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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 23, 2012 <br />Tom E. Brubaker <br />Valco Inc. <br />12753 S. Parker Rd. Suite #203 <br />Parker, CO 80134 <br />Re: Lamar East Pit (M- 1977 -572) <br />Approval of Financial Warranty Reduction Request SR -1 <br />Dear Mr. Brubaker: <br />On November 23, 2012 the Division of Reclamation, Mining and Safety approved your request for a <br />Financial Warranty Reduction to $10,000.00. This is a reduction of $38,270.00. This decision reduces the <br />amount of the financial warranty, and does not approve any release of reclamation responsibility for the tasks <br />associated with this request. <br />In order to reflect the new Financial Warranty amount of $10,000, you may provide a rider to the current <br />Financial Warranty, or submit a new Financial Warranty. If you wish to submit a different type of Financial <br />Warranty, please contact our office for the applicable form. <br />If you have any questions, please contact me. <br />Sincerely, <br />Tom Kaldenbach <br />Senior Environmental Protection Specialist <br />cc: Barbara J. Coria, <br />Division of Reclamation, Mining and Safety <br />Mined Land Reclamation <br />STATE OF COLORADO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />