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HOLLAND & HART <br />ATTORNEYS AT lAW <br />DENVER <br />DENVER TECH CENTER <br />COLORADO SPRINGS <br />ASPEN <br />BILLINGS <br />BOISE <br />CHEYENNE <br />JACKSON <br />WASHINGTON, D C <br />SUITE 2900 <br />555 SEVENTEENTH $TREFL <br />DENVER, COLORADO 80101~39?9 <br />MAILING ADDRESS <br />P.O. BO% B7d9 <br />DENVER, CCkORADO 80201 87a9 <br />August 28, 1992 <br />Ms. Janet Binns <br />Colorado Mined Land Reclamation Division <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203-8106 <br />iiiiiiiiiiiiiiiiiii <br />999 <br />TFLEPHONE17031295 8000 <br />FACSIMILE (7031295 8161 <br />TWx 910 931 0568 <br />PAUL J. SCHLAUCH <br />17031 195~8aa6 <br />~_ <br />AUG 311992 <br />DIVIb1Ule "; <br />MINERALS 8 G~ ~.: , . , <br />Re: McClane Canyon Mine (C-80-004) and Munger Canyon <br />Mine (C-81-020) <br />Dear Ms. Binns: <br />I am writing on behalf of the prospective purchaser of <br />the assets of Salt Creek Mining Company to confirm our <br />conversation concerning operations at the Munger Canyon and <br />McClane Canyon mines in the interim after the purchase of the <br />assets and before a decision is made by the Division <br />concerning the purchaser's application to transfer the <br />permits. We agreed that, pursuant to C.R.S. § 34-33-109(5), <br />the purchaser would be entitled to continue to operate under <br />the existing permits until its application for transfer of <br />the existing permits was approved or denied, provided it <br />applied for a transfer of the permits within 30 days after <br />acquiring the assets. <br />Also as we discussed, the purchaser will arrange to have <br />Salt Creek Mining Company added as an additional insured to <br />its liability insurance policies. As soon as the acquisition <br />is completed, we will send you a certificate of insurance to <br />that effect, which specifically identifies the Munger Canyon <br />and McClane Canyon mines and it contains the appropriate <br />statement concerning notice of material change or <br />cancellation. <br />Ver^y truly yours, <br />Paul J. Schlauch <br />PJS:maw <br />