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CM0000715 <br />A"uuo'Molybdenum <br />clima'A <br />A Freeport-McMoRan Company <br />COLORADO OPERATIONS <br />Climax Mine <br />Highway 91 at Fremont Pass <br />Climax, CO 80429 <br />Phone (719) 486-7718 <br />Fax (719) 486-2251 <br />r? <br />February 17, 2011 <br />Rance Exline <br />Xcel Energy <br />1225 17`" Street <br />Denver, CO 81501 <br />Re: Damage Compensation Agreement - Climax Molybdenum Company, <br />Climax Mine - Permit # M-1977493 <br />Dear Mr. Exline: <br />Climax Molybdenum Company is amending its Colorado Mined Land Reclamation permit <br />associated with the Climax Mine, Permit #M-1977-493, AM-06, to adjust the affected land <br />boundary of the Climax Mine to previously-permitted size in order to encompass areas <br />anticipated to be required for mine operations based on current mine plans, and to provide <br />updated information, based on the current status of planning and engineering activities. <br />:Regulations pursuant to the Colorado Mined Land Reclamation Act, C.R.S. § 34-32-101 et seq. <br />(MLRA), require the permit applicant to provide a notarized agreement between the applicant <br />and the person(s) having an interest in structures located within two hundred (200) feet of the <br />affected land, stating that the applicant will compensate the owner for any damage to the stability <br />of the structure to the extent that it is caused by mining operations on Climax's property that <br />occur within the affected land boundary. Xcel Energy owns the structures listed below. <br />Climax Molybdenum Company agrees to provide Xcel Energy compensation for any damage to <br />the stability of the structures listed below to the extent it is caused by the proposed mining <br />operations within the affected land boundary. Please note that Climax has no reason to believe <br />that damage to the structures below will be caused by the proposed mining operation. <br />Your acknowledging signature and a notary seal in the space provided below should satisfy the <br />MLRA reimbursement requirement. Please return this agreement in the enclosed addressed and <br />stamped return envelope at your earliest possible convenience, within-3 0 days of receiving it if at <br />all possible. <br />• <br />