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r <br />Memorandum <br />To: Mike Whateley <br />From: Dwight Kinnes <br />Date: 5/26/2005 <br />Re: Colowyo ASG Review <br />The results of the re- analyzed ASG vales for Colowyo Coal Company (CCC) have <br />been received. The results were inconclusive. Given these results the ASG for <br />Colowyo was reviewed in detail. This memorandum discusses the findings of <br />the detailed ASG review and discusses several options available to Colowyo <br />regarding ASG. <br />Re- analyzed ASG data <br />CCC submitted approximately 52 samples for re- analyses of ASG. SGS North <br />America Inc. (SGS) re- analyzed 48 samples (four samples were not readily <br />available and were not retested). All of the submitted samples had an original <br />ASG of 1.33 with As- received ash values ranging from 3.42% to 11.43 %. The <br />objective for re- analyzing the ASG values was to determine if ASG results would <br />duplicate or even compare in some fashion. The results of the re- analyzed ASG <br />values did not duplicate the original ASG results, see Figure 1. In addition, no <br />direct comparison to the original data can be inferred. <br />The re- analyzed data did show a general trend of increasing ASG with an <br />increase in ash. However, these data did not form a concise trend. The R value <br />on a simple regression line of the re- analyzed ASG values was 0.51. (An R <br />value exceeding 0.9 is expected with such data). <br />