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UK Milling Company, LLC <br /> Penn Mine / Lake County, Colorado <br /> The mining plan will not create any waste rock dumps, underground mine openings, ditches, or buildings. <br /> Sediment control BMPs will be removed, and the diversion ditch will be filled in. Removal of the historic <br /> development waste will have restored the natural topography of this area. <br /> 5 . 2 RECLAMATION COSTS <br /> 6.3.4(2)All 110 or Non In Situ Leach Mining 110d Limited Impact applications must provide an estimate of the actual <br /> costs to reclaim the site based on what it would cost the State of Colorado using an independent contractor to <br /> complete reclamation. (Such estimates are not required for activities contemplated by the operator and approved <br /> by the Office to be outside the scope of the proposed reclamation plan.)The unit costs should include estimates for <br /> the following activities as appropriate to the operation: backfilling, grading, topsoil application, seeding, mulching, <br /> fertilization, and labor to complete reclamation maximum disturbance. The cost to reclaim the site to the <br /> specifications of the Reclamation Plan at this point must be estimated. Unit costs(cost per cubic yard),volumes, haul <br /> or push distances, and grades must be included when backfilling and grading are part of the Reclamation Plan. <br /> Volume and unit costs for finish grading,subsoil and topsoil application must be provided in terms of cost per cubic <br /> yard.The estimated cost forfertilizer,seed and mulch acquisition and application must be provided as cost peracre. <br /> 6.3.4(2)(a) Equipment costs must include such factors as equipment operator wages and benefits,fuel and <br /> lubricant consumption and depreciation.The cost to mobilize and demobilize the equipment from the nearest <br /> population center known to have the required equipment availability should be estimated. <br /> 6.3.4(2)(b) All items referenced in the Reclamation Plan must be included in the cost calculation. These items in <br /> addition to earthwork, such as building demolition, fencing, monitoring well sealing or stream channel <br /> reconstruction must also be included in the reclamation cost estimate. <br /> 6.3.4(2)(c)After the direct costs noted above have been estimated,the Office may add up to an additional <br /> maximum eighteen and one-half percent(18.5%)of that total,which includes private contract,typical overhead <br /> costs.This additional cost is required to cover indirect costs that an independent contractor would incur when <br /> performing reclamation of the site. Five percent(5%)additional cost shall be added to cover Office <br /> administration cost in the event of bond forfeiture and permit revocation. <br /> Contemporaneous reclamation will lag production by 2 production blocks to allow a safe space between <br /> activities. However,the reclamation cost estimate conservatively assumes no reclamation activity occurs <br /> during production, and that the maximum (10 acres,which includes the roads) permit area will have been <br /> disturbed by CJK operations and require reclamation. The estimate also assumes that in the event that <br /> the operation ceases prior to removal of all historic vein dump material, the remaining historic material <br /> will note be reclaimed. <br /> The intent is to reclaim the area to pre-19th century mining contours and vegetation. <br /> Remaining Features: The following features will remain. <br /> • Entry Gate and "No Trespassing" signage, since area is private property. <br /> • Riprap on entry road from County Road 1 (used to clean tires prior to driving onto county road). <br /> • Haul roads& berms. All roads on site were pre-existing prior to CJK operations and will remain as <br /> improved. <br /> • All rock dams. <br /> Initial Application / March 2021 5-4 <br />