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HomeMy WebLinkAbout20110486.tiff Exhibit Q — Proof of Amending Materials in previous Notice to the Board of County Commissioners Office of the Board of Weld County Commissioners c/o Weld County Clerk to the Board 915 10`" Street, 3rd Floor Greeley, Colorado 80632 Subject: Colorado Division of Reclamation Mining and Safety (DRMS) Office of Mined Land Reclamation (OMLR Permit application for Varra Companies, Inc. — Permit M-1984-036—Varra Resources Project 110 (formerly, Dakolios Pit). NOTICE TO THE BOARD of WELD COUNTY COMMISSIONERS Varra Companies, Inc. (the 'Applicant/Operator') has applied for a Regular (112) reclamation permit Amendment from the Colorado Mined Land Reclamation Board (the `Board') to conduct the extraction of construction materials operations in Weld County. The attached information is being provided to notify you of the location and nature of the proposed operation. The entire application is on file with the Division of Reclamation, Mining, and Safety (the `Division') and the Weld County Clerk to the Board. The applicant/operator proposes to reclaim the affected land to Agricultural and Developed Water Resources use. Pursuant to Section 34-32.5-116(4)(m), C.R.S., the Board may confer with the local Conservation Districts before approving of the post-mining land use. Accordingly, the Board would appreciate your comments on the proposed operation. Please note that, in order to preserve your right to a hearing before the Board on this application, you must submit written comments on the application within twenty (20) days of the date of last publication of notice pursuant to Section 34-32.5-112(10), C.R.S. If you would like to discuss the proposed post-mining land use, or any other issue regarding this application, please contact the Division of Reclamation, Mining, and Safety, 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567. Your signature below acknowledges receipt of the above referenced permit application form. Date Received: -L /A/ Received By: Y' e t `1 - Weld County Clerk to the Board of Weld County Commissioners Pic, Pup 2011-0486 �1a3� II 2115111 Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment— M1984-036 2011 STATE OF COLORADO DIVISION OF RECLAMATION,MINING AND SAFETY Department of Natural Resources 1313 Sherman St.,Room 215Den COLORADO Phone: Col CONSTRUCTION MATERIALS DIVISION o f Phone:(303)866-3567 RECLAMATION FAX:(303)832-8106 REGULAR(112)OPERATION MINING RECLAMATION PERMIT APPLICATION FORM SAFETY Bill River,Jr. Governor CHECK ONE: ❑X There is a File Number Already Assigned to this Operation Hanis D.Sherman Pepmtt# M - -__ (Please reference the file number currently assigned to this operatioallecutive Director New Application(Rule 1.4.5) © Amendment Application(Rule 1.10) Ronald W.Cattacy Division Director IIConversion Application(Rule IA I) Natural Resource Trustee Permit# M - 19 - 84 - 036 (provide for Amendments and Conversions of existing permits) The application for a Construction Materials Regular 112 Operation Reclamation Permit contains three major parts:(1)the application form;(2)Exhibits A-S,Addendum 1,any sections of Exhibit 6.5(Geotechnical Stability Exhibit;and(3)the application fee. When you submit your application, be sure to include one(1) complete signed and notarized ORIGINAL and one (I) copy of the completed application form,two(2)copies of Exhibits A-S,Addendum 1,appropriate sections of 6.5(Geotechnical Stability Exhibit,and a check for the application fee described under Section(4)below. Exhibits should NOT be bound or in a 3-ring binder;maps should be folded to 8 1/2"X 11"or 8 1/2"X 14"size. To expedite processing,please provide the information in the format and order described in this form. GENERAL OPERATION INFORMATION Type or print clearly,in the space provided,ALL information requested below. 1. Applicant/operator or company name(name to be used on permit): 1.1 Type of organization(corporation,partnership,etc.): Varra Companies. Inc. 2. Operation name(pit,mine or site name): Varra Resources Project 110 3. Permitted acreage(new or existing site): 120.0 permitted acres 3.1 Change in acreage(+) acres 3.2 Total acreage in Permit area acres 4. Fees: 4.1 New Application $2,696.00 application fee 4.2 New Quarry Application $3,342.00 quarry application 4.4 Amendment Fee $2,229.00 amendment fee 4.5 Conversion to 112 operation(set by statute) $2,696.00 conversion fee 5. Primary commodities)to be mined: Completed 5.1 Incidental commoditie(s)to be mined: I. - lbs/Tons/vr 2. / lbs/Tons/vr 3. / lbs/Tons/vr 4. / lbs/Tons/vr 5. / lbs/Tons/vr 5.2 Anticipated end use of primary commoditie(s)to be mined: N/A 5.3 Anticipated end use of incidental commoditie(s)to be mined: N/A Office of Office of Mined land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines -2- 6. Name of owner of subsurface rights of affected land: Varra Companies, Inca If 2 or more owners,"refer to Exhibit O". 7. Name of owner of surface of affected land: Varra Companies, Inc. 8. Type of mining operation: I l I Surface Underground 9. Location Information: The center of the area where the majority of mining will occur: COUNTY: Weld PRINCIPAL MERIDIAN(check one): O 6th(Colorado) 10th(New Mexico) Ute SECTION(write number): S 31 TOWNSHIP(write number and check direction): T 3 ✓�North South RANGE(write number and check direction): R 67 Q East West QUARTER SECTION(check one): r_® ©1 QUARTER/QUARTER SECTION(check one): NE NW SE SW GENERAL DESCRIPTION:(the number of miles and direction from the nearest town and the approximate elevation): Immediately north of the Town of Firestone,and southeast of the intersection of Weld County Road 13 and St.Vrain Creek;elevation 4820+/-ft. 10. Primary Mine Entrance Location(report in either Latitude/Longitude OR UTM): Latitude/Longitude: Example: (N) 39° 44' 12.98" (W) 104° 59' 3.87" Latitude(N): deg min sec (2 decimal places) Longitude(W): deg min sec (2 decimal places) OR Example: (N) 39.73691° (W) -104.98449° Latitude(N) (5 decimal places) Longitude(W) (5 decimal places) OR Universal Tranverse Mercator(UTM) Example: 201336.3 E NAD27 Zone 13 4398351.2 N UTM Datum(specify NAD27,NAD83 or WGS 84) Nad 83 13 Zone Easting 3156076.26 ft. Northing 1308716.13ft. -3- 11. Correspondence Information: APPLICANT/OPERATOR (name,address,and phone of name to be used on permit) Contact's Name: Christopher L. Varra Title: President Company Name: Varra Companies. Inc. Strcct/P.O.Box: 8120 Gage Street P.O.Box: City: Frederick State: Colorado Zip Code: 80516 Telephone Number: ( 303 1- 666-6657 Fax Number: ( 303 )- 666-6743 PERMITTING CONTACT (if different from applicant/operator above) Contact's Name: Title: Company Name: Street/P.O.Box: P.O. Box: City: State: Zip Code: Telephone Number: ( )- Fax Number: ( )- INSPECTION CONTACT Contact's Name: Same as above Title: Company Name: Street/P.O.Box: P.O. Box: City: State: Zip Code: Telephone Number: ( 1- Fax Number: ( )- CC: STATE OR FEDERAL LANDOWNER(if anv) Agency: Street: City: State: Zip Code: Telephone Number: ( 1- CC: STATE OR FEDERAL LANDOWNER(if any) Agency: Street: City: State: Zip Codc: Telephone Number: ( )- _4- 12. Prima future(Post-mining)land use(check one): Lily Cropland(CR) U Pastureland(PL) f] General Agriculture(GA) with developed water J� Rangeland(RL) Fores B resources (wr) try(FR) Wildlife Habitat(WL) 13 Residential(RS) � Recreation(RC) Industrial/Commercial(IC) JJDeveloped Water Resources(WR) Li Solid Waste Disposal(WD) 13. Primary present land use(check one : ElCropland(CR) Pastureland(PL) General Agriculture(GA) 1:1 Rangeland(RL) Forestry(FR) �I1( Wildlife Habitat(WL) Residential(RS) B Recreation(RC) II Industrial/Commercial(IC) Developed Water Resources(WR) 14. Method of Mining: Briefly explain mining method(e.g. truck/shovel): 15. On Site Processing: © Crushing/Screening 13.1 Briefly explain mining method(e.g.truck/shovel): Completed List any designated chemicals or acid-producing materials to be used or stored within permit area: None 16. Description of Amendment or Conversion: If you are amending or converting an existing operation,provide a brief narrative describing the proposed change(s). Update to the reclamation plan to clarify planned agricultural activitiac in the A— Agriculture zone of Weld County, Colorado; including developed water resources for all allowable uses. - 5 - Maps and Exhibits: Two(2)complete,unbound application packages must be submitted. One complete application package consists of a signed application form and the set of maps and exhibits referenced below as Exhibits A-S,Addendum 1,and the Geotechnical Stability Exhibit. Each exhibit within the application must be presented as a separate section. Begin each exhibit on a new page. Pages should be numbered consecutively for ease of reference. If separate documents are used as appendices,please reference