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George E. Otten <br />11438 C.R. 19 <br />Fort Lupton, CO. 80621 <br />(970)785 -2538 <br />RECE! "., J <br />October 11, 2013 -fCT 16 201,1 <br />State of Colorado XivisiOn of Recf:,,n,, #f, ,, <br />Division of Reclamation, Mining & Safety Mining s, s,_;, <br />1313 Sherman St. Rm. 215 <br />Denver, CO 80203 <br />RE: Bates- Hunter Mine, Permit No. M- 1990 -041, Financial Warranty Increase, Revision No. SI -2 <br />Michael A. Cunningham, <br />In answer to your previous inspection report requesting additional bonding money of $15.500.00, we <br />cannot at this time accommodate you at your request. We recently paid the taxes for 2012 for the said <br />property in the amount of $38,000.00 and therefore we are not able to put up any more bond money. <br />We had a nice prospect for an investor to put up additional funds to mine but when realizing <br />it was in the State of Colorado he backed off and decided not to invest. He found out through <br />Due diligent report that Colorado is one of the most undesirable states to invest in mining. Therefore, <br />we were left at this time with no investor and will not be able to accommodate you with your request. <br />As per your request for disposal of the scrap and unused equipment, we as mining people depend on <br />this for replacement parts and it's not actually scrap, it is equipment used to operate the mine. We <br />cannot afford to send a $20.00 per hour miner to Denver to pick up a $3.00 piece of metal to get the <br />equipment to work. The scrap and refuge that the inspectors look at is our store for replacement parts. <br />In regards to the Gold Gilpin Mill, after your inspection we can take care of the rotted barrel of lime <br />and it will be removed as per your request and the other chemicals will be stored indoors somewhere. <br />Also we will see that a burm is put in on the creek side to TRY to keep the creek out of the Mill at high <br />water times. All of the above can be corrected as soon as I can find people that can handle it because I <br />am physically incapable of doing this myself. Any change in the grounds of the Mill itself will have to be <br />approved by the EPA. Any other requests for change or correction please contact me and I will see that <br />it is taken care of. <br />Sincerely, <br />M M�� <br />