1st term is 03; 4th term is 03; 9th term is 04; the next term is the 16th term. 01 never appears in terms that are in the n^2-th position. So the 16th term is 03 or 04. In the series, 03 and 04 alternate, so, since 04 was the last to be used, 03 would be the next. On this basis, 03 is the 16th term. I have no explanation for 04 as the second term.