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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 />October 12, 2010
<br />George Robinson
<br />R Squared Incorporated
<br />5555 DTC Parkway, Suite A-4000
<br />Greenwood Village, CO 80111
<br />RE: Application to=Convert a 110(2) Permit to a 112d-1 Operation (CN-01),
<br />Incomplet_ or the Purposes of Filing,
<br />May Day Idaho Mine Complex, Permit No. M-1981-185.
<br />Dear Mr. Robinson:
<br />Bill Ritter, Jr.
<br />Governor
<br />James B. Martin
<br />Executive Director
<br />Loretta E. Pineda
<br />Director
<br />On September 30, 2010, the new Minerals Rules and Regulations of the Colorado Mined Land Reclamation
<br />Board for Hard Rock, Metal, and Designated Mining Operations, amended August 2010, became effective.
<br />On October 5, 2010, the Division received the application fee for the conversion application for the May
<br />Day Idaho Mine Complex (CN-01). Therefore, CN-01 is subject to the new Rules.
<br />Herein, all references to the Act and Rules refer to the Colorado Mined Land Reclamation Act, 34-32-101 et
<br />seq., C.R.S. (the Act or Hard Rock Act), and to the Mineral Rules and Regulations of the Colorado Mined
<br />Land Reclamation Board for Hard Rock, Metal and Designated Mining Operations, effective September 30,
<br />2010 (the Rules). Copy of the current Act and Rules are available on the Division's web site at
<br />www.mining.state.co.us.
<br />Pursuant to Rule 1.4.1(8), the Division has conducted a preliminary review of the application materials and
<br />has determined that CN-01 is incomplete for the purposes of filing. Pursuant to Rules 1.1(20.1) and
<br />1.4.5(2), the following items must be received before the Division can consider your application as being
<br />filed and commence the technical review.
<br />1. On October 5, 2010, the Division received the application fee in the amount of $4,025. Pursuant to
<br />Rule 1.5.5(2), such fee is appropriate for 112d-1 type operations, which affect less than 50 acres
<br />area. However, according to the application materials the proposed permit area is 274.7 acres.
<br />Pursuant to Rule 1.5.5(4), the application fee for operations which affect more than 100 acres is
<br />$9,200. Please submit $5,175 additional application fee to total not less than $9,200, as appropriate
<br />for 112d-3 type operations. Alternately, if the proposed operation will affect less than 50 acres,
<br />please clarify by identifying all affected lands in Exhibit A, as required under Rule 6.4.1(1), and
<br />delineate the boundaries of affected lands on the appropriate maps, as required under Rules 6.4.2,
<br />6.4.3(d), 6.4.4, 6.4.5 and 6.4.6. The commitment to provide the information required under Rule
<br />6.4.1(1) after the permit is issued is unacceptable.
<br />OCT 14 2010
<br />iOn of N6-Give nst- C O L D RA D O
<br />P I V I S I ON OF
<br />9 and Saftly RECLAMATION
<br />MINING
<br />SAFETY
<br />Office of Office of
<br />Mined Land Reclamation Denver • Grand )unction • Durango Active and Inactive Mines
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