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STATE OF <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natu21 Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 8663567 <br />FAX: (303) 832106 <br />May 1, 2006 <br />Pitkin Iron Corporation <br />1317 Grand Avenue, Suite 228 <br />P.O. BOX 2115 <br />Glenwood Springs, CO 81602 <br />INADEQUATE ANNUAL FEE/ANNUAL REPORT PACKET <br />COLORADO <br />DIVISION O F <br />MINESR <br />GEOLOGY <br />0.FC lANAiION•NINING <br />f AFETT•f CIEHCE <br />aril owEnF <br />Governor <br />Russell George <br />Executive Director <br />Ronald W. fattany <br />OFision Director <br />Natural Resourm trustee <br />On April 25, 2006, the Division of Minerals and Geology received your Annual Fee/Annual Report Packet <br />("Packet") for Permit No. M-1982-121, Mid-Continent LST. However according to Division records, the Packet <br />is inadequate <br />Annual Fee: Adequate <br />Annual Report: Inadequate <br />If the annual fee is inadequate please send the remaining balance. If they have not been received, please remit <br />$688.00. <br />If the annual report is inadequate or has not been received, please subulit either a written report or au <br />adequately labeled map, as required by Rule 1.15. Enclosed is an annual report form with reporting <br />instructions on the back. The Annual Report and Fee requirement is not met until we have received the <br />following 3 components: fee, report, and associated map (all 3 are required regardless of the level of <br />disturbance or absence of disturbance during the previous year). <br />FAILURE TO SUBMIT AN ADEQUATE PACKET MAY RESULT IN ENFORCEMENT ACTION <br />WITH ASSOCIATED CIVIL PENALTIES. The Division must receive the complete Packet no later than <br />5 p.m. on May 31, 2006 (if this date falls on a weekend or state recognized holiday your Packet will be due on the <br />next regular business day), or a Nofice of Violation, Cease and Desist Order from ALL mining related activities, <br />Civil Penalties equal to the amount of the annual fee(s) due, and a Notice of Formal Public Hearing before the <br />Mined Land Reclamation Board for consideration of POSSIBLE PERMIT REVOCATION AND FINANCIAL <br />WARRANTY FORFEITURE will be issued for this account. <br />Thank you for you cooperation with this matter. If you have any questions, please feel free to contact Michelle <br />Ramirez at (303) 866-4060. <br />Enclosure <br />Office of Office of Colorado <br />Mlned~flYAlYA6HEDDCUMENTSUI-AF-06 ACtIVe and InaC[IVe Mines CieOlORlf21 $UFVeY <br />