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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />13t 3 Sherman St., Room 2t 5 C O L O 1tA D O <br />Denver, Colorado 80203 DIVISION O F <br />Phone: (303) 8663567 MINERAL S <br />FAX: (303) 832.8108 G E O L O G Y <br /> REC LAMATION•NINING <br /> SAEETY•SCIENCE <br />March 13, 2006 <br />Bill Owens <br />Ron Thompson Governor <br />Basin Resources, Inc. RuESell George <br />do Peak Project Management Executive Director <br />34115 County Road 20.8 Ronald W. Gtnny <br />Trinidad CO 81082 oivision oirector <br />Natural Resource Trustee <br />RE: 2005 ARR Review, Golden Eagle Mine, #C-81-013 <br />Dear Mr. Thompson: <br />The Division has completed review of the 2005 Annual Reclamation Report (ARR) for the <br />Golden Eagle mine. <br />The Division notes an increase of 1.33 acres in the category of Phase I bond release. Although <br />not mentioned in the report or the cover letter, the Division assumes this is the acreage <br />associated with the Phase I bond release finalized during 2005 at the NW-1 Bleeder tan site. <br />The correct acreage for this area, as identified in the bond release findings and other <br />documents, is 1.2 acres. Please make the appropriate correction and resubmit the ARR form for <br />2005. An updated table of acreage and status of bond release is shown below. <br />Bond release phase Achieved LOM Total Remaining acres <br />Phase I 59.32 ac 66.17 ac 6.85 <br />Phase II 58.12 ac 66.17 ac 8.05 <br />Phase III 6.72 ac 66,17 ac 59.45 (51.40 + 8.05) <br />Thank you for completing your reclamation reporting in a timely manner. We have no further <br />questions at this time. <br />Since ly, ~a~~` <br />Kent Gorham <br />Environmental Protection Specialist II <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />