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Varra Companies, Inc. <br />Office of Special Projects <br />1431 East 16's Street Greelev. Colorado 80631 Telephone (970) 353-8310 Fax (970) 353-4047 <br />OCTOBER 2007 ANNUAL REPORT - M1978-287 - VADER PTT <br />There are no substantive changes from the previous years Annual Report and map. Extraction <br />will occur sporadically on an as needed bases. We do not anticipate substantial removal of <br />materials. No reclamation occurred last year. No reclamation is planned in the coming year. <br />Much of the activity at this location is the processing of stockpiled material brought in from the <br />adjacent Seahorse permitted operations. <br />