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Response to PART II <br />Item Lb. The Exploration Area is as follows: <br />LEGAL DESCRIPTION OF PROPOSED EXPLORATION LICENSE AREA <br />T3N, R101 W, 6`'' P.M. <br />Sec. 17: S/2 of SWl /4 ; <br />Sec. 18: SE' /4, El /2 of SWl /4; <br />Sec. 19: NEl /4, El /2 of NWl /4,SW1 /4 of NW' /4, SW' /4, NW' /4 of SEl /4. <br />T3N, R102 W, 6' P.M. <br />Sec. 24: SEl /4, S'h of NEl /4, El /2 of SWl /4, SEl /4 of NW' /4. <br />Sec. 25: NEl /4, Elh of NWl /4 <br />Item 2. We intend to conduct all exploration activity in the fall of 2013 within the period of the <br />Exploration License. Budgetary constraints may eliminate the drilling of some of the holes <br />identified below. <br />Planned Exploration Holes <br />New <br />Permit Tentative Est Est Est Est Access <br />Drill Site Permanent Collar B-Seam B -Seam Total Year Length <br />I.D. Hole I.D_ See T-N_ R_E Elev Rev Denth Denth Driller) (feet) <br />X1 <br />310119 -17 <br />19 <br />3 <br />101 <br />5,815 <br />5,245 <br />570 <br />620 <br />2012 <br />930 <br />X6 <br />310118 -5 <br />18 <br />3 <br />101 <br />5,685 <br />5,380 <br />305 <br />355 <br />2012 <br />0 <br />X7 <br />310119 -20 <br />19 <br />3 <br />101 <br />5,805 <br />5,315 <br />490 <br />570 <br />2012 <br />1,100 <br />X8 <br />310224 -7 <br />24 <br />3 <br />102 <br />5,820 <br />5,430 <br />390 <br />450 <br />2013 <br />1,280 <br />X9 <br />310224 -8 <br />24 <br />3 <br />102 <br />5,815 <br />5,455 <br />360 <br />420 <br />2013 <br />100 <br />X10 <br />310119 -21 <br />19 <br />3 <br />101 <br />5,880 <br />5,320 <br />560 <br />610 <br />2012 <br />0 <br />X11 <br />310224 -9 <br />24 <br />3 <br />102 <br />5,900 <br />5,470 <br />430 <br />490 <br />2012 <br />1,000 <br />X12 <br />310224 -10 <br />24 <br />3 <br />102 <br />5,910 <br />5,600 <br />310 <br />370 <br />2013 <br />800 <br />X13 <br />310224 -11 <br />24 <br />3 <br />102 <br />5,885 <br />1 <br />5,610 <br />275 <br />335 <br />1 2013 <br />900 <br />X14 <br />310119 -22 <br />19 <br />3 <br />101 <br />5,925 <br />5,470 <br />455 <br />505 <br />1 2013 <br />400 <br />Total # 10 <br />4,725 6,510 <br />Item 3.The holes are part of the recently modified Federal Coal Exploration License COC- <br />74817. Supporting documentation is attached including: 1) Application for Modification to <br />Federal Coal Exploration License COC- 74817, 2) Environmental Assessment concerning <br />Federal Coal Exploration License COC -74817 Modification with Record of Decision, and 3) <br />Exploration License Modification Approval. <br />ITEM 4.Land use in the proposed area consists of wildlife habitat and winter sheep grazing. <br />