Turns out this town is big enough for the both of them after all.

Ultimate Fighting Championship (UFC) middleweight number one contender Chael Sonnen, who is scheduled to challenge Anderson Silva for the 185-pound title (again) at the upcoming UFC 148: "Silva vs. Sonnen II" pay-per-view (PPV) event on July 7, 2012 in Las Vegas, was granted a conditional Therapeutic Use Exemption (TUE) earlier today by the Nevada State Athletic Commission (NSAC).

But he will be subjected to a battery of blood tests before and after the Fourth of July weekend fight card to monitor his intramuscular injections, which he applies himself, twice a week. He will also be limited in how close to fight night he can administer his last injection prior to competing.

Sonnen, who reportedly suffers from hypogonadism (his nads are sperm challenged), was bagged and tagged by the California State Athletic Commission (CSAC) back in August 2010 for improperly disclosing his Testosterone Replacement Therapy (TRT) prior to his first "Spider" fight in Oakland.

This time, apparently, his papers were (mostly) in order.

Sonnen was suspended by the California State Athletic Commission (CSAC) last year for fabricating testimony in a previous hearing while accounting for his failed drug test at UFC 117 -- not to mention his felony conviction in Oregon for money laundering.

Part of his defense strategy was dropping NSAC Executive Director Keith Kizer's name in reference to conversations they (never) had about policy and procedure as it related to his TRT.

Sonnen said today it was merely "bad information" from his ex-manager, but has since properly disclosed his TRT use (which began back in 2008) to athletic commissions prior to competing in the states of Illinois at UFC on FOX 2 and Texas at UFC 136. The NSAC has requested a copy of those disclosures as part of his conditional TUE.

He further stated, under oath, that he's never taken anabolic steroids.

Phase one of operation "Silva vs. Sonnen II" is now complete.

For more on his upcoming title fight against Anderson Silva at UFC 148 click here. To read more from his hearing today in front of the NSAC check out our live blog and real-time updates here.