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1.0 EXECUTIVE SUMMARY -START OF ACTIVE OPERATIONS <br />The following Annual Report addresses American Soda's Yankee Gulch Sodium <br />Minerals Project, located in Rio Blanco County, Colorado. In accordance with <br />C.R.S. 34-32-116(3)(a), the Annual Report provides a summary of the surface <br />disturbance and reclamation performed during the current reporting period from <br />July 13, 2001 to July 12, 2002 (2001 - 2002), as well as planned disturbance <br />and reclamation for the next reporting period from July 13, 2002 -July 12, <br />2003 (2002 - 2003). Activities at the Yankee Gulch Project during the <br />reporting period were conducted under the regulatory guidance and inspection <br />oversight of the Colorado Division of Minerals and Geology (DMG) under Permit <br />No. M-99-002. <br />The 2001 - 2002 reporting year has been a period of routine operations for the <br />Yankee Gulch Project. <br />As part of this Annual Report, American Soda has prepared maps identifying <br />areas where disturbance has occurred during the report period. Figure 1 <br />provides a general location map of the American Soda Piceance Site Mining <br />Operation. Figure 2 provides a detailed map of the Piceance Site Processing <br />Facility and its surroundings. Figure 3 provides a detailed map of the O - 5 year <br />mining panel, where the majority of surface disturbance has occurred to date. <br />Figure 3 also identifies American Soda's Pilot Plant Area, which was developed in <br />1997. <br />Section 2.0 of this report addresses permit modifications for the Yankee Gulch <br />Project during the 2000 - 2001 permit period. Section 3.0 addresses the <br />status of American Soda's project operations, including the extent of current <br />disturbances and additional disturbance planned for 2002 - 2003. Finally, <br />Section 4.0 describes reclamation that has occurred to date and is planned for <br />the 2001 - 2002 reporting period. <br />American Soda, L.L.P. 1 <br />