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APR. 3.2001 5:51PM 7194862252 N0.597 P.2i2 <br /> CLIMAX MOLYBDENUM COMPANY Climax Mine <br /> A Subeldl"of Phelps Dodge Mining CoMWV Hwy. 91 <br /> Climax, Colorado 80429 <br /> (71 91 486-21 50 <br /> Fax[719)486-2251 <br /> April 3,2001 <br /> Via Facsimile and Certified Mail No.7099 3220 0008 7289 8800 <br /> Mr.Allen Sorenson <br /> Division of Minerals and Geology <br /> 1313 Sherman St., Room 215 <br /> Denver,CO 80203 <br /> RE: Climax Molybdenum Company, Climax Mine,Permit No.M-1977493,Appeal for Surety <br /> Reduction SR-03 <br /> Dear Mr.Sorenson: <br /> Thank you for the opportunity to meet with you this momirlg regarding the continuing financial <br /> warranty and surety reduction discussions between the Climax Molybdenum Company(CMC) <br /> and the Division. Following this morning's discussions CMC believes that a process has been <br /> identified by which CMC and the Division may resolve the issues laid forth in our appeal letter of <br /> Mare 8. 2001, <br /> You will recall that our letter of March 8,2001 requested that CMC be scheduled to appear before <br /> the Mined Land Reclamation Board(MLRB)at the April 2e,2001 meeting. At this time, CMC <br /> would like to request that scheduling of the CMC appeal for SR-03 before the April meeting of the <br /> MLRB be temporarily withheld and that the 80-day time frame for completing the submittal of an <br /> increased bond amount be extended. This request allows for two pending pieces of <br /> correspondence from the Division securing a statement of approval for SR-03 from the Division <br /> and a segregation of the SR-03 approval from the recalculated bond amount for the Climax Mine. <br /> Climax Molybdenum Company reserves the right to request that the appeal of March 8,2001 be <br /> placed on the May or June, 2001 MLRB schedule. <br /> Thank you in advance for your consideration of this request. Please contact me at(719)486- <br /> 2150, ext. 723 if you have any questions. <br /> Si ly <br /> Bryce Romig <br /> Climax Molybdenum Com <br /> Cc: B. Rech—Climax Molybdenum Company <br /> J. Cupp-Climax Molybdenum Company <br /> A Beiede-Climax Molybdenum Company <br /> R. Mohr—Phelps Dodge Corporation <br /> D. Moellenberg—Gallagher S Kennedy P.A <br />