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FLAG SAND & GRAVEL <br />'l"a 1412 Road 311 <br />New Castle, CO 81647 <br />November 29, 2010 <br />Mr. Steve Shuey <br />Grand Junction Field Office <br />Division of Minerals and Geology <br />1313 Sherman Street, Suite 215 <br />Denver, Colorado 80203-2273 <br />Dear Mr. Shuey: <br />Re: Silt Pit, 2010 Annual Report, <br />MLRB Permit No. M-81-202, Garfield County <br /> <br />our files indicate that the anniversary date for this <br />permit is November 27, 2010. This pit HAS NOT been granted a <br />Temporary Cessation and it HAS operated more than 180 days this <br />year. The Financial Warranty for this operation is $55,400 the <br />permitted area is 170.70 ac. ± and it is a single Phase <br />operation. The annual fee of $791.00 is attached. <br />Please refer to the Annual Report Map, for locations of the <br />areas discussed in this text. We will deal specifically with <br />the Annual Report requirements outlined in Rule 1.15 and the <br />annual report form. <br />(1) We continued to mine in the area east of the Plant Site as <br />shown on the map. We now have 12.10 acres ± of partially <br />mined area (\\\). We increased our topsoil piles by 2.72 <br />acres this year brings the total stockpiled topsoil to <br />approximately 71,000 YD3 (brown) in the three stockpile <br />areas. We continue to mine the slopes 3h to lv so that no <br />sloping will be necessary when the lake fills with water. <br />We are still using the Plant Site and it contains gravel <br />stockpiles, and the office facilities. <br />(2) The west lake area has refilled and covers approximately <br />40.40 acres +. We continue to fill and clean the settling