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Peak Project Management, LLC <br />3800 County Road 63.9 <br />Trinidad, CO 81082 <br />(719)846-4975 <br />August 5, 2004 <br />Mr. Kent Gorham <br />Colorado Division of Minerals & Geology <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />Re: New Elk Mine: Permit No. C-81-012 <br />Quarterly Sediment Pond Inspections <br />Dear Mr. Gorham: <br />RECEfVE® <br />AUG 1 G 2004 <br />Oivisian of Minerals and Geology <br />Enclosed aze copies of the Second Quarter 2004 Quarterly Sediment Pondlnspection Reports conducted to <br />comply with CDMR Rule 4.05.9(17). All embankments were found stable and vegetated. Discharges were <br />reported from Pond 8 during April of this quarter. No other ponds dischazged during the quarter. <br />Please contact me if you have any questions. <br />Sin/cferely, <br />~~~ ~o'G~ <br />Ronald G. Thompson <br />Project Manager <br />MSHA Certified -Impoundment Inspections <br />