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PAM 4 7 DIVISION OF RECLAMATION, MINING AND SAFETY Department of Natural Resources 1313 Sherman St., Room 215 Denver, Colorado 80203 Phone: (303) 866 -3567 FAX: (303) 832 -8106 January 11, 2013 Aidan Connolly Premier Silica LLC 5205 N. O'Connor Blvd., Suite 200 Irving, TX 75039 Re: Jemadojin Sand Mine, Permit No. M- 2006 -017, Succession of Operators Application Approval, Revision No. SO -1 Dear Aidan Connolly: On January 11, 2013, the Division of Reclamation, Mining and Safety approved the Succession of Operators Application, Option One, from Oglebay Norton Industrial Sands, Inc. to Premier Silica LLC for this operation. Premier Silica LLC is now the permitted operator of the Jemadojin Sand Mine, and as such, is responsible for all provisions in M- 2006 -017, as well as those specified in the Rules and Regulations. Oglebay Norton Industrial Sands, Inc. will still be responsible for the reclamation liability concerning this operation until an inspection is conducted and a replacement financial warranty by Premier Silica LLC is received and accepted by the Division. Please Note: 1. All of the application materials, as amended and supplemented, are in integral part of your permit. They have been incorporated into the permit by reference. We presume that you have a copy of all of these materials, therefore, none have been enclosed with this mailing. We suggest that you keep a copy of the permit and the permit application at the mining operation as a reference for operation personnel, to help ensure compliance with the terns of the permit. 2. Changes in the mining and reclamation operations that differ from those described in the permit may require a modification to the permit. We suggest consulting the Rules and Regulations arid /or contacting us to determine if a modification to the permit is necessary. Rule 1.10 pertains to Amendments, Rule 1.9 to Technical Revisions, and Rule 1.11 to Conversions. 3. On your permit anniversary date each year, you must submit an annual fee and annual report to us. Please consult the Rules, Act, and your permit for specific requirements. In the next 30 days you will be contacted regarding a site inspection, weather permitting, for updated reclamation costs. The current required surety amount is $243,500.00. Upon notification of the updated reclamation costs, you will be required to provide a replacement financial warranty, as described in C.R.S. 34- 32.5 -117, within 60 days of the notice. The transfer of this permit does not result in the transfer of any other permits or licenses, with this Division, the State, or Federal Agency, which might be associated with this operation. If you have any questions, contact me. Sincerely, Berhan Keffelew Environmental Protection Specialist cc: Tom Kaldenbach, Division of Reclamation, Mining and Safety Office of Mined Land Reclamation STATE OF COLORADO COLORADO D I V I S I O N O F RECLAMATION MINING — &-- SAFETY John W. Hickenlooper Governor Mike King Executive Director Loretta E. Pineda Director Office of Deriver • Grand Junction • Durango Active and Inactive Mines