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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 />September 1, 2011 <br />Michael Leidich <br />Lynx -Royal JV LLC <br />813 14 Street, Suite A <br />Golden CO 80401 <br />Re: Notice of Intent to Conduct Prospecting (NOI), Wray Mesa Project, File No. P- 2011 -025: Notice <br />Complete, Technical Adequacy Review Letter, and Financial Warranty Required. V <br />Dear Mr. Leidich, <br />This office has reviewed the materials you submitted for the above -named NOI, and they were found <br />complete. This office also performed the technical review, and has found that there are no deficiencies in <br />the NOI, and no further input is required from you. No public comment was received about the NOI. <br />Based on the amount of disturbance and the reclamation plan for this project, the reclamation costs for <br />this project were estimated to be $8,163. For a detailed breakdown of the reclamation costs, please see <br />the enclosed packet showing the estimated reclamation costs. This is much the same as estimates from <br />previous projects though a couple of the unit costs have risen since last year. I will forward this packet to <br />the Montrose BLM office for their review and comment. If you note any errors or omissions please <br />contact me promptly. <br />The financial warranty (bond) is the last outstanding deficient item to be submitted before this office can <br />consider an approval of the NOI. The proper bond form is available on the Division's website <br />(www.mining.state.co.us /). Please ensure that you choose a form that is for "Prospecting on BLM land." <br />If you have questions about the bond or the forms, please contact Ms. Barbara Coria at our Denver office <br />(see address in letterhead, above). Her direct phone is 303 - 866 -3567 ext 8148. I am required to state that <br />if the bond is not provided within 60 days of this letter, the Division may terminate the NOI. <br />Thank you for another well - prepared Notice of Intent. If you have any questions, please contact me at the <br />Division's Durango office: 691 CR 233, Room A -2, Durango, CO 81301; telephone 970 - 247 -5193. <br />Sincerely, <br />Bob Oswald <br />Environmental Protection Specialist <br />(Cont.) <br />Office of <br />Mined Land Reclamation <br />STATE OF COLORADO <br />RECO <br />SEP 0 7 2011 <br />69114sion of Rte, <br />gAinktg end <br />COLORADO <br />D I V I S I O N OF <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 />