)) $V'NSTRUMENT

PREPARED BYVIRGINIA GQ AND OIL BOARD

07000'l687

!ORDER RECORDED UNDER CODEOF VIRGINIA SECTION 45.1G61.26

VIRGINIA:

BEFORE TFIE VIRGINIA GAS AND OIL BOARD

SUPPLEMENTAL ORDER REGARDING DOCKET NO. VGOB-05/03/15-1420-03

ELECTIONS, UNIT: 825404

(hereinafter "Subject Drilling Unit" )TAX MAP IDENTIFICATION NUMBERS:

TAX MAP IDENTIFICATION NUMBERS FOR ALL PARCELSAFFECTED BYTHIS ORDER ARE SHOWN ON EXHIBITS (S)JIWHICH IS/ARE ATTACHED TO AND A PART OF THIS ORDER.

REPORT OF BOARD

FINDINGS AND ORDER

1. This Supplemental Order is entered by the Board sua snonte in the form authorized bythe Board at its hearing held at 9:00 a.m. on October 20, 1992, Board of SupervisorsRooml, Courthouse, Grundy, Virginia, and pursuant to authority granted to the Board'sChairman at the hearing of the Virginia Gas and Oil Board on June 16, 1992, at 9:00a.m. Ift the Rhododendron Restaurant at the Breaks Interstate Park, Breaks, Virginia;and this Supplemental Order is being recorded for the purpose of (1) complying withthe re)uirement of the Virginia Gas and Oil Board Regulations, 4 VAC 25-160.70C bysuppkmenting the Order previously issued by the Board for subject Docket on June22, 2~ and recorded instrument ¹ 060002239 in the Oflice of the Clerk of CircuitCourtJ Buchanan County, Virginia on July 6, 2006 (herein "Board Order" ) to completethe aeord regarding elections. The Board Order pooled all interest in Subject DrillingUnit ilacludmg those of the Respondents more particularly set forth and identified bythe ~signated Operator in the affidavits attached hereto and made a part hereof. TheBoard finds it has jurisdiction over tbe subject matter pursuant to the provisions of theVirginia Gas and Oil Act, $ 45.1-361.1~et .,Virginia Code, 1950 as amended.

2. - Findhiss: The Board finds that:

(a) The Board Order directed Chesapeake Appalachia LLC, (herein the DesignatedOperator" ), to mail copies of the Board Order to all respondents whose interest,if any, were pooled by said Board Order;

(b) The designated operator filed its affidavit of mailing dated August 23, 2006,Idisclosing that it had mailed a correct copy of the Board's Order to allRespondents whose interest, if any, were pooled by said Board Order;

Ooi

(c) The Board Order required each Respondent whose interest, if any, were pooledby the terms of said Board Order to make his or her election within thirty (30)days after the date of mailing or recording, as applicable, of said Order; theDesignated Operator has filed its affidavit dated March 19, 2007, in accordancewith $ 7.C of the Virginia Gas and Oil Board Regulations and 4 VAC 25-160.70C (herein "Affidavit of Election" ), wherein it has, for each Respondentwhose interest, if any, were pooled by said Board Order, stated: (i) whethereach Respondent has made or failed to make a timely election; (ii) the nature of

i the election made, if any; (iii) whether, by reason of a failure to elect or totimely elect one or more Respondents are deemed, under the terms of theBoard's Order, to have leased «11 their rights, title, interest, estates and claims inSubject Drilling Unit to the Designated Operator;

(d) The Board Order further required the Designated Operator, afier expiration ofthe election period, to file with the Board a statement of the interests subject toescrow under the terms and provisions of the Board Order, in light of theelections made or deemed to have been made (herein "Statement of Interests" );that the Designated Operator furnished said Statement of Interests as part of itsAffldavit ofElection. A copy of which is attached hereto as Exhibit B;

(e) Current Board standards requiring the escmw of flmds and the Board'sagreement with its Escrow Agent, Wachovia Bank, N.A., VA7515, P.O. Box14061, Roanoke, VA 24038, (888) 396-0853, Attn: Judy Barger, or anysuccessor named by the Board, require the entry of a Supplemental Orderestablishing of record the elections made or deemed to have been made andspecifying the sums or percentage thereof subject to escrow. Curtent Boardescrow standards were made applicable to Subject Drilling Unit by a BoardOrder dated December 23, 1992.

d m accordance with the findmgs set forth at paragraph 2 above and theAffldavits, any funds subject to escrow and instruct the Escrow Agent,

Bank, N.A., VA7515, P.O. Box 14061, Roanoke, VA 24038, (888) 396-ttn: Judy Barger, or any successor named by the Board to establish interest-

escrow account(s), IRS Tax Identification Number 54-1629506, ince with the information set forth in said affidavits to receive such funds and

to the Board therefore.

with anannexedWac)to via0853, Abearingaccotdanaccolint

3. ~Ord: By this Order, the Board orders the Designated Operator to tender, consistent

4. MaiIIna of Order and Filina of Affidavit: The Designated Operator under thecapt(oned Order or its Attorney shall file an affidavit with the Secretary of the Boardwithin ten (10) days after the date of receipt of this Order stating that true and correctcopy'f this Order to each person whose interest or claim is subject to escrow andwho'ddress is known.

5. Conclusion: Therefore, the findings and all terms and provisions set forth above beand hereby are granted and IT IS SO ORDERED.

6. Effebtive Date: This Order shall be effective on the date of its execution.

/l 4DONE AND EXECUTED this /P dayof, 2007 by a majority

of the Vir~a Gas and Oil Board. /

Chairman, Beqgr R. Wsplfpler

DONE AND PERFORMED THIS /P day of 44sAvf, 2007 by Orderof this Boar(1. /

5.'%.WilsonPrincipal Executive to the

Sta6'irginia

Gas and Oil Board

003

STATE OF VIRGINIA )COUNTY OF WASHINGTON )

Acknowledged on this 17th day of April, 2007, personally beforeme a notRry public in and for the Cosaaonwealth of Virginia, appearedBenny WaNpler, being duly sworn did depose and say that he is Chairmanof the Virginia Gas and Oil Board, and B. R. Wilson, being duly sworndid depose and say that he is Principal Executive to the Staff of theVirginia Gas and Oil Board, that they individually executed the sameand was authorized to do so.

Notary Public

Ny commission expires: September 30, 2009

VIEGIMA GAS AMJ OIL BOARD

ation of Chesapeake Appalachia LLC for Forced Pooling of Interests in Unit, VGOB Docket No. VGOB-05/03/15-1420-03 in the North Grundy Magisterial

BEFOBETHgIN RE: ApplilcNumber 825404District of Buchanan County, Virginia.

AFFIDAVIT OIF WILHOIT & KAISER, Attorneys-at-Law, Agents for the Designated OperatorREGARDING ELECTIONS, ESCROW ACCOUNTS AND SUPPLEMENTAL ORDER

James E. Kaiset (herein Affiant), being first duly sworn on oath, deposes and says:

1. That the Affiant is an attorney in the law firm of WILHOIT 4 KAISER, the Agent forthe Designated Operator, with offices located at 220 Broad Street, Kingsport,Tentiessee 37660, and is authorized to give this Affidavit in its behalf;

2. That the Order entered on June 22, 2006, by the Virginia Gas an Oil Board regardingthe Oaptioned conventional Unit required the Applicant to mail a true and correct copyof s&d Order to each person pooled, by said Order;

3. That withinat Paragrapsaid Ordernanted in thany/ who are

seven (7) days of the receipt of an executed copy of the Order referred toh 2. above, the Affiant was directed to cause a true and correct copy ofto be mailed via the United States Postal Service to each Respondente captioned Application, whose address was known, and to all permrns, if

added as Respondents 'at the hearing held in the captioned matter;

4. That the Order of the Virginia Gas and Oil Board in the captioned matter required allpersons pooled thereby to tender their written elections to the Unit Operator within

(30) days of the date said Order was recorded in the county above named; thatsail Order was recorded on July 6, 2006.

That the Designated Operator, by and through their agent, Wilhoit ik Kaiser,Attorneys-at-Law, have established procedures to review all mail received and allwritten documents received by means other than by mail to~whether partieswhose interest have been pooled have made a written election, in a timely fashion, asreqitired by the captioned Order; that said procedures were followed to identify theelections, if any, made with regard to Subject Unit; that the following personsdelitrered, by mail or otherwise, written elections to the Unit Operator, within the

day election periods:LeeLr Elected

6, 9 8L10 Eloise KeeneRt. 1 Box 163Grundy, VA 24614

Participate

II, 9 & 10

ser

Elswick Family PartnershipRt1, Box 352Grundy, VA 24614

Elected

Gamed Interest

8, 9 & 10 Timothy McClanahanRt 1, Box 161Grundy, VA 24614

Participate

8,9&10

8,9&10

Mabelene ClevingerRt. 1 Box 386Grundy, VA 24614

Lois and Donald R. BentleyRt. 1 Box 364Grundy, VA 24614

Carried Interest

Gamed Interest

8,9&10 Brenda and Leonard Lee Charles Gamed InterestRt1 Box362Grundy, VA 24614

8, 9 & 10 Paul and Judy McClanahanRt1 Box363Grundy, VA 24814

Gamed Interest

6. That the interest and/or claims of the following persons (who made timely elections, orwho are deemed under the terms of the Board's Order to have leased, or who,subsequent to the pooling hearing held in the captioned matter, have leased orothetwise entered into sn agreement with the Designated Operator) are subject toescrdw under the Board's Order pooling the captioned Unit, Board Regulations and theCode ofVirginia as unknown/unlocatable.

NONE

That~ atter the pooling hearing held in the captioned matter, the following persons haveleaaed or entered into a voluntary agreement with the Designated Operator withregard to their interest and/or chthna which are not subject to escrow:

Edith YuhazRt. 2, Box 493Grundy, VA 24614

Fem M. FieldsP. O. Box 212Abingdon, VA 24212

'4

8,9&10

Leeor

Elsie F. Cline19602 Leesville RoadLynchburg, VA 24503

Faye F. BlankenshipRt. 2, Box 493Grundy, VA 24614

Margaret V. Compton6500 S. Magnolia Ave.Ocala, FL 34474

That ithe following persons have not made a timely election and have failed to enterinto an agreement with the Designated Operator and their respective interests shall bedeertted to have leased pursuant to and in accordance with paragraph 10 of the Order.

l x ~sor Cash CoasileratioaBank of America, Trust Department 0.063333X $5.00 = $0.32Trustee for Grace W., Thomas, Elise ThompsonClark Educational TrustAttn: Brad KollinsP. O. Box 830308Dallas, TX 75283%308

8 Luther Burton Fletcher Testamentary Trust 2.113125X $5.00 = $10.57Testamentary TrustP.O. Box 820Comville, AZ 86325

Donny H. Stevenson9441 High Gate RoadRichmond, VA 23236

0.040250 X $5.00 = $0.20

James E. Stevenson, Jr.956 Daniels Run Road NECheck, VA 24072

Lois Jean Akers12 Gordon DriveStokesdale, NC 27357

0.006708 X $5.00 = $0.03

0.040250 X $5.00 = $0.20

David G. Robinette123 Greenbrier DriveRadford, VA 24141

0.067083 X $5 00 = $0 34

Tract LmsoZ

Samuel P. Robinette4927 W. Brookfield FarmAshland, KY 41102

Teresa Justus1864 Haverwood ParkLexington, KY 40514

Edison C. McClanahan3015 Electric StreetLincoln Park, Ml 48146

Roger W. McClanahanRR2 Box228HCedar Bluff, VA 24609

Estin Rudolph McClanahan4123 Zulla RoadPlains, VA 20198

Cash Consideration

0.067083 X $5.00 = $0.34

0.067083 X $5.00 = $0.34

0.150938X $5.00 = $0.75

0.150938X $5.00 = $0.75

0.150938X $5.00 = $0.75

Denny Allen DotsonBox 641Grundy, VA 24614

Alias Dotson Summerlin1073 Sheehan Blvd.Port Charlotte, FL 33952

Ronald Lyle CoxRt1. Box361Grundy, VA 24614

Steven Lyle Cox1700 Pratt StreetBlacksburg, VA 24060

Ronald James LooneyPO Box 2411Grundy, VA 24614

Terry LooneyRt 5 Box 158Grundy, VA 24614

0.402500 X $5.00 = $2.01

0.402500 X $5.00 = $2.01

0.067083 X $5.00 = $0.34

0.044722 X $5.00 = $0.22

0.044722 X $5.00 -"$0.22

0.044722 X $5.00 = $0.22

9&10 Luther Burton Fletcher Testamentary Trust 1.955139X $5.00 = $9.78Testamentary TrustP.O. Box 820Comville, AZ 86325

008

9&10 Donny H. Stevenson9441 High Gate RoadRichmond, VA 23236

James E. Stevenson, Jr.956 Daniels Run Road NECheck, VA 24072

Lois Jean Akers12 Gordon DriveStokesdale, NC 27357

David G. Robinette123 Greenbrier DriveRedford, VA 24141

Samuel P. Robinette4927 W. Brookfield FarmAshland, KY 41102

Teresa Justus1864 Haverwood ParkLexington, KY 40514

Edison C. McClanahan3015 Electric StreetLincoln Park, Ml 48146

Roger W. McClanahanRR 2 Box 228HCedar Bluff, VA 24609

Estin Rudolph McClanahan4123 Zulta RoadPlains, VA 20198

Denny Allen DotsonBox 641Grundy, VA 24614

Cash Consideration

0.037241 X $5.00 = $0.19

0.006207 X $5.00 = $0.03

0.037241 X $5.00 = $0.19

0.062068 X $5.00 = $0.31

0.062068 X $5.00 = $0.31

0.062068 X $5.00 = $0.31

0.139653X $5.00 = $0.70

0.139653X $5.00 = $0.70

0.139653X $5.00 = $0.70

0.372407 X $5.00 = $1.86

Alias Dotson Summerlin1073 Sheehan Blvd.Port Charlotte, FL 33952

0.372407 X $5.00 = $1.86

Ronald Lyle CoxRt1. Box 361Grundy, VA 24614

0.062068 X $5.00 = $0.31

'9 & 10 Steven Lyle Cox1700 Pratt StreetBlacksburg, VA 24060

Ronald James LooneyPO Box 2411Grundy, VA 24614

Terry LooneyRt 5 Box 158Grundy, VA 24614

Xract Lessor Cash Consideration

0.041379 X $5 00 = $0.21

0.041379X $5.00 = $0.21

0.041379X $5.00 = $0.21

That pursuant to the provision of 4VAC 25-160.70C annexed hereto and incorporated herein is aproposed supplemental order to be entered to complete the record regarding elections; that saidannexed supplemental order sets forth that the services of the Escrow Agent are not required inthis matter ~t to the terms of i1'$ 45.1-361.21.D.Dated at Kingsport, Tennessee, this ~ day of ~ 2007.

