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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1997-065 <br />INSPECTION DATE 09/21/07 INSPECTOR'S INITIALS ESC <br />OSSSRVATION3 <br />This was a pre-operation inspection of the Brownstone Quarry conducted by Erica Crosby of the <br />Colorado Division of Reclamation, Mining and Safety. Jim Striggow and Justin Hamilton of Stone <br />Wholesale Corporation and Vic Norris were present during the inspection. <br />A 110c Mining and Reclamation Permit was issued to Stone Wholesale Corporation on October <br />22, 1997 for a total permit area of 9.9 acres. On May 24, 2007, Stone Wholesale filed a <br />Conversion Application (CN-O1) to obtain a 112c permit increasing the size of the quarry to <br />58.75 acres. <br />The CN-O1 application adds acreage towards the east and incorporates two large overburden <br />piles into the mining and reclamation plan. The piles will ultimately be screened and <br />sorted for usable rock. The unwanted material will be returned to the pit as final <br />backfill. Topsoil that is stored in the pile will be screened and used as final cover under <br />the approved reclamation plan. As the pit advances towards the east, the operator will <br />need to ensure that topsoil is salvaged and stored separate from overburden and waste <br />piles. <br />The operator is also in the process of transferring the permit to Stone Wholesale, Inc. <br />Once the bond is submitted, the CN-O1 and the Transfer Application will be complete. <br />I & S Coatact Address <br /> ^ CE <br />NAME Mr. Jim Striggow ^ BL <br />OPERATOR Stone Wholesale Corporation ^ FS <br />STREET 4717 W. Lakeview Dr. ^ HW <br />CZTY/STATE/ZIP Fort Collins, CO 80526 ^ HMWMD (CH) <br /> ^ SE <br /> ^ WQCD (CH) <br />Cc: Carl Mount; DRMS <br />