,V I SO I Nxbi$$9CSR TNS VZSOINZA OAS SND OIL SCSRD

SSOLXOSNTs SOLON SZS NLTSS%L NSSEXISCSSg ZNC

{I) SSTSRLXHQQNT OF TNS DRXLLXNOONZT 4$21611 DSSCSISRD IN SRNXSIT»k» NSRSVO SND SSRVSD SY ~ NO

21611 {herein "Suh tDrill Wait») FS SNT TO$ 651 361~ 20, DOSS CFVZSOXNXA, SND {2) SOCLIRS OPIwce~u XN SSSXSCT DNXLLXROSNIT PSRII)RNT TO $ 65.1 361~

21'MR

OF VXSOXNXS» NCR TN ~XONS)NOTION OF uucnn~iwiinL NSTSSbLOSS PRON SSSXSCT Pl ONS{herein referred to as oas

VZROINIA ObsbND OIL SOSSD

DOCKST NO

VOCS 96 0517-0643

Ml»~ I%I» tSaasll ~W IRIJ ~21511 $0 RR~ IN TRS LOCSTXONRRFS OS R$)$)RXT h ~»RSCNL M )XOSSRXSL DWRRXCT,

VIRIXML»Sbby» 4 Lands» are noes

partioulerl, 'r desocibed oa RshibitS, ebtasbw) hereto and usda apart hereof i

1. Nnarije Data and planes This natter sans on for hearino before tbsvirSknia Oas aa4 cdl Rsasd {hereafter Nosed ) at 9<00 a.n. on Nay 17, 1996, atsent)west vicoini«4~ center, kbin$ 4on, Vir$ inia.

2, ~'anneal Narh 5, Snorts of Kayg Castor Chessy» Love 5 Wiseappeased fer 'tbs bpplisantg saadra s. R1$$s, hesistant attorney oeneral, waspresent to advise tbs Nacrd.

3 ~» ~'»»i~ and n»a)oaa pureuaet tO $ 4$ .1 361.1RL ga, VirOiniaCods> 1950 ss i ':=> tbe ssacd finds that it bas gurisdiotion over tbe sub/sotnetter. SaseS upw ths evidence ~~ hy Applioant, ths Soacd also findsthat the $$$6lkeasl, bss $ 1) ensceisad 4ue 411 is sonduotin$ a nsaninSfulsesroh ef coaoal&b Ly available soucses to 4s» 1» tbe identity and ~tsof sash Oae er eiL owner, ooal owner, or ainsral owmc havin$ as interest inSub~ SrilliaO Znkt underlyinS and SSS5)clead ef Sub~ Lande) (2) hae Rivennotioe to these parties so identified wbo bess nst heretofore leased orvoluntarily I to pool their Oas interests in the Su)r)eot DrillinO Onit{beseaftec bc cs»person( ~)" whether cepscrinO to individuals, oocporstions,

ase emotions, oospankea, businesses, trusts, ]oint ventures orother 1OSaK entitL to) entitled hy $ 6$ .1-361 1$i virOinia Code, 1950 as ssendsd,to netise of this applisstiong and {3) that tbe persons set forth in Rcbibit 5hereto have helm 4 Ontified by appli,east as owners of Oas or oil, ooal or edneralistecesas ue4srly Lao sub)est Drillins Snit, inolu4ino those wbo bavs nothscetssses leased sr voluntarily aSrssd to peel thole oas interests in sub)estDrillQN) Snit. Pcrtbsr, the Sessd has eauesd notice of this bearin$ to hspublished as ssOc iced hy $ 45.1-361.19.$, Vir$ inia Code, 1950 as

4. ~~tee S«hkbkt 5 was asended in the following reiPectil Pages2 and 6 of ssbkbi>'. s were asssded to reflect the current address of sasil Looney~nd geneva I)aocNP. Page 3 of Sxhkhit S wai assnded to reflect that theyeresntag» kd Quit attributable to Tract 8 ii 1.64 yercent.

5, aksek seal ~ l None.

