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Idarado Mining Company <br />2006/2007 Annual Report <br />Permit Number: M-1977-403-HR <br />Anniversary Date: July 1, 2007 <br />Page 2 <br />removed were imported from outside the permit boundary, transported to the <br />stockpile site within the permit boundary for final placement and reclamation. <br />As described in the Technical Memorandum entitled Acid Base Accounting <br />Test Results-Pandora and Liberty Bell Soil Repository prepared by MFG, Inc. <br />(MFG) submitted with 2005/2006 report, MFG estimated approximately <br />77,000 loose cubic yards (lcy) of primarily net neutralizing materials were <br />removed during both the 2004 and 2005 calendar years from the Pandora and <br />Liberty Bell development site. It is expected only minimum quantities of <br />similaz materials might be collected in the future from the Pandora and <br />Liberty Bell locations. Upon completion of Liberty Bell removal, the final <br />acid base accounting report was be prepared by MFG and submitted to the <br />Division. As summarized in the updated report, 42 acid-base accounting <br />sample collections and analysis were performed on the combined Pandora and <br />Liberty Bell developmental areas, of these sample collections and analysis <br />only 3 samples had a negative NNP. Therefore, the mean Pandora NNP was <br />24.6 tons CaCO3/1000tons with a corresponding median NNP value of 21.6 <br />tons CaCO3/1000 tons and the mean Liberty Bell NNP was 30.7 tons <br />CaCO3/1000 tons with a corresponding median NNP value of 22.8 tons <br />CaCO3/1000 tons. Tt is believed the materials from both the Pandora and <br />Liberty Bell azeas placed in the repository will be geochemically stable as <br />placed. The stockpile area was recontoured to an approximate 3H:1 V contour, <br />seeded and fertilized during the fall 2005 season to stabilize the stockpile <br />materials. It is expected that the MFG report relating to the geochemical <br />nature of the materials placed in the stockpile determined the materials are <br />net-neutralizing in nature and do not require any further specific reclamation <br />type activities. <br />4. Removal of the Red Mountain shop snowshed is scheduled to be completed <br />during the summer of 2007. The necessary state and county demolition permits <br />were secured during the winter of 2006. <br />5. No new surface land disturbances were undertaken during the 2006/2007 <br />anniversary year, therefore previous map submittals remain current. <br />