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Appendices — DRMS Form 2 Public <br />Lynx -Royal JV LLC Wray Mesa NOI <br />pits. To ensure no mineralized material is buried near the surface, a handheld scintillometer <br />post - drilling survey will be compared to a baseline scintillometer survey conducted before <br />drilling. Areas with readings greater than the highest value from the baseline survey will be <br />removed and backfilled into the drill hole. The survey will be conducted no more than 6" from <br />the ground and cover a 30 foot circle surrounding the drill hole. <br />Estimated Reclamation Costs <br />A) Estimated Cost of Drill Hole Abandonment. — The estimated cost of backfilling the proposed drill <br />holes is $1.25 /ft. Maximum 3 holes at 1,860 ft. ($2325 max) <br />B) Estimated Cost of Surface Restoration — Estimated cost of the surface restoration is approximately <br />$300.00 per hole for grading and $100 per hole for seeding Max 3 sites to grade ($900 max), 24 <br />sites to seed ($2500 max) <br />Costs include all materials, labor, equipment, mob - demob, contractors overhead, profit and State <br />supervision charges. <br />Total reclamation cost is estimated at $5,725. <br />Compliance with Statues and Regulations <br />For exploration, LR LLC will use the services of contractors. All LR LLC contracts with service <br />companies will contain specific sections requiring compliance with all applicable Federal, State and <br />local statues and regulations. <br />Surface Use and Environmental Stipulations <br />Existing roads and over -land travel will be used for access to the proposed drill sites. No improvement <br />of existing roads is anticipated. Excessive surface deterioration that might be caused by vehicle in off - <br />road areas, particularly in wet weather, will be restored to the satisfaction of the Contracting Officer as <br />soon as practical after such conditions cease. <br />Annual weeds and noxious weeds will be controlled to the extent possible by diligent visible inspection <br />of the undercarriages of the equipment before they enter the property. Vegetative material will be <br />removed and disposed of in a manner consistent with weed control. Weed monitoring will occur as the <br />sites are visited by company personnel or agents to assess reclamation adequacy. Should a weed <br />problem be detected, agency approved control methods will be used. <br />Fire hazards resulting from the operation of a drill will be minimized by removing any brush that is <br />liable to contact the drill exhaust. Should any uncontrolled fires be encountered, they will immediately <br />be reported to Manager, Southwest District Office, U.S. Bureau of Land Management, Montrose, <br />Colorado. <br />There are no bodies of water on, or near, the area of exploration activity. Drilling shall be <br />conducted in such a way as to prevent cuttings and fluids from directly entering any dry or flowing <br />stream channel. <br />Appendices Page 5 of 8 <br />