Salksf Seaueetedc Syylkcant regussts {1) that pursuant to $ 65.1-361.$0, cela le 0,'wkaka, 1$$0, as asssdsd~ the soard establish subject DrillingQakt ts ba ssbvad bp waA No. 21631) (2) ghat pursuant te 5 6$ ~ 1-361~ 21, code ofVkrgknka> LM si ssssdae4 the ssard ysok ths rkghss, interests an4 estates ofthe hnewa aad us)cubic yassess lks¹04 kn ~~ sshkbkt s, page 6, section v,bsssof > aad ghekr bassa aad unhsswn hbkrs, asssstors, adcckaketrators, daskisss,trusteesc esskgss and sueceasorsg both ksssdkete IBIS celeste g in an4 tcI ths oasfer tha drkkkksg asd operation, including yroihlctien, of oai free the subjectDiklkkag Qek¹ sat chkkshed for tahe serai sssdstone and Devonian shale foreationi(herein vguh jest Pereatknna ) underlying Caid Coeyrkaed Of the Subjeot Lande(hereafter sosstkI cia collectkvelp 14enti fied and referred to as "well devsloysentaad/or oyaa'ation kn ths subject Drilling Unit" ) l and, (3) that the soax'ddesignate syylkcant as Unit Cyerator.

7. Sells f Orsntedc ghs reguested rekkef in this cause bs and hereby is{)ranted sade (1) Pursuant to $ 6$ .1-361.20, Code of virginia, 1$50 as asendsd,the ssard here) Ip estabkkshes subject Drilliag Uait) (2) pursuant to

, Coda ef VkrgLsia, 1$50 as::—:3,Colusbla Natural Sssources,'nit operator" ) ki dsskgacducd ii ths Opec'ator authclrkied toths well in ths sbbjeet Drilling Unit to produce oas froa

~, subject to the ysrskt provisions contained in $ 45.1 361.27¹ksgknka, 1$$0 ai asended, to $ 600%5-22.1 s5 Ns(5., oas and CilI I $ 45~5~22. 2 +, sge., Virginia Oas and cil Soard Regulationi,

coen tkss to tkse) ind (3) the oas interests and estates inI)akt of the hniwn asd unhaown persons listed in assnded NshkbktII Vg attached heretcl and sids 0 part hereof g and their )csown andi ccsoutorsc edsknkstraters dsvksees trustees aiikgna andkssedkate aa4 racists, leased or ualeassd, be an4 hereby areIjset Paocatkaas kn the subject Drilling Unit underlying and$ubjest Lande.

$ 65.1~361.23.C.3Inc {bassa+srdrill aed oysra¹iSubject Perse(t kenSK SSN c 004S cfNaguka¹kess Snd tall as saaad)cd fsubjsst oeilglegS, Pigs 6, ~Leuahsewa hskiscsuicssssrscpooled ka tb(c ScdcesyrLaed ef ¹he

Wbsrsayoa, ths SIIard herehP finds that ths notices given hsrskn satisfy all~tsbsterp re({ukrcaents, Soard rule regukressnts and the elnksus standards of~tshs 400 yiecssi.

The Sores Sand-stone andDavseLan Shalefcreations ~

Unit Sine

Ayproxisately125.66-acrecircul.ardrilling unit

PsraittedWell IcMIatkan

2 1611 ($00Exhibit 5for locationdepth laPPIrouksN401Y5,205 fest

Pisld andWell Classif ication

No ayplicable fieldrules) gai and oilwell under StatewideSpacing $65.1-361.17Code of Virginia,as aeended

Por the Subject Drilling Unitunderlpkeg aad cosyrksed of the Subject

Land Served hy Well No. 21611

Suchaaan County, Virginia$. slant Lan and Rlectian periadl In the event any gai or oil ownernaiad ia Aseadsd Suhkbkt 5, legs 6, Section V, hai not heretofore reached a

voksetarp ~mh to share ha Lhe oyeration of the well to bo located in)hdr)est Dri118ng fait at a rate of yapeent antsaIIP agree4 to by said gas or oilowner sad LL4 Ops radar'han sech parson eap sleet oaa of tha options sat forthia yare 8 below aed eeet give writtaa action of his olectien of the cytion~sleeted wtwh)r paragraph 9 basain to ths designated Qnit operator at ths addressabase be8ew %thin thirty (20) days @ca tha date this order is recorded in theceaety abave ~8. L tinelt election shall he danced to have bean sade if, onor )La~ Lhe Xae'. day ef said ~peris4, each sleeting person has deliveredhie written Ohectian to the designated Qnit operator at tha address shown belowor has dsxp yrsrnwnHaed .an4 phased 84e writtea election in first class Doited8tetes nail, yestiee pre))a&4 addressed to the Qnit operator at the address shownhe)ew

9.1 Oetisn 1 To Pnrticinsaa In The Lewelowwoot and ~ion af thoDrkllien Qnits Lap gah 'er oil owner snead in Aeendad Dhh)bit 8,yaga de 8asaien vg who hhs not ~ a volaatarif en~ant withLhe 'perator eag elect to pastiakp&tl in tho d0%4liioyasat and

Lien ef the 8ehf~ Drilling Qnit {hereafter "particiyatingetor") bf agreeing te yaV the osthawte of sech Participatingrober's y~ionats yart of the actaal and reaeociah1e costs,

issledkng a ress~ swyervksisn fse, of the well dove}eyeent and«Lion ia tbb 8nbPLst Drilling gait, as acre particnlarly setia virginia Qas Lnd oil yaard Dagulation vR ~-22.2,Icn 10 {heroin "csbylotad for prodnction costs"). pcrrher, aIcf8)atkeg operator agrees to yay tho esthete of sechIsiyatieg operator~a yreyortionata part of ths Dot fasted,Iata4 for psedsstien desto as aet forth below to the Qnit

Lor wihhie Celery five (88) defs fmm Lhe later of the debs of188sg or ths 4LLo ef xeeem4sg cf this Order. The eathaatod

~Led-for Srednetiea Coats for the 8wb jest Drilling Qnit are asfolks was

Dstieatod, Cceyleted-fcr-Production Costs:

$261,638.008 Parrlcipatlng Operator' proportionate cost hereunder shall be thelt obtained hy augtiplphag the participating operator'syeraewtsys In Delta as set forth in Dahibit 8 tines the costs stated

Ip shave. prem@lad, however, that i,n the event awrawl,riyatia6) cyeretor elketa Lo participate and fails or refnsee toyny 14LL sa828LLLe of his ~ienahe yart of the Rat~,CLOPLLLed-fo~lInstion costs as set forth above, all within the$488 ~ forth here%a and ia the ~~ peaeeribed in Paragrayh 8 of

Le I)84ar, thea each participating Operator shall bs desssd Lo have88 aet Le paraiskyabs aad to have «7,ected cosyensation in lionof participation yorseant to paragraph 9.2 herein.

ont)e v 2 Te ~ivo L oooh nonce ceeeiderationa In lion cf2)arhiliyating in Lbs develeg)drat aed operation of sob2ect DrillingQnit ender Parsgreyh 9.1 above, aef gas or oil owner nsae4 in8)sand w) Sshibit K pago 6, Section v, who has not reached aveleer+ry eeet with Lho oyaeator aap elect to aocept a cashhosea coaaiaeratien of 88.80 yor net nineral acre cowed LT sechperse 1, oesaeacleg wyen estop of this order aed contiaeing aanaallfclstil cssmaens~et ef ctioa frow Dwbdect Dri),ling Qnit, andtbeee~r a royalty ef 2/0th of 8/dths )~ave aed ~f yercsnt(12.8!k)) of tha net yrosapds received by the Qnit Oyeretor for thosale i)t the Qas predwcod frow any well dovelopeent covered bp thisCr4er enltipliod bf the gas or oil owner ' percentage Interest

"; gS))(. Q7ne715With(a gait as sot forth in Snhibit S (for purposes of this Order,Set proceeds shall be actiial yceoeeds resolved less post-~ion

incurred dswnstreae of ths wellhead, inclu4ing, het notiaia s4 to, gathering, eonyseaehsa, tiieetiag, transportation and

lnasbntieg ciists, ~ ysefcsNed Isf Unit operator or a thirda) as fair, reasonable Snd egaiteble csnyeneation to he toSas or eil owner. initial cash bonus shall bsonae due and

swing whoa so elected an4 shall be tendered, paid or oscrcwed withinSint3 (90) daYs of recording of tliis order. Thereafter, annual cashbenuvss, if any, shall becceo due aad owing oa each anniversary ofthe ilats of recording oi this order in the event yroduction freeSub+st Drilliny Unit has not theretofore ooaaonced, and sacs due,shel} be t~, paid sr eaerowed within sintp (40) dafs of saidanniversary 4ata. Case ths initial cash bonus and the annual cashbsaseea, if any, ar~ se paid or esorcwod, said papesnt(a) shall besatisfaction ia full fer tbe right, iaterests, and clahas of suchaleotino gas er oil owner in and to tho oas produced fran sub)octPosse tlon in the sub)est tends, except, however, for the 1/9th

Pnl ties due hereunder

Whe ~ lection na4e under this Paragraph 9.2, when so sade, shall besatiifaction in full for the right, interests, and elaine of suchelecting yerson in any wall doveloyaont and operation covered herebyan4 inch electing person shall hs dseesd to and heres doss leaseAn4 iissign his right, interests, and claies in and tc the Oas

ced free Subject Posaatioa in the Sub3ect Drilling Unit to theSnit Oysrator.

