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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 />January 15, 2013 <br />Jim Kiger <br />Oxbow Mining, LLC <br />PO Box 535 <br />3737 Highway 133 <br />Somerset, CO 81434 <br />Re: Elk Creek Mine —Permit No. C- 1981 -022 <br />MR -102 Additional Borehole Information <br />Adequacy Review #1 <br />Dear Operator Mr. Kiger: <br />COLORADO <br />D I V I S ION Of <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta Pineda <br />Director <br />The Division of Reclamation, Mining and Safety (Division) received Oxbow Mining LLC's <br />( OMLLC) application for Minor Revision No. 102 at the Elk Creek Mine on December 26, 2012. <br />MR -102 was deemed complete on January 4, 2013. OMLLC submitted MR -102 to provide <br />additional borehole information for inclusion into the PAP. The Division has reviewed the <br />revision proposal and has the following comments: <br />1. The following comments /questions reference Exhibit 2.04 -E3 Item 9 Methane Drainage <br />Well Information and Map2.05 -M1, Sheet 6 of 6: <br />a) Wells CBM -1 through CBM -14 are listed on the summary sheet but the locations are <br />not shown on the map. Please show the locations of these wells on the map. <br />b) GVB- LW- 10 -03C is listed as sharing a road with GVB- LW- 10 -04. According to the <br />map GVB- LW- 10 -03C shares a pad with GVB- LW- 10 -03B but is not associated with <br />GVB- LW -10 -4. Please correct this typo on the summary sheet. <br />c) GVB-LW- 17-0 1 C is listed in the summary sheet as sharing a pad with GVB- LW -17- <br />01A. The map shows these two boreholes in different locations. Please clarify. <br />d) GVB- LW- 19 -01B is listed in the summary sheet as sharing a pad with GVB- LW -19- <br />01A. The map shows these two boreholes in different locations. Please clarify. <br />e) Wells ECM -10 -68 through ECM -10 -76 are listed on the summary sheet but the <br />locations not shown on the map. Please show the location of these wells on the map. <br />f) GVB- LW- 18 -09B and 18 -09C are listed twice on page 7 of the summary sheet. Both <br />wells are listed as having the same road disturbance and pad disturbance as 18 -09 but <br />the Northing, Southing, Survey and Elevations are all different. Also, these wells are <br />listed as not drilled but are shown on the map as existing. Please clarify. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />