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Energy Fuels Coal, Inc. Southfield Mine SUBSIDENCE MONITORING REPORT Period: Year 2006 Introduction As designated in the approved Technical Revision No.36 (TR-36) dated November 20, 2003, subsidence monitoring was reduced and is now to be performed in Year 2006 and Year 2012. Accordingly, this report and respective data reflects the subsidence survey performed on November 1, 2006 for the Southfield Mine. Summarized survey data aze shown in the attached monitoring data sheet. These data show location and orientation of monuments and structures for the reporting period. Additionally, the original survey data, current survey data and measurement differentials, if any, for all subsidence monitoring locations are shown on the attached survey summary sheet. Field surveys are conducted on the structure monuments. EFCI will conduct a survey of the South Grid monument network only prior to bond release for the azea containing the monuments, as approved in the permit, EFCI performed one subsidence survey during the reporting period. The survey was conducted using differential GPS equipment for both horizontal and vertical control. Discussion of the subsidence data, and any current visual observation information, is shown below. Discussion 1. Structures Structures monitored for subsidence include the Thompson Ranch buildings, the Florence City water line, and the Newlin Creek point. Summarized survey data for these structures are shown on the accompanying data summary sheet. Location of the structures and monuments with respect to the Mine layout are shown on Map 17 in the permit application, Discussion of survey monitoring data compazed to permit predictions for inventoried structures follows below. 1.1 Thompson Ranch Structures Survey data for the reporting period indicate vertical changes, compazed to original data, ranging from -0.Ol to -0.06 feet. No subsidence is expected since only advance mining utilizing large support pillars occurred below the ranch area. In addition, there are no physical indications of subsidence on or near the monitored structures. It should be noted that the previous Subsidence Report (July 1, 2002 -Dec 31, 2002) mentioned a variance in previous horizontal coordinates. The reason is because the monuments were relocated when the survey method changed to a high resolution GPS survey and the previous monuments were located under the eaves of the structures where the GPS receiver could not receive signals from the satellites. Accordingly, data for the structures in this summary is compared to survey data prior to 10/02, (prior to the change). Vertical change was nil.