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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1373 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (3037 8663567 <br />FAX: 13031 93 2-91 06 <br />RECEI~iE® `~~ <br />DEC 3 9 2003 COLORADO <br />DIVISION Or <br />MINERALS <br />Sr <br />Division of Minerals and GeoloP~ G E O L O G Y <br />~ECLANAr10N•NINING <br />SAfETy•SCIENCE <br />RE4UEST FOR TRANSFER OF COAL PERMIT AND SUCCESSION OF OPERATORS <br />eai owen5 <br />Governor <br />RECITALS <br />Greg E. Watcher <br />Execufive Direcor <br />Ronald W. Cottony <br />A. On April 20 2003 the Mined Land Reclamation Boazd of the Division Director <br />Natural Resource Trustee <br />Colorado Department of Natural Resources ([he "State") granted to <br />Bowie Resources Limited <br />P.O. Box 483, Paonia, CO 81428 <br />address <br />("Permittee") permit <br />number C-1981-038 (the "Permit") pursuant to which Permittee has been conducting a mining <br />and reclamation operation known as Bowie No. 1 Mine in the County <br />of Delta <br />State of Colorado. <br />Permittee wishes to assign the permit to <br />Bowie Resources, LLC <br />1500 North Sig Run Road, Ashland, KY, 41102 <br />address <br />as Successor <br />Operator ("Successor") and Successor wishes to become Successor Petmittee under [he permit. <br />C. Successor understands that the reclamation plan (the "Plan") required by the permit and by <br />applicable State laws and regulations has not been completed and is willing to assume full responsibility <br />for the completion of the Plan. <br />II. <br />Permittee and Successor hereby agree, for their own benefit and for [he benefit of [he State, such <br />agreements to be effective ipso facto upon the approval by the State of the transfer of the Permit from. <br />Permittee [o Successor, as follows: <br />1. Successor has inspected the mining and reclamation operations to its entire satisfaction <br />and is fully aware of the condition thereof. Successor understands and accepts all of the conditions of the <br />Permit. <br />2. Successor will complete [he reclamation plan, and hereby assumes liability for <br />completing such plan as to all areas heretofore disturbed, as well as to all areas hereafter disturbed. <br />Successor will perform all of the obligations of the Permi[tee under the Permit which have no[ heretofore <br />been performed by Permittee. <br />Office of Offire of Colorado <br />Mined land Reclamation ARive and Inactive Mines Geological Survey <br />