9,3, i latin a 3 - %o share ln Who navolesaaaak and Onaxatioa La 3 Won-](ooa) akeatino snaoaa. oa h caro+on sanda nad Wo Raceiva Qsno34oration

fJoa of caahi xn lien of ywkckpating in tbe deus~ andAtion of sasr)ect srilliag Waft u pseagrsyh 9.1 above and in

lieu of resolving a sash bonus consideration under paragraph 9.2abcvv,, any gns or oil owner assed ln sshibit s, page A, sastion v,who lies not reached a voluntary sgreeesnt with the Operator aay~loot to share in the dsvsleyasnt aad operation of sub)oct DrillingSnit on a carried basis (as a "Carried Well Oyerator") so that theprofn rtionate part of tho ccspleted-for-production costs herebyqllov able tc such Carr)Ied Null Oyerator ' interest is chargedAgo@ st such carried Null oyeraaor ' share of production freeSub)s ct Drilling Unit. Such Carried Well Operator ' rights,interests, aad ckaies in, aad to the oss in sub)ect Drilling Unit~ball bs 4eeand and hereby aro assigned to the Unit operator untilfba proceeds fran tba salle ef such carried wall Operator' share of}conduction free Suh5oet. Drilling Unit (exclusive of any royalty,Oases ~ er cverrddkny rsyhltp, or other ann~sting or non cost-Soarh ny humlaa reserved i,n any lease, aosignaant thereof orAleN Iasnt relating theesto covering such interest ) eiyials threehundred percent (3009} for a leased interest or two hundred percent

200%} for an unleaiisd interest (whichever is applicable} of sucharrk s4 well oyerator's share ef the cospleted-for-Production cows

allecabie to tbe iiitereat of sash carr(ed well operator. when theSnit 3yorator ~ and recovers free such carried soll operator'sAsaLqned interest tbo ascents presided for above, then, tba assigned(nsesast of such carr~'ell cyssator shall autonsbicailp revert

to such Carried Well oyeeator, and fron snd after suchrevas sion, such Caroled Nell oyssstor shall be treated as if it had

kciyated in4tially uyder 9 ~ 1 above) and thereafter eyartioiysting yecaea shall be with and shall yap hia~rtioaaS ~ pert of all further costs of such well devaloyaent.

Ths election oads under this yaraWraph 9.3, whoa sc oado, shall beSatisfaction in full fer the rLWht, interests, and elaine cf suchOloct LOO yorssn in any wall dovoleyaeat and operation covoro4 herebySa4 cosh olectLOW yoreen Shall be tc have and hereby 4oes

sifn his Fioht, interests, asd olsios ia and to ths oas yroducodrso subject ycroatien La the subject orillinw wait to ths wait

Speecher for the woriod nf tioa darisw which his interest is carriedds alIove provided prior te its reversion back to such elaetin9perse A

10. Sailvro ta Smea.lv aleut« ln tho event a person pooled hereby failste sleet »it/in tie ties, in tho dannsr asd in aocordaace with tho taros of thisCedar soe OS the a1teraatives set forth ia POFOOFayh 9 above for which hisL««bssoot LfL«o, thon oscO person shell ho deooad to have elected not tc3&rtioiosho io 55 ~ psoy«NO«4 davokeyoost and oyssatLon of subject Drillinw Quitaod AAl, bo =::==., Oshjoot to aof final loyal dobornlnaticn cf ownership, tchoes chested to accept as oatLSS~LOO La fall fcr such yorson's riwht,Latoroshn,,ood elsL«so La Sad to tho ohs Sho eoaefdoraticn prevLdod in yaroSFayh9.2 ahoeo wh«nh Lts Lohorest «ys«4LfLOO and shall be ~ to have leasedos41bo' is rioht, Latorooto an4 olaios Ln asd to Oas in the subjectOFLLILOO Oo tc '«he Unit Cyssator. l4eaeas whs fail to preyarly elect shall be~ to hdso sos«yted ths Iaospsnsatica and tares aet forth herein at Pareyraph9.2 ia satisfaction ia iull for tho rLWht, interests, and claios of such personia and te thd Oar produced free subject poroation underlyin9 subject Lands.

