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� GCC <br />December 27, 2012 <br />"Safety as a Value" <br />State of Colorado <br />Division of Reclamation, Mining 86 Safety <br />691 CR 233, Suite A -2 <br />Durango, CO 81301 <br />Attention: Marcia Talvitie, Reclamation Specialist <br />Re: 4th Quarter 2012 Surface Subsidence Inspections <br />4th Quarter 2012 Huntington Ditch Inspections <br />Ms. Talvitie: <br />Sincerely, <br />Tom Bird <br />Manager, Coal Services <br />GCC Energy, LLC <br />Telephone 970 385.4528 <br />Facsimile. 970.385 4638 <br />GCC Energy, LLC <br />6473 County Road 120 <br />Hesperus, Co 81326 <br />JA'J0 42013 <br />Division of Reclamation, <br />Mining & Safety <br />Mike and Marc Crawford, of the Crawford Ranch property informed us that they <br />continue to monitor subsidence cracks on their property. No new cracks have been <br />located this quarter. They have informed us that all cracks on the Crawford Ranch <br />property are minor; they will inform us if they feel action is required. <br />No subsidence issues have been noticed in the mined out areas west of Pine Gulch on <br />the Huntington ranch property. Dan Huntington has not mentioned any subsidence <br />related issues on other areas of his property. <br />Please call Tom Bird at (970) 385 -4528 x 6503 if you have any questions or comments. <br />