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Annual Report — Construction Materials Operation <br />Yule Quarry <br />Permit Number M- 1999 -o58 <br />Colorado Stone Quarries, Inc. <br />RECEIVED <br />SEP 142012 <br />Division of Reclamation, <br />Mining & Safety <br />Colorado Stone Quarries, Inc. (CSQ) under new ownership began operations November 2010. During <br />the spring and summer, until this date of 2012, CSQ has monitored improved water settling areas and <br />found acceptable retention. <br />A. Reclamation accomplished to date: <br />September 2012 <br />Sierra Minerals Corporation, owner of the Yule Quarry operations from 1999 to 2004, established a test <br />plot in 2002. The purpose of the test is to determine if it will be feasible to use existing marble fines in <br />place of topsoil from offsite. <br />The test plot demonstrated that the Permit specified grasses will grow and survive over a number of <br />years where the soils are mostly fines. The test plot was covered during construction in Fall of 2009. <br />Other grasses and native plants have started growing in many other spots on the property. CSQ will <br />continue all natural vegetation growth. <br />CSQ has continued monitoring the water settling areas, and constructed a new settling pond in our <br />expanded Portal 5 area, as specified by our approved Technical Revision. The Portal 5 expansion was <br />done entirely on previously disturbed areas with sloping of roadways to favor drainage to our settling <br />areas. <br />SEP 14 2012 <br />DIVISION OF RECLAMATION <br />MINING AND SAFETY <br />