ll. Safnclt, av austin~ sesscnI In, the event a yoroon ycoled hereby~loots to yorhLOL«~o under poraWrayh 9.1, but fails or refuses tc pay, to securethe ysyooat 4F to oaks an arranoeaont with ths wnit operator fcr the yayssnt of~ueh @erose'S.WFOI ostioosto part of ths sotioatod, ceo«ylotod-for-production costsas OOII, forhb horoLa, OLL wihhia th» tLoe as4 in ths oanner as prescribed Ln thisceder, thea,sash porose shall ho dbesed to hero withdrawn his election tcpart~ Snd oilo11 bo deeded to havb «looted te acceyt as satisfaction in fullfer OOOO OOFOSO ' FLWOtg iatersyts ~ Sad SLOLOS Ln and tc the OOS thecooe540roh~ yrcvido0 La oarooraoh 5,2 above for whLch his interest qualifies

onihoo oorsos ~ attached to OIsch interest. Ntoieepon, aay cashbeaus ~~~Lan dse ao a ~lt ef such dooosd election shall be tendered,~st4 ec .

" oats opsia tee ulna alcott [Ml 4lbe ML tl ~ d ywhish oaso OOOOOI".Tcw person uodoF this Osdsr should have yai4 his yroserticnatepart of suoh or ohos14 have lllado satLsfacterf arranWoaents for tho pavosnt

«o«5o meh each hsnss sosoLWorotido Ls paid or escrowsd, it sh«d,l bo~atisdosthoo'Ln f FLL for ths riwht, ', and-claios cf such ysrsoa in andbo «die dao ~L]ILSW subject OFLLL wait in tho subject Lands covered hereby,~nooyt> ~m, fer any llyth rafa ties whish would boccoo due pursuant tcyarayssyh 9.2 hor Sof.

12, u ~~, of Interests In the event a person yoolod hareblr isusable tc ~ «i vo~ oyseosont to share Ln the cyeratioa ci'he wellcaotOOOLahad.by this order at a Fate ef yeyoent OWFoed to actual,13 bf said Wasor eil swear 'o4 tho oyo««sheep olwl OWL4 yo«ssso oJoots or fails to eiect tc dcether thon yawtio«wto under pard'woayb 0.1 shove in the dodeloyoent and oyeraticnof tha uoLL 30 oili«oFLLILOO Snit, thon such person shall he 4eeeed to haveaod shall ao unto Unit Operator sash yorson's riwht, interests, andcIOLos Ln te IISid well, in Subject yorbetiono in Subject Or«.lliny Snit, andother shore a«4 to Oaa ~Len tc whiclh such parson aaf be entitled byraasea ef awy olseticn cr desosd election hereunder ln accordance with thoyrcvisfoao of thil Order WovsrnLOW sa14 elections.

13. Nnio auurster ler. onurator«s coluobia Natural Resources, Inc., beasd hes«dvf 1 s 4OIILWnoted as Snit «fyorotor authorised to drill and cyerate wellNe 23031 Ls Sub/Oot P@aeatioss Ln ~ OFL11LOW Unit, all subject tc theyer«oit prov~,esntaiood Ln Sootiea 55.1 341.29 Q, SO«4, ~ Cede of VLFWLnia,1950 as a——~, 35 4$h45 22.1 Oh SSO., Oas and Cil Os0ulaticns and 55 450%5-

22.2 SL SS(X.> Virginia Oas and Oil Scard Segulations, all as amended from timete time> aad all elections reguirod by chio order shall be cess>unxcated to UnitOS»ester in writ(i mg at the address shown below>

ColumbXa Natural Sesources, Inc.P. O. Soa 5070Charleston> NV 25352~70Phone> (306) 352~5155Pas> (306) 353 5231attn> Neith S. Moffatt

X4. dsmssncomnnt of Onnrations> Unit Operator shall caeence or cause~ ~>>>> k> > >>> > >1>>>> > > ll ~ > Ay >>>l~ aad s5nct tive (365) days free ths dace of this order and shall prosecutech» ~ed'ue diligess ~. If gait Speracor shall not have so c~noed cad/orr ~eAI4> Chen chfLs order shall ter(mxnaco, euoepc fer any cash sums h»seeingpsiysh54 ~ "—::)otherwise> unless woes'>ar»inated by Order of the Seard,(dais Owdar ~X aspire ac 12300 pw. en che data on which any well covered bychio o»4se x(N 5=,~xp ~~ sad pxns()ed» ~> xn che event, aa appeal

Ch4 ~ Order> thea che tin» ~ chs fixing of the pecitloa forsspenx asd (4(e f0'rder of cbe Circuit Osurc shall be excluded in calculatingthe ema ysa~rpsrxsd referenced herein.

completion of any wall whose costs comprise part of theSstimated> Oalmploted fet-Production ((oats set forth in Paragraph 9.1 above> andwithin axnocy (si)) days after production into the pipeline is obtains'ndress»reckon r(f thi> location is completed, chs operator shall filo with the soarda r»vie»4 smbxhxc ref looting the actual oc>spxsted-for-production costs for thesnh2»sc sailxiag gait.

