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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) 8663567 <br />FAX: (303) 832-8106 <br />21 April 2011 <br />aJw? ot? Zl ah? <br />COLORADO <br />DIVISION OF <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mr. Ben Frei Mike King <br />Secretary Executive Director <br />Albert Frei & Sons ?' Loretta E. Pirieda <br />P.O. Box 7OU- Director <br />Henderson, CO 80640 <br />Re: Priola Pitt, Permit No. M-2007-087, Approval of Surety Reduction Request SR-1 <br />Dear Mr. Frei: <br />On 21 April 2011, the Division of Reclamation, Mining and Safety (Division) approved your <br />Financial Warranty reduction request SR-1 for the Priola Pit that was submitted to our office 3 <br />March 2011. The new Financial Warranty calculated by the Division for the remaining reclamation <br />liability at the site is $76,500. The worksheets supporting this calculation are attached. This is a <br />reduction of $487,000 from the currently held financial warranty amount of $563,500. This <br />decision reduces the amount of the financial warranty, but does not approve any release of <br />reclamation responsibility for the tasks associated with this request. <br />Please provide a rider to the current Financial Warranty, or submit a new Financial Warranty <br />reflecting this reduction. If you wish to submit a different type of Financial Warranty, please <br />contact Alysha Hernandez in our office at 303-866-3567 x8125 for the applicable form. <br />You may contact me with questions at (303) 866-3567, x8108. <br />Sincerely, <br />1 <br />Davin Bird <br />Division of Reclamation, Mining, and Safety <br />cc: Steve O'Brian - Environment, Inc. <br />Alysha Hernandez - DRMS <br />Office of Office of <br />Mined Land Reclamation Denver • Grand )unction • Durango Active and Inactive Mines