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STATE OF COLORADO <br />`S <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />July 2, 2008 <br />Michael Quinlan <br />Gault Group, Inc.' <br />36 West Main Street <br />Cortez, Colorado 81321 <br />` 3 ZpUb <br />Jv` 0 eciamatton, <br />pXviMmng and Sa{et`J <br /> <br />Re: Donna K, Notice of Intent (NOI) P-2008-017, Notice of Completeness. <br />Mr. Quinlan, <br />COLORADO <br />D I V IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />The Division of Reclamation, Mining and Safety accepted Bluerock Energy's Notice of Intent on April <br />30, 2008. On June 24, 2008 the Division of Reclamation Mining and Safety (DRMS) received <br />Bluerock's correspondence lifting the confidentiality provisions as required under S13-08-228. Gault <br />Group also submitted and the Division received electronic copies of the non-confidential application <br />forms on June 24, 2008. Therefore, the above referenced Notices of Intent is SB-08-228 compliant. <br />The Division has received Bluerock's verbal acceptance of the reclamation liability estimate for this site. <br />Written acceptance is understood to be in the mail at this time. Therefore the Donna K Drilling project <br />application is considered complete. The Notice will not be considered approved and active until the <br />proper reclamation liability warranty in the amount of $5410.00 has been submitted and approved by the <br />DRMS Denver Office. Please submit the proper forms noted for prospecting on BLM lands to Elizabeth <br />Tahaferro. Any questions regarding the forms should be directed to Elizabeth at 303-866-4084. Please <br />be aware that DRMS has not received documentation from BLM of acceptance of the bond calculations. <br />If there is not concurrence, the bond may need to be adjusted accordingly. Please note no activities can <br />be initiated until BLM has issued it's approval of the notice as well. <br />If you need additional information, please contact me at the Division of Reclamation, Mining and Safety, Grand <br />Junction Field Office, 101 S. 3rd St., Suite 301, Grand Junction, Colorado 81501, telephone no. 970.241.1117. <br />Sincerely, <br />G. Russell Means <br />Environmental Protection Specialist <br />Cc: Robert Ernst, BLM Uncompahgre Regional Office <br />Dave Munger, Bluerock Energy Corp. <br />Office of <br />office of <br />Mined Land Reclamation Denver Grand Junction Durango Active and Inactive Mines <br />6W?