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NOV 29 '96 09: 11AM DIV/MINERALS&GEOLOGY P.5/5 <br /> Mr. Michael S. Mottice <br /> Mr. Gregg R. Squire <br /> November 21, 1996 <br /> Page - 4 <br /> In addition, Pitkin Iron would reimburse BLM for <br /> testing costs mentioned above, not to exceed $1, 500 . <br /> 5 . 0 Q erating Plgn. <br /> If settlement is reached and Pitkin Iron is allowed to <br /> remove the quarried limestone within five years, it is expected <br /> that reclamation would proceed during each working season to an <br /> extent that would not unduly interfere with removal of quarried <br /> limestone, with the expectation that application would be made <br /> for reduction of bonding as reclamation proceeded in according <br /> with the Colorado statutes. Under the circumstances, and <br /> considering that operations are limited to removal of quarried <br /> stone (a process that will enhance reclamation) it is not <br /> intended that there be a major modification of the approved <br /> reclamation plan. In view of the substantial deviation from the <br /> plan of road reclamation as recommended by BLM, it is expected <br /> that road reclamation would be performed by DMG utilizing funds <br /> made available to them under this arrangement . The specific <br /> tasks to be performed by Mid-Continent and those to be performed <br /> by DMG would be further defined in the settlement contract . <br /> Sincerely, <br /> MID-CONTINENT RESOLIRCES, INC. <br /> By <br /> Robert De ey <br /> Vice Pr ident <br /> RD/lta <br /> cc : Mr. Michael Long <br /> Ms. Cheryl Linden <br /> Mr. Bucky Arbaney <br />