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~~~ <br />corrEa <br /> <br />`~~NR~~'°'°o' <br />2 <br />J!1? 0 7 2005 ~~~`~~ ~Oja~~ ~~~S <br />~pf5,9pF <br />Division of Minerals ant Geology l ~~' ga <br />:'~ 8~~ <br />@prpg~ <br />./ ~OS~ <br />GC' j{urr 7 <br />Wally Erickson ~ June 21,2005 <br />Colorado Division of Minerals and Geology d <br />Durango Field Ofpice <br />701 Camino Del Rio, Room 125 <br />Durango, Colorado 81301 ~ j <br />RE: Permit No. M-1977-45 ,Ike No. 1 (SR-11) Mine, Resumption of Mining: <br />Cotter Corporation plans to begin underground mining (development and production) at <br />the permitted site on the US Department of Energy lease block, C-SR-11, in sections 17 <br />and 18, T43N, R19W, NMPM, San Miguel County, Colorado. This mining activity was <br />not reported in the annual report for Permit No. M-1977-451, dated January 19, 2005. <br />However, changes since then in market prices for the metals contained in the ore warrant <br />starting the new mine. <br />The plan for mining is the same as the conversion application that was approved by <br />Colorado Mined Land Reclamation Board on October 18, 1990. In that approval letter, <br />MLRB required that the bond be increased to $18,870 prior to any disturbance. The US <br />DOE has approved Cotter's mine plan and requested a bond of $43,000. Enclosed is a <br />copy of the bond increase from the present $4,000 to the required $43,000. <br />The DOE has also revised the reclamation seed mixture since the 1990 conversion <br />application. Anew seed list is enclosed for your information. <br />Cotter anticipates that surface work related to the new mine will begin in early July, <br />2005. <br />If you need other information or have any questions concerning this, please contact Glen <br />Williams, Manager or Dick White, Project Geologist at Cotter's Nucla, Colorado office <br />at 970-864-7347. <br />Sincerely, <br />~~" <br />Dick White <br />Project Geologist <br />Cotter Corporation <br />Cotter Corporation -West Slope Operations Telephone (9701 864-7347 <br />P.O. Box 700, 28151 DD Road, Nucla, CO 81424 USA 1 Fax (970) 864-7287 <br />