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<br />' Boulder County Land Use Department <br />March 23, 1992 <br />Page 9 <br />1 <br />operations would be on property located within the Boulder County <br />' Forestry Zoning District. Steen had always referred to Fraser <br />proposed milling of ores from claims not directly associated with <br />those proximate to the Oscar and Good Enough Lode, claims such as <br />' the Rex. <br />It is acknowledged ore from the Bueno Mine was shipped to <br />' Gold Hill Mill and processed there. This was done under the belief <br />that since the Bueno Mine site was owned by the mill operator (COM, <br />Inc./Homestate, Inc.), then this was ore permitted within the <br />' construction of guidance we had been supplied. Note here Gwen <br />Fraser Affidavit to Mined Land Reclamation Board dated March 23, <br />1992 attached as Exhibit B. <br />' We are particularly concerned about the observaitons in the <br />letter from Robert Helmick to COM, Inc. and Gold Hill Ventures dated <br />' January 28, 1992. In that letter, referring to anecdotal information <br />regarding use of the Mill, it is suggested possible zoning violations <br />arising out of the processing of ore not produced from the same <br />' property upon which the Miil is located. <br />The fact of the matter is that the Mill is located on a very limited <br />site, the Oscar and Good Enough Lode mining claims. This is the <br />' realty upon which the Mill was located and constructed, which realty <br />was conveyed to Fraser by Steens on January 27, 1986. As of that <br />date, ownership of these two claims was conveyed by grant of deed <br />' and was, if not before, thereafter recognized by grantor as separated <br />from any other mining claims. <br />' It was not intended by the parties conveying and receiving the <br />property that any mining would occur on the same site upon which <br />the Mill was located. That this was clearly the intent of the parties is <br />' reflected in the priority milling agreement "Milling Contract" dated <br />February 13, 1991. <br />' The property upon which the Mill is located, Oscar Lode, <br />expressly excludes White Cloud. Wynona, Trumbo, Hercules, <br />Thorndike, Lanstng, Hazel A., John G. and Good Enough. Good Enough <br />' excludes Eugene, Golden Crown, Dick Cragg, Hercules, a portion of <br />Hazel A. and portions of John G.. Cy Eaton and Franklin. <br /> <br />1 <br /> <br />