Taken, subscribed and sworn to before me by James E. Kaiser, the Agengto ChesapeakeAppalachia LLC, a corporation, on behalf of the corporation, this AJ~ day of

, 2007.

My commission expires:raauaalar(

Notary

«aaeaaleo

EXHIBIT BWell No. 025404 (HCS-10)

/Revised 2/8/07)

LEASEINTEREST

WITHIN

GROSSACREAGE

TRACT 1 13.50acres Acres In Unk

Jack AliffP.O. Box 1160Oceans, WV 24870

John Michael Goff1928 Parhan RoadRichmond, VA 23229

Leigh Ann G. Fo/ey8314 Yolanda Dr.Richmond, VA 23229

Mark Sloven Golf239 Arrowhead LaneStud/to Draft, VA 24477

Geny MWline Ersek830 W. 34th St, Suite 201Austin, TX 78705

Leased

Leased

Leased

1.081507%

0.463503%

0.463503%

0 463503%

0.695254%

1.218750

0.522321

0.522321

0.522321

0.783462

Janie Mulgns Workman19306 Oakwood Dr., Westwood EstatesASngdon, VA 24210

Deborah S. Hukm7638 Lodge Pole TrailW/nter Park, FL 32792

Danny Oh/ates ShortrldgsRt. 2 Box 859Grundy, VA 24614

Marie SortridgeRL 2 Sox659Grundy, VA 24814

Neg Bswlck Shortndge C/O Laum Landrum4300 TuNamom Esbrtss Rrt.Galnesvige, VA 20155

ChsrNNa Kegy LovelaceRt. 3, Box 21~Penlnglon Gap, VA 24277

John Charles Moom4908 StockdonPocomoke City, MD 21861

My/go G. Benton9000 Hines RoadBalbmore, MD 21234

AnNa Shortddge Bennett10402 Civic Club DriveJ cksonviM, FL 32219

Fred Aken hortridge7827 Lazy LaneSpdng, TX 77801

Leased

Leased

Leased

Leased

0.695254%

0.154501%

0.154501%

1.081507%

1.081507%

1.390509%

1.390509%

0.041598%

0.041596%

0.783482

0.174107

0.174107

1.218750

1.218750

0.048875

0 046875

Page 1

Sus Ann S. DealP.O. Box 281Grundy, VA 24814

Rebecca S. Rosen134 N. SkyBows PointLecsnto, FL 34481

Phyllis S. Matney (f/k/s Phygls R. Shortrldge)P.O. Box 182Oakwood, VA 24631

TRACT 2 3.04acres Ac/be in Unit

Jack ANfP.O. Box 1150Oceans, WV 24870

John Michael Golf1928 Psrhsn RoadRichnond, VA 23229

Leigh Ann G. Foley8314 Yolsnds Dr.Richmond, VA 23229

Mark Steven Goff239 AnowhrnM LaneStuarls Dralt, VA 24477

Gerry Mullins Enmk630 W. 34th St, Suite 201Ausdn, TX 78705

Jwue Mulgns Workman19MB Oakwood Dr., sst)rood Esbd 4ANngdon, VA 24210

Deborsh S. Hulse7838 Lodge Pole TrailWbdsr Padb FL 32792

Danny Charles ShanddgeRt. 2 Box 859Grundy, VA 24814

Male ShorbidgeRt. 2 Box 659Grundy, VA 24814

Nas Ehvsck orlrldge C/O Laura Landrum4300 Tusamwa Estates Rd.GwnesvBe, VA 20155

Charlom Kelly LovelaceRt. 3, Box21&BPennington Gsp, VA 24277

John Charles Moom4906 StockdonPocomoke City, MD 21861

E)IHISIT fgWell No. 025404 (HCS-10)

fRevised 2/8/07)

LEASE

Leased

Leased

Leased

Leased

Leased

Leased

Leased

Leased

INTERESTWITHIN

0.515003%

0.515003%

0.380502%

0.162380%

0.089583%

0.069583%

0.069583%

0.104374%

0.104374%

0.023194%

0.023194%

0.182380%

0.182360%

0.208748%

0.208748%

GROSSACREAGE

0.580357

0.580357

0.406250

0.182963

0.078413

0.078413

0.078413

0.117619

0.117619

0.028138

0.026138

0.182963

0.182963

0.235238

0.235238

Page 2

Myrtle G. Santon9000 Hines RoadBsmmors, MD 21234

Anita Shonridge Bennstt10402 Civic Club DriveJscksonvNe, FL 32219

Fred Allen Shortridge7827 Lazy l,aneSpring, TX 77801

Sus Ann S. DesiP.O. Box 281Gendy, VA 24614

Rebecca S. Rosen134 N, Skylower PointLecanto, FL 34461

Phyals S. Metney (fikla PhyNs R. Shonrldge)P.O. Box 182Oakrexxl, VA 24831

Wachovla Bank, N.A.Trustee for the Francis Bsg Blaksmoe TestP. O. Box 40082 (FL0027(Jacksonvsm, FL 322034EN2

SXHI(8IT 8Well No. 825484 (HCS-10)

(Revised 2I9I07)

LEASE

Leased

Leased

Leased

Leased

Leased

Leased

INTERESTWITHIN

0.208748%

0.006245%

0.008245%

0.077314%

0.077314%

0.054120%

0.074935%

GROSSACREAGE

0.235238

0.007037

0.007037

0.087125

0.087125

0.060988

0.084444

Bank of Amends, Trust ~ntTrustee for Ones W., Thdmas, Elise ThompsonClark Educs5onal TrustAEn: David YsrterP. O. Box 14111Roanoke, VA 24038-4111

Wsssm A. Blakemore, Trustee8499 Andwson CourtMschsnkxrvNe, VA 231IMI02

John A. Bkdtemoe, Jr. Testes9911 lgsbklge RomlRNhmond, VA 23233

Saran 8, Dnsnmond, Truaee111South LakemontWinter Pent, FL 32782

Mwy B. Johnston, Tnsdas300 Westminster C~, Apt. 317VNnchesier, VA 22124

BEST Bank, Roanoke Vtrdkna, TrusteeMaths B.McCrsry Tnmt310 Rrst Slrest, 2nd. RoorRoanoke, VA 24011

W. R. White al, Trustee1489 Summer Ridge RoadMaidens, VA 23102

UnloosedForce Pooled

Leased

Leased

Leased

0.056201%

0.074935%

0.074935%

0.074935%

0.074935%

0.074935%

0.131137%

0.083333

0.084444

0.084444

0.084444

0.084444

0.147778

Page 3

W.Y.C. White III, Trustee14210 Helmslsy RoadMidlothian, VA 23113

James L. White TrusteeP. O. Box 46Ablngdon, VA 24210

EXHIBIT 8Wall No. 826484 tHCS-10)

(Revised 1IN07)

LEASE

Leased

INTERESTWITHIN

0.131137%

0.131137%

GROSSACREAGE

0 147775

0.147775

TRACT 3 ik 8 (9~$8.28tnet 49 Acres In UnitBtg Sandy Coal CorporaBando Hase, Sawmrt & CsmitbsllBox 1050HunBngton, WV 24713

24.546213% 27.660000

Eagle Coal CorporaBondo Hase, Skrwsrt 4 CampbellP.O. Box 1080HunBnglon, WV 24713

TRACT 4 11.88Acres ini Unit

ErRh YuhazRt. 2, Box 493Grundy, VA 24814

Fem M. FNklsP. O. Box 212AMngdon, VA 24212

Elsie F. Cline19802 LsssvNe RoadLynchburg, VA 24503

Faye F. BlsnkenshlpRt. 2, Box 493Grundy, VA 24814

Ruby F. Cane87 Cesnnxxm LenaBmvsrd. NC 28712

Opal F. Blacker8355 S.W. Second St.Miami, FL 33144

TRACT 8 4 7 tA TIN 3.80yNL60 Acres In Unit

Big Sandy Coal CwrporsBrmdo Hase, SNvsut 4 CampbellBox 1080HunBngton, WV 24713

Leased

UnleaasdVoluntmy Lease

UnkissedVoluntary Lease

Unle seedVolufltsry Lasso

UnloosedVoknnary Lease

Leased

Leased

12.272606%

1.709705%

1.709705%

1.70%05%

1.709705%

1.709705%

1.709705%

7.542817%

13.530000

1.926567

1.926867

1.926667

1.928667

1.926667

1.928687

TIIACT 8 14.49Acres In Qnlt

ENwick Family PwtnamhlpRt 1, Box 352Grundy, VA 24814

UrllsaasdPsrgclpats cll~ Cerned Bsskr

1.071524% 1.207500

Page 4

014

The Alta Farmer TrustChance N. Farmer, Trustee22465 Breezy Point RoadAbingdon, VA 24211

Clarence RameyRt 2, Bcx 2748Grundy, VA 24614

Agnes C. MuginsP.O. Box 1018Grundy, VA 24814

Daisy McClanshanP.O. Box 734Grundy, VA 24814

James Regna MaQanahah, Jr.P.O. Box 885Grundy, VA 24814

Frances M. MayP.O. Bax 734Grundy, VA 24814

Ethel Ann BreedingP.O. Box 733Grundy, VA 24814

Myr5e S. KeenRL 2. Box 54Grumly, VA 24814

Luther Burton RetakerT~TrustP.O. Box 820Camvlgo, AZ 86325

Buchanan Ges CamoanyCIO John Matney2700 Lee legacyBristol, VA 24202

Danny H. Savenson9441 Iegh Gale RoadISchmand, VA 23236

George P. Sevensan1584 Old Hungng Trail DriueDanvale, VA 24540

PhyBs M. Sevenaon958 Dsnkds Run Road NE',Check, VA 24072

James E. Smmnson, Jr.956 Daniels Run Road NECheck, VA 24072

Lais Jean Ahem12 Garden DriveStokesdale, NC 27357

EXHIBIT 8Well No. 825404 tHCS-1 0)

(Revised 2I8/07)

LEASE

Leased

Leased

Leased

Leased

Leased

Leased

UnlsasedForce Pooled

Leased

Unles sadForoe Pooled

Leased

UnleaaedFores Pooled

UnloosedFan» Pooled

INTERESTWITHIN

0.535762%

0.535762%

0.535762%

0.178587%

0.178587%

0.178587%

0.178587%

1.071524%

1.875188%

1.607285%

0.035717%

0.035717%

0.029765%

0.005953%

0.035717%

GROSBACREAGE

0.803750

0.803750

0.803750

0.201250

0.201250

0.201250

0.201250

1.207500

2.113125

1.811250

0.040250

0.040250

0.033542

0.006708

0.040250

Page 5

EXHIBIT BWell No. 825404 (HCS-10)

(Revised 2IB/07)

LEASEINTERESTWITHIN

GROSSACREAGE

Shirley Fain143 Tamworth DriveDanvise, VA 24540

David G. RobinetteP.O. Box 143Plkevise, KY 41502

Samuel P Robinette4927 W. Bmokfleld FarmAshland, KY 41102

Teresa Justus1884 Havewood ParkLexington, KY 40514

Edgar Clevinger141 Orchard StreetShreve, OH 44676

Timothy McClsnahanRt1, Box 161Grundy, VA 24614

Edison C. MOGanahan3015 Bectnc StreetLincoln Park, Ml 48146

Roger W. MOClanshanRR 2 Box 228HCedar Bluff, VA 24609

Mmgaret V. Compton8500 S. Magnolia Ave.Deals, FL 34474

Doiths Leis MOClsrishanBox 116Gnindy, VA 24614

Virginia Faye HomeRt2, Box106Grundy, VA 24814

Bonnie Ciao McClanahsn3714 Memonal Blvd.Kingsport, TN 37884

ESBn Rudolph MOClanahen4123 Zugs RoadPlains, VA 20198

Edith YuhazRt2, Box493Grundy, VA 24614

Fem M. FieldsP. O. Box 212Abingdon, VA 24212

Leased

UnleasedForce Pooled

UnleasedForce Pooled

UnleasedFores Pooled

UnleasedPs rBOI pads 9

UnlaasedForce Pooled

UnleasedForce Pooled

UnleasedVoluntary Lease

Leased

Leased

Leased

UnieasedForce Pooled

Leased

Leased

0.035717%

0.059529%

0.059529%

0.059529%

0.178587%

0.066970%

0.133940%

0.133940%

0.133940%

0.133940%

0.267881%

0.133940%

0.133940%

0.178587%

0.178587%

0.040250

0.067083

0.067083

0.067083

0.201250

0.075469

0.150938

0.150938

0.150938

tk150935

0.301875

0.150938

0.150938

0.201250

0.201250

Page 8

E)DIIBIT SWell No. 826404 (HCS-10)

(Revised 2/8/07)

LEASEINTEREBT

WITHIN

GROSSACREAGE

Elsis F Cline19802 LeesviSe RoadLynchburg, VA 24503

Faye F. BlankenshipRt 2, Box 493Gmndy, VA 24614

Ruby F. Cline87 Desrvmode LaneBrsvsrd, NC 28712

Opal F. Bsbtmr8366 S.W. Second StreetMbmt, FL 33144

MSdred Sue DotsonP. O.gox 733Grundy. VA 24814

Denny Atbn OobonBcx 841Grundy, VA 24814

Alias Dobon Summergn1073 Sheehan Blvd.Port CharloSs, FL 33952

Boise KeeneRt. I Box 183Grundy, VA 24814

Ralph McGannahanRt.1 Box 363AGmndy, VA 24814

Leased

Leased

Leased

Leased

UnbasedForce Pooled

UnleasellFons Pooled

UnloosedPsrgcipatlng

Leased

0.178587%

0.178587%

0.178567%

0.178587%

0.178587%

0.357175%

0.357175%

0.200911%

0.178S87%

0 201250

0.201250

0.201250

0.201250

0.201250

0.402500

0.201250

Mabelene GevlngerRt. I Box 388Grundy, VA 24814

UnloosedPaNclpab on~ Canted Boob

0.1785S7% 0.201250

Lola and Donald R. BentleyRt. I Sox 384Grundy, VA 2461 ~

Brenda snd Leonard Lae CharlesRt I Sox 362Grundy, VA 24814

Paul and Judy McGanahanRt1 Box3$3Grundy, VA 24614

Ronekl Lyle CoxRt 1. Box 381Grundy, VA 24814

Stmmn Lyte Cox1700 Prstt StreetBlacksburg, VA 24080

UnloosedPsrgclprte ona Carried Ibeis

UnbasedPardclpsts ona Carrbd Sasb

UnleasedPergrdpsb orra Carried Seals

Unlsa sadFmcs Pooled

Unle seedFoll% Poobd

0.178587%

0.1785S7%

0.178687%

0.059529%

0.039688%

0.201250

0.201250

0.201250

0.0S7083

0.044722

Page 7

Ronald James LooneyPO Box 2411Grundy, VA 24614

Tony LooneyRt 5 Box 158Grundy, VA 24814

EXHIBIT BWell No. 820404 (HCS-10)

