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FLAD SAND AND GRAVEL CD. <br />NOVEMBER 17, 20D3 <br />PARE 2 <br />(2) Reclamation sloping was completed on the west lake area in <br />2001 and the lake has refilled. Filling of the silt pond on <br />the north end of the Plant Site is still complete. We <br />estimate there is 40.4 acres ± of water surface now that the <br />lake has stabilizes. Seeding will begin next year. Limited <br />reclamation is needed in the current mining area since the <br />slopes are shaped as mining progresses. <br />(3) Mining will continue east of the Plant Site in the area <br />colored purple. We expect to mine an additional 3.00 acres <br />± next year. We will continue to monitor the constructed <br />wetland area and do remedial work around the west lake if it <br />is necessary. <br />(4) No reclamation is required next year in the Plant Site area <br />or in the mining area east of it. The western parcel may be <br />seeded on the above water slopes next year. <br />(5) The bond was evaluated in 1999 and set at $55,400. Review <br />of that evaluation and this annual report show that less <br />area is disturbed at this time than existed in 1999. <br />Reclamation, except seeding, is complete on the western <br />59.81 acres ± of the site so the total disturbance at this <br />time is 28.13 acres ±, which is less then allowed under the <br />current bond. We feel it is adequate to cover all <br />reclamation requirements for this year. <br />The effective date of all information contained in this <br />report is November 12, 2003. If you have any questions please <br />call me. <br />Sincerely, <br />Fred Frei <br />President <br />cc file <br />Environment, Inc. <br />enclosure <br />