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3.0 Exploration Program Scope and Focus <br />The goal of the exploration program is to acquire resource specifics in a cost - effective, <br />environmentally sound and safe manner for purposes of identifying areas within the Exploration <br />Application Area (Concession) suitable for further Underground Coal Gasification (UCG) <br />exploration and development. <br />Preliminary geological assessments within the region of the Concession revealed the existence <br />of highly prospective thick coal seams at moderate depths that may be amenable to UCG. <br />Coal occurrences within the Concession are evident from publically available oil & gas logs. A <br />detailed report of the region was completed by McCoalex, a consulting company located in <br />Parachute, Colorado for Linc Energy in early 2011. <br />Exploration activities planned for the concessions include an integrated program of field <br />geological mapping, aerial photography assessments, drilling, wireline logging, hydrologic data <br />collection and core analysis. The exploration program will be phased starting with pre - drilling <br />surveys (Phase 1) followed by drilling, core analysis, and hydrogeological assessments (Phase <br />2). Prior to actual field activities, all necessary permits, bonds and surface access agreements <br />will be procured. Linc Energy personnel, numerous contractors and support service providers <br />will be involved in the completion of both phases. <br />unc� <br />EDERGY C <br />