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OXBOW MINING, LLC <br />3737 Hwy 133 P.O. Box 535 Somerset, Colorado 81434 USA Tel (970)929-5122 Fax <br />(970)929-5177 <br />January 13, 2010 <br />Mr. Jason Musick ?of,' <br />Environmental Protection Specialist Q1? <br />Colorado Division of Reclamation, Mining and Safety aNO, <br />1313 Sherman Street, Room 215 NII ct aS eel <br />Denver, Colorado 80203 0\1 _,00 1\ga <br />Re: Oxbow Mining, LLC - Notice of Intent for 2010 <br />Dear Mr. Musick: <br />Oxbow Mining, LLC (OMLLC) herein requests the approval of the enclosed 2010 Notice of <br />Intent to Explore (NOI) for completion of drilling activities associated with mine planning and <br />future development of the Elk Creek Mine. <br />The drilling program, per this NOI, involves completion of 9 exploration holes, all of which are <br />located within the Elk Creek Mine Permit Area C-1981-022 and Federal Coal Lease COC- <br />61357. The location of the holes will aid in defining a "known" fault which has ramifications for <br />defining the extent of planned panel layout and possibly, the addition of one more panel to the <br />mineplan. <br />In conjunction with drilling and completion activities, in-hole logging and tests, as well as core <br />samples of the roof, coal seam and floor materials will be collected from the drill holes and <br />analyzed to characterize the geotechnical characteristics and conditions of the mine roof and <br />floor, as well as to determine coal quality. This NOI application submittal consists of the <br />following components: <br />• This transmittal Letter <br />• Executed NOI Application Form <br />• Attached Description of Affected Lands, Exploration Activities, and Reclamation <br />Cost Factors <br />• Plan Map <br />Block clearance surveys for cultural and paleontological resources and threatened and <br />endangered (T & E) species assessments were previously conducted in 2005 and previously <br />forwarded to the Division. The PAP Volume 8, Exhibit 2.04-E7 contains copies of these reports. <br />Raptor nest site and other required sensitive specie surveys are generally surveyed in the <br />May/June timeframe for the NOI roads and sites. The areas affected by this NOI is located in the <br />0 Page 1