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STATE OF COLORADO DIVISION OF MINERALS AND GEOLOGY Depanment of Natural Resources 1313 Sherman St., Room 215 DIVISION o r Denver, Colorado 80203 Phone: (303) a66-3567 MINERAL S FAX: (303) 832-8106 & GEOLOGY PERFORMANCE WARRANTY R E C L A M A T I O N MINING•SA KETY Bill Owens Governor Permittee: Diana K. Watson Greg E. Walther Executive Director Operation: Ston[ -Amick Pi[ Ronald W. Canany Acting Division Director Permit No: M-1981-275 KNOW ALL MEN BYTHESE PRESEN'T'S, THAT: WHEREAS, the Colorado Mined Land Reclamation Ac[, C.R.S. 34-32-101 et seg. (the "Act"), as amended, and the Colorado Land Reclamation Act for the Extraction of Construction Materials, C.R.S. 34-32.5-101 e[ ~. (the "Act"), as amended, provides that no permit may be issued under the Act until the Mined Land Reclamation Boazd (the "Boazd") receives a performance warranty (or warranties) that is a written promise to comply with all applicable requirements of the Act. WHEREAS, Diana K. Watson (the "Permittee"), has applied for a permit to conduct a mining operation known as Stout -Amick Pit (the "Operation") on certain lands in Rio Blanco County, Colorado. These lands are described in the permit application, as amended and supplemented, and aze referred to herein as the "Affected Lands". WHEREAS, in its application for the permit, the Permittee has agreed to be bound by all requirements of the Act and all applicable rules and regulations of the Boazd, as amended from time to time. WHEREAS, [he Board has determined, in accordance with the Act, that the estimated costs of reclamation with regazd to those affected lands in Rio Blanco County which aze now or may become subject to the permit aze those amounts for the stated periods of time as set forth in the financial warranty, which may be amended from time to time to reflect revised estimates of said costs of reclamation. WHEREAS, the Petmittee hereby gives the Board a performance warranty pursuant to Section 34-32-117(2) or Section 34-32.5-117(2) of the Act, and herein promises the Boazd that it will comply with all applicable requirements of the Act with regazd to those Affected Lands.