these by name in the exhibit. With each of the two (2) signed application forms, you must submit a corresponding set of the maps and exhibits as described in the following references to Rule 6.4,6.5,and 1.6.2(l)(b): EXHIBIT A Legal Description EXHIBIT B Index Map EXHIBIT C Pre-Mining and Mining Plan Map(s)of Affected Lands EXHIBIT D Mining Plan EXHIBIT E Reclamation Plan EXHIBIT F Reclamation Plan Map EXHIBIT G Water Information EXHIBIT H Wildlife Information EXHIBIT I Soils Information EXHIBIT J Vegetation Information EXHIBIT K Climate Information EXHIBIT L Reclamation Costs EXHIBIT M Other Permits and Licenses EXHIBIT N Source of Legal Right-To-Enter EXHIBIT O Owners of Record of Affected Land(Surface Area)and Owners of Substance to be Mined EXHIBIT P Municipalities Within Two Miles EXHIBIT Q Proof of Mailing of Notices to County Commissioners and Conservation District EXHIBIT R Proof of Filing with County Clerk or Recorder EXHIBIT S Permanent Man-Made Structures Rule 1.6.2(1)(6) ADDENDUM 1 -Notice Requirements(sample enclosed) Rule 6.5 Geotechnical Stability Exhibit(any required sections) The instructions for preparing Exhibits A-S,Addendum 1,and Geotechnical Stability Exhibit are specified under Rule 6.4 and 6.5 and Rule I.6.2(1)(b)of the Rules and Regulations. If you have any questions on preparing the Exhibits or content of the information required, or would like to schedule a pre-application meeting you may contact the Office at 303-866-3567. Responsibilities as a Permittee: Upon application approval and permit issuance,this application becomes a legally binding document. Therefore,there are a number of important requirements which you,as a permittee, should fully understand. These requirements are listed below. Please ead and initial each requirement,in the space provided,to acknowledge that you understand your obligations. If you do po nderstand these obligations then please contact this Office for a full explanation. I. Your obligation to reclaim the site is not limited to the amount of the financial warranty. You assume legal liability for all reasonable expenses which the Board or the Office may incur to reclaim the affected lands associated with your mining operation in the event your permit is revoked and financial warranty is forfeited; Cr2. The Board may suspend or revoke this permit, or assess a civil penalty, upon a finding that the permittee violated the terms or conditions of this permit, the Act, the Mineral Rules and Regulations, or that information sr contained in the application or your permit misrepresent important material facts; 3. If your mining and reclamation operations affect areas beyond the boundaries of an approved permit • boundary,substantial civil penalties,to you as permittee can result; 4. Any modification to the approved mining and reclamation plan from those described in your approved application requires you to submit a permit modification and obtain approval from the Board or Office; 5. It is your responsibility to notify the Office of any changes in your address or phone number; • 6. Upon permit issuance and prior to beginning on-site mining activity,you must post a sign at the entrance of the mine site,which shall be clearly visible from the access road,with the following information(Rule 3.1.12): a. the name of the operator; b. a statement that a reclamation permit for the operation has been issued by the Colorado Mined Land Reclamation Board; and, c. the permit number.al 7. The boundaries of the permit boundary area must be marked by monuments or other markers that arc clearly visible and adequate to delineate such boundaries prior to site disturbance. di8. It is a provision of this permit that the operations will be conducted in accordance with the terms and conditions listed in your application,as well as with the provisions of the Act and the Construction Material Rules 6,,,// and Regulations in effect at the time the permit is issued. 9. Annually,on the anniversary date of permit issuance,you must submit an annual fee as specified by Statute, and an annual report which includes a map describing the acreage affected and the acreage reclaimed to date (if there are changes from the previous year), any monitoring required by the Reclamation Plan to be submitted annually on the anniversary date of the permit approval. Annual fees are for the previous year a permit is held. For example,a permit with the anniversary date of July 1, 1995,the annual fee is for the period of July 1, 1994 through June 30, 1995. Failure to submit your annual fee and report by the permit anniversary date may result in a civil penalty, revocation of your permit, and forfeiture of your financial warranty. It is your responsibility, as the permittee,to continue to pay your annual fee to the Office until the Board releases you from your total reclamation O � responsibility. - 10. For joint venture/partnership operators: the signing representative is authorized to sign this document and a power of attorney (provided by the partner(s)) authorizing the signature of the representative is attached to this application. - 7 - NOTE TO COMMENTORS/OBJECTORS: It is likely there will be additions,changes,and deletions to this document prior to final decision by the Office. Therefore, if you have any comments or concerns you must contact the applicant or the Office prior to the decision date so that you will know what changes may have been made to the application document. The Office is not allowed to consider comments,unless they are written,and received prior to the end of the public comment period. You should contact the applicant for the final date of the public comment period. If you have questions about the Mined Land Reclamation Board and Office's review and decision or appeals process,you may contact the Office at(303) 866-3567. - 8 - Certification: As an authorized representative of the applicant, I hereby certify that the operation described has met the minimum requirements of the following terms and conditions: 1. To the best of my knowledge,all significant,valuable and permanent man-made structure(s)in existence at the time this application is filed,and located within 200 feet of the proposed affected area have been identified in this application (Section 34-32.5-115(4)(c), C.R.S.). 2. No mining operation will be located on lands where such operations are prohibited by law (Section 34-32.5-115(4)(f), C.R.S.; 3. As the applicant/operator,I do not have any extraction/exploration operations in the State of Colorado currently in violation of the provisions of the Colorado Land Reclamation Act for the Extraction of Construction Materials (Section 34-32.5-120,C.R.S.)as determined through a Board finding. 4. I understand that statements in the application are being made under penalty of perjury and that false statements made herein are punishable as a Class 1 misdemeanor pursuant to Section 18-8-503, C.R.S. This form has been approved by the Mined Land Reclamation Board pursuant to section 34-32.5-112,C.R.S.,of the Colorado Land Reclamation Act for the Extraction of Construction Materials. Any alteration or modification of this form shall result in voiding any permit issued on the altered or modified form and subject the operator to cease and desist orders and civil penalties for operating without a permit pursuant to section 34-32.5-123,IC.R.S Signed and dated this /QA day of /P_I/2F /c.-3/ - , 2011 Varra cz n :i e. If Corporation Attest(Seal) Applicant/Operator o/Company Name Signed: % Signed: Chris oph7i/de.—er L. Varra Corporate Secretary or Equivalent Title: President Town/City/County Clerk State of (1.,0/Ora-070 ) ss. County of 14-e-1 d ) The foregoing instrument was acknowledged before me is JOJ day of Fe l)rllC�y / , Do// ,by (J1c> hoo L. Vo-crc as 1-t�SiC f of �Ci rt a C �rh�J�t. c S Notary Public My Commission expires: /O�4//02 SIGNATURES MUST BE IN BLUE INK You must post sufficient Notices at the location of the proposed mine site to clearly identify the site as the location of a Lop - , j / N-..---------- 19------ i"—'j ,,,--------r 1"-\, ) (---- il rt),, / II \__.---` ----"N`Ns\ i " 1 !!c : \\\\:\\)j)kN /n ! it pg'� - �L_ .o ' 4950 • • i 4884 —, \••n 176 i ree • ° ✓ 65 -xe• t.I.- 1. 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(4832 Il• J // i I�--%-' \ ., 4830 l' D,T I L c— ry ,I r,^.c- ..az� \ // - J 117 (f\\\/ a• -r 2 1 ti ---v• J :. --� + - �` �t• - < - .�- --_- --�1 -' 4814 ` /_-'�- X P i I 4839 / r _ • O. 44 •// 2l7/ . , Ito II ji7i .e y Iii -t ii A t p1? t O Jimmy/- - :n " U I kJ 76::1; P4�'• �•• 48�weII — — _ - 484 �' 1486/ tv — • � o l e850 m,: �� U J , • IIiT ?/ \It< H A- Tlr .. . O 7 t., . \\N....sc. I II /�'/� / _r r II / eoGU• . / ( -t Nto c U • i i .: 4 r-�� l_ irLrl►� a�4$ -, 4823 LOCATED WITHIN PART OF THE SCALE: 1 INCH = 2640 FEET VARRA COMPANIES, INC. SW/4; SEC. 31 ; T3N; R67W; DATE: 11 JANUARY 2011 8120 GAGE STREET 6TH P.M.; WELD COUNTY, CO • I Nil • , FREDERICK, COLORADO 80534 REVISION: TELEPHONE: (303) 666-6657 I PAGE: 1 OF 1 ;I u I , , 1 Exhibit D- Extraction Plan 6.4.4 EXHIBIT D - Mining Plan The mining plan shall supply the following information, correlated with the affected lands, map(s) and timetables: (a) description of the method(s) of mining to be employed in each stage of the operation as related to any surface disturbance on affected lands; (b) earthmoving; (c) all water diversions and impoundments; and (d) the size of area(s) to be worked at any one time. (e) An approximate timetable to describe the mining operation. The timetable is for the purpose of establishing the relationship between mining and reclamation during the different phases of a mining operation. An Operator/Applicant shall not be required to meet specific dates for initiation, or completion of mining in a phase as may be identified in the timetable. This does not exempt an Operator/Applicant from complying with the performance standards of Section 3.1. If the operation is intended to be an intermittent operation as defined in Section 34-32.5-103(11)(b), C.R.S., the Applicant should include in this exhibit a statement that conforms to the provisions of Section 34-32.5-103(11)(b), C.R.S. Such timetable should include: (i) an estimate of the periods of time which will be required for the various stages or phases of the operation; (ii) a description of the size and location of each area to be worked during each phase; and (iii) outlining the sequence in which each stage or phase of the operation will be carried out. (Timetables need not be separate and distinct from the mining plan, but may be incorporated therein.) (f) A map (in Exhibit C - Pre-Mining and Mining Plan Maps(s) of Affected Lands, Subsection 6.4.3) may be used along with a narrative to present the following information: (i) nature, depth and thickness of the deposit to be mined and the thickness and type of overburden to be removed (may be marked "CONFIDENTIAL," pursuant to Paragraph 1.3(3)); and (ii) nature of the stratum immediately beneath the material to be mined in sedimentary deposits. (g) Identify the primary and secondary commodities to be mined/extracted and describe the intended use; and (h) name and describe the intended use of all expected incidental products to be mined/extracted by the proposed operation. (i) Specify if explosives will be used in conjunction with the mining (or reclamation). In consultation with the Office, the Applicant must demonstrate pursuant to Subsection 6.5(4), Geotechnical Stability Exhibit, that offsite areas will not be adversely affected by blasting. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit D- Extraction Plan Summary Status of Affected and Unaffected land as of this is detailed further under Exhibit E — Reclamation Plan and Exhibit L — Reclamation Costs; and attending maps. Extraction of planned basins and lining of basins is complete as determined under a previous 2010 Technical Revision and attending correspondence. As part of the excavation activity, nearly 5.0± acres remain open with exposed surface waters and needing fill (refer to Exhibit D — Extraction Plan and Exhibit E — Reclamation Plan). Since there are adequate water resources to account for the exposed surface waters over the 5.0± acres pending fill, if fill activity stopped, at this point or when the acreage is less, since this is an area designated for post permit agricultural stockpiles and equipment storage, no additional expenses for resoiling or revegetation for this area are necessary. The activity extends the extraction/excavation out an additional five years, with finished revegetation of the surrounding vegetation strip an additional five years, with an estimated end date of 2021. Area 1 fill is complete and Area 3 fill is predominantly needed within a portion of 3 (A) and (B). Estimating nearly half of Area 3 (A) is filled with little to no exposed groundwater; nearly 3.3± acres will require an additional top of 1.5 feet of fill/and 0.5 feet of additional fill in lieu of soil (consistent with those conditions specified in the 1996 Technical Revision) for this portion of the agricultural stockpile and storage location, or approximately 2.0± feet of total fill. Area 3 (B) will require the same over 5.0± acres, for a total of 8.3± acres. All other excavation is complete, including two basins which have been lined and approved by the Colorado Division of Water Resources, as provided in previous correspondence consistent with the approved 2010 Technical Revision. All other aspects of the affected land and planned reclamation are attended to further under Exhibit E — Reclamation Plan and Exhibit L — Reclamation Costs; and attending maps. Van-a Companies, Inc. Van-a Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan 6.4.5 EXHIBIT E - Reclamation Plan (1) In preparing the Reclamation Plan, the Operator/Applicant should be specific in terms of addressing such items as final grading (including drainage), seeding, fertilizing, revegetation (trees, shrubs, etc.), and topsoiling. Operators/Applicants are encouraged to allow flexibility in their plans by committing themselves to ranges of numbers (e.g., 6"-12" of topsoil) rather than specific figures. (2) The Reclamation Plan shall include provisions for, or satisfactory explanation of, all general requirements for the type of reclamation proposed to be implemented by the Operator/Applicant. Reclamation shall be required on all the affected land. The Reclamation Plans shall include: (a) A description of the type(s) of reclamation the Operator/Applicant proposes to achieve in the reclamation of the affected land, why each was chosen, the amount of acreage accorded to each, and a general discussion of methods of reclamation as related to the mechanics of earthmoving; (b) A comparison of the proposed post-mining land use to other land uses in the vicinity and to adopted state and local land use plans and programs. In those instances where the post-mining land use is for industrial, residential, or commercial purposes and such use is not reasonably assured, a plan for revegetation shall be submitted. Appropriate evidence supporting such reasonable assurance shall be submitted; (c) A description of how the Reclamation Plan will be implemented to meet each applicable requirement of Section 3.1; (d) Where applicable, plans for topsoil segregation, preservation, and replacement; for stabilization, compaction, and grading of spoil; and for revegetation. The revegetation plan shall contain a list of the preferred species of grass, legumes, forbs, shrubs or trees to be planted, the method and rates of seeding and planting, the estimated availability of viable seeds in sufficient quantities of the species proposed to be used, and the proposed time of seeding and planting; (e) A plan or schedule indicating how and when reclamation will be implemented. Such plan or schedule shall not be tied to any specific date but shall be tied to implementation or completion of different stages of the mining operation as described in Subparagraph 6.4.4(1)(e). The plan or schedule shall include: (i) An estimate of the periods of time which will be required for the various stages or phases of reclamation; (ii) A description of the size and location of each area to be reclaimed during each phase; and (iii) An outline of the sequence in which each stage or phase of reclamation will be carried out. (The schedule need not be separate and distinct from the Reclamation Plan, but may be incorporated therein.) (f) A description of each of the following: Exhibit E — Reclamation Plan (i) Final grading - specify maximum anticipated slope gradient or expected ranges thereof; (ii) Seeding - specify types, mixtures, quantities, and expected time(s) of seeding and planting; (Hi) Fertilization - if applicable, specify types, mixtures, quantities and time of application; (iv) Revegetation - specify types of trees, shrubs, etc., quantities, size and location; and (v) Topsoiling - specify anticipated minimum depth or range of depths for those areas where topsoil will be replaced. This Amended Reclamation Plan is intended to satisfy the concerns expressed in the 20 January 2010 inspection report of the Colorado Office of Mined Land Reclamation, not otherwise revised by the 2 April 2010 Technical Revision. Extraction at this location is completed. The focus here is on above basin agricultural uses (Areas 1 and 3) necessary to effect final reclamation, and more predominantly explain remaining activities planned over the NE quarter (Area 3) of the quarter section area, where former extraction is being filled to establish a suitable area for continued agricultural activity, which the location will revert to subsequent to release of the permit. The Amendment does not alter any previously approved reclamation, including the use of inert fill or the establishment and use of Developed Water Resources as it pertains to two completed basins located in the southern third and northwestern third of the permit area. The application principally focuses upon the approval of agricultural based uses, including the placement of agricultural stockpiles, equipment and correlated processing of materials for recycling within Area 3 (an approximation of the material and equipment to be placed in Area 3 is included at the back of this exhibit). Further, the previous establishment and continued use and maintenance of Area as the location of an existing scalehouse, and for continued use and enjoyment of all areas to serve the needs and interests of the owner as allowed under the Weld County A-Agriculture Zoning laws and regulations. 1) The boundary determined under Weld County GIS shape file information defines an area of affected land comprising 102.6± acres, and below the original 120.0± acres permitted. The difference is useful in that the metes and bounds description fits within the existing permit area, yet better defines and updates activities outside the present level of disturbance which in the majority is contained within the smaller GIS boundary, and facilitates reclamation cost estimates, as provided under Exhibit L — Reclamation Costs. Still, the 120.0± acre quarter quarter section description comprises the known permit boundary as it is originally constructed. The Weld County GIS is included in part to better reflect changes in the County Right-of-Way along Weld County Road 13, that occurred since the 1992 Amendment. Regardless, all lands within the 120.0± acre permit boundary, but outside of the Weld County right-of-way shown in the Weld County GIS metes and bounds boundary, should be considered affected or able to be affected for purposes of this application and any subsequent revisions or amendments. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan Existing contour information is based upon physical survey for the southern basin; and for the northwest basin; while projected contours for the balance of the affected lands, including areas of fill located within Area 3, are based upon modified USGS Gowanda Quadrangle contour information. The surveyed northwest basin fill line (cyan line on map) contains approximately 16.5± acres. This leaves a Discrepancy of approximately 3.9± acres of additional area to revegetate inside the area originally estimated for the northwest basin; however, the increase in area to be revegetated within the northwest basin is more than offset by the unaffected but previously unaccounted for acres outside of the area of disturbance but within the reported 102.6± acres used as a means of estimating the actual area of disturbance from permit related activities. Therefore, the measurements and estimates of disturbed areas and pending warranty determinations for lands within Areas 1 and 3 on the included Exhibit E: Reclamation Plan Map, and the last Technical Revision Map, remain unaltered for purposes of determining remaining reclamation, calculated acreages, and correlated financial warranty. Consideration for these areas, the principle subject of this revision beyond the updated survey of the northwest basin, is consistent with information provided in the 2010 Technical Revision, as follows: 2) Consistent with information provided in the approved 2010 Technical Revision, previously approved inert fill activity is proceeding over the northeast third of the permit area (areas A & B =11.6± acres). While area A (6.6± acres) fill is nearly complete, approximately 5.0± acres remain to be filled over area B. All fill activity should be completed within the next five (5) years, or approximately July 2016. This includes capping the fill areas with approximately six inches of structural or other suitable clean fill, and completion of the perimeter filter strip of vegetation surrounding Area 3. Since the combined basin areas comprise 41.1± acres, and approximately 0.6± acres comprise permanent routes along the permit boundary and perimeters of basins, the balance of lands will require resoiling and revegetation over a portion of the remaining 57.0± acres, including the area of fill, stockpiling and recycling activities. While resoiling and revegetation will occur within the next year around the southern basin, and within five years since the completion of the northwest basin; resoiling and revegetation activities over Areas 3 and 1, or in general over established roads, will not occur at these locations since they will be traversed with equipment, materials and other activities, and the establishment of vegetation over what will be a heavily trafficked and compacted area is not viable. 3) The southern basin is a completed basin of apx. 24.6± acres and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 28 November 2003, was included under separate cover as part of the approved 2010 Technical Revision. Varra Companies, Inc. Varra Resources Project 110 3 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan 4) The northwest basin is a a completed of apx. 16.5± acres basin and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 4 January 2011 was included under separate cover as part of the approved 2010 Technical Revision. 5) Reclamation Status and Clarification of Future Activity: a. 2.7± acres surrounding the northwest basin (area 2) will require six inches of soil and vegetation. b. 5.2± acres surrounding the planned farm storage area will be soiled and vegetated as a filter strip. c. 2.6± acres of the current stockpile area on the northeast corner of the completed southeast basin (area 4) will require resoiling and revegetation. The balance of the area surrounding the southeast basin has been soiled and only revegetation is pending. Soil requirement total = 10.5± acres — total soil volume required = 8470.0± cu.yds. Soils available on site are shown as: Soil Stockpile i = 3100± cu.yds. Soil Stockpile ii = 5,000± cu. Yds. Misc. and insitu soils = 500 - 1,000 yards. Total onsite soil is estimated to be 8,600-9,000± cu.yds. — or sufficient to meet the reclamation requirement. Revegetation requirement total = 14.5± acres utilizing the revised mixture as attached. The reclamation planning and design is further clarified to show permanent roads, agricultural scalehouse area (area 1), and farm equipment and agricultural materials stockpile area (area 2). The roadways, scalehouse operations area and farm storage area will be covered by roadbase to a minimum depth of 4 inches. An existing seep will be maintained as shown as area C. The seep channel forms and will retain a near trapezoidal shape with an approximate three foot bottom at varying depths to the extent necessary to maintain positive flows to the point of exit where waters continue to St. Vrain Creek through established drainage ways. The waters and drainage are pre-existing and the new seep segment will essentially assure continued flows through a channel whose volume exceeds incoming culvert sizes and nominal flows. The exiting flows of the seep will be maintained at an elevation of apx. 4794 feet, consistent with correspondence included in the August 1992 Amendment, dated 18 December 1992. Finally, for clarification, the St. Vrain Sanitation District has plant operations to the northeast of the permit location. Area E is a 50± wide area set aside for the existing Varra Companies, Inc. Varra Resources Project 110 4 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan access and maintenance of this system by St. Vrain Sanitation District. The area will not be soiled or vegetated to accommodate this system and District access and related activities. Consistent with conversations with the Office of Mined Land Reclamation (Office), due to recent concerns pertaining to floodplain and floodways, since a significant acreage of the location will be filled, the applicant agrees to seek a Flood Hazard Development Permit (FHDP) with Weld County as part of the terms of completion of the project for release by the Office, if required under existing zoning laws and regulations of Weld County for the A-Agriculture Zone. This provision is included at the request of the OMLR to better assure that no adverse impact to the floodplain will occur, and in consideration that under the terms of this permit, the Office has the authority to make such a determination, and not the included County. Respectful of that authority, the applicant agrees to make such a commitment as part of the conditions of approval under this Amendment. Additional information and clarification of planned reclamation and attending costs may be found under Exhibit L — Reclamation Costs. If timelines portrayed in this submittal run to term, final reclamation of the permit