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DIVISION OF RECLAMATION, MINING and SAFETY <br />1313 SHERMAN STREET, ROOM 215 <br />DENVER, COLORADO 80203 <br />PHONE: 303 - 866 -3567 <br />DATE: September 16, 2011 <br />RE: ANNUAL REPORT <br />PERMITTEE NAME: <br />PERMIT NO.: <br />OPERATION NAME: <br />ANNIVERSARY DATE: <br />ANNUAL FEE DUE: <br />COUNTY: <br />Gentlemen: <br />Attached is a check in the amount of $791.00 for the annual fee for the preceding year. <br />Mining has been occurring this year and will continue for the foreseeable future. The <br />disturbance area did increase the surface disturbance is now 4.5 acres affected, the <br />mining did expose additional water surface the area is now 3.35 acres. The mining will <br />expose additional water surface next year. This pit is a long -term resource that will be in <br />production for many years. This is an active pit. Please see enclosed map for details. <br />Sincerel <br />Joe Gaglian <br />Consultant <br />Xc: Bassi <br />File <br />LJ DEVELOPMENT, INC. <br />256 N. MERRILL DRIVE <br />PUEBLO WEST, CO 81007 <br />PHONE: 719- 240 -9424 FAX: 719 -583 -0583 <br />Mario Bassi and Josephine Bassi <br />M- 2000 -110 <br />North Farm Road Gravel Pit <br />September 17, 2011 <br />$ 791.00 <br />Rio Grande <br />Certified Mail Number: 7009 2820 0004 3271 3226 <br />