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STATE OF COLORADO <br /> DIVISION OF RECLMAATION,MINING AND SAFETY <br /> Department of Natwal Resources <br /> 1313 Sherman SL,Room 215 C L O A A D <br /> DI v I f 1 0 N Of <br /> em Drer,Colorado 80203 RECLAMATION <br /> Mw*..(303)8W3567 MINING <br /> FAX:(303)8324106 SAFETY <br /> FINANCUL WARRANTY <br /> CHECK FOR DEPOSIT IN STATE TREASLiRY <br /> Operator Kiana Holdings II,LLC <br /> Operation <br /> Cotter Creek Flit <br /> Permit No. <br /> M-2013-054 Check No. 1 076 <br /> This form has been approved by the Mined Land Reclamation Board pursuant to sections 34-32-117,CR.S.,of <br /> the Mined Land Reclamation Act and 34-32.5-117, C.RS., of the Colorado Land Reclamation Act for the <br /> Extraction of Construction Materials. Any alteration or modification of this forwithout approval by the <br /> Board shall result in the financial warranty being invalid and result in the voiding o any permit issued in <br /> conjunction with such invalid financial warranty and subject the operator to cease and desist orders and civil <br /> penalties for operating without a permit pursuant to sections 34-32-123, C.R.S., of the Mined Land <br /> Reclamation Act and 34-32.5-123, C.R.S., of the Colorado Land Reclamation Act for the Extraction of <br /> Construction Materials <br /> KNOW ALL MEN BY THESE PRESENTS,THAT- <br /> WHEREAS,the Colorado Mined Land Reclamation Act,C.R.S. 1973,34-32-101 et se .(the"Act"),as amended, <br /> provides that no permit may be issued under the Act until the Mined Land Reclamation. Board(the'Board")receives a <br /> financial warranty(or warranties)as described in the Act. <br /> WHEREAS, Kane Holdings ll,LLC (the"Ope atcrJa <br /> Colorado Limited Liability Company corporation,has applied for a permit to conduct a milting operation lctown as <br /> Cotter Creek Flit (the"Operation"),on certain lands in Saguache Cry, <br /> Colorado. These are described in the permit application,as amended and supplemented,and are referred to herein as the <br /> "Affected Lands" <br /> WHEREAS,in the application for the permit the Operator has agreed to be bound by all requirements of the Act and <br /> all applicable rules and regulations of the Board,as amended from time to time. <br /> WHEREAS,in the application for the permit,the Operator has agreed with the Board to provide for reclamation of <br /> the Affected Lands,that are now or may become subject to the permit,as required by law <br /> Office of <br /> Office of Denver , Grand Micion . Durango Active and Inactive Mines <br /> Mined Land Reclamation <br />