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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 />December 15, 2010 <br />Tim White <br />COLORADO <br />D IV IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />Bill Ritter, Jr. <br />Governor <br />Mike King <br />White Sand and Gravel, LLC Executive Director <br />7 N. Street Road P.O. Box 806 <br />Loretta E. Pineda <br />Elkhart, Kansas 67950 Director <br />Re: File No. M-2010-062, White Sand & Gravel Pit #1, 112c Decision Letter - Financial and Performance <br />Warranty Request - Construction Material Operation <br />Dear Mr. White: <br />On December 15, 2010, the Division of Reclamation, Mining and Safety approved your 112c mining permit application. <br />The amount of financial warranty set by the Division for this operation is $17,646.00. You must submit a financial <br />warranty in this amount and a performance warranty in order for us to issue a permit. In the event you have requested a <br />financial warranty form, we have enclosed it in this letter. If you have not, please select a type of financial warranty from <br />Rule 4.3. Then contact us so that we can provide you with the appropriate warranty form. We have enclosed a <br />performance warranty form with this letter for your use. <br />PLEASE NOTE THAT MINING OPERATIONS MAY NOT COMMENCE UNTIL A PERMIT HAS BEEN <br />ISSUED BY THE DIVISION AFTER RECEIPT OF YOUR FINANCIAL WARRANTY AND PERFORMANCE <br />WARRANTY. A PERMIT WILL NOT BE ISSUED UNTIL WE VERIFY THE ADEQUACY OF BOTH YOUR <br />FINANCIAL WARRANTY AND PERFORMANCE WARRANTY. <br />If you have any questions, please contact me at (303) 866 3567 ext. 8120 <br />Sincerely, <br />ared L. Ebert <br />Environmental Protection Specialist <br />Enclosure: Performance Warranty <br />cc: Tony Waldron, DRMS <br />Office of Office of <br />Mined Land Reclamation Denver • Grand )unction • Durango Active and Inactive Mines