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Drill Hole Abandonment Report <br />In accordance with Section 5.7 of the Mineral Rules and Regulations of the Colorado Mined land <br />Reclamation for Hard Rock, Metal, and Designated Mining Operations, below is the summary of the final <br />drill hole abandonment report for the following drill holes: HENX1101; HENX1102; HENX1103; <br />HENX1103B; HENX1103C; and HENX1201. <br />HENX 1101 <br />Drill hole HENX1101 was drilled from Drill Pad #1 located at Longitude 105'49.758' W, Latitude <br />39° 45.518' N, and at an elevation of 10,952 feet above sea level (see attached map). The depth of the <br />hole was 4997feett in bedrock consisting of Precambrian granite and tertiary rhyolite porphyry. No <br />aquifers were encountered during the drilling. On October 4th, 2011 the prospecting activity was <br />completed with the hole plugged and caved in at a depth of 250 feet using material similar to that of <br />the original hole. <br />HENX 1102 <br />Drill hole HENX 1102 was drilled from Drill Pad #5 located on Harrison Mountain at Longitude 105° <br />50.668' W, Latitude 39° 45.297' N, and at an elevation of 11,460 feet above sea level (see attached <br />map). The hole was drilled to a depth of 4727 feet in bedrock consisting of Precambrian granite and <br />tertiary rhyolite porphyry. The hole was abandoned on October 31St, 2011 with 400 pounds of <br />Abandonite (bentonite grout) and sealed at the surface with 20 feet worth of cement. No aquifers <br />were encountered during the drilling. <br />HENX1103 and HENX1103B <br />Drill holes HEN1103 and HENX1103B were both drilled from Drill Pad #2 located on Harrison <br />Mountain at Longitude 105° 49.681' W, Latitude 39° 45.744' N, and at an elevation of 11,084 feet <br />above sea level (see attached map). The HENX1103 hole was drilled to a depth of 626 feet with <br />HENX1103B branching off of HENX1103 beginning 330 feet down and continuing to a depth of <br />1,105 feet. Both holes were drilled in bedrock comprised of Precambrian granite and tertiary rhyolite <br />porphyry. HENX1103 and HENX1103B were cased from the collar and capped for reentry during <br />the 2012 drill season. Attempts were made to re -enter HENX1103 in June of 2013 but the casing had <br />been damaged and the hole plugged around 10 feet below the collar. Further drilling was abandoned <br />at this point and the hole was plugged with material similar to original hole on July 31St, 2013. No <br />aquifers were encountered during the drilling of HENX 1103 and HENX 1103B. <br />HENX 1103 C <br />Drill hole HENX1103C was drilled from Drill Pad #2 located on Harrison Mountain at Longitude <br />1050 49.681' W, Latitude 390 45.744' N, and at an elevation of 11,084 feet above sea level (see <br />attached map). HENX1103C was drilled as a twin of HENX1103/HENX1103B with a collar shifted <br />by 5 feet to the east. The hole was drilled to a depth of 2,564 feet in bedrock comprised of <br />Precambrian granite and tertiary rhyolite porphyry. The hole caved in with material similar to that of <br />the original hole on July 3 1St, 2012. No aquifers were encountered during drilling. <br />