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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />t 313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832$106 <br />July 1, 2005 <br />Sandco,Inc. <br />P.O. Box 4440 <br />Durango, CO 81302 <br />RECEIVEC <br />JUL 2 2 2005 <br />Oivisiun ci hlinel ass sLU u~~iany <br />COLORADO <br />D I V I S I O N O F <br />MINERALS <br />GEOLOGY <br />RECLANATION•MINING <br />SAFETY•SCIENCE <br />Bill Owens <br />Governor <br />Russell George <br />Executive DIreLYnr <br />Ronald W. Catrany <br />Division DlreClor <br />Natural Resource Trustee <br />Under the terms of your Reclamation Permit and Colorado Statutes, you must submit Annual Fees and Annual <br />Reports. You must pay the Annual Fee and submit an Annual Report each yeaz until reclamation responsibility <br />release is granted. The Annual Fee is not a renewal fee. The fee and the report are for T,AST YEARS mining and <br />reclamation season, and MAST be received even if your operation was in an inactive state. The fee and report are <br />due ON OR RFFnRF your permit anniversary date shown below. <br />If you have requested reclamation responsibility release from the Division of Minerals and Geology (the <br />"Division") but your permit is not released by your anniversary date listed below, the annual fee MTIST be paid. If <br />the permit is released before the anniversary date, then by Statute, you do not pay an annual fee or submit an <br />annual report for that year. <br />PLF.ASF. NOTF.e IF THE ANNUAL FEE, ANNUAL REPORT, AND A MAP ARE NOT RECENED ON OR <br />BF.FORF. YOUR ANNPJERSARY DATE, A FORMAT. NOTTCF. OF VTOT.ATTON AND A ROARD ORDRR TO <br />PAY ['.NTT. PRNAT.TIFS IN THE AMOUNT EQUAL TO THE ANNUAL FEE $ 688.00 WILL BE <br />ATiTOMATTCAT.T Y ASSESSED. NO PERMITS FOR NEW MINING OPERATIONS SHALL BE GRANTED <br />TO ANY OPERATOR WHO IS CURRENTLY FOUND TO BE IN VIOLATION IN THIS STATE (C.R.S. 34- <br />32.5-120 OR C.R.S. 34-32-120) UNTIL THE VIOLATION IS ABATED. <br />Division records indicate $ 688.00 fee is due <br />Permit No.: M-1987-064 <br />Operation Name: Dalton Land & Cattle <br />Anniversary Date: August 27, 2005 <br />Total Fee Due: $688.00 (Due on or before your Anniversary Date) <br />If your records indicate different facts than those stated above please notify the Division. <br />Please return the enclosed annual report FORM, a MAP, and a CHRCK or M(1NFY (IRDF.R made payable to the <br />Division of Minerals and Geology, 1313 Sherman St., Room 225, Denver, Colorado 80203. <br />Thank you for your cooperation in this matter. If you have any questions, please feel free to contact <br />Tawnya Deherrera at (303) 866-4084. <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />