass tag or monument marking the drill hole <br />LD. will be cemented atop the surface plug. Surface casing will be cut off at or just below the <br />level of the drill pad, allowing for future location and identification of the drill hole. <br />Any hole that cannot be sealed from total depth to within three feet of the surface will <br />nevertheless be sealed in accordance with 43 CFR 3484.1(a)(3) and Colorado Division of <br />Reclamation, Mining, & Safety. Rule 4.07.3. <br />]4 <br />