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Exploration License No. COC -14911 <br />with those of surrounding areas. We do not anticipate any unique values or resources of special concern. Soils on <br />the ridgelines and steep valley sideslopes are generally shallow and rocky with deeper, more developed soils in <br />the valley bottoms. Soils vary in thickness and generally contain a high percentage of rock fragments interbedded <br />with clay and siltstones. <br />Bioloav: <br />Vegetation cover types are projected to be consistent with the terrain and semi -arid climate found on the <br />upland area. Seven upland vegetation types'are found in this area ranging from Gambel Oak — Mountain Shrub to <br />Pinyon — Juniper and minor amounts of Meadow, cottonwood, Riparian and Aspen communities. A wide range of <br />wildlife species inhabit the general area, although use and habitat values maybe limited by the semi -arid climate <br />and terrain and vegetative cover types. The area has been evaluated for applicable T&E species and no <br />Threatened, Endangered or Candidate species were found in this area. BLMI sensitive species will be evaluated <br />per license requirements. <br />Cultural Resources and National Register of historic Places <br />All but three drillholes were evaluated for cultural resources, the remaining three holes will be evaluated <br />before any disturbance or drilling occurs around these holes. <br />Typical drilling, methods and activities that may occur durin tg he exploration drilling process: <br />Oxbow Mining, LLC expects to drill 43 exploration drillholes as shown on Table I below. This table <br />provides a summary of the proposed exploration holes. The attached map (Plate 2) Oak Mesa Project; Proposed <br />Drilling Program shows the projected drilling locations. <br />Once the exploration application and State NOI to drill have been approved, drilling will commence as <br />soon as weather, ground conditions and surface access agreements allow. The drilling season is expected to last <br />from late March to Mid November, but may vary'depending upon weather and surface owner access agreements. <br />and timing of approval of this exploration drilling application. Drilling is prQiected to consist of at least two <br />crews per drilling; rig drilling 10 -12 hr. days with four days off. Drilling equipment is projected to consist of a <br />Portadrill TKT sized rig that can coniplUe rotary and coring activities with the same rig. All drilling <br />equipment will be inspected to ensure that appropriate safety equipment is available should the need arise. <br />Supporting that rig will be a 4000 gal water truck., a flatbed truck with drilling supplies, and an E -log truck for <br />running digital logs of each drill hole and two pickups for crew transportation. <br />Excavated earth or debris- disposal activities_ <br />Sites, whenever possible, will be accessed using existing available light duty pre - existing ranch roads. <br />When roads are not available, temporary roads will typically be constructed using a grader, which will blade <br />using sidecast methods an approximate 12 foot ~vide running surface. Road construction estimates are based upon <br />survey work and aerial photos which were taken in September of 2011. Drillhole locations maybe adjusted <br />slightly in the field to optimize the placement of the drill pad. Light use roads and road construction distances <br />may be adjusted to represent the more current information. <br />Most existing road alignments will not require modification, but may require road maintenance <br />consisting of grading the road to provide a smooth operating surface, clean -out and repair of any existing <br />drainage ditches and application of temporary drainage control measures (berms, straw bales, silt fences, gravel <br />surfacing, etc,) as necessary. New road construction will be kept to a minimum and will follow applicable BLM <br />specifications. Following the conclusion of drilling activities, the temporary roads will be obliterated by grading <br />to approximate original contour and distributing the rock, brush, soils, etc. pushed along the sides of the road <br />back across the road corridor. Total estimated disturbance is 21.5 acres for Forty -three (43) drill pads and 11.36 <br />acres for roads for a total disturbance of 3-x.86 acres. <br />April 10, 2012 <br />