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=-Golder -Associates January 7, 2003 Mr. Ron Roberts Cripple Creek & Victor Gold Mining Company P.O. Box 191 2755 State Highway 67 Victor, CO 80860 Golder Associates Inc. 44 Union Boulevard, Suite 300 Lakewood, CO 80228 (303)980-0450 (303)985-2080 Golder Project No.: 003-2203 RE: Summary No. 7: December Ol through December 21, 2002 Cresson Project Phase IVb, c Construction Quality Assurance Dear Mr. Roberts, Golder Associates Inc. (Golder) is pleased to submit this summary of Phase IVb and c Construction • Quality Assurance (CQA) services performed for the Cresson Project during the period of December 15t through December 2151, 2002. The weather during this reporting period was clear to cloudy. Approximate daytime low temperatures ranged from 12° F to 21 ° F, and highs ranged from 28° F to 51 ° F. Snow was recorded on December 3rd, 4`h, 17`h and 18d', 2002. Weather observations were made on sixteen days of this three week reporting period. Construction S~opsis Ames Construction Ina (Ames) of Aurora, Colorado is the earthworks contractor for the Phase IVb and c constmction. Ames conducted Phase IVb and c construction activities on twenty days of this twenty- one day reporting period (December 151 through December 2151). Phase IVb Polyflex had completed geomembrane construction for the year and demobilized from site on November 30`x. On the Sd` of December, a 2-foot rock rolled down the south side of the 2:1 riser slope, creating puncture and scratch penetration damage to the liner. On or azound the l0a' of December, a 2- foot frozen fragment of ore material rolled down the northern side of the 2:1 riser slope. Golder inspected the geomembrane and identified all damage prior to the remobilization of Polyflex on December 131n. Polyflex performed repairs of the damage on December 13d', followed by vacuum testing on Saturday, December 14d'. Documentation of the repairs and tests will be reported in the Phase IV b certification report.