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/ l <br />PK ENTERPRISES, INC. <br />P.O. Box 729 • 11115 W. Hwy. 24 • Divide, CO 80814 • 719-687-6011 • Fax 719-687-6788 <br />September 16, 2010 <br />State of Colorado <br />Division Minerals & Geology <br />1313 Sherman St. # 215 <br />Denver CO 80203 <br />RE: Permit # M-2000-077 <br />To Whom It May Concern: <br />In reference to the 2010 annual report there were approximately 28,440 tons of gravel <br />extracted from Mule Creels Gravel Pit as of September 16, 2010. Enclosed is our aiulual fee of <br />$791.00 on check number 418254. This years' mining activity was concentrated on the upper <br />1/3 portion of the slope. This year we lowered the contours approximately 10' in the center <br />section of the upper 1/3 of the west facing slope. Benching the different levels will be done to <br />comply with MSHA regulations and to facilitate and ease the removal of gravel from the steep <br />slopes. In several areas of the pit the gravel and rock is too hard to rip. In reference to last years <br />annual report there was no blasting done at Mule creek this year and only limited blasting will be <br />done as needed. <br />Blasting will be done in accordance with all applicable rules and regulations including <br />County and State as outlined in County and State permits. <br />If you have any questions please feel free contact me at (719) 686-1566 or (719) 339- <br />9125. <br />Sincerely, <br />Gregory A. Loop