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DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832 -8106 <br />November 18, 2011 <br />C. Stephen Guyer <br />Chief Financial Officer <br />Colorado Goldfields Inc. <br />7896 South Datura Circle West <br />Littleton, CO 80120 <br />Dear Mr. Guyer: <br />Sincerely, <br />Wallace H. Erickson <br />Environmental Protection Specialist <br />Office of <br />Mined Land Reclamation <br />STATE OF COLORADO <br />RECEIVED <br />NOV C 1 2011 <br />Division of Reclamation, <br />Mining and Safety <br />RE: Conditional Accep).ance of a Notice of Intent to- Conduct Prospecting, <br />Silver Wing Mine, NOI File No. P- 2011 -027.V <br />On November 18, 2011, the Division of Reclamation, Mining and Safety (Division) completed its <br />review of the materials submitted under the NOI for the Silver Wing Mine, and conditionally <br />accepted the NOI. The condition for acceptance is the burial of sediment, cleaned from the <br />existing sediment pond, occur at a location other than the historic and pre - permit waste rock <br />stockpile (mine dump), as suggested by the Applicant in its response to DRMS deficiency issue <br />number 4. The Applicant has indicated the alternate location to the north end of the property, <br />which is clear of drainage ways and an appropriate location for the disposal of the sediment. <br />The Division has accepted the Applicant's reclamation cost estimation totaling $25,000. Please <br />submit an appropriately executed financial warranty in the amount of $25,000. Please note the <br />activities proposed under the NOI may not commence until the Division receives and approves <br />the financial warranty. <br />Please contact me at the Division's office in Durango at 691 County Road 233, Suite A -2, <br />Durango, CO 81301, phone (970) 247 -5469, if you have any questions. <br />ec: Stephen C. Fearn, Chief Operating Officer, Colorado Goldfields <br />Steve Shuey, DRMS GJFO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />—&— <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />