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MERIT ENERGY COMPANY <br />Varra Companies, Inc. <br />ATTN: Christopher L.Varra, President <br />8120 Gage Street <br />Fredrick, Colorado 80516 <br />Merit EnergyCompany has reviewed portions of the Amendment to the Durham <br />Sand & Gravel Pit, DMG permit M-1978-056; specifically, Exhibit D- Mining Plan and <br />Exhibit C- Pre-Mining and Mining Plan Map. Accordingly, extraction activity will not <br />occur closer than 25 feet from any wellhead, and during extraction, no less than 25 <br />percent of the radial area of 100 feet will be preserved until extraction and backfilling has <br />restored a flat 100 foot radial area from the center of the well head. Further, extraction <br />will not occur closer than 10 feet from Merit energy structures including containment <br />berms, and easements. Access to Merit Energy structures will not be obstructed or <br />interrupted. Existing berms will be maintained. Based upon this information, the mining <br />and reclamation activities as proposed will have no known negative effect on our <br />operations. <br />Merit Energy mpany~ <br />~~~/~~ <br />ay anger, Operation anager <br />~~~2~~ „7~ Notary <br />State of ~1,~ ~( <br />County of~/rilQ~ <br />The foregoing instrument was acknowledged before me this ~ d' ay of January, <br />2004. <br />Notary Public <br />My Commission Expires <br />MY COMMISSION FJ~IRES 1/26/2005 <br />1313 N. Denver Avenue, Building #3 • Ft. Lupton, CO 80621 • Phone: 303.857.6766 • Fax: 303.857.6789 <br />