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<br />MASSEY 3EMEFOFF STERN ~ Sca~veRZ, P.C.
<br />Ms. Erica Crosby
<br />' March 13, 2000
<br />Page 4
<br />' to Cheryl Linden at the Attorney General's Office The letter confirms that Ms. Tucker is the
<br />assistant corporate secretary of Mineral Reserves, Inc., and Mobile Premix Concrete, Inc. The
<br />letter clarifies that Western Mobile Boulder, Inc., the permittee and applicant in this case (as well
<br />as a wholly sepazate, but related entity), will be responsible for mining properties owned by
<br />Mineral Reserves, Inc. and Mobile Premix Concrete, Inc., as well as property owned by
<br />Southdown, Inc.
<br />Attachment E to this correspondence is a letter agreement supplied to Southdown, Inc., as
<br />provided in Construction Materials Rule 6.4.14. This letter memorializes Southdown's
<br />agreement to and understanding that Western Mobile Boulder, Inc. will mine and reclaim
<br />property it owns. As soon as an executed copy of the agreement is returned to the applicant, a
<br />copy will be provided to your office.
<br />As provided below, neither Frontier Materials, Inc., nor Henry Braly, have an interest in
<br />the property to be mined. Therefore, letter agreements aze not required with these parties as
<br />' provided under Rule 6.4.14.
<br />^ DMG Adeauacv Item No. 9 - Leeal Rieht to Enter the "Braly Property"
<br />Upon review of the Amendment 006 application, it appears that Exhibit N was
<br />inadvertently incomplete and, for that reason, confusing, particularly as it pertains to an apparent
<br />distinction between the surface and sand and gravel estates on portions of the proposed Phase I
<br />mining azea. As a threshold matter, it is important that the Division understand that the
<br />properties that comprise portions of the proposed Phase 1 and Phase II mining areas were the
<br />subject of a series of complex property exchanges between Mineral Reserves, Inc., Southdown,
<br />Inc. and Frontier Materials, Inc. on March 17, 1994.
<br />Prior to the completion of the exchange, Frontier Materials, Inc. owned three 40 acre
<br />pazcels that comprise the northern portion of the Phase I mining azea. These three pazcels were,
<br />at one time, leased by Frontier Materials, Inc. to Mineral Reserves, Inc. The lease contained an
<br />option whereby Mineral Reserves, Inc. could purchase two of the pazcels outright, and the sand
<br />and gravel estate on third, or western most parcel.
<br />To innate the exchange, Mineral Reserves, Inc. exercised its option to purchase the
<br />parcels from Frontier Materials, Inc. on Mazch 17, 1994 and then immediately conveyed those
<br />' interests to Southdown, Inc. Exhibit F sets forth the following two documents: (a) "Sand and
<br />Gravel Term Deed" dated Mazch 17, 1994 between Frontier Materials, Inc. (as grantor) and
<br />Mineral Reserves, Inc. (as Grantee); and (b) "Sand and Gravel Term Deed," dated Mazch 17,
<br />1994, between Mineral Reserves, Inc. (as Grantor) and Southdown, Inc. (as Grantee).
<br />The first document conveys the sand and gravel estate on the western most parcel from
<br />Frontier Materials, Inc. to Mineral Reserves, Inc. Exhibit A at page A-2, Pazagraph 1 states that
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