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General Information <br />• Legal Location: The Cash Mine and Who -Do Mine entrances are located in the southeast '/, <br />of Section 24, Township 1 North, Range 72 West. The mine property extends into the other <br />three quadrants of Section 24 and includes approximately 300 acres. The center of the <br />property is located at N 40 3.701' and W 105 23.866'. <br />• Minerals Mined: gold <br />• Dates of Operation (Mount Royal Ventures): March 2005 to present (see History above for <br />earlier operators) <br />• Affected Areas: <br />Cash Mine = 2.80 acres (Cash Shaft/Cash Dump area) <br />Who -Do = 2.46 acres (just Who-Do area, plus roads above) <br />Mount Royale = 4.59 acres (new drift below Cash Shaft driven by MRV) <br />Millsite = 8.39 acres <br />• Receiving Waters: Cash Gulch (ephemeral) is on the site. Gold Run is a small creek <br />approximately 2,000 feet south of the active mining area. Gold Run enters Fourmile Creek <br />approximately L6 miles southeast of the active mining area. The ultimate receiving water is <br />Boulder Creek, approximately 5 miles southeast.of the mine site. <br />Description of Mining Activities <br />The mining method used by MRV in the Cash Mine is called resuing or stripping, which is a type <br />of stoping. The thin veins are mined vertically and along strike by drilling and blasting. Raises <br />and ore shutes are blasted first from the drift located at the base of the future stope. After the <br />raise and chutes are installed mining commences vertically. The ore is blasted first and removed <br />from the stope by slasher. The waste is blasted next, and left in place (left in the stope). The <br />waste material is then used as a platform to drill from, for the next round. The only material to <br />leave the stope is ore material; waste material is necessary in the stope to continue to climb <br />upward. The stope climbs vertically until it reaches another level, the surface, or the vein <br />pinches. <br />The ore material is loaded into rail cars and pulled out of the mine by a battery- powered <br />locomotive. From the portal the ore is hauled to the mill by dump truck. The entire mine runs <br />from air or battery power there is no diesel equipment used underground. <br />Ore is milled in the mill building using a combination of physical and chemical processes. Water <br />from the milling operations is recycled in the tailings pond, which is a zero - discharge system_ <br />J: LuuinestSWMPtEulaKingstsworp rev 11 -99 2 <br />November 1. 1999 <br />