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NE -16 -11 <br />Northing <br />Easting <br />NOI Location <br />1141263 <br />3172551 <br />Proposed Location <br />1179857 <br />3157567 <br />715 HORIZON DR., STE 340 <br />GRAND JUNCTION, CO 81506 <br />USA <br />VOICE 970.242.4220 <br />www.agapito.com <br />September 6, 2011 <br />AGAPITO ASSOCIATES, INC. <br />Mining & Civil Engineers & Geologists <br />Mr. Dan Hernandez <br />Colorado Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Dear Mr. Hernandez: <br />GOLDEN OFFICE <br />303.271.3750 <br />723 -01 T3 <br />Re: New Elk Mine (Permit No. C- 1981 -012) <br />2011 Coal Exploration Notice of Intent (NOI -X- 2011 - 232 -00) <br />Relocation of exploration drill hole NE -16 -11 to within mine permit boundary <br />With this letter, New Elk Coal Company (NECC) is submitting a request for permission to <br />move NE -16 -11 approved in the coal exploration notice of intent (NOI -X- 2011 - 232 -00) to within <br />the mine permit boundary. The hole will be moved from the Bosque del Oso site in Section 29 <br />T34S, R67W to Section 23 T33S, R68W. The coordinates follow: <br />The drilling season access ended August 31 for the Bosque del Oso area. Drilling access in <br />the wildlife area is limited to drilling in the months of June, July and August only. The drilling <br />contractor schedule is such that the exploration hole can be accomplished this week if approved. <br />The bonding cost to reclaim the pads and plug the holes is already in place. A map <br />showing the proposed location of NE -16 -11 and the minor revision application is attached. There <br />are no permit page modifications associated with the minor revision application. <br />Please feel free to contact me with any questions. <br />Sincerely, <br />SP/hlw <br />cc: Ron Thompson, NECC <br />Enclosures: Minor revision application <br />NE -16 -11 Drill Hole Location Map (revised 9/2/2011) <br />5U2CM $ -Patto <br />Susan Patton, PE <br />Senior Associate <br />GEOENGINEERING • MINING ENGINEERING • CIVIL ENGINEERING <br />