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June 19, 2012 <br />Mr. Michael Cunningham <br />Environmental Protection Specialist <br />Division of Reclamation, Mining and Safety <br />Department of Natural Resources <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />The Union Milling Company <br />P.O Box 620490 <br />Littleton, CO 80162 -0490 <br />+1.303.947.3499 <br />RECEIVED <br />IJN <br />Division of Reclamation, <br />Mining & Safety <br />Re: Permit M- 1990 -057, Technical Revision — 03, TSF Construction <br />Dear Mr. Cunningham, <br />Union Milling Company has remobilized construction equipment and commenced construction <br />of the TSF in accordance with the approved TR -3. Construction ceased last October due to <br />winter weather. The project is awarded to Terry Hollingsworth, C -T Enterprises, LLC, Leadville, <br />CO. The Owner's Engineer is Mr. Ken Curfman, PE, PLS of Curfman Engineering, Inc., <br />Loveland, CO. The soils engineer is CTL Thompson, Denver, CO. The on -site UMC <br />representative is Mr. Steve Craig, Mill Superintendent, Leadville, CO. <br />Construction of the embankment commenced June 13, 2012. CTL Thompson representatives <br />and Curfman Engineering were on site June 15 and June 19, 2012 observing and conducting <br />initial soils tests. It is anticipated that the embankment work will continue for 20 -30 days into the <br />week of July 16th. The operation is Monday- Friday, normal business hours. The TR specifies a <br />CDRMS inspection of the impoundment excavation and embankment construction. <br />Please contact Michael Elder directly for additional information or clarification regarding the TSF <br />construction. He may be reached at 303 - 638 -2573, jmecomike @gmail.com, or PO Box 36099, <br />Denver, CO 80236 -0099. <br />Sincerel , <br />Nick Michael <br />Manager <br />Union Milling Company, LLC <br />