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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 16, 2011 <br />Brian Morris <br />Rio Grande Silver, Inc. <br />PO Box 610 <br />Creede, CO 81130 <br />Re: Bulldog Mine, Permit M- 1977 -215, Technical Revision Approval, Revision No. TR -17. <br />Dear Mr. Morris, <br />STATE OF COLORADO <br />RECE V W <br />SEP 2 0 2011 <br />Division of Reclamation, <br />Miming and Safety <br />New temporary holding ponds to be built on 9360 pad and on tailings pond #2. <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pirleda <br />Director <br />On September 16, 2011 the Division of Reclamation, Mining and Safety approved the Technical Revision <br />application named above, addressing the following: <br />The terms of Technical Revision No. TR -17 approved by the Division are hereby incorporated into Permit <br />M -1977 -215. All other conditions and requirements of this permit remain in full force and effect. <br />The Division has estimated the additional reclamation cost amount for this revision to be $28,342.00. <br />The reclamation costs associated with this revision are shown in the enclosed packet. Please review the <br />figures and notify me promptly if you see any errors or omissions. <br />This additional amount must be submitted to and accepted by the Division before any additional <br />site disturbance associated with this revision may commence. <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />= &— <br />SAFETY <br />The existing financial warranty currently held by the Division is $16,149.00, in the form of several cash <br />bonds. The new total required bond amount, which is a combination of the existing amount held plus the <br />additional amount associated with this revision, is $44,491.00. Please provide the additional bond on one <br />of the bond forms that can be found on the Division's website: www.mining.state.co.us /. The properly <br />executed bond form should be mailed directly to Barbara Coria in the Division's Denver office (see <br />address in letterhead); please contact her if there are bond - related questions. Her direct phone number is <br />303 - 866 -3567 x 8148. <br />If you have other questions, please contact me at the Division's Durango Field Office: 691 CR 233, Room <br />A -2, Durango, CO 81301; telephone: 970 - 247 -5193. <br />Office of <br />Mined Land Reclamation <br />Page 1 <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />