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2.02 General Requirements for Coal Exploration _ _ _ _ _ <br />During the 1992, 1993, and 1994 drilling seasons, exploration drilling occurred within and outside <br />the current permit area, on adjacent tracts of unleased, federally-owned coal (Federal exploration <br />license Nos. COC-53793 and COC-54360). Notices of Intent (NOI) were filed and approved by <br />OMLR prior to the commencement of these exploration programs (Jumbo Mountain: NOI CX-92- <br />212-00, Raven Gulch: NOI CX-93-212-01, and the West Ells Mine azea: NOI CX-94-212-02). <br />MCC filed and received NOI Nos. CX-95-212-OS and X-95-212-04 for exploration activities <br />during the 1995 and 1996 drilling seasons. <br />In 1997, MCC received approval for Notice of Intent to Explore No. CX-97-221 for Federal <br />Exploration License No. COC58219. Another Federal Coal Exploration License was applied <br />for in November 1998, and was approved conditionally by the BLM, provided the information <br />satisfied the USFS Forest Plan. The Federal License granted for the Sunset Trail Exploration <br />was COC62540. The license is still pending with the USFS. <br />In 2003, MCC submitted an NOI for Alluvial and Hydrologic Monitoring Wells located on <br />Federal Coal Leases held by MCC, but, not within the Permit Area (permitted at that time) <br />for West Elk Mine. <br />In 2005, MCC received approvalfor Notice of Intent to Explore No. X-20050212-061ocated on fee <br />and other Federal Coal not within the Permit Area for the West Elk Mine. <br />Future drilling activities will be conducted in accordance with Section 2.02 of the Regulations <br />of the Colorado Mined Land Reclamation Board for Coal Mining and in a manner that <br />protects the environment and complies with all applicable Federal and State rules. <br /> <br />2.02-2 Revised Navem6er 2004 PRIO <br />