Geotechnical Engineering Materials Engineering and Testing Exploratory Field Services

July 8, 2011 Mr. Steven A. Reynolds, Director Division of Nuclear Materials Safety U.S. Nuclear Regulatory Commission, Region III 2443 Warrenville Road, Suite 210 Lisle, IL 60532-4352 Re: Response to Confirmatory Order IA-09-044 Quarterly Radiation Safety Activities -Report No. 7 Second Quarter - 2011

Dear Mr. Reynolds: As per a Confirmatory Order by the Nuclear Regulatory Commission (NRC), which was a result of an agreement reached during an Alternative Dispute Resolution mediation conducted at your facility August 25, 2009, I am submitting the seventh report of our documentation of radiation safety activities (RSA) performed by Earth Exploration, Inc. as required by the confirmatory order referenced above. Activity this past quarter included: License Amendments In early April, 2011, the decision was made to move our satellite office in South Bend, Indiana, across the state line to Niles, Michigan. Subsequently, on April 8, 2011, a request for an amendment to our license was submitted to Mr. Kenneth Lambert of the NTC Materials Licensing Branch. On May 6, 2011, we received our amended license. However, due to our untimely submittal of activity (i.e., leak testing) of our portable nuclear moisture-density gauges, the address of our former satellite office at 4310C Technology Drive, in South Bend, Indiana, was still listed as a gauge storage location. Consequently, a second request for amendment to our license was made to Mr. Lambert on June 27, 2011. The information related to the required leak testing of all of our portable gauges had been competed and submitted to us by Troxler Electronic Laboratories by that time and the required information was submitted with the June 27, 2011, request. All of the leak test results reported less than 185 Bq (0.005uCi). Of course, the amended license also required us to make modifications such as address changes and so forth to our Radiation Safety Program and to generate new transportation documents. This action will also be required upon receipt of the next amendment removing the South Bend address from our license. Today we received acknowledgment of this request and the correspondence indicated there were no administrative omissions identified during the initial review by the licensing branch personnel. We assume we will be receiving the amended license sometime in the near future. We will discuss receipt of this amendment in our in our next quarterly report. Additionally, copies of the amendment requests are attached with this report.

Mr. Steven A. Reynolds July 8, 2011 U.S. Nuclear Regulatory Commission, Region III Page 2

Dosimetry Submittal of dosimetry for our gauge operators by both office locations was made April, 2011, for the first quarter, or first wear period of 2011. Upon receipt of the dosimetry reports from Landauer, later that month, we noted no unusual results of radiation exposure to our employees. Also at the beginning of the month, new dosimetry was provided to the gauge operators for the second quarter of 2011. Copies of the dosimetry reports are included with this report. Leak Tests for Portable Gauges Other than the testing performed for the seven gauges stored at our former South Bend satellite office location prior to the move to the new Niles, Michigan, location, no leak testing of gauges was required during the second quarter. We do have two Troxler Model 3411 portable gauges that will be leak tested next week to maintain our 6-month frequency requirement for leak testing those model gauges. The leak tests will be analyzed by Troxler Electronic Laboratories. Portable Gauge Security No changes have been made during the second quarter related to security of the portable gauges. We believe our security is robust and maintained diligently. Physical Inventory of Portable Gauges Physical inventory (PI) of our portable gauges is required every 6-months. It is our intent to perform the PI early this month to meet this requirement. Reporting of this action will be made in our third quarter report, with copies of the PI reports attached. We trust this information provides adequate documentation of our previous quarter RSA. Should you have any questions or if you are in need of any additional information, please contact me at your convenience. Sincerely, EARTH EXPLORATION, INC. Christopher S. Loyd Radiation Safety Officer Attachments: Quarterly Radiation Safety Activity Checklist – Report No. 7 Quarterly Radiation Safety Activity Guideline Copy of Request for Amendment 4-8-11 Copy of Request for Amendment 6-27-11 Dosimetry Reports for Indianapolis Office – 1st Qtr. 2011 Dosimetry Reports for South Bend Office – 1st Qtr. 2011