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STATE OF COLORADO MINED LAND RECLAMATION BOARD DEPARTMENT OF NATURAL RESOURCES IN THE MATTER OF: Cripple Creek & Victor Gold Mining Co. )NOTICE OF VIOLATION M-95-070 P.O. Box 191 ) Victor, CO 80860 ) TO: Cripple Creek 8 Victor Gold Mining Co. and all other persons engaged in or owning or controlling the Cresson Project located in Sections, 19-20, 29-31, T15S, R69W and Sections 25 and 36, T15S, R70W, 6th P.M. FINDINGS OF FACT Pursuant to the authority vested in the State of Colorado Mined Land Reclamation Board by C.R.S. 34-32-124, the Board hereby makes the following findings of fact: Cripple Creek & Victor Gold is permitted to conduct a mining operation under the terms of Permit M-80-244 located in Section(s) 19-20 and 29-31, Township 15 South, Range 69 West of the 6th P.M., in Teller County, Colorado. 2. The Mined Land Reclamation Board conducted a Formal Public Hearing on October 17, 1995 to consider possible violation of the terms of Permit M-80-244 and C.R.S. 34-32-101 et sea. 3. The Division of Minerals and Geology presented evidence at the Formal Public Hearing on October 17, 1995, demonstrating that: Cripple Creek & Victor Gold Mining Company had placed approximately 500 yards of tailings material onto unprotected areas, thereby creating a violation of C.R.S. 34-32-124(2) and provisions of permit number M-80-244. NOTICE OF VIOLATION Based upon these same Findings of Fact and in accordance with C.R.S. 34-32-124(6), the Colorado Mined Land Reclamation Board hereby finds Cripple Creek and Victor Gold Mining Company to be in violation of Permit M-80-244, specifically C.R.S. 34-32-124(1) of the Minerals Rules and Regulations, and assessed a civil penalty of $50.00. The civil penalty is due 30 days from the date this notice is signed. In clarification of the rights of recipients of Notices of Violation, Cease and Desist Orders, parties are advised to consult the Colorado Mined Land Reclamation Act and the State Administrative Procedure Act. Nothing herein contained, particularly those portions requiring certain acts to be performed within a certain time, shall be construed as a permit or license to engage in any prospecting or mining operations within the State.