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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />COLORADO <br />D I V I S I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br /> Bill Ritter, Jr. <br /> Governor <br />May 20, 2008 Harris D. Sherman <br /> Executive Director <br />Ron Thompson <br />Ronald W. Cattany <br />Peak Project Management Division Director <br />34115 County Road 20.8 Natural Resource Trustee <br />Trinidad, Colorado 81082 <br />RE: Reclamation Cost Estimate, Permit Renewal No. 2 (RN-02) <br />Lorencito Canyon Mine, #C-96-084, <br />Dear Mr. Thompson: <br />Please find enclosed the updated reclamation cost estimate for the Lorencito Canyon Mine. This <br />estimate takes into account the recently approved industrial land use bond release and increases in unit <br />costs for the various tasks to present day. Please review and if you concur with the calculations, paginate <br />the pages accordingly and re-submit a copy to us so that we may proceed with the permit renewal <br />process. <br />If you have questions, please call me. <br />Sinc ely, <br />K A. Gorham <br />En Ironmental Protection Specialist II <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines