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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 4, 2012 <br />Rio Grande Silver, Inc. <br />P.O. Box 610 <br />112 E. 12th Street <br />Creede, CO 81130 <br />STATE OF COLORADO <br />FINAL NOTICE <br />COLORADO <br />DIVISION O F <br />RECLAMATION <br />MINING <br />— &— <br />SAFETY <br />Please be advised that according to records of the Division of Reclamation, Mining and Safety the annual fee listed <br />below is past due. <br />The Division must receive all fees due no later than 5 p.m. on October 4, 2012, or a Notice of Violation, Cease <br />and Desist Order from ALL exploration related activities, Civil Penalties equal to the amount of the annual fee <br />due, and a Notice of Formal Hearing before the Mined Land Reclamation Board for consideration of POSSIBLE <br />NOTICE OF INTENT (NOI) TERMINATION AND FINANCIAL WARRANTY FORFEITURE will be issued <br />for this account. <br />Please be aware that no NOI's for new Exploration or mining operations shall be granted to any operator <br />who is currently found to be in violation in this state (C.R.S. 34 -32 -120 or C.R.S. 34- 32.5 -120). <br />Division records indicate $86.00 is due. <br />NOI No.: P- 2009 -026 <br />Operation Name: Midwest Exploration Project <br />Anniversary Date: August 21, 2012 <br />Total: $86.00 (Due on or before ) <br />If your records indicate different facts than those stated above please inform the Division no later than October 4 , <br />2012. If you receive this notice and you have mailed your payment and report to the Division, please disregard this <br />notice. The Division appreciates your prompt attention in this matter. <br />Any questions concerning your annual report or fees, may be directed to Christine Brookshire at (303) 866 -3567, <br />x8132 or Jim Dupler, x8119. <br />Make checks payable to the Division of Reclamation, Mining and Safety. <br />Office of <br />Mined Ivamis$illitektlifftifIl CONF, 8 -12W- 2009- 026_F7.doc <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />