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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <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 />February 13, 2006 <br />Mr. Frank Kauffman <br />lake Kauffman & Sons, hie. <br />808 South County Road 9E <br />Loveland, CO 80537 <br />r <br />RE: Jake Kauffman & Sons Inc., Permit No. M-1999-069, AM-61 <br />Wagner/Kauffman Pit #3; Revised Reclamation Cost Estimate <br />Dear Mr. Kauffman, <br />COLORADO <br />DIVISION OF <br />MIN ORALS <br />GEOLOGY <br />RECLANATION•MINING <br />SAFETY-SCIENCE <br />Bill Owens <br />Govemor <br />Russell George <br />Executive Director <br />Ronald W. Canary <br />DWon Director <br />Natural Resource Tmatee <br />The Division received additional information from the Applegate Group regarding the cost to reclaim the <br />Wagner/Kauffman Pit #3 for the Amendment Application (AM-01). The Division concurred with <br />Applegate Group's rational for a lower cost to reclaim the site. Based on the information provided, the <br />estimate was revised from $802,000.00 to $570,000.00. Please see the revised estimate for further detail. <br />The Division currently holds a bond in the amount of $201,100.00. Please submit an additional bond in <br />the amount of $368,900.00. The amendment will not be final until the bond is posed and approved by the <br />Division. <br />If you have any questions, please do not hesitate to call. <br />S' cerely, <br />9 Erica Crosby "'', <br />Environmental Protection Sp is <br />Enclosure(s) <br />cc: Carl Mount; DMG <br />William B. Schenderlein; Applegate Group, Inc. w/enclosure <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey