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do1v <br />May 13, 2013 <br />Annual Report <br />LAKE COUNTY <br />Public Works <br />1200 Hazel Street <br />Leadville, CO 80461 <br />Phone: 719 - 486 -0259 <br />Fax: 719- 486 -8479 <br />Division of Reclamation, Mining & Safety <br />Department of Natural Resources <br />1313 Sherman Street, Room 215 <br />Re: Permit No. M- 1977 -071 <br />Half Moon Pit <br />Anniversary Date: May 25, 2013 <br />Gentlemen; <br />RECEIVED 1 -' W <br />MAY 2013 <br />DIVISION OF RECLAMATION <br />MINING AND SAFETY <br />Enclosed, please find the payment of $791.00 for the annual fee for the above referenced <br />permit. <br />The activity in the calendar year 2012 consisted of general mine site cleanup, stock pile usage <br />and mining of pit run material. <br />The only new disturbances for the year 2013 will be localized on the South side of the pit for pit <br />run material. It is expected that production for the year May 26, 2013 through May 25, 2014 will <br />be a minimum of pit run or already crushed material usage. Lake County is also clearing trees <br />for the next expansion of the mine. <br />Under our approved mining plan and permit requirements with the Colorado Department of <br />Parks and Wildlife (DOW), Lake County is unable to meet the 180 day mining requirement of <br />section 1.13. The requirement that mining will only occur between June and September due to <br />wildlife migrations, only allows Lake County to operate the pit for a maximum of 120 day per <br />year. Lake County uses this material for asphalt production which does not happen every year. <br />While operation of the mine is intermittent, Lake County feels that Rule 1.13 places an undue <br />burden, financial and budget liability upon the County. Please see Technical Revision to the <br />mining plan for 2013. <br />Please note: At this time ground water has not been disturbed and it is unlikely that any will be <br />in the future. At the present mining elevation, the pit should not encounter any groundwater. If in <br />the future we do encounter groundwater, we will follow all guidelines as required by law. <br />Please contact Michael Irwin; at 719 - 486 -0259 should you have any questions. <br />Sincerely, <br />Michael Irwin <br />Operato echnician <br />Lake County Public Works <br />O 1e-- <br />XI <br />�47__" <br />