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o <br />ALBERT FREI & SONS <br />June 26, 2008 <br />Division of Reclamation, Mining & Safety <br />Minerals Section <br />1313 Sherman Street Suite 215 <br />Denver, Colorado 80203-2273 <br />Re: alstrum Mine, M.L.R. Permit / <br />,,/No. M-1983-033, Annual Report <br />P.O. BOX 700 <br />HENDERSON, CO 80640 <br />(303) 289-1837 <br />(303) 289-2865 FAX <br />(RECEIVED <br />JUN 2 6 2008 f <br />Division of Reclamation, , <br />Mining and Safety V <br />Our files indicate that the anniversary date for this <br />permit is June 23. This pit HAS NOT been granted a Temporary <br />Cessation and it HAS operated more than 180 days this year. The <br />Financial Warranty for this operation was reviewed in 2005 and <br />at $741,500 was determined to be adequate. The permitted area <br />is 292.07 ac. and the pit is divided into 6 Reclamation Phases. <br />A sign that conforms with rule 3.1.12 SIGNS AND MARKERS is at the <br />entrance to the quarry on the scale house. Please refer to the <br />2007-08 Annual Report Map for the location of areas discussed in <br />this report. <br />We will deal specifically with each of the Annual Report <br />requirements as outlined in Rule 1.15 of the Rules and <br />Regulations, and the annual notice letter. <br />(1) Total disturbance to date in Stage I is 118.55 acres . As <br />the face moved east more floor area was created reducing <br />the area needing additional work to reclaim it. The <br />current face area covers approximately 57.40 acres (tan). <br />Mining continued on the area previously stripped in Stage <br />I, on the floor area (orange), and the working face (tan). <br />The primary topsoil storage pile is located north of the <br />mined area and covers 12.85 acres (brown). <br />(2) As approved in the mining plan only the mine benches <br />need resoiling and revegetation. The upper 5 benches, <br />covering 6.54 acres, are beginning their third growing <br />season (green), Revegetation is doing well on the benches.