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r-r <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) 866 -3567 <br />FAX: (303) 832 -8106 <br />`/18/2011 <br />j P F.W. Baumgartner <br />Red Mountain Gold, LLC <br />4155 East Jewell Avenue RSCEIV <br />Suite 1007 JUL 2 2 2011 <br />Denver, CO <br />Division of Keolarration, <br />80222 Mining used Safety <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 written commitment to seal each <br />borehole, from total depth to the surface with Portland cement, prior to moving on to the next hole. The Division <br />has recalculated the projected costs of reclamation to reflect a maximum of two unreclaimed holes at any given <br />time. <br />Staff has determined that an adequate Financial Warranty shall be an amount of $28,645.00. This amount must be <br />submitted to the Division by September 16, 2011, or the NOI file may be terminated. Please contact our bonding <br />specialist, Barbara Coria at 303.866.3567 ext. 8148, for the necessary financial and performance warranty forms. <br />Please feel free to contact me if you have any questions or concerns. <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 />Mined Land Reclamation <br />STATE OF COLORADO <br />AMC <br />1 P2(t- <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />