2010-06-01_PERMIT FILE - M2010036

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EXHIBIT A - Legal Description The pit area is approximately 9.9 acres in the dry creek bed of Sandy Creek running through the NE 1/4 of Section 31, T7N, R47W of the 6th P.M., Phillips County, Colorado. Delineator boundary posts will be set to mark the pit areas as shown on the map. EXHIBIT B - Site Description a) Vegetation - Portions of the pit lying outside Sandy Creek were previously in the Conservation Reserve Program and planted to grass. The contract has been fulfilled and it is no longer in CRP. The grasses that currently exist are Western Wheatgrass, Switchgrass, Big Bluestem, Yellow Indiangrass, and some alfalfa. Some grasses and weeds exist along the dry creek bed banks. The creek bed itself is periodically swept with runoff after rainfalls. Little vegetation occurs within the creek bed itself. Soil Information - The Natural Resource Conservation Service soil maps show the soil as being Wages-Eckley-Dix complex, which primarily occupies intermittent drainage ways. The soils consist of deep, well-drained, loamy soils, with their subsoil often somewhat gravelly. It is moderately permeable and a good source of road fill. b) Permanent man-made structures There are two roadways that lie within 100 feet of the affected area. The Phillips County Commissioners have granted a waiver from the 200' setback from roadways. Their waiver will allow mining to occur within 130' of the north and east section lines of Sec. 31, T7N, R47W. c) Water resources The excavation will occur in the normally dry creek that does run when there is heavy rain in the area. However, aside from rainfall runoff, the excavation should not encounter any water during mining. The only water that affects the site would be runoff from heavy rainfall. Rainfall in the area averages about 17.8 inches per year. The site will generally not be impacted by water. The water table in the area is substantially below the surface, in most cases at least 50 feet deep.