EFTA02700238.pdf

From: Richard Kahn < Sent: Tuesday, July 17, 2012 6:48 PM To: Jeffrey vacation Subject: Fwd: Zorro Ranch Revised Attachments: FIGS Contract Revised.pdf; Untitled attachment 00660.htm I =ust spoke with the owner Bill Whaley who was reluctant to discount his =ricing any further than the $1,600 offered in this email. I was =ble to persuade him to agree to a total discount of $6,000 which =epresents a 4.85% discount from original quote. Accordingly their =rice to drill would be $117,221They will be ready to start =ext week around July 25th + or - a day Please =ote that this quote is priced for the full 800 feet of =rilling If we only drill 700 feet then the cost will be =educed by approximately $6,300 Other costs =nvolved with drilling other than HGS $117,221 are as =ollows: a) Casey Cook - consultant to oversee =ob and file reports - approximately $12,500 (billing rate of $150 per =our) =/span>-costs already incurred and paid in 2012 with identifying well, =eeting with Brice and filing permits, etc. amount to =9,000 b) RMC Electric - approximately =17,500 per Brice (i will forward his quote and negotiate with him as =ell) Estimated total drilling =osts with gross receipts tax: =nbsp;$165,974 (this number =ncludes $9,000 costs already incurred and New Mexico gross receipts tax =ate of 6.625% - darren is looking into why gross receipts is =pplicable) Please =dvise PLEASE NOTE EFFECTIVE JUNE 5TH MY CONTACT INFO WILL BE AS =OLLOWS: Richard Kahn HBRK Associates =nc. 575 Lexington Avenue, =th Floor, New York, New York 10022 tel = fax = cell = Begin forwarded message: From: Casey Cook < EFTA_R1_02065509 EFTA02700238  Date: July 17, 2012 =0:17:42 AM EDT To: Richard Kahn < Cc: brice gordon < Subject: Fwd: Zorro Ranch =evised Richard K.; Hydrogeologic Services sent the =ttached revised draft contract with a price adjustment on the 8-inch =creen. The price is reduced from $28/foot to $24/foot from the =riginal bid, which reduces the total well cost by $1600. The =ther unit costs are the same as in the original bid. Please note =hat the estimated cost of the pump may change depending on the tested =ell capacity, which may be more or less than the 100 gpm planned for =stimating purposes. A larger pump will cost more, a smaller pump =ess. Also, the drilled and constructed depth may be less than the =lanned 800 feet depending on determination in the field of the final =epth. I understand FIGS will invoice Cypress, Inc for the actual =ootage drilled and cased on the basis of the proposed unit =rices. Hydrogeologic Services indicates they are available to mobilize to =he Ranch next week to begin drilling. I recommend Cypress, Inc. award the contract to Hydrogeologic Services =or drilling the 8-inch well at Zorro Ranch because of their lower bid =rice and earlier availability than the other responsive bidder (Yellow =acket Drilling), and for their previous experience drilling a =imilar well into the target formation at the Ranch. Please call with any questions you may have, or if you wish to discuss =his in further detail. Casey W. Cook, P.E. Balleau Groundwater, Inc. 901 Rio Grande Blvd. NW Suite =-242 Albuquerque, NM 87104 Sfax www.balleau.com <http://www.balleau.com/> Forwarded =essage From: Esperanza Cordova < <mailto >> Date: =on, Jul 16, 2012 at 4:53 PM Subject: Zorro Ranch Revised To: "Casey W. Cook" < <mailto >> 2 EFTA_R1_02065510 EFTA02700239 Thanks, Esperanza D. Meis Office Administrator HydroGeologic Services, =nc. P.O. Box 94716 Albuquerque, NM 87199-4716 NM License No. > Fax 3 EFTA_R1_02065511 EFTA02700240