(Revised 2/8/07)

LEASE

unur seedForce Pooled

UnlesssdFores Pooled

INTERESTWITHIN

0.039686%

0.039686%

GROSBACREAGE

0 044722

0.044722

TRACT 9 & 10 (18.88+348) 28.11 Acme In Unit

Eagle Coal Corpora5onC/0 Hase, Stewart & CampbellP.O. Box 1060Hungngton, WV 24713

Leased 5.948472% 8.703333

Elswick Family ParlnemhipRt 1, Box 352Grundy, VA 24814

Ths Alta Fsnrler TrustCharles N. Farmer, Trustee22466 Bmezy Point RoadAbingdon, VA 24211

Clarence RameyRt 2, Box 274BGrundy, VA 24814

Agnes C. MuainsP.O. Box 1016Grundy, VA 24614

Daisy McClanahanP.O. Box 734Grundy, VA 24614

James Rages McClanahan, Jr.P.O. Box 885Grundy, VA 24814

Frances M. MayP.O. Box 734Grundy, VA 24614

Ethel Ann SteadingP.O. Box 733Grundy, VA 24814

UnbiasedPaNd pals ons Carried Basis

Leased

Leased

Leased

Leased

Leased

Leased

Leased

0.991412%

0.495706%

0.495706%

0.495706%

0.165235%

0.165235%

0.165235%

0.165235%

1.117222

0.558611

0.558611

0.558811

0.188204

0.188204

0.188204

0.186204

MyrBe S. KeenRt. 2. Box 54Grundy, VA 24614

Luther Burton FletcherTestamentary TrustP.O. Box 820Comvi8e, AZ 88325

Buchanan Gas Company, LLC2700 Lee HighwayBristol, VA 24202

UnloosedFoms Pooled

Leased

0.991412%

1.734971%

1.487118%

1.117222

1.955139

1.675833

Page 8

EKHISIT eWell No. 825804 (HCS-I 0)

(Revhed 2NI07)

LEASEINTEREST

WITHIN

GRO88ACREAGE

Donny H. Stevenson9441 High Gate RoadRichmond, VA 23236

George P. Stevenson1594 Old Hunting Trail DriveDanvge, VA 24540

Phyllis M. Stevenson956 Daniels Run Road NECheck, VA 24072

James E. Sasvarxum, Jr.956 Darasls Run Road NECheck, VA 24072

Lola Jean Alters12 Gordon DrtveStokeadele, NC 27367

Shirley Fain143 Tamworth DriveDanvige, VA 24540

David G. Rchlr»tlsP.O. Sox 143Pikevge, KY 41502

Samuel P. Robinstte4927 W. rook5skl FarmAsiaand, KY 41102

Teresa Jushla1864 Havmwood ParkLrcdngton, KY 40614

Edgar Qevinger141 Orchard SkeetSnnwe, OH 44878

Timothy McClsnshanRt 1.Sox 161Grundy, VA 24614

Edison C. McQanahan3015 Ekxdrtc SkeetUncoln Park, Ml 46148

Roger W. McClanahanRR 2 Box 228HCedar Bug, VA 24809

Margaret V. Compton8500 S. Magnoaa Ave.Deals, FL 34474

UnleasedFores Ported

UnkurasdFon» Pooled

Unles sadFores Pooled

unk»sadForce Pooled

UnlessedForce Pooled

UnleasedF orna Pooled

Unle seedPsrtlolpadhg

UmsasedForce Ported

UnleasadFon» Pooled

Unlea sadVoluntary Lease

0.033047%

0.033047%

0.027539%

0.033047%

0.033047%

0.055078%

0.055078%

0.055078%

0.165235%

0.081963%

0.123927%

0.123927%

0.123927%

0.037241

0.037241

0.031034

0.008207

0.037241

0.037241

0.082066

0.062086

0.082088

0.196204

0.139653

0.139653

0.139853

Dorlhs Lois McQanahsnSox 116Grundy, VA 24814

Leased 0.123927% 0.139653

Page 9

Virginia Faye HomeRt 2, Box 106Gmndy, VA 24814

Bonnie Oleo MeQanahan3714 Memorial Blvd.Kingsport, TN 37664

E40n Rudolph MeClanahan4123 Zulla RoadPlains, VA 20198

Edith YuhszRt2, Box 493Grundy, VA 24814

Fem M. FieldsP. O. Box 212Abingdon, VA 24212

Elsie F. Qine19602 Leesvlge RoadLynehburg. VA 24503

Faye F. SankenshipRt2, Box 493Grundy, VA 24814

Ruby F. Qine87 Oesrwoode LaneBrevmd, NC 28712

EXHIBIT 8Well No. 825404 (HCS-1 0)

