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JERRY W. gAISC• <br />JOHN q. MENDE RSON <br />MICn AEL O. SHIM MIN <br />EUGENE J. RIO RDAN <br />PLUL J. ZRIS <br />BRIAN H. NAZA RENUS <br />• <br />VRANESH AND RAISCH <br />ATTORNEYS AT LAW <br />1720 la+~ STREET. SUITE 200 <br />P. O. BOX Bl l <br />BOULDER, COLORADO 60306 <br />TELEPHONE 30J/aa3-6151 <br />TE LECO PIER JO J/ 4aJ-9588 <br />January 16, 1992 <br />Ms. Gwen Fraser, <br />President <br />Colina Oro Molino, Inc. <br />4104 W. Marginal Way S.W. <br />Seattle, WA 89106 <br />• iii iiiiiiiiiiii-iii <br />GEORGE VRANESH (RETIRE OI <br />DOUGLAS A. GOULDING <br />G REGORr J. CLIFTON <br />THOMAS MORRIS <br />Re: Milling of Gold Hill Ventures' Ores <br />Dear Gwen: <br />I have just been informed that the mill at Gold Hill has <br />begun milling the stockpile of Cash Mine dump ore which was <br />stockpiled northwest of the mill. This, together with <br />approximately 60 tons of ore in the fine ore bin, is the property <br />of Gold Hill Ventures, and was prepared and sorted with Venture <br />funds during June and July of 1988. None of this ore was <br />processed using Fraser or COM, Inc. funds. The material in <br />stockpile and in the bins was believed to total 400 tons - 500 <br />tons. <br />The ore stockpile is located partially on the Oscar Lode, <br />but is also in large part on up to 4 other properties owned by Mi <br />Vida Enterprises, including the Hazel A and the Trumbo Lodes. <br />This was the same ore for which COM, Inc. was negotiating a <br />prospective purchase, never concluded. This ore has not been <br />either sold or abandoned by the Venture. It is still for sale as <br />are other stockpiles of ore on the Cash Mine dump itself. The <br />ore is personal property under the laws of Colorado. <br />The Venture has not granted its permission for you to mill <br />this ore. Your concern will be held accountable for the <br />conversion of this ore to concentrates in your possession. We <br />believe that the preferable method to handle the milling of these <br />ores is through the simple expedient of a sale. If you do not <br />intend to purchase this material, we must insist that you cease <br />processing it immediately and account for the material already <br />processed. <br />Steen\fraser# <br />