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Statement by Landowner: <br />I am the owner of the land (both coal and surface) situated at S2N W4 Section 25, <br />Township 47 North Range 16 West, NMPM, Montrose County Parcel # 4025-252-00- <br />008, containing 80.00 acres more or less in Nucla, Montrose County, Colorado, and also <br />the owner of the following described water rights: <br />1. Forsman Ditch #1 in the amount of O.75cfs with priority date June 1, 1910 <br />including any subsequent or related right; <br />2. Forsman Ditch 42 in the amount of 0.5cfs with priority date June 1, 1910 <br />including any subsequent or related right; <br />3. Well permit #253229 conferring 15GPM or more including any <br />subsequent or related right; and <br />4. Twenty (20) shares in CCC Ditch. <br />(together with the land, the "Property"). I have an Option to Purchase this Property to <br />Western Fuels�Colorado, LLC ("WFC") for coal mining in accordance with an <br />Exploration and option to Purchase Agreement dated January 1, 2009 (the' OPA"). I <br />have agreed in the Lease that WFC may, as a matter of right under the EOPA, purchase <br />the Property upon giving the required notice as a matter of right under the SOPA. With <br />this letter I am requesting Division of Reclamation, Mining and Safety to approve the <br />post -mining reclamation of my land as dry land pasture in the event that WFC exercises <br />the purchase option under the EOPA. <br />I have reviewed the mine operation plan, the mine reclamation plan, and postmining <br />management plans provided to me by WFC. I agree that these plans are consistent with <br />my management plans for the Property and are in accordance with the rights and <br />obligations created by the EOPA. <br />I agree that in the event WFC makes any changes to the mine operation plan, reclamation <br />plan, and postmining management plans, I will review such plans and, if requested, will <br />execute any letters requested reiterating the statements in this letter, as long as such plans <br />are consistent with the above terms of the EOPA. <br />