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reg Lewicki And Associates <br />11541 Warrington Cour[ Phone: (303) 346-5196 Fax (303)-346-6934 <br />Parker, CO USA 80138 E-Mail: lewicki7@attbi.com <br />RECEIVED <br />May 25, 2004 MAY 2.7 2004 <br />Barbara Chiappone Division of Minerals & Geology <br />Colorado Division of Minerals and Geology <br />Minerals Section <br />1313 Sherman Street 2nd Floor <br />Denver. CO 80203-2273 <br />Re :Annual Report B&B Excavating, Inc. Montgomery Pit, <br />MLR No. M-86- 104 Tax I.D. <br />Dear Barbara: <br />Enclosed is the Annua] Report for the past year for Montgomery Pit, including map and <br />report form. Past records show that the annual date for the pit is May 24 of each year. <br />The financial warranty for the permit is $20,500 and the total permit area is 46.08 <br />acres. The mining and reclamation plan has three phases. <br />The following information is provided to comply with Rule 2.4.1: <br />(1) No acres of new disturbance occurred in the past year and no new mining occurred <br />in the disturbed area located in the south central and southwest parts of [he permit area <br />as shown on the annual report map. The portable wash plant has not returned to the site <br />and is not planned to return within the next 12 months. No mining has occurred within <br />the last year and some mining is planned for the next 12 months on the east side of the <br />property as shown on the map. A new amendment was submitted in June of 2003 to <br />address changes in the future mining sequencing and reclaimed land use. This <br />amendment has been approved. <br />(2) Backfilling, final grading and topsoil replacement has finished on the south central <br />