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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 />June 29, 2011 <br />Chris Varra <br />Varra Companies, Inc. <br />8129 Gage St. <br />Frederick, Colorado 80516 <br />Peter Kearl <br />United Companies / Old Castle SW <br />P.O. Box 3609 <br />Grand Junction, Colorado 81502 <br />Re: Sea Horse Pit, Permit No. M- 2001 -113, Improper Submittal of Annual Report <br />Dear Mr. Varra and Kearl, <br />G. Russell Means <br />Environmental Protection Specialist II <br />Cc: Mary Rodriguez, West Team Administrative Assistant. <br />Mined Land Reclamation <br />STATE OF COLORADO <br />RECEV <br />JUL 0 1 2011 <br />Division of Reclamation, <br />Mining and Safety <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAF ETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />The Division of Reclamation, Mining, and Safety received the annual report for the above referenced site on June <br />22, 2011. While the contents of the report were fine, the request to change the contact information and <br />permittee name cannot be accepted by the Division. Depending on the circumstances Varra Companies and <br />United must do one of the following: <br />1. If Varra is to remain the permit holder, Varra and not United must submit documentation noting that <br />United is operating the pit for them and they authorize United to be the contact. Please understand that <br />Varra will still be ultimately responsible for compliance of the permit. <br />2. If Varra has sold the pit to United, a Succession of Operator must be completed in order for United to be <br />named the new permittee. United Companies would then assume responsibility for the permit moving <br />forward. <br />Until one of the above options is completed all correspondence from the Division will be sent to Varra Companies <br />as the legally recognized permit holder. <br />If you need additional information please contact me at the Division of Reclamation, Mining, and Safety, Grand <br />Junction Field Office, 101 S. 3rd. St., Suite 301, Grand Junction, Colorado 81501, or by telephone no. 970.241.1117. <br />Office of Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />