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DESERAD4 <br />BLUE MOUNTAIN <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675-4300 <br />fax(970)675-4399 <br />August 25, 2008 <br />Mr. Carl Johnston <br />USMRE - Western Service Center <br />1999 Broadway, Suite 3320 <br />Denver, Colorado 80202-5753 <br />MINE <br />ENERGY <br />RE: Deserado Mine - Permit No. C-1981-018. <br />Technical Revision 65 - Mid-Term Review <br />Minor Revision 135 - Relocation of RS-4 and LWB10-1 <br />Minor Revision 136 - Nitrogen Injection/Monitoring Holes <br />Dear Carl: <br />DRMS has approved the permit modifications referenced above. A copy of the compiled <br />approved revisions to the application for Blue Mountain Energy, Inc.'s (BME) is enclosed. <br />It should be noted that the decision form for TR-65 incorrectly identifies page V-30 as being <br />changed. This should read `V-31'. <br />BME's permit has been amended to include the enclosed documentation as proposed. We are in <br />the process of acquiring the additional bonding as required. No activity that would increase <br />liability under these actions will take place until proper bonding is in place. <br />If you have any questions, please call be at 970-675-4322 <br />Sincerely, <br />Scott Wanstedt <br />Environmental Engineer <br />enc: <br />cc: Jason Musick. - DRMS <br />Jeff Dubbert