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<br />November 19, 2003 <br />Division of Minerals and Geology <br />Department of Natural Resources <br />1313 Sherman Street., Room 215 <br />Denver, Colorado 80203 <br />Reference: Annual Fee and Report Sent via US mail express overnight <br />M-1977-410 <br />Dear Division of Minerals and Geology: <br />Please find attached our check in the amount of $ 225.00 for our annual permit <br />fees. <br />The following report is a summary of our activity for the period November 04, <br />2002 through November 03, 2003. <br />November 04, 2002 through August 31, 2003 <br />The Cross Mine and Consolidated Caribou mines project was under full care and <br />maintenance during this period. The mine office at the Cross mine was open full <br />time 6 days per week The underground mine operations were continued to be <br />closed other than for care and maintenance. The water discharge system at the <br />Cross and Caribou Mines were under seven day per week, constant care and <br />maintenance. The daily lime work at the Cross mine continued as well as all <br />required sampling and reporting. We continue to use Walsh Environmental <br />Scientists and Engineers in Boulder, Colorado to complete our monthly DMR's for <br />the Colorado State Health Department. The mine buildings and facilities were well <br />maintained. Roads were kept open all winter long. <br />Work continued at the Cross Mine on the SEP program for the Colorado State <br />Health Department. The Cross Mine dump was contoured back with the <br />establishment of a buffer zone along the Coon track Creek. 30 dump truck loads of <br />top soil and mulch were placed on the Cross Mine dump and seeded with native <br />grass seed. Excess dump rock was contoured into the hillside behind the Cross Mine <br />to reclaim old surface mine workings. The CDH annual report detailing this <br />reclamation project will be completed on January 05, 2004 and I will send you a <br />copy for your records. <br />Work continued non-stop to secure a new financing for Calais Resources Inc. <br />Numerous groups visited the Caribou District and several finance meetings were <br />both at the mine office and in other States or Countries. <br />Our geologic data base continued to be updated and additional work was <br />completed at Maptek in Lakewood, Colorado on the Vulcan program. <br />Educational tours of the Cross Mine and Caribou district were continued <br />throughout the year with over 600 school kids and visitors participating. <br />Mine Office (303) 258-3806 Facsimile (303) 258-0402 <br />P.O. Box 653 -Caribou, Nederland, CO 80466-0653 <br />thomassh®earthlink.net <br />