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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 />November 19, 2007 <br />Mr. Jeff Gregg <br />Vice President and General Manager <br />Hall-Irwin Corporation <br />301 Centennial Drive <br />Milliken, CO 80543 <br />Re: Hall-Irwin Corporation - Rocky Flats Pit, Permit No: M-1987-113 <br />Jefferson County; Financial Warranty Increase, Revision No. SI-1 <br />Dear Mr. Gregg: <br />COLORADO <br />D IV IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Natural Resource Trustee <br />As you are aware, the Division of Reclamation, Mining & Safety (Division) was required to conduct a field <br />inspection at the Rocky Flats Pit as part of your recently filed Succession of Operator. As a result of the <br />inspection conducted on July 10, 2007, the Division on October 31, 2007 increased the Financial Warranty for <br />the Rocky Flats Pit to $550,931, in accordance with Rule 4.2.1 of the Mineral Rules and Regulations of the <br />Colorado Mined Land Reclamation Board for the Extraction of Construction Materials. This is an increase of <br />$461,931 over the existing Financial Warranty of $89,000. Preliminary notification of this increase was <br />included in the Inspection Report sent by the Division to your office on October 31, 2007. <br />The Division ordered amendment of the current Financial Warranty, or submittal of a new Financial Warranty <br />reflecting the increase, must be submitted to the Division within 60 days from the date of this letter, which is <br />January 17, 2008. This date supersedes the date specified in the inspection report. If you wish to submit a <br />different type of Financial Warranty, please contact Elizabeth Taliaferro so that she can send you the applicable <br />form. <br />If you have any questions, you may call me at (303) 866-3567. <br />Sincerely, <br />a/?? <br />David A. Bird <br />Environmental Protection Specialist, Senior Geochemist <br />Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Office <br />Active and Inactive Mines