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+ S <br />Ms. Erica Crosby <br />Division of Minerals and Geology <br />February 7, 2006 <br />Pagel of3 <br />Active excavation and reclamation activities are currently located in the eastern section of the <br />permit azea. The majority of the mined area-has been backfilled. A portion of the backfilled area <br />has been stabilized for concrete and asphalt recycling operations and the remaining area has been <br />revegetated for stabilization. Some additional mined areas still need to be backfilled-and <br />revegetated for stabilization. <br />During approval of Kauf&nan Pit Technical Revision TR-03, additional financial warranty was <br />posted for the mining and reclamation of the eastern 83 acres of the Kauffman Pit permit. It is <br />our understanding that, with the addition of TR-03, a financial warranty of $292,100.00 was <br />posted for the Kauffinan Pit permit. The table below summarizes the existing mining <br />disturbances and proposed new financial warranty for reclamation of the Kauffinan Pit following <br />approval of the Wagner/Kauffinan Pit #3 Amendment AM-Ol . <br /> Unit Cost <br />Aspect Reclamation Operation Quantity Units ($) Cost ($) <br /> Stabilize fringe adjacent to <br />A commercial/industrial work areas <br /> 1'. Scarify wmpacted ground <br /> <br />5 acres x 1 foot 5 Ac 250 1,250 <br /> 2. Re lace 6" of to soil 4,033 CY 0.85 3,428 <br /> 3. Seed and mulch 5 Ac 675 3,375 <br /> 4. Reseed 20% 1.0 Ac 675 675 <br />B Stabilize oundwater lake shoreline <br /> 1. Grade shoreline <br /> <br />1,000 feet x 60 feet 1.5 Ac 250 375 <br /> 2. lace 6" of to oil 1,210 CY 0.85 1,029 <br /> 3. Seed and mulch 1.5 Ac 675 1,013 <br /> 4. Reseed 20% 0.3 Ac 675 203 <br />G Wined area to be bac Iled <br /> 1. Backfill with overburden, <br /> <br />4 acres x 10 feet 64,500 CY 0.85 54,825 <br /> 2. lace 6" of to soft (4 acres 3,300 CY 0.85 2,805 <br /> 3. Seed and mulch 4 acres 4 Ac 675 2,700 <br /> 4. Reseed 20% 4 acres 1 Ac 675 675 <br /> 5. Reseed 20% of azea previously <br /> <br />backfilled and seeded 6 acres 1.2 Ac 675 810 <br />Total Direct Costs $73,162 <br />Overhead and Profit (14% of Direct) 0.14 $10,243 <br />otal Direct and O&P Costs $83,404 <br />Engineering and Project Management (5% of Duect and O&P) 0.05 $4,170 <br />Total Pro osed Financial Warranty $87,575 <br />Disturbed Acreage 7.5 <br />Financial Warranty per Acre $11,677 <br />