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Mr. Tim Cazier <br />April 8, 2013 <br />Page 14 <br />These financial instruments, providing a total financial warranty of $130,143,871.21, <br />have been accepted by the DRMS and continue to demonstrate the sufficiency of the <br />value of the Cresson Project Financial Warranty. <br />Per 2CCR 407 -1, 407 -4, and Rules 4.7(3), the insurance company's most recently <br />available balance sheets are attached, demonstrating that the Surety Bonds do not <br />exceed ten percent (10 %) of the bank's capital surplus accounts. <br />Designated Mining Operation: <br />Per 2CCR 407 -1, 407 -4, and Rules 1.15(1)(c), monitoring information presented as part <br />of the Amendment No. 9 application and outlined within the Environmental Protection <br />Plan is routinely submitted to the DRMS. <br />Please do not hesitate to contact me at (719) 689 -4055 if you have any questions. <br />Sincerely, <br />Timm Comer <br />Manager, Environmental Resources <br />Enclosures <br />cc: Ms. Lynda Morgan, Teller County Community Development Services <br />