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r <br />00 <br />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 />April 12, 2011 <br />Mr. Kent A. Gorham ?" .0 <br />Environmental Protection Specialist III Fg? <br />Division of Reclamation, Mining and Safety Q 101 <br />1313 Sherman St., Room 215 ?QR 1 c?aR`a?'0n' <br />Denver, Colorado 80203 r,?n os `? d ?a4e'N <br />Re: 2006 Exploration Project (X-2006-223-07) <br />Final Written Reclamation Report <br />Dear Mr. Gorham: <br />The following information presents a Final Written Reclamation Report regarding the subject <br />exploration project. We have also included an executed "Coal Exploration Final Reclamation <br />Report" for the project. <br />We are prepared to conduct a field inspection of the final reclamation. Please be aware that one <br />of the sites or roads have been incorporated into the mining activities of the Elk Creek Mine <br />under C-1981-022. As such, subsequent activities are covered by the reclamation bond for the <br />mine's activities rather than the NOI. The following describes the status of each borehole. We <br />have also included final copies of the borehole completion reports for each of the sites to satisfy <br />the Rule 4.07.3(3) requirements. <br />The ECM-05-19 location is reclaimed. <br />2. ECM-05-23 borehole is sealed and the pad is partially reclaimed but reopened and <br />occupied by roads leading to Elk Creek Mine methane drainage boreholes. Reclamation of this <br />pad will be completed later in accordance with the Elk Creek Mine reclamation plan and is the <br />site covered by the Mine's extended reclamation liability. <br />3. The drilling of ECM-05-24 and ECM-06-30 were unsuccessful due to geologic <br />instabilities. Oxbow intends to complete these holes in the future should USFS IRA (roadless) <br />issues become resolved. Meanwhile the sites have received interim reclamation. Upon resolution <br />of the IRA issues, we will re-submit an exploration license to the Federal agencies for the <br />unleased federal coal. <br />4. ECM-05-34 has been reclaimed. <br />5. ECM-04-33 and ECM-05-35 were not drilled. <br />0 Page 1