15. OnnrmCor>s Cloned Vnic operator, in addition to the other rightsafforded ~»s> shall have ~ lien aad a Light of set off on the Oas estates,rx((hce> an4 feb ireats owasd by any person sub]oct hereto who elects to

u)cdhr pacagraph 9.1 xn chb (bdr)esc srilling Qnic to tbs »scene thatcasts kaenrs54 in cho drxxxxng or operacioa on ths suh)ect orilling Unit are aoharg» ~ suiA person' interest, Such liens and right of sst off dbaXX be~eparabX» as te aaoh separate person and shaxl remain lines until the Unitopsencmr drdXxxng or operating any w»xx covered hereby has been paid che full~msascs dus seder the terms of this order.

15. Sacro» Provisions s

15.1 Nnsrm > ~> Sy Chio order, ths Soard instructs the Ssorow Agentnomad hmrsxa Or any suoeessor named by the soard co establish an interest-hearing~esssw ~> (I sr»Ln chs ssorow ncseunc") to receive aad aoooaat to ths soardpaeeaaat co Scs e)res»ant for ths sac»owed fun4s hereafter described>

TaaowaXX Nscienal sank0 Sbr 909

gaaaw»XX, ViL 26551(her»in "Ssorow hgent" )

16 2>Sacr>m> Psnvinions Sar Unbnown or Bnlocntnblo Parsons> If any paymentof bonus> royhity payment or other pay)Cont dus and owing under 'this order cacao'tbe eaSe boone»e th a person oatitlod thar»Ca caaaot bo located or is unhnown, then~ush sash bonus, joyaxcy payment, or other pap»oat shall not bo ccmmxngXed withaay fends of ebs (R>xt operator an4 nha'll> pursuant to section 45.1-361.21.0>codsof Vkeyka4a> 1950 as amended, and said sums shall be deposited by the operatorinc» che sasrsw 5>'»oust. coma»acing within slaty (60) days of recording of thisorder> aad ce»tinning thereafter on a aoachxy basis with each deposit to bo sade,hy nse ef a ~ f»rmat approve4 by the Inspector, by ~ date which is no laterchas olney (50) Aiys after the last day of the month being reported and)or for

whish funds sse rub)eot to deyosit. 4uch funds'i~11 be bold for the seclusiveuse ef, and soke;wsstkt of tb~ persoh, entktkyd thereto until such funds can beyskd te sash yosssn)s) or unti) tbb ~* Bgoat relkaqukshos such fund~ asrsoekre4 by lsw <ir ysreuant to Orden of tbe Beard in aocsrdsnoe with 5 65.1-361.31.S.,Cede sf Vkrgknka, 1550 as unended.

17. snaokak skodkooas The Beard syeckfksaklf and specially finders

17.1 byykksant ks a fuses corporation duly authorise4 and gualkfkod tc1 Was Waaea l aa ~aa 1 V~VaV

17.2 byylkcant clakes ownership of ga ~ leases on 94.33 percent of Sub/octsrillkay onit aad the rkght to oaykore for, develop and prado oasfrvra sass

17.3 ssylisaat is as oyeratcs in tbe cemonweaktb of virginia and bas~atksfkod tba Soar&'s rogukceaeats fcr operations in Virginia)

17.4 hyykksant has yrofiosod tbh 4rklling of Well No. 21611 on the Sub]octDrillino Unit to develop 'the yool of oas in sub5oct yorsatkons.

17.5 Set f mth ks Sshkhkt B as~ is tha sass and last hnowa addressef ssoh person of record hfsntkfksd hy the hyykkcant as ~kalgss ur oil owners whs say bess an interest ka the sas ia Bu)r)octSa'illkso oskt uadsrkykns: asd ssbysksed of suhfeet:.3sads of which5.67 ysaeent ~kns unloosed bT or to the operator.

17.6 The y~ depth of Well No. 21611 is ayyroakaatoly 5,205 gest.17.7 Tbe esskssted yseduetbon over the pro2eotsd 30-year lifo of ths

r -~~ weil is 27.63~ sjsf4. Ths ostksated ssount of reserves inplace in the Subject Drinking Onit is 0.3 bcf.

17.4 Syykksant's ov~ established that the fair, reasonable andagain ahko cssyansstken bni hs yakd to any yersoa in lieu of the rightto ysrtkskysbs kn «sp welk covered hara)vf ars those cytions providedia paragraph 5 above.

17.5 The funest Drklkkno oskf, 4oss not constitute an unreasonable orarbitrary ouerskse of Syylkosnt' right tc erplore for or producegas.

1'7.10 The i;elief regusstsd and Wasted is gust and reasonable, isrtod hp substantial evidence snd will afford each person in thoart Drklkkef Onkt the;opportunity to recover or receive, without

unnso Iassrf snyeass< h passen's fust and fair share of thoprado&ken of tbs gos Ior oil free subject Drilling onkt. Thogrant)ng of Ae 35)ylksat and rekksf ro5yiestsd therein wkll ensureto tb s ostent ysslrkhks t Ocssbest altksste reoc&orf of sss andok@ yshvont ar sachet 3n r~ kay the various types of wasteyrohkiIdtsd by stabs'ssteot or assist ia yrsteetkag thscorrelative rtwfsA of ski!~ kn tbb su)r)ost ceskson seeress of~eypkr in ths Sub)eot fdu)ds. T))eisfora, the Board is entering anOrder orsntkag tbo relief l herein sst forth.

ls. Nakkki wm, nf. sudor aad sklksa. sf bdfkdavkt c byylicant or its httorney~bskk file sn aff.Ldf)vkt Wf& ths' ssy.of bho Board within skate (60) daysafter Ae 4atsl of receipt of this statks5 that a true and correct copy of~skd 45sfsr wss ssklad within seven {5) days fros tbe date of receipt of thisseder tls sash perilon peeled If'( this Order whciso addL'oss is known.

a~u ssLILte of aaLt --———c Tbe Director shall Drorida all Dereone

Caot sub~ to a ) sees»Lth r '~lcl assess to all rooor4s for AQVJoet DcilliaeQuit shish eco <aheittod by tho Oait Oyecatoc to saL4 DLceotor aa4/or hisIaeDaetor fs) ~

<~s Therefore< tbe ~od calksf aad all terse aa4Drorieioae eat frith abase bo aa4 hereby aca oraatod aad IT Is se:=:=::="

31. eeecccLro eoaos This order shall he affective oa tha 4ato of its~oocioa.

Wgg ~ DSKOSSQ this~~ day of ~ 1994, bya audacity af thc lSrOLaia eas aad Of1 Deac4. I

Isshceaau, ~ aemegaera'ba

DDD —::=:— this ~ daFocdac of this Daec4.

Y

%ieees Falser /Dueeutive The Staf S

Oas and Oil hoard

1$$4g by

1

, g gi ~„.. ~,, this 4ay of bXW~~d, 199',MOIRAI &Alla M I ~hh ~Ch M vlIel:,:—,heie$ 4uly suer» 4id ~ aa4 say that ho is Oa a~

5 aad Oil Deere, thdt hs esa'eutod tho sees eud was authorised

Ny ~~ea oaF,~ 7/31/94

Sueaa e. OaetotDetary Public

,

»'lg

~TROD OF lQ~DIh )COSDST OF DSSD )~~!ee this 2f deF ef ~~ 7 n~iv ~, 1999,Doreeaakly ~= m a aetary ie ia ead liitbb ~, -Dth of VLcDLaia,~DSeared Th me Duleae, duly esses did ~ aa4 say that be is

1 e to tbe Staff o! VLcDLaia eas aad Oil hoard, that bo— erne aad uas autbacised 4o eo.

"et'a. c2

ll

//

//

// Leice NO. 4

I gt Ac.I LAN» I

Aa 8

Sect Ho.I

lac8» l8Helen@Ncaa1'

h %ec

EXHIEIT AV008 94/05/1M)443

Radius extends free a point located on VA StatePlace Coordinate N376080.26 E902874.61

CAPT'4" tf f40Ãfhsfw8%88 ted% 4w AcRRA

8AtK: 1 ~4N'ccnccd

PtO. ~ Kneinccr

VIVOS 04/05/1 V8 Ii@8

PAOR 1

I. tÃX k%9 t IAS:QWNRRS 0N SACS .TRACT 1Ã TSR UNVT

Oset sr

The sas Eg@sgSox 54Aab cay, KY 41519

Salsa ~P. C. Sex 510Sroths, VA 5480V

Joe 1 kataes, Bs4rs%stat R. RalnesP, Cl. Sox $05Seethe, VA 540OV

ksaa S. Rshtos

l~ ON 88.004NSP WRLL 51405

'IOOOOV~ 1V.500'RXP. V H4

55050VO-OOO 11.558EXP. 10-55~

Rvetett J. RelaceP. Q. Sex OVO

Oratory, VA 54814

Thee Core ~- LIIe Sstate-P. 0. Sox 15VSrsaks, VA 540OV

NQT'IASKD

Satt4 y LooaeTs$004 Pearl St,

tPort, TN OVOOO

stot to Ste estate ol'hooOmo Loottey

i

UQQS 84I05I 1V-044: I

'C

~RD ~88+ 8, Paeg 2

ae. MmM

Chloe 6 'eaaway- LSa 'IasaseQeaaeal SIshbreryBreaks, UA 8450V~i Soberta Pygasa++

~Wee SShlteo»5I~Vk ~~~set so~ee5ssse e8~Cessassay

t.HS5!K"KK%~

See@ 14Ssssly assd.

,Cisaeea Seesaw6 lsabsiey pr.SS. Ta*essa11, VA a4630

1Q~ 81.841

Son 58~S,UA 41515

SQly Aa «3t KPH@gP. O. Ssx 8855PScev95>, KV 41555

Jaha EP ling5584 Qe ege Ught RoadKnox+Bio, TN 58881

Walter 1 . EPlisSKP. G. Ssx 5858Pikov8b~, KY 41501

Orvta W'.ld5555 94sesond St.Flint, Ml 48555

Ruby Little5485 Qrl swald St.Mt. Mor;de, Ml 48455

VQOS 94/05l17-1443E&lESXT SPACE 3

.qg. 455~MAMENDED EESXSIT B, PACE 3

UnitTractf Owner

C.O. I lil lian Wallace6070 I'lashing RoadPlush.in@, MI 48433

Srian W. Wallace6070 1'lushly RoadFlush).nS, MI 48433

CNRLease 9

Acres Perct.in Unit in Units

Pine l euntain448 Ncrtheast Main St.P.O. Xex 5100Lebansn, VA 24266

1068840-000 2.056 1.64%

II ~ QSS SMS OXX LSASSNNLD SWMNNSNXP

coluNhia Nalnaral Resources, Inc.P.O. Sex 6070CMarleston, Wv 25362-0070

TRACT ONETRACT TWOTRACT TARETRACT PQQRTRACT FIVETRACT SXXTRACT SEVENTRACT EXCMT

LEASE 1063768-000LEASE 1203074-000LEASE 1203075-000UNLEASEDUNLEASEDUNL'EASEDLEASE 1201238, 000LEASE 1064340-000

26 '8417.30611.2584.5222.396

.20161.3412.056

21.15413.779

8 '683.6081.91%

.16%48.81%1.644

125.664 100.004

III ~ QSAL +~—S@ f%lIRSSNXP

No lease of record.

IV. e sn n NNTESME SPECIFIC LEASEMSLS OWMERSSIP

No coalbed sethane leases of record.

um Slrm%l~XI ~W B, PASS 4

V S4ISiS/IV-044$

~4V. UNLI~4NgNRRS ASNI X%IT~~Qt'AS

r:::.laceoy- Qh SBSNeP., Ck'Saa 1ST~, VA %480T

N/A

Peuet.

3.00ih

SastS~1da gstSf

-. 4 t kb aggaan ef Treadle» ~N/A 1.01%

~Su~aV

,SNir~Rhl Ntruurlr

, Vih SCSiN< e Sfa aaante W~'If

SasH Kst@auS attd N/A~I/at grey6 Nrrgaar/ Itx'-N. Taaatesll, VA 24630

VI. I~ATXQ,.GAS. GII .~~WtN~ ~RS

VIRGINIA: In the Clerk's OSce of the Cirndt Court of Buchanan County. The foregoing mstrumentwss this dug~ted in ~ep sforessid ~~with the ~of scknowl

Remrned dd dste to;g .. <~ TBSTB:8r/ rc

!'4tl[jI

, llew.

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