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OXBOW MINING, LLC <br />3737 Hwy 133 P.O. Box 535 Somerset, Colorado 81434 USA Tel (970)929-5122 Fax <br />(970)929-5177 <br />June 29, 2005 <br />Mr. Jim Stover <br />J. E. Stover & Associates, Inc. <br />P.O. Box 60340 <br />Grand Junction, CO 81506 <br />Re: MinrecBlue Ribbon Mine. CDMG Permit #C-81-047 <br />Surface Facilities. <br />Dear Mr. Stover: <br />As you are aware, Oxbow Mining, LLC (OMLLC) is the owner of record of the surface estate associated <br />with the referenced Blue Ribbon minesite. As you are also aware, a portion of the Blue Ribbon minesite <br />and associated extended liability has been assumed by the OMLLC Elk Creek mine to provide for the <br />Hubbard fansite. <br />The purpose of this letter is to provide clarification regarding certain other features associated with the <br />Blue Ribbon minesite. <br />Hubbard Creek Culvert <br />In permitting the Hubbard fansite with the Colorado Division of Minerals and Geology, the Elk Creek Mine <br />has assumed the responsibility for the Hubbard Creek 9' culvert crossing as it provides access to the fan <br />facility. OMLLC requires that the Hubbard Creek culvert crossing be left in place. <br />Blue Ribbon Pond 4 (Outfall 004) and Pond 5 (Outfall 001) <br />Oxbow mining has no particular plans for these ponds and desires to have the ponds reclaimed in <br />accordance with the approved Blue Ribbon mining and reclamation plan. <br />Gravel Road from the Entrance Gate to Pond 5 <br />Oxbow mining plans to use the gravel road extending from the entrance gate located near the 9' Hubbard <br />Creek culvert to Pond 5 for property access as a future ranch road after final bond release by Blue <br />Ribbon. Therefore OMLLC requires that the gravel road be left in place as a gravel ranch road and not <br />otherwise reclaimed. <br />Please contact me or Jim Kiger at 970-929-5806 if you have any questions. <br />Sincerely, <br />?.l 1 <br />ames T. Cooper <br />xecutive Vice President <br />Xc: Jim Kiger CMLL( )? <br />Files <br />0 Page 1