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ALBERT FRET AND SONS, INC. WORTHING SUBDIVISION CASE # SS76-ZP MINING PLAN This amendment is to change the method of mining from a wet operation to a dry one where the lake area will be pumped. We will then remove the remaining gravel and mine shale material from the bottom of the mine to be used to fill part of the northeast corner of the mine where E-470 is being built. Addi- tional shale will be removed to be used on the section of E-470 between the river and SH 85. When the site is dewatered we can determine how much gravel is left in the mined area and make a decision on whether lining the site is feasible and cost effec- tive. Instead of using a dragline to excavate the material, front end loaders, track hoes and scrapers will be used as needed. Due to the demands from the State Engineers Office for replacement water for evaporative losses from gravel lakes, the market for water storage facilities has increased. This makes it more attractive to develop a gravel lake into a storage vessel. This facility will provide the water storage we need so we can continue to develop gravel reserves in our market area along the South Platte River. In addition, it solves the need to provide makeup water for evaporative losses from the lake that now exists. If we can justify creating a water storage lake, we will have an engineering study done to design the liner and spillways for the facility. The spillway redesign may be necessary since the lake is within the 100-year flood plane and we want to be sure any water entering and leaving the lake during a flood will not destroy the walls of the reservoir. On November 1, 2000 we filed a Technical Revision with the Division of Minerals and Geology to change the mining method. The divisions approved the Technical Revision on November 28, 2000, and a copy of the approval letter is attached to this submittal. A permit to dewater the site has been filed with the Division of Water Resources and pumping will not begin until it is approved. The reclamation bond is currently $68,500 and was determined by the Division of Minerals and Geology to be adequate to cover the initial phase of dewatering and mining as described above. We estimate 500,000 to 750,000 cy of shale will be removed from the mine. This will deepen the lake by 7 to 9 feet. There is approximately 500,000 tons of gravel left to be mined as well. There may also be a deep gravel seam underlaying a shallow clay lens, like that found south of this site in our other mines. If this is true, we will mine that material also. Underwater slopes will be mined at their final rate so no additional reclamation will be needed when mining ends. All of the new activities, mining shale, and removing deep gravel will have no affect on the reclamation plan. Once we have dewatered the lake, we can evaluate the site and choose the final reclamation plan that we will follow. If, after the lake is deepened, we can justify the expense to design 8