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COLORADO <br />Division of Reclamation, <br />Mining and Safety <br />Department of Natural Resources <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />May 3, 2016 <br />Basil Bear <br />Bowie Resources, LLC. <br />P.O. Box 1488 <br />Paonia, CO 81428 <br />RE: Bowie Resources, LLC, Bowie No. 1 Mine, Permit C-1981-038 <br />First Quarter 2016 Sediment Pond Inspection Report Review <br />2016 Annual Impoundment Certification Report Review <br />Dear Mr. Bear: <br />The Colorado Division of Reclamation, Mining, and Safety (CDRMS) has reviewed and found the above <br />referenced report to be in compliance with the following CDRMS regulation: <br />4.05.9(17) - Examined at least quarterly by a qualified person designated by the operator, for <br />appearance of structural weakness and other hazardous conditions. <br />4.05.9(17) - A copy of the report shall be submitted to the Division on a quarterly basis. <br />The first quarter sediment pond inspection reports were received by the Division on 07 April 2016. <br />Sediment pond inspections were conducted by BRL on 23, 24, and 28 March 2016. <br />In addition, the report submittal included the 2016 Annual Impoundment Certification Report. The <br />Annual Impoundmnet Certification Report is in compliance with the following CDRMS regulation: <br />4.05.9(14)(a) - Inspections shall be made at least yearly until removal of the structure or release of the <br />perfoemance bond. <br />4.05.9(14)(b) - Provide to the Division a certified report that the impoundment has been constructed <br />and/or maintained as designed, and in accordance with the approved plan and applicable regulations. <br />It is noted that no issues were noted and the pond inspections reflect observations noted by the Division. <br />coZO <br />1313 Sherman Street, Room 215, Denver, CO 80203 P 303.866.3567 F 303.832.8106 http://mining0.state.co.us I <br />John W. Hickenlooper, Governor I Mike King, Executive Director I Virginia Brannon, Director <br />