(Revised 2IBISTj

LEASE

Leased

Leased

UnbrsssdFores Pooled

Leased

INTERESTWITHIN

0 247853%

0.123927%

0.123927%

0.185235%

0.185235%

0 185235%

0.165235%

0.185235%

GROSSACREAGE

0.279306

0.139653

0.139653

0.188204

0.166204

0.188204

0.188204

0.188204

Opal F. Beleher8355 S.W. Second StreetMiami, FL 33144

Mgdred Sue MsonP. O. Box 733Grundy, VA 24814

Danny Allan OolsonBox 841Grundy, VA 24614

ANsa Dotson Summsrlin1073Sheehan Blvd.Port Charlotte, FL 33952

Boise KeeneRt. 1 Box 183Grundy, VA 24814

RaIPh MeClsnahanRt.1 Box 383AGrundy, VA 24814

Mabehme ClevlngerRt. 1 Box 368Grundy, VA 24814

Unlea sadFores Poolstl

UnloosedFores Pooled

Unle seedParticipating

UnleasedPsrdetpale ona Cerned Basis

0.185235%

0.185235%

0.330471%

0.330471%

0.185890%

0.185235%

0.165235%

0.186204

0.188204

0.372407

0.372407

0.209479

0.186204

0.186204

Page 10 020

EXHIBIT BWell No. 825404(HCS-10)

(Revtssd 2rsrey)INTEREST

WITHIN

GltOSSACREAGE

Lais and Conald R. Ben5sy

Rt. 1 Box 364Grundy, VA 24614

UnleassdPa¹ciaals ons Carried Basis

0.165235% 0.186204

Brenda snd Leonard Lse Charles

Rl I Box 382Grundy, VA 24814

Paul snd Judy McQanahan

Rt1 Box 363Grundy, VA 24614

Ronald Lyle CoxRt 1.Box 361Grundy, VA 24814

Sloven Lyle Cox1700 Pratl BaserBlaraurburg, VA 24060

Ronald Jrunss Looney

PO BOx 2411Grundy, VA 24614

Tony LooneyRt 5 Box 158Grundy, VA 24614

UnleasedPa¹olaals ona Carried Basis

UnloosedPsraslaats ons Cerrlel Best~

UnleasedFores Pooled

Urxe seedeeoc Pooled

Un SnaredFores Pooled

Unhra secForce Pooled

0.185235%

0.165235%

0.055078%

0.038719%

0.036719%

0.038719%

0.186204

0.186204

0.062088

0.041379

0.041379

0.041379

TOTAL GAS ESTATE

Total enxxrINM Lease!Total Pecentage Unlessed

Tots I Acreage LeasedTotal Acreage Unleased

100.000000%

95.231896%4 765304%

112.890000

107.3199795.370021

VIRGINIA: In ~the Clerk s Oificc of the Circuit Court of Buchanan C .Theounty. foregoing instpIment was thisaforesaid and is, together with the certificate ofackowlcdgcment anncxcd, admitted to record this W of

Returned to: ~W E 02 L . 'togadly Clerk

Page 11

lsersrrl.

May 18, 2008

Department of Mines Minerah and EnergyDivision of Gas and OilAen: Bob ytNtson, DirectorP.O. Box 1418Abingdon, Viqjnia 24212

Re: May Hearing, documents request

Dear Mr. WNson:

As a foNow up to our May 18, 2008 meeNng wNh the Oil and Gas Board, endoeed you wi findthe foNowing plate and/or documents:

rXeryad ee ptttta ---—

2. A DGO-7 Supplement for weN number 825524 (HY-108)

3. A revised E)tHtBIT Nt-3 for weN number 825524 (HY-108)

Should you have any queshons regarding the above, please do not hesitate to call me at 808-874-0218 extension 227.

Z=Dennis R. Baker, CPUESASenior Land Representative

Endoeures

cc: James E. Kaiser

C. -- =:«~~LLC., 1801 Wslsresp Rood, P.O. Borr 150, PreslonsburS, KY 41553

7,740's

O8-

r/ es

Assn of Unk.11258 AnceWELL LOCATE PLAT

Ccbnnbb Nsennd~LLC WuW orNmbISGSANDY COAL CXKP. 2/8 INT. / SAGuI COAL 1/8 INT. /I8L 1-35k%ACl esdrsnpb GRUNDY

Dbcdct l43RIB GRUNDY

YpcSC — - -pbSbsaNnsepbne) N:8554&71 R95S75124

Ssenasorc sierras Messed Used lo Desemdne sbrascrc Trbc Lereb icosa G55 dashed cbaasscss

SUCIIANAN 1" e55 54&45RBV:IS-1$0i

TIds pbr b a Inn pbt X ; or a Snsl hcancn phdDsnosss Sss locasorr rd a weS on Unssd Scene~'asps, scale I to 8IANS,+ Iebbsde ead~Ssna bsen5.~ by border Sass as sbonm

Form DGO-OO-7Rnv. I-QS ucesned lend 4cveyar