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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 C O L O RA D O <br />Phone: (303) 866-3567 D I v I S I O N OF <br />RECLAMATION <br />FAX: (303) 832-8106 MINING <br /> <br /> SAFETY <br /> Bill Ritter, Jr. <br /> <br />/ Governor <br />kN <br />ovember 21, 2008 Harris D. Sherman <br /> Executive Director <br />William Magill Ronald W. Cattany <br /> <br />uikrete Materials <br />LLC Division Director <br />, Natural Resource Trustee <br />3490 Piedmont Road, Suite 1300 <br />Atlanta, Georgia 30305 <br /> <br />RE: Lily Mines; File No. M-1987-028; Financial and Performance Warranty Request <br />Dear Mr. Magill, <br />On November 21, 2008, the Division of Reclamation, Mining and Safety (Division) approved Quikrete <br />Materials, LLC Succession of Operator (SO-OS) application. <br />The amount of financial warranty set by the Division for this operation is $282,000. You must submit a <br />financial warranty in this amount and a performance warranty in order for us to issue a permit. We have <br />enclosed a performance warranty form with this letter for your use. In the event you have requested a <br />financial warranty form, we have enclosed it in this letter. If you have not, please select a type of financial <br />warranty from Rule 4.3. The Financial Warranty forms can be found at the following website: <br />http://mining.state.co.us/Mineral%2OForms.htm <br />PLEASE NOTE THAT MINING OPERATIONS MAY NOT COMMENCE UNTIL A PERMIT <br />HAS BEEN ISSUED BY THE DIVISION AFTER RECEIPT OF YOUR FINANCIAL WARRANTY <br />AND PERFORMANCE WARRANTY. A PERMIT WILL NOT BE ISSUED UNTIL WE VERIFY <br />THE ADEQUACY OF BOTH YOUR FINANCIAL WARRANTY AND PERFORMANCE <br />WARRANTY. <br />If you have any questions regarding the Financial Warranty or Performance Warranty please contact <br />Elizabeth Taliaferro at (303) 866-3567 Ext. 8148. <br />Sincerely, <br />Y <br />Peter S. Hays <br />Environmental Protection Specialist <br />Enclosure <br />cc: Elizabeth Taliaferro; DRMS <br />Office of <br />Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines