----

----

| ·   | The Individual Forbearing Shareholder suffered $500,000 in damages |
|--------------------|--------------------------------------------------------------------|

| ·   | The Forbearing Shareholders as a group suffered $4 million in damages |
|--------------------|-----------------------------------------------------------------------|

| ·   | The Other Shareholders as a group suffered $5 million in damages |
|--------------------|------------------------------------------------------------------|

| ·   | Other Shareholders submit only $1 million in claims |
|--------------------|-----------------------------------------------------|

| ·   | Net Settlement Fund is $800,000 |
|--------------------|---------------------------------|

----

| Distribution to Individual Forbearing Shareholder($80,000) = | Amount equal to Net Settlement Fund ($800,000) |                                                                                                                                                            |   |   | x | Individual Forbearing Shareholder'sDamages ($500,000) |
|--------------------------------------------------------------|------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---|-------------------------------------------------------|
|                                                         |                                           | Damages of Other Shareholders that were actually submitted in the settlement($1 million)PlusAggregate of All Forbearing Shareholders’ Damages($4 Million) |

----

|   | APPLIED MINERALS, INC.       |
|--------|------------------------------|
|   |                         |
| By:    |                         |
|   | Andre Zeitoun                |
|   | President and CEO            |
|   |                         |
|   |                         |
|   | ANDRE ZEITOUN                |
|   |                         |
| By:    |                         |
|   | Andre Zeitoun                |
|   |                         |
|   | CHRISTOPHER CARNEY           |
|   |                         |
| By:    |                         |
|   | Christopher Carney           |
|   |                         |
|   | ERIC BASROON                 |
|   |                         |
| By:    |                         |
|   | Eric Basroon                 |
|   |                         |
|   | DAVID TAFT                   |
|   |                         |
| By:    |                         |
|   | David Taft                   |
|   |                         |
|   | THE IBS TURNAROUND (QP) FUND |
|   | (A LIMITED PARTNERSHIP)      |
|   |                         |
| By:    | IBS Capital LLC              |
|   |                         |
| By:    |                         |
|   | David Taft                   |
|   |                         |
|   | THE IBS TURNAROUND FUND      |
|   | (A LIMITED PARTNERSHIP)      |
|   |                         |
| By:    | IBS Capital LLC              |
|   |                         |
| By:    |                         |
|   | David Taft                   |

|   | THE IBS OPPORTUNITY FUND (BVI), LTD |
|--------|-------------------------------------|
|   |                                |
| By:    | IBS Capital LLC                     |
|   |                                |
| By:    |                                |
|   | David Taft                          |

----