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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Departrnent of Natural Resources <br />1313 5ltermart St, Raom 215 <br />Denver, Colorado 80203 <br />Phone: (303) 8663567 <br />FAX: (303) 8328106 <br />March 17, 2006 <br />John Weinman <br />Hydro-Environmental Solutions, Inc. <br />5710`h Street, Suite B <br />P.O. Box 772996 <br />Steamboat Springs, CO 80477 <br />Re: Hayden Gulch Mine, Permit C-1980-003 <br />2005 Annual Reclamation Report (ARR) <br />Adequacy Review <br />Deaz Mr. Weinman: <br />COLORADO <br />DIVISION O F <br />MIN SRALS <br />GEOLOGY <br />FECLANATION•NINING <br />SAEETY•SCIENCE <br />Bilt Owens <br />Govertlar <br />Russell Ceorge <br />Executive Director <br />Ronald W. Carboy <br />Division Dlreaor <br />Natural Resource Trustee <br />The Colorado Division of Minerals and Geology (Division) has completed an adequacy <br />review of the subject ARR. Clarification and requests for changes to the Division report <br />form follow. <br />With regard to the first table in the Division form, the column titled "Last Years <br />Cumulative Total" might read "Cumulative Total of Previous Yeazs". In any event, the <br />category "acres backlilled and graded" should read 8.9; and the category "acres <br />topsoiled" should read 8.9 for this column. <br />The information in the second table is intended to be a report of ] 0-year status (relates to <br />eligibility for release of reclamation liability). With regazd to this table in the Division <br />form, the column titled "Last Yeazs Cumulative Total" might read "Cumulative Total of <br />Previous Years". In any event, the category "acres seeded" should read 8.9 for this <br />column. <br />As a table concerning 10-yeaz status, the entry under the "10 Yeazs or Less" column of <br />this table would better read "0". However, the report includes a good explanation of what <br />the "4.25" acres means. <br />The entry of "8.9" acres under "For Govemment Performance and Results Act", <br />"Acreage in long-term mining or reclamation facilities" should read "0" (zero}. <br />Please indicate your concurrence with these changes by endorsement to this letter, <br />explain deviations, or submit a revised Division form. <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />