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STATE OF COLORADO <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 />September 18, 2008 <br />Scott Wanstedt <br />Blue Mountain Energy, Inc. <br />3607 County Road #65 <br />Rangely, CO 81648 <br />RE: Deserado Mine, Permit No. C-1981-018, 270-Day Notice Permit Renewal RN-5 <br />Dear Mr. Wanstedt, <br />COLORADO <br />D IV 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 />Review of the Divisions records indicate that the Deserado Mine permit is scheduled to expire on July <br />29, 2009. In accordance with Section 34-44-109(7)(d) of the Colorado Surface Coal Mining <br />Reclamation Act and Section 2.08.5(2) of the regulations of the Colorado mined Land Reclamation <br />Board for Coal Mining, Blue Mountain Energy, Inc. will need to submit a complete application for <br />renewal of the permit at least 180 days prior to the expiration of the permit. Filing of a complete <br />application for permit renewal No. 5 shall be submitted prior to January 28, 2008. <br />The application form with the following information, at a minimum, as required by Rule 2.08.5(2)(b): <br />1. A statement of the name and address of the permittee, the term of the requested renewal, the <br />permit number, and a description of any changes to the matters set forth in the original <br />application for a permit or prior permit renewal; <br />2. A copy of the newspaper notice and proof of publication of the same under Rule 2.07.3(2); and <br />3. Evidence that a liability insurance policy or adequate self-insurance under Rule 2.03.9 will be <br />provided by the applicant for the proposed period of renewal. <br />If you have any questions or need additional information, please contact me at (303) 866-6424. <br />Sincerely, <br />Jason Mus ck <br />Environmental Protection Specialist <br />Cc: Dan Hernandez, CDRMS <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines