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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 COLORADO <br />Phone: (303) 866-3567 I) IV IS t ON OF <br />FAX: (303) 832-8106 RECLAMATION <br /> MINING <br /> <br /> SAFETY <br />March 9, 2009 _ <br /> Bill Ritter, Jr. <br />Scott Wanstedt Governor <br />Blue Mountain Energy, Inc. Harris D. Sherman <br /> <br />3607 County Road #65 Executive Director <br /> <br />Rangely, CO 81648 Ronald W. Cattany <br />Division Director <br /> Natural Resource Trustee <br />RE: Deserado Mine (Permit No. C-1981-018) <br />2008 Annual Reclamation Report Review <br />Dear Mr. Wanstedt, <br />The Division has completed its review of the above referenced report received on 17 Feb 2009. The <br />Division finds the 2008 Annual Reclamation Report in compliance of the following Rules: <br />Rule 2.04.13(1) - Received 17 Feb 2009. Please see comments below. <br />Rule 2.04.13(l)(a) - The cover of the ARR includes the name of the permittee, the address, and the <br />permit number. <br />Rule 2.04.13(1)(b) - The ARR identifies 5.97 new disturbed acres during calendar year 2008. It is <br />noted that these acres reflect SC holes, LWB 10 holes, nitrogen injection holes, and ventilation holes <br />and facilities. <br />Rule 2.04.13(1)(c) - The ARR identifies 3.37 new backfilled and graded acres during calendar year <br />2008. It is noted that these acres reflect SC-HGO, SC-TG46, SC-TG53, LW137-2, LWB7-3, LWB7-4, <br />and LWB9-3. <br />Rule 2.04.13(1)(d) - The ARR identifies 3.37 new topsoiled acres during calendar year 2008. It is <br />noted that these acres reflect SC-HGO, SC-TG46, SC-TG53, LW137-2, LWB7-3, LWB7-4, and LW139- <br />Rule 2.04.13(1)(e) - The ARR identifies 4.02 acres which were permanently revegetated during <br />calendar year 2008. It is noted that these acres reflect: <br />LWB7-X roads 0.80 acres <br />LW139-3 pad 0.30 acres <br />SC-SL3 pad/road 0.65 acres <br />SC-HGO pad 0.55 acres <br />SC-TG46 pad/road 1.07 acres <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines