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sage flat east and south of Last Chance Mine. These boreholes will be drilled on parts of the <br />Last Chance #1 and #2, and Bull Durham claims. <br />Phases 2 and 3 are interchangeable in the order to be drilled and are also shown on the C-Maps. <br />Phase 2 includes 86 holes (nos. 273 to 358) to be drilled on the Bull Durham and Pam claims <br />with a disturbed area of about 1.2 acres. Phase 3 includes 90 boreholes (nos. 1 to 90) to be <br />drilled on the northern parts of Last Chance claims #2 and #3. <br />Note that the number of boreholes to be drilled according to this exploration plan is a maximum <br />with fewer anticipated based on results. Also the locations plotted on maps are approximate and <br />will be determined in the field based upon surface conditions and vegetation; i.e. holes may be <br />moved somewhat to avoid disturbing vegetation where possible. Actual locations will be <br />surveyed subsequent to drilling. <br />As shown on the photographic base of Map C-4, many old drill trails are present and frequented <br />by recreational four-wheelers and ATVs. Nuvemco plans to drill exploratory holes along many <br />of the roads and two tracks to evaluate geology and uranium-vanadium mining potential across <br />the permit area. Initial drilling will probably be on 100 foot centers. Based upon results of <br />geophysical logging, closer spaced holes may be drilled in some areas. Although the potential <br />exists to drill 358 exploration boreholes, reclamation will be concurrent with drilling and no <br />more than 50 holes will be drilled in any phase prior to reclamation. Drilling should be a one <br />time event: <br />• drive rig along existing road/trail/clearing; drill hole; move rig (generally 50 to 100 feet) <br />• pull up logging truck; geophysically log hole; logging truck follows rig <br />• pull up with pickup and crew to P&A hole and reclaim site; move to next site. <br />4. Surface Facilities <br />As illustrated on the C-Maps, surface facilities on the permit will include an office trailer <br />(modified shipping container or C-Can). The facilities may be expanded if the exploration <br />efforts are successful and a technical revision of the permit will be prepared and submitted at that <br />time. Electric power is brought in from San Miguel Power Association to a drop pole erected <br />near the southern vent/escape-way from which a buried line provides power to the office trailer. <br />There are no other utilities within 200 feet of the permit boundaries. A portable toilet facility is <br />located near the office trailer. <br />Nearly all of the proposed surface disturbances are on land which was previously disturbed and <br />in some cases reclaimed by preceding mining operations. These are on public BLM lands and <br />accessed by public Montrose County roads; most of the roads and trails have been in continuous <br />use for recreation, four-wheeling, hunting, camping, etc., and are currently disturbed. <br />Last Chance Mine -April 2009 <br />D-3