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J. J. Dudash -2- March 18, 2010 <br />Vegetation <br />Not applicable, no surface disturbance. <br />Hydrologic Monitoring <br />There are numerous springs and ponds that had been previously monitored by the <br />Bowie No.1 Mine that will be transferred to the Bowie No. 2 permit as baseline data. <br />Bond <br />The Bowie No. 2 Mine will assume responsibility for some drill roads and drill sites <br />permitted by the Bowie No. 1 Mine. Bowie No. 1 Mine TR-41 permitted the Terror <br />Creek Section 8 Road and BRL-1-03-01. Bowie No: 1 Mine TR-49 permitted the Pond <br />7-1 Road, DH-69 Road and drill sites BRL1-08-01 and BRL1-08-04. All of these items <br />except the DH-69 road are within the new Bowie No. 2 Mine permit boundary. The DH- <br />69 road crosses the new permit boundary so part of the road will remain with the Bowie <br />No. 1 Mine permit and part of the road will move to the Bowie No. 2 Mine permit. <br />The bond for Bowie No. 1, TR-41 was $17,704 all of which was transferred to the Bowie <br />No. 2 Mine. The bond for the Bowie No. 1 Mine TR-49 was $27,508.85 after adding the <br />credit taken for TR-44. TR-49 had 1.8 miles of road. The Bowie No. 1 Mine keeps 1.2 <br />miles of the road. The Bowie No. 2 assumes 0.6 miles of the road and the two drill <br />holes. The Bowie No. 2 Mine's portion of the TR-49 bond is $22,541 with the remaining <br />$4,968 applicable to the Bowie No. 1 Mine. Therefore the decrease in bond for the <br />Bowie No. 1 Mine is $40,244. <br />Please call if you have any questions. <br />Enclosures: <br />Volume I Pages 2.03-20, 35 & 36, <br />Volume IV Table 3 (pg. 1), Map 4-1 <br />Volume IX Map 9-2 <br />Section 2.05-2, page 8 <br />Sincerely, <br />J. E. Stover, P.E. <br />Consulting Engineer <br />cc: Wm. A. Bear, Jr.