RE: Acceptance Criteria for Certificates of Deposit and Money Market Accounts Issued as Reclamation Performance Bonds

a. The bank is required to copy all correspondence relating to the certificate of deposit to our Cheyenne office at the address cited above.

b. The Certificate of Deposit shall be automatically renewable.

c. The Certificate of Deposit shall be payable solely to: "Wyoming Department of Environmental Quality, Land Quality Division, pledgee". Furthermore, the name and address of the mining operator purchasing the C.D. may not be typed in the depositor's section. If this information must be on the instrument it should be typed at the bottom - apart from the depositor's or payee's section.

d. No other person, including the purchaser, is authorized as a payee without the express written endorsement by either the Director of the Department of Environmental Quality or the Administrator of the Land Quality Division. Sole ownership of this certificate by the Department of Environmental Quality, Land Quality Division shall be reflected on the books of the bank. Any signature card on file may be signed only by the Director of the Department of Environmental Quality. Representatives of the mine owner or operator may not sign any instrument which authorizes them to make withdrawals or request payment without the written endorsement by the State of Wyoming representatives indicated above.

e. Because of the bonding relationship between the operator and the State, the following criteria would be used to determine the $100,000.00 insurance limit per depositor. "..we (FDIC) would treat each such certificate as a deposit of the operator which, after being aggregated with other deposits the operator may have in the same bank, would be insured to the $100,000.00 limit." (FDIC legal division letter 12/2/87).

f. During the life of this deposit, the operator will have the beneficial interest until such time that the Wyoming Environmental Quality Council declares a forfeiture of the bond. In this event, DEQ-LQD would be authorized to cash the certificate of deposit. Any interest accruing is payable to the purchaser. Interest and IRS statements should be mailed to the purchaser's address.

g. The Certificate of Deposit will be held by the Wyoming State Treasurer.