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SttNNYSIDE GOLD CORPORATION <br />AN ECHO DAY COMPANY <br />Mina Per'eL 1: <br />Allen Sorenson, Reclamation Specialist <br />Department of Natural Resources <br />Division of Minerals and Geology <br />1313 Sherman Street, Room 21.5 <br />Denver, Colorado 80203 <br />RE: File No. V-77-378, TR -14 <br />Dear Mr. Sorenson: <br />P.O. Box 177 • Silverton, CO 81433 <br />Phone (970) 387 -5533 • Fax (970) 387 -5310 <br />July 13, 2000 <br />2. Permanent Information Filing <br />SGC is to record, as a permanent information filing in the records of the San Juan <br />County Clerk, information sufficient to establish location of the bulkheads, extent of <br />mine pool and construction specifications of the installed bulkheads. DMG will be <br />provided a copy of the recorded filing <br />Receiv <br />vBCIC R ��P1( <br />P11.1" At <br />S/T E; ' ? ' 3 �� �� <br />"t 4, I 9 O <br />P <br />Based on our June 27, 2000 telephone conversation concluding that the Division <br />Minerals and Geology (DMG) concurs with Sunnyside Gold Corporation's (SGC's <br />assessment that the Sunnyside mine pool reached physical equilibrium in October of <br />1999 (April 27, 2000 letter from SGC to DMG), SGC presents the following elements for <br />SGC to achieve completion of the tasks set forth in TR -14 and agreed upon by DMG and <br />SGC. <br />1. Monitoring and Reporting <br />SGC is to continue monitoring according to the "accepted plan" of TR -14 for 2 years <br />after physical equilibrium (October 2001) and submit the results and data analysis as <br />a separate section in the annual report. <br />3. Water Treatment and Treatment Facilities <br />The water treatment facilities are to remain in operational condition until the lower <br />American Tunnel flows are addressed (requires TR approval) through construction of <br />additional bulkhead(s), wetland treatment, or other mitigation method. <br />