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Capital Gold Corporation <br />AKA: Leadville Mining and Milling J. Scott Hazlitt <br />P. O. Box 552 Leadville, Colorado 80461 (970) 2148164 <br />hazlittna,capitaleoldcoro.com <br />2007 ANNiJAL REPORT <br />PERMITTEE NAME: Leadville Mining and Milling Corp. <br />PERMITNO.: M-1990-057 <br />OPERATION NAME: Hopemore &Leadville Mining and Milling <br />ANNIVERSARY DATE: June 14, 2007 <br />ANNUAL FEE: $225.00 <br />COUNTY: Lake <br />Hopemore Mine (Mao: MLR-11 <br />During the permit year Leadville Mining and Milling Corp. has been inactive at the Hopemore Mine site. <br />Regular inspections are made of the surface buildings. Removal of debris around the mine area, and <br />general cleanup, were the only activities on the surface areas. <br />Future activity at the mine for the upcoming permit yeaz includes maintenance. <br />Mill Site (Mav: MLR-21 <br />The mill site operations remained inactive. Maintenance work and general clean up were the only <br />activities. The site was used for storage of core samples throughout the year. <br />If you have any questions please call me a[ 970-214-8164. <br />Sincerely, <br />J. Scott Hazlitt <br />Mine Manager <br />C;\Documents and SettingslUserUvly Documentsllmmi\Leadville\state dmgldmg_annual report 2007.doc <br />