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N1 -200 8 <br />April 30, 2008 <br />Mr. Carl Mount <br />Colorado Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />RECEIVED <br />MAY 0 5 2008 <br />Division of Reclamation, <br />Mining and Safety <br />Subject: Black Diamond Minerals, LLC -110 Limited Impact Operation Permit Application <br />Dear Mr. Mount: <br />-077 <br />Black Diamond Minerals, LLC (BDM) is submitting the enclosed permit application to construct and <br />operate a shale borrow pit following the Colorado Mined Land Reclamation Board, 110 Limited Impact <br />Operation permit application process. BDM appreciates input the Division of Reclamation, Mining and <br />Safety (DBMS) has on the adequacy of information contained in the attached permit application. BDM <br />looks forward to working with the DRMS to reach BDM's goal of receiving a permit allowing a June 2008 <br />start of operations. <br />The proposed operation will occupy an approximate 23,000 square foot area of disturbance, most of <br />which resides in an unreclaimed historic shale borrow pit. The proposed operation is located in Garfield <br />County, Colorado, approximately 9 miles south southwest of Rifle at an elevation of 9,400 feet on <br />applicant owned surface and mineral rights. The pit operation is proposed to remove approximately <br />3,600 cubic yards of rock during summer and fall of 2008. An additional 150 cubic yards of rock per year <br />is anticipated to be needed for a three year period following 2008. The rock will be used to surface roads <br />and well pads being proposed as part of a separately permitted oil and gas exploration program. <br />BDM has applied for all necessary approvals from local government agencies. Proposed operations will <br />be conducted in accordance with the terms and conditions listed in the application, with the provisions of <br />the Colorado Land Reclamation Act for the Extraction of Construction Materials, and Mineral Rules and <br />Regulations of the Colorado Mined Land Reclamation Board. <br />Please feel free to call Mr. Scott Hall (BDM Chief Executive Officer) with any questions you may have <br />regarding the permit. Specific technical questions may be directed to BDM's consultant Selina Koler with <br />Tetra Tech, Inc. (303) 447-1823. <br />Sincerely, <br />Black Diamond Minerals, LLC <br /> <br />Scott Hall <br />Enclosure