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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 />November 4, 2011 <br />Michael Leidich <br />Lynx -Royal JV LLC <br />813 14 Street, Suite A <br />Golden, CO 80401 <br />Re: Financial Warranty Release Approval (Revision SL -1), EG -K1 Project, File No. P- 2010 -013 <br />Dear Mr. Leidich, <br />On November 4, 2011, the Division approved the financial warranty release request for the above <br />prospect. Your site is on Bureau of Land Management lands, and we have received written notification <br />from the agency that satisfactory reclamation has been completed. You are now released from further <br />liability for this site. The bond listed below will be released in its entirety: <br />Pursuant to Hard Rock/Metal Rule 4.16.1(4) the Division must retain the bond for 30 days after a finding <br />that reclamation has been successfully completed. During the 30 -day period, please complete the <br />enclosed Form W -9 and return it to Barbara Coria in our Denver office. At the close of the 30 -day period <br />the bond will be mailed to you. <br />Please contact me (see Durango address below) or Barbara Coria (see Denver address in letterhead <br />above) if you have any questions. I can be reached at: DRMS, Durango Field Office, 691 CR 233, Room <br />A -2, Durango, CO 81301; telephone 970 - 247 -5193. <br />Sincerely, <br />Bond Type(s) Bond Number(s) Bond Amount(s) <br />Cash Bond <br />a� <br />Bob Oswald <br />Environmental Protection Specialist <br />Encl: Form W -9 with instructions. <br />(c: \11 -11 docs \EG -K1 not fwr appr /rco) <br />Office of <br />Mined I and Reclamation <br />STATE OF COLORADO <br />RECEIVM <br />NOV u8 Z Uli <br />Division of Reclamation, <br />Mining and Safety <br /> $5,028.00 <br />Cc(w /o encl): Steve Shuey, DRMS, Grand Junction Field Office <br />Barbara Coria, DRMS, Financial Assurance Specialist, Denver Office <br />James Blair, BLM, Tres Rios Public Lands Center, Dolores, CO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />—&— <br />SAFETY <br />John W. Fiickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of <br />Denver • Grand !unction • Durango Active and Inactive Mines <br />