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rf 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 />7/14/2011 <br />F.W. Baumgartner <br />- 10 Red Mountain Gold, LLC <br />4155 East Jewell Avenue <br />Suite 1007 <br />Denver, CO <br />80222 <br />RE: Red Mountain, File No. P- 2011 -017, Financial Warranty Request <br />Dear Mr. Baumgartner: <br />The Division of Reclamation, Mining and Safety (Division) received your Notice of Intent to Conduct Prospecting <br />(NOI). Our initial review indicates that it is complete. <br />Staff has determined, based on the projected costs of reclamation (copy enclosed), that an adequate Financial <br />Warranty shall be an amount of $109,500.00. This amount must be submitted to the Division by September 12, <br />2011, or the NOI file may be terminated. Please contact us and we will provide you with the appropriate form. <br />Please feel free to contact me if you have any questions or concerns. <br />Sincerely, <br />Dustin Czapla <br />Environmental Protection Specialist <br />Department of Natural Resources <br />Division of Reclamation, Mining and Safety <br />101 South 3 Suite 301 <br />Grand Junction, CO 81501 <br />Phone: (970) 243 -6299 <br />Fax: (970) 241 -1516 <br />Office of <br />Mined Land Reclamation <br />STATE OF COLORADO <br />RECEWV <br />JUL 2 0 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 />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />