2010-07-27_PERMIT FILE - M2009076 (16)

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• 400 ton/day mill (as described in the opening summary of Exhibit C as Phase II). In that event, Venture Resources will need to amend the reclamation costs, anyway. • • If the aforementioned Phase H amendment does not occur, an adjustment of the standing bond shall be made to reflect. continuing existing operations forward of Bench #2 to total build-out, more specifically the completion through Bench 45. This shall be done before proceeding any further past the Bench #2 build-out. Therefore, a point of Maximum Disturbance -Bench #2 shall be defined as follows, acknowledging the phased reclamation described throughout Exhibit D: 1. Mobile Mill Site actively processing per the operations set forth in Exhibit C. - Mining Plan. a. 0.632 acres 2. The largest area of potential non-reclaimed area of exposure within the Tailings Impoundment is the last increment of sloped face of Bench #2 and the resultant level, planar region above it (reference Exhibit E7 and Tailings Impoundment Capacity and Reclamation Cost Schedule in the appendix of this Exhibit D). a. 0.173 acres of 1/4 sloped face on Bench 2. b. 1.43 acres of level area on top of Bench 2. Careful consideration has been made to create a Reclamation Cost Schedule that addresses all elements necessary for reclamation on a unit cost basis. This Schedule is provided at the end of this Exhibit D in spreadsheet form. Equipment depreciation costs have not been considered due to the relatively short time of duration for the reclamation project. To summarize this Schedule, the amount of the Financial Warranty Cash Bond for the previously defined Maximum Disturbance - Bench #2 shall be: Total Reclamation Cost for Maximum Disturbance - Bench #2 as defined in Exhibit D, 6.3.4(2): Tailings & Mobile Mill Site Tailings Impoundment Maximum Disturbance - Bench #2 $42,593.97 Mobile Mill Site Maximum Disturbance $16,260.00 Additional 5% DRMS Office Admin., per 6.3.4 2 c $2,942.70 Total Reclamation Cost for Maximum Disturbance - Bench 42 $61,796.67 An adjustment of the standing bond shall be made to reflect continuing operations forward of Bench #2 to total build-out, more specifically the completion through Bench #5 (scheduled to occur at 90 months/7.5 years): Additional Bond Requirement to Proceed from Bench #2 thru Total Build-out of Bench #5 Tailings Impoundment Maximum Disturbance - Bench #5 $65,388.67 Tailings Impoundment Maximum Disturbance - Bench #2 $42,593.97 Difference Bench #5 - Bench #2 $22,794.70 Additional 5% DRMS Office Admin., per 6.3.4(2)c $1,139.73 Total Bond Adjustment for Maximum Disturbance - Bench #5 F $23,934.43 Refer to the Reclamation Cost Schedule in the following appendix for more detailed information. Page 8 of 9