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COLORADO <br /> l/V Division of Reclamation, <br /> Mining and Safety <br /> I� Department of Natural Resources <br /> {1 1313 Sherman Street, Room 215 <br /> Denver, CO 80203 <br /> April 21, 2017 <br /> Craig Liukko <br /> Red Arrow Gold Corporation <br /> P.O. Box 531 <br /> Mancos, CO 81328 <br /> RE: Reason to Believe a Violation Exists and Notice of Board Hearing <br /> Red Arrow Mine Drill 2,NOI No. P-2012-007 <br /> Dear Mr. Liukko: <br /> Pursuant to C.R.S. 34-32-116(4), Hard Rock Rule 5.6, and the condition of the NOI No. P-2012-007, <br /> you are required to submit $86.00 in annual fees and an annual report and map by the anniversary date <br /> of the NOI, May 171h of each year. As of the date of this correspondence, the Division has not received <br /> the 2015 and 2016 annual fees, 2015 and 2016 annual reports, and 2015 and 2016 annual maps due <br /> May 17, 2015 and 2016. <br /> Therefore the Division has reason to believe this is a violation of C.R.S. 34-32-116(4), Hard Rock Rule <br /> 5.6, and the conditions of NOI No. P-2012-007, and have scheduled this matter for consideration by the <br /> Mined Land Reclamation Board (Board), pursuant to C.R.S. 34-32-124(1). <br /> A formal Board Hearing will occur during the May 24-25,2017 Board meeting for consideration <br /> of these possible violations. The hearing will be held at 1313 Sherman Street,Room 318, Denver, <br /> Colorado, beginning at 9:00 a.m., on May 24,2017, or as soon thereafter as the matter can be <br /> considered. At that-hearing,you will have the opportunity to present your defense. <br /> This is an important legal proceeding and you must appear in person for this hearing. If you fail to <br /> appear, an order and financial judgement may be entered against you. In addition, failure to appear at <br /> the hearing may result in legal consequences including, but not limited to, loss of party status and your <br /> ability to seek reconsideration from the Board or seek judicial appeal in district court. <br /> If the Board finds a violation at this hearing, it may issue a Cease and Desist Order and/or assess a Civil <br /> Penalty in the amount of$100.00 to $1,000.00 for each of violation, pursuant to C.R.S. 34-32-124(7). <br /> Pursuant to C.R.S. 34-32-124(6)(a),the Board may order the NOI be suspended, modified, or revoked. <br /> 1313 Sherman Street, Room 215, Denver, CO 80203 P 303.866.3567 F 303.832.8106 http://mming.state.co.us <br /> John W. Hickenlooper, Governor I Robert W. Randall, Executive Director I Virginia Brannon, Director <br />