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Varna Companies, Inc. <br /> 2130 S. 96th Street•Broomfield,Colorado 80020•Telephone(303)666-6657•FAX(303)666-6743 <br /> Tuesday 1 June 1999 <br /> Annual Report - M74-052 Pit 1 <br /> No extraction occurred in 1998, and none is planned in 1999. The majority of the site <br /> [approximately 220 acres] is under reclamation. Shop operations continue at this <br /> location as well as some material storage. Stormwater berms were enhanced along <br /> the perimeter of the shop area. <br /> As indicated in the 1997 Annual Report, approximately 8.0 acres were seeded in the <br /> Fall of 1996 and Spring of 1997. The seeding does not appear to have worked and <br /> will be reseeded in the Fall of 1999. Trees planted in 1997 [as located in the 1997 <br /> annual report map] continue to survive. Due to pending considerations for backfilling <br /> of existing ponds on the northern portion of the original Pit 1 area, reclamation for the <br /> balance of land will not commence until approval and completion of the project now <br /> under consideration by technical revision. <br />