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Varna Companies, Inc. <br />Office of Special Projects <br />8120 Gage Street Frederick Colorado 80534 Telephone (970) 353-8310 Fax (970) 353-4047 <br />JUNE 2009 ANNUAL REPORT - M2001-113 - SEAHORSE RANCH WEST GRAVEL PIT <br />There are no substantive changes from last years Annual Report. Extraction will occur in a <br />Northeasterly direction from the completed portions detailed last year. We do not anticipate <br />substantial removal of materials beyond five to ten acres. Approximately ten acres were <br />removed in the preceding year. No reclamation occurred last year except for concurrent grading <br />of pit walls where extraction is completed. No reclamation is planned in the coming year.