area should be completed by the end of 2021. Varra Companies, Inc. Varra Resources Project 110 5 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan 6.4.5 EXHIBIT E - Reclamation Plan (1) In preparing the Reclamation Plan, the Operator/Applicant should be specific in terms of addressing such items as final grading (including drainage), seeding, fertilizing, revegetation (trees, shrubs, etc.), and topsoiling. Operators/Applicants are encouraged to allow flexibility in their plans by committing themselves to ranges of numbers (e.g., 6"-12" of topsoil) rather than specific figures. (2) The Reclamation Plan shall include provisions for, or satisfactory explanation of, all general requirements for the type of reclamation proposed to be implemented by the Operator/Applicant. Reclamation shall be required on all the affected land. The Reclamation Plans shall include: (a) A description of the type(s) of reclamation the Operator/Applicant proposes to achieve in the reclamation of the affected land, why each was chosen, the amount of acreage accorded to each, and a general discussion of methods of reclamation as related to the mechanics of earthmoving; (b) A comparison of the proposed post-mining land use to other land uses in the vicinity and to adopted state and local land use plans and programs. In those instances where the post-mining land use is for industrial, residential, or commercial purposes and such use is not reasonably assured, a plan for revegetation shall be submitted. Appropriate evidence supporting such reasonable assurance shall be submitted; (c) A description of how the Reclamation Plan will be implemented to meet each applicable requirement of Section 3.1; (d) Where applicable, plans for topsoil segregation, preservation, and replacement; for stabilization, compaction, and grading of spoil; and for revegetation. The revegetation plan shall contain a list of the preferred species of grass, legumes, forbs, shrubs or trees to be planted, the method and rates of seeding and planting, the estimated availability of viable seeds in sufficient quantities of the species proposed to be used, and the proposed time of seeding and planting; (e) A plan or schedule indicating how and when reclamation will be implemented. Such plan or schedule shall not be tied to any specific date but shall be tied to implementation or completion of different stages of the mining operation as described in Subparagraph 6.4.4(1)(e). The plan or schedule shall include: (i) An estimate of the periods of time which will be required for the various stages or phases of reclamation; (ii) A description of the size and location of each area to be reclaimed during each phase; and (Hi) An outline of the sequence in which each stage or phase of reclamation will be carried out. (The schedule need not be separate and distinct from the Reclamation Plan, but may be incorporated therein.) (f) A description of each of the following: Exhibit E — Reclamation Plan (i) Final grading - specify maximum anticipated slope gradient or expected ranges thereof; (ii) Seeding - specify types, mixtures, quantities, and expected time(s) of seeding and planting; (iii) Fertilization - if applicable, specify types, mixtures, quantities and time of application; (iv) Revegetation - specify types of trees, shrubs, etc., quantities, size and location; and (v) Topsoiling - specify anticipated minimum depth or range of depths for those areas where topsoil will be replaced. This Amended Reclamation Plan is intended to satisfy the concerns expressed in the 20 January 2010 inspection report of the Colorado Office of Mined Land Reclamation, not otherwise revised by the 2 April 2010 Technical Revision. Extraction at this location is completed. The focus here is on above basin agricultural uses (Areas 1 and 3) necessary to effect final reclamation, and more predominantly explain remaining activities planned over the NE quarter (Area 3) of the quarter section area, where former extraction is being filled to establish a suitable area for continued agricultural activity, which the location will revert to subsequent to release of the permit. The Amendment does not alter any previously approved reclamation, including the use of inert fill or the establishment and use of Developed Water Resources as it pertains to two completed basins located in the southern third and northwestern third of the permit area. The application principally focuses upon the approval of agricultural based uses, including the placement of agricultural stockpiles, equipment and correlated processing of materials for recycling within Area 3 (an approximation of the material and equipment to be placed in Area 3 is included at the back of this exhibit). Further, the previous establishment and continued use and maintenance of Area as the location of an existing scalehouse, and for continued use and enjoyment of all areas to serve the needs and interests of the owner as allowed under the Weld County A-Agriculture Zoning laws and regulations. 1) The boundary determined under Weld County GIS shape file information defines an area of affected land comprising 102.6± acres, and below the original 120.0± acres permitted. The difference is useful in that the metes and bounds description fits within the existing permit area, yet better defines and updates activities outside the present level of disturbance which in the majority is contained within the smaller GIS boundary, and facilitates reclamation cost estimates, as provided under Exhibit L — Reclamation Costs. Still, the 120.0± acre quarter quarter section description comprises the known permit boundary as it is originally constructed. The Weld County GIS is included in part to better reflect changes in the County Right-of-Way along Weld County Road 13, that occurred since the 1992 Amendment. Regardless, all lands within the 120.0± acre permit boundary, but outside of the Weld County right-of-way shown in the Weld County GIS metes and bounds boundary, should be considered affected or able to be affected for purposes of this application and any subsequent revisions or amendments. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment— M1984-036 2011 Exhibit E — Reclamation Plan Existing contour information is based upon physical survey for the southern basin; and for the northwest basin; while projected contours for the balance of the affected lands, including areas of fill located within Area 3, are based upon modified USGS Gowanda Quadrangle contour information. The surveyed northwest basin fill line (cyan line on map) contains approximately 16.5± acres. This leaves a Discrepancy of approximately 3.9± acres of additional area to revegetate inside the area originally estimated for the northwest basin; however, the increase in area to be revegetated within the northwest basin is more than offset by the unaffected but previously unaccounted for acres outside of the area of disturbance but within the reported 102.6± acres used as a means of estimating the actual area of disturbance from permit related activities. Therefore, the measurements and estimates of disturbed areas and pending warranty determinations for lands within Areas 1 and 3 on the included Exhibit E: Reclamation Plan Map, and the last Technical Revision Map, remain unaltered for purposes of determining remaining reclamation, calculated acreages, and correlated financial warranty. Consideration for these areas, the principle subject of this revision beyond the updated survey of the northwest basin, is consistent with information provided in the 2010 Technical Revision, as follows: 2) Consistent with information provided in the approved 2010 Technical Revision, previously approved inert fill activity is proceeding over the northeast third of the permit area (areas A & B =11.6± acres). While area A (6.6± acres) fill is nearly complete, approximately 5.0± acres remain to be filled over area B. All fill activity should be completed within the next five (5) years, or approximately July 2016. This includes capping the fill areas with approximately six inches of structural or other suitable clean fill, and completion of the perimeter filter strip of vegetation surrounding Area 3. Since the combined basin areas comprise 41.1± acres, and approximately 0.6± acres comprise permanent routes along the permit boundary and perimeters of basins, the balance of lands will require resoiling and revegetation over a portion of the remaining 57.0± acres, including the area of fill, stockpiling and recycling activities. While resoiling and revegetation will occur within the next year around the southern basin, and within five years since the completion of the northwest basin; resoiling and revegetation activities over Areas 3 and 1, or in general over established roads, will not occur at these locations since they will be traversed with equipment, materials and other activities, and the establishment of vegetation over what will be a heavily trafficked and compacted area is not viable. 3) The southern basin is a completed basin of apx. 24.6± acres and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 28 November 2003, was included under separate cover as part of the approved 2010 Technical Revision. Varra Companies, Inc. Varra Resources Project 110 3 OMLR 112 Permit Amendment— M1984-036 2011 Exhibit E — Reclamation Plan 4) The northwest basin is a a completed of apx. 16.5± acres basin and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 4 January 2011 was included under separate cover as part of the approved 2010 Technical Revision. 5) Reclamation Status and Clarification of Future Activity: a. 2.7± acres surrounding the northwest basin (area 2) will require six inches of soil and vegetation. b. 5.2± acres surrounding the planned farm storage area will be soiled and vegetated as a filter strip. c. 2.6± acres of the current stockpile area on the northeast corner of the completed southeast basin (area 4) will require resoiling and revegetation. The balance of the area surrounding the southeast basin has been soiled and only revegetation is pending. Soil requirement total = 10.5± acres — total soil volume required = 8470.0± cu.yds. Soils available on site are shown as: Soil Stockpile i = 3100± cu.yds. Soil Stockpile ii = 5,000± cu. Yds. Misc. and insitu soils = 500 - 1,000 yards. Total onsite soil is estimated to be 8,600-9,000± cu.yds. — or sufficient to meet the reclamation requirement. Revegetation requirement total = 14.5± acres utilizing the revised mixture as attached. The reclamation planning and design is further clarified to show permanent roads, agricultural scalehouse area (area 1), and farm equipment and agricultural materials stockpile area (area 2). The roadways, scalehouse operations area and farm storage area will be covered by roadbase to a minimum depth of 4 inches. An existing seep will be maintained as shown as area C. The seep channel forms and will retain a near trapezoidal shape with an approximate three foot bottom at varying depths to the extent necessary to maintain positive flows to the point of exit where waters continue to St. Vrain Creek through established drainage ways. The waters and drainage are pre-existing and the new seep segment will essentially assure continued flows through a channel whose volume exceeds incoming culvert sizes and nominal flows. The exiting flows of the seep will be maintained at an elevation of apx. 4794 feet, consistent with correspondence included in the August 1992 Amendment, dated 18 December 1992. Finally, for clarification, the St. Vrain Sanitation District has plant operations to the northeast of the permit location. Area E is a 50± wide area set aside for the existing Varra Companies, Inc. Varra Resources Project 110 4 OMLR 112 Permit Amendment— M1984-036 2011 Exhibit E — Reclamation Plan access and maintenance of this system by St. Vrain Sanitation District. The area will not be soiled or vegetated to accommodate this system and District access and related activities. Consistent with conversations with the Office of Mined Land Reclamation (Office), due to recent concerns pertaining to floodplain and floodways, since a significant acreage of the location will be filled, the applicant agrees to seek a Flood Hazard Development Permit (FHDP) with Weld County as part of the terms of completion of the project for release by the Office, if required under existing zoning laws and regulations of Weld County for the A-Agriculture Zone. This provision is included at the request of the OMLR to better assure that no adverse impact to the floodplain will occur, and in consideration that under the terms of this permit, the Office has the authority to make such a determination, and not the included County. Respectful of that authority, the applicant agrees to make such a commitment as part of the conditions of approval under this Amendment. Additional information and clarification of planned reclamation and attending costs may be found under Exhibit L — Reclamation Costs. If timelines portrayed in this submittal run to term, final reclamation of the permit area should be completed by the end of 2021. Varra Companies, Inc. Varra Resources Project 110 5 OMLR 112 Permit Amendment—M1984-036 2011 Varra Companies, Inc. Office of Special Projects 8120 Gage Street Frederick,Colorado 80516 Telephone(970)353-8310 Fax (970)353-4047 Tuesday 15 February 2011 Jared Ebert, EPS Colorado Division of Reclamation Mining and Safety Office of Mined Land Reclamation (OMI-R) 1313 Sherman Street, #215 Denver, Colorado 80203 Subject: Amendment to M-1984-036 - Varra Resources Project 110 (a.k.a., Dakolios Pit). Dear Jared: Enclosed, find as part of this cover letter, two complete copies of an Amendment in conformance with the requirements specified in the approval of the previous 2010 Technical Revision. The Amendment modifies some Exhibits (indicated in bold lettering), while leaving unchanged those Exhibits not otherwise affected by the changes proposed in the Amendment, as summarized below: 1) A complete 112 form - Revised, updated with the required Amendment fee. It should be noted that the August 1992 Amendment on future use only allowed for one mark under Future Use, and that Developed Water Resources was selected. While the underpinning Use reverts to Agriculture, and while the Developed Water Resources may be utilized for Agricultural Uses; further, the August 1996 Technical Revision provided under the Backfill Permit for the return of fill and above water land areas to Agricultural Uses; the OMI-R determined that the activity posed a `significant change to the Reclamation due to the location of the fill within a flood plain; so to better fulfill the notification and comment duties of the OMLR, this Amendment was requested to clarify matters of Reclamation for the lands remaining above water surrounding the completed basins and within the 120.0 acre permit area. Still the form only allows for one check mark - so in this instance Agriculture has been selected as the Future Use, but should not be found in contradiction with any Developed Water Resource Use previously determined and approved by the OMLR. 2) Exhibit A - Revised and clarified. 3) Exhibit B Revised - updated on USGS Quadrangle Map. 1 4) Exhibit C and Exhibit C-1: Map: Revised - Ownership and Structures are updated and shown for purposes of notification. 5) Exhibit C-2: Mine Plan Map is not included or revised, since extraction is limited to fill activities. Residual matters pertaining to remaining fill and reclamation are attended to in Exhibit E, below. 6) Exhibit D: Mine Plan - Revised - Clarification of remaining activity. 7) Exhibit E: Reclamation Plan - Revised to satisfy the concerns of the OMLR respective of matters outlined in item 1, above. 8) Exhibit F: Reclamation Plan Map — Revised. 9) Exhibit G: Water Resources — updates of standing in matters pertaining to water are detailed in the previously approved 2010 Technical Revision or in the related but separate correspondence of 31 January 2011, from Garrett C. Varra. Piezometer well locations approved in the previous Technical Revision are shown on the Revised Exhibit F — Reclamation Plan Map, above. 10) Exhibit H: Wildlife Information — refer to August 1992 Amendment. 11) Exhibit I/J: Soil and Vegetation Information — refer to August 1992 Amendment. 12) Exhibit K: Climate — refer to August 1992 Amendment. 13) Exhibit L: Reclamation Costs Revised — based upon the last Financial Warranty Determination of 4 March 1997. 14) Exhibit M: Other Permits - Revised to show any additional permits that may be required since the August 1992 Amendment and August 1996 Technical Revision. 15) Exhibit N: Source of Legal Right to Enter — Revised to reflect Varra Companies, Inc. as the lawful owner. 16) Exhibit O: Owners of Record of Affected Land (Surface Area) and Owners of Substance to be Mined — Revised to reflect Varra Companies, Inc. as the lawful owner. 17) Exhibit P: Municipalities within Two Miles Revised — reflecting the growth of towns and cities to include: The Towns of Gowanda and Firestone. 18) Exhibit Q: Proof of Mailing of Notices to County Commissioners and Conservation District — Provided current with this submittal. 19) Exhibit R: Proof of Filing with County Clerk or Recorder — Provided current with this submittal. 20) Exhibit S: Permanent Man-Made Structures - Provided and identified under Exhibit C and C-1 Map, above; and as discussed further in item 21 and 22, below. 21) Rule 1.6.2(1)(b) - Provided current with this submittal, as found under respective Exhibits Q and R. Proof of Posting of Notification, and proof of Varra Companies, Inc. —Amendment to M-1984-036—February 2011 —Varra Resources 2 Project 110 (a.k.a., Dakolios Pit). submittal for placement with the Weld County Clerk to the Board, are included as part of this Cover. 22) Rule 6.5: Geotechnical Stability Exhibit do not appear applicable respective of this submittal and consistent with prior Amendments and Technical Revisions as approved for this permit. Notification and requests for Letters of Agreement will be submitted to all owners of structures, easements and right—of—ways within 200 feet of the Amendment permit area along with and at the time of Notification of Adjacent Landowners and Surface Owners of Record following OMLR determination of application Completeness and subsequent Publication. Please use the above referenced information as guidance for all forms, submittals, maps and attachments in the matters of permit Completeness and Adequacy. This Amendment, if Complete, should conclude the conditions stipulated in the approved technical revision. In the event some additional information is required to make the submittal complete, we request additional time to satisfy any Completeness items identified, and trust the Office will allow an extension of the stipulation deadline up to an additional 30 days, or as needed to meet the concern. Naturally, if you need clarification or additional information, please feel free to contact us. Kind regards, - e j.2 Varra Companies, Inc. Bradford Janes Professional Forester bljforester@msn.com desk: 970-353-8310 cc. Garrett C. Varra, V.P. Operations Varra Companies, Inc. Varra Companies, Inc. — Amendment to M-1984-036— February 2011 — Varra Resources 3 Project 110 (a.k.a., Dakolios Pit). PUBLIC NOTICE This site is the location of a proposed construction materials operation. Varra Companies, Inc. whose address and phone number is 8120 Gage Street — Frederick, CO 80516 Telephone (303) 666-6657, has applied for a Reclamation Permit with the Colorado Mined Land Reclamation Board. Anyone wishing to comment on the application may view the application at the Weld County Clerk to the Board's Office at 915 10th Street — Third Floor, Greeley, Colorado 80631 , and should send comments prior to the end of the public comment period to the Division of Minerals and Geology — 1313 Sherman Street, Room 215 — Denver, CO 80203 . The above notice was posted at the entrance to the primary access road designated in the included application maps and at Weld County Road 26 and along the permit area, boundary or corners as practical. An actual copy of the size of the Notice follows this page. This notice and the undersigned Certification is intended to satisfy the Notice requirements for Rule 1.6.2(1(b). Certification: I, Bradford Janes, hereby certify that I posted the above indicated Public Notice for the proposed permit area known as the Western Sugar Reclamation Land Development Project, on Monday 14 February 2011. fig/ Monday 14 February 2011 Bradford an , Forester Date Varna Companies, Inc. PUBLIC NOTICE This site is the location of a proposed construction materials operation. Varra Companies, Inc. whose address and phone number is 8120 Gage Street — Frederick,. CO 80516 Telephone (303) 666-6657, has applied for a Reclamation Permit with the Colorado Mined Land Reclamation Board. Anyone wishing to comment on the application may view the application at the Weld County Clerk to the Board' s Office at 915 10th Street — Third Floor, Greeley, Colorado 80632, and should send comments prior to the end of the public comment period to the Division of Minerals and Geology — 1313 Sherman Street, Room 215 — Denver, CO 80203 . STATE OF COLORADO DIVISION OF RECLAMATION,MINING AND SAFETY Department of Natural Resources 1313 Sherman SL,Room 215 Denver,Colorado 80203 COLORADO DIVISION o Phone:(303)866-3567 CONSTRUCTION MATERIALS RECLAMATION FAX:(303)832-8106 REGULAR(112)OPERATION MINING RECLAMATION PERMIT APPLICATION FORM SAFETY BM Ritter,Jr. GovernorCHECK ONE: ID . There is a File Number Already Assigned to this Operation Harris D.Shaman Punt ri M -___ (Please reference the file number currently assigned to this operatioa)ecutive Dheaor IJ New Application(Rule 1.4.5) Amendment Application(Rule 1.10) Ronan w•vuart _ElDivisbn Diracbr Conversion Application(Rule 1.11) Natural Resource Trustee Permit# M - 19 - 84 - 036(provide for Amendments and Conversions of existing permits) The application for a Construction Materials Regular 112 Operation Reclamation Permit contains three major parts:(1)the application form;(2)Exhibits A-S,Addendum 1,any sections of Exhibit 6.5(Geotechnical Stability Exhibit;and(3)the application fee. When you submit your application, be sure to include one(1) complete signed and notarized ORIGINAL and one (1) copy of the completed application form,two(2)copies of Exhibits A-S,Addendum 1,appropriate sections of 6.5(Geotechnical Stability Exhibit,and a check for the application fee described under Section(4)below. Exhibits should NOT be bound or in a 3-ring binder;maps should be folded to 8 1/2"X 11"or 8 1/2"X 14"size. To expedite processing,please provide the information in the format and order described in this form. GENERAL OPERATION INFORMATION Type or print clearly,in the space provided,ALL information requested below. 1. Applicant/operator or company name(name to be used on permit): 1.1 Type of organization(corporation,partnership,etc.): Varra Companies. Inc. 2. Operation name(pit.mine or site name): Varra Resources Project 110 3. Permitted acreage(new or existing site): 120.0 permitted acres 3.1 Change in acreage(+) acres 3.2 Total acreage in Permit area - acres 4. Fees: 4.1 New Application $2.696.00 application fee 4.2 New Quarry Application $3,342.00 quarry application 4.4 Amendment Fee $2129.00 amendment fee 4.5 Conversion to 112 operation(set by statute) $2.696.00 conversion fee 5. primary commoditie(s)to be mined: Complete d 5.1 Incidental commoditie(s)to be mined: I. - lbs/Tons/vr 2. / lbs/Tons/vr 3. / lbs/Tons/vr 4. / lbs/Tons/vr 5. / lbs/Tons/vr 5.2 Anticipated end use of primary commoditie(s)to be mined: N/A 5.3 Anticipated end use of incidental commoditie(s)to be mined: N Office of Office of Mined Land Reclamation Denver • Grand)unction • Durango Active and Inactive Mines -2- 6. Name of owner of subsurface rights of affected land: Varra Companies, Inc. If 2 or more owners,"refer to Exhibit O". 7. Name of owner of surface of affected land: Varra Companies, Inc. 8. Type of mining operation: Surface 111 Underground 9. Location Information: The center of the area where the majority of mining will occur: COUNTY: Weld PRINCIPAL MERIDIAN(check one): 1 6th(Colorado) ❑ 10th(New Mexico) ID Ute SECTION(write number): S 31 TOWNSHIP(write number and check direction): T 3 [a North El South RANGE(write number and check direction): R 67 East In West QUARTER SECTION(check one): Elm an Nth® ®SW QUARTER/QUARTER SECTION(check one): NE NW SE SW GENERAL DESCRIPTION: (the number of miles and direction from the nearest town and the approximate elevation): Immedial north of the town of Firestone, and southeast of the intersection of Weld County Road 13 and St. Vrain Creek; elevation 4820 + ft. 10. Primary Mine Entrance Location(report in either Latitude/Longitude OR UTM): Latitude/Longitude: Example: (N) 39° 44' 12.98" (W) 104° 59' 3.87" Latitude(N): deg min sec . (2 decimal places) Longitude(W): deg min sec . (2 decimal places) OR Example: (N) 39.73691° • (W) -104.98449° Latitude(N) (5 decimal places) Longitude(W) (5 decimal places) OR Universal Tranverse Mercator(UTM) Example: 201336.3 E NAD27 Zone 13 4398351.2 N UTM Datum(specify NAD27,NAD83 or WGS 84) Nad 83 13 Zone Easting 3156076.26 f t. Northing 1308716.13 ft. -3 - 11. Correspondence Information: APPLICANT/OPERATOR (name,address,and phone of name to be used on permit) Contact's Name: Christopher L. Varra Title: President Company Name: Varra Companies. Inc. Street/P.O.Box: 8120 Gage Street P.O. Box: City: Frederick State: Colorado Zip Code: 80516 Telephone Number: 1 303 1- 666-6657 Fax Number: ( 303 1- 666-6743 PERMITTING CONTACT (if different from applicant/operator above) Contact's Name: Title: Company Name: Street/P.O.Box: P.O. Box: City: State: Zip Code: Telephone Number: ( )- Fax Number: ( )- INSPECTION CONTACT Contact's Name: Same as above Title: Company Name: Street/P.O.Box: P.O. Box: City: State: Zip Code: Telephone Number: ( )- Fax Number: ( )- CC: STATE OR FEDERAL LANDOWNER(if any) Agency: Street: City: State: Zip Code: Telephone Number: ( )- CC: STATE OR FEDERAL LANDOWNER(if any) Agency: Street: City: State: Zip Code: Telephone Number: ( )- -4- 12. Prima�t'��ffuture(Post-mining)land use check onel: U Cropland(CR) Pastureland(PL) X General Agriculture(GA) with developed water resources (wr) Rangeland(RL) _ElForestry(FR) Wildlife Habitat(WL) Residential(RS) Recreation(RC) Industrial/Commercial(IC) JDDeveloped Water Resources(WR) _ElSolid Waste Disposal(WD) 13. Prima r resent land use check one : El_ Cropland(CR) Pastureland(PL) General Agriculture(GA) II Rangeland(RL) Forestry(FR) Wildlife Habitat(WL) ,mot Residential(RS) Recreation(RC) Industrial/Commercia)(IC) L. Developed Water Resources(WR) 14. Method of Mining: Briefly explain mining method(e.g.truck/shovel): 15. On Site Processing: © Crushing/Screening 13.1 Briefly explain mining method(e.g.truck/shovel): Completed List any designated chemicals or acid-producing materials to be used or stored within permit area: None 16. Description of Amendment or Conversion: If you are amending or converting an existing operation,provide a brief narrative describing the proposed change(s). Update to the reclamation plan to clarify planned agricultural artivitiec in the A— Agriculture zone of Weld County, Colorado; including developed water resources for all allowable uses. -5- Maps and Exhibits: Two(2)complete,unbound application packages must be submitted. One complete application package consists of a signed application form and the set of maps and exhibits referenced below as Exhibits A-S,Addendum 1,and the Geotechnical Stability Exhibit. Each exhibit within the application must be presented as a separate section. Begin each exhibit on a new page. Pages should be numbered consecutively for ease of reference. If separate documents are used as appendices,please reference these by name in the exhibit. With each of the two (2) signed application forms, you must submit a corresponding set of the maps and exhibits as described in the following references to Rule 6.4,6.5,and 1.6.2(1)(b): EXHIBIT A Legal Description EXHIBIT B Index Map EXHIBIT C Pre-Mining and Mining Plan Map(s)of Affected Lands EXHIBIT D Mining Plan EXHIBIT E Reclamation Plan EXHIBIT F Reclamation Plan Map EXHIBIT G Water Information EXHIBIT H Wildlife Information EXHIBIT I Soils Information EXHIBIT J Vegetation Information EXHIBIT K Climate Information EXHIBIT L Reclamation Costs EXHIBIT M Other Permits and Licenses EXHIBIT N Source of Legal Right-To-Enter EXHIBIT O Owners of Record of Affected Land(Surface Area)and Owners of Substance to be Mined EXHIBIT P Municipalities Within Two Miles EXHIBIT Q Proof of Mailing of Notices to County Commissioners and Conservation District EXHIBIT R Proof of Filing with County Clerk or Recorder EXHIBIT S Permanent Man-Made Structures Rule I.6.2(1)(b) ADDENDUM 1 -Notice Requirements(sample enclosed) Rule 6.5 Geotechnical Stability Exhibit(any required sections) The instructions for preparing Exhibits A-S,Addendum 1, and Geotechnical Stability Exhibit are specified under Rule 6.4 and 6.5 and Rule 1.6.2(1)(b)of the Rules and Regulations. If you have any questions on preparing the Exhibits or content of the information required, or would like to schedule a pre-application meeting you may contact the Office at 303-866-3567. Responsibilities as a Permittee: Upon application approval and permit issuance,this application becomes a legally binding document. Therefore,there are a number of important requirements which you,as a permittee, should fully understand. These requirements are listed below. Please ead and initial each requirement,in the space provided,to acknowledge that you understand your obligations. If you do go nderstand these obligations then please contact this Office for a full explanation. . 1. Your obligation to reclaim the site is not limited to the amount of the financial warranty. You assume legal liability for all reasonable expenses which the Board or the Office may incur to reclaim the affected lands associated with your mining operation in the event your permit is revoked and financial warranty is forfeited; t/�/ 2. The Board may suspend or revoke this permit, or assess a civil penalty, upon a finding that the permittee violated the terms or conditions of this permit, the Act, the Mineral Rules and Regulations, or that information contained in the application or your permit misrepresent important material facts; Owe 3. If your mining and reclamation operations affect areas beyond the boundaries of an approved permit CVboundary,substantial civil penalties,to you as permittee can result; 4. Any modification to the approved mining and reclamation plan from those described in your approved application requires you to submit a permit modification and obtain approval from the Board or Office; • 5. It is your responsibility to notify the Office of any changes in your address or phone number; • 6. Upon permit issuance and prior to beginning on-site mining activity,you must post a sign at the entrance of the mine site, which shall be clearly visible from the access road,with the following information(Rule 3.1.12): a. the name of the operator; b. a statement that a reclamation permit for the operation has been issued by the Colorado Mined Land Reclamation Board; and, c. the permit number.ell 7. The boundaries of the permit boundary area must be marked by monuments or other markers that are clearly /visible and adequate to delineate such boundaries prior to site disturbance. (nom/// 8. It is a provision of this permit that the operations will be conducted in accordance with the terms and conditions listed in your application,as well as with the provisions of the Act and the Construction Material Rules ctiand Regulations in effect at the time the permit is issued. 9. Annually,on the anniversary date of permit issuance,you must submit an annual fee as specified by Statute, and an annual report which includes a map describing the acreage affected and the acreage reclaimed to date(if there are changes from the previous year), any monitoring required by the Reclamation Plan to be submitted annually on the anniversary date of the permit approval. Annual fees are for the previous year a permit is held. For example,a permit with the anniversary date of July 1, 1995,the annual fee is for the period of July 1, 1994 through June 30, 1995. Failure to submit your annual fee and report by the permit anniversary date may result in a civil penalty, revocation of your permit, and forfeiture of your financial warranty. It is your responsibility, as the permittee,to continue to pay your annual fee to the Office until the Board releases you from your total reclamation Cilresponsibility. 10. For joint venture/partnership operators: the signing representative is authorized to sign this document and a power of attorney (provided by the partner(s)) authorizing the signature of the representative is attached to this application. - 7- NOTE TO COMMENTORS/OBJECTORS: It is likely there will be additions,changes,and deletions to this document prior to final decision by the Office. Therefore,if you have any comments or concerns you must contact the applicant or the Office prior to the decision date so that you will know what changes may have been made to the application document. The Office is not allowed to consider comments,unless they are written,and received prior to the end of the public comment period. You should contact the applicant for the final date of the public comment period. If you have questions about the Mined Land Reclamation Board and Office's review and decision or appeals process,you may contact the Office at(303) 866-3567. -8 - Certification: As an authorized representative of the applicant, I hereby certify that the operation described has met the minimum requirements of the following terms and conditions: 1. To the best of my knowledge,all significant,valuable and permanent man-made structure(s)in existence at the time this application is filed,and located within 200 feet of the proposed affected area have been identified in this application (Section 34-32.5-115(4)(e), C.R.S.). 2. No mining operation will be located on lands where such operations are prohibited by law (Section 34-32.5-115(4)(f),C.R.S.; 3. As the applicant/operator,I do not have any extraction/exploration operations in the State of Colorado currently in violation of the provisions of the Colorado Land Reclamation Act for the Extraction of Construction Materials (Section 34-32.5-120,C.R.S.)as determined through a Board finding. 4. I understand that statements in the application are being made under penalty of perjury and that false statements made herein are punishable as a Class I misdemeanor pursuant to Section 18-8-503, C.R.S. This form has been approved by the Mined Land Reclamation Board pursuant to section 34-32.5-112,C.R.S., of the Colorado Land Reclamation Act for the Extraction of Construction Materials. Any alteration or modification of this form shall result in voiding any permit issued on the altered or modified form and subject the operator to cease and desist orders and civil penalties for operating without a permit pursuant to section 34-32.5-123,C.R.S. Signed and dated this /DA day of ico [Jruca,e' , 2011 • Va-rra (n.A- pa. )a5, �hCl. If Corporation Attest(Seal) Applicant/Operator oi'Company Name Signed: 7/1.4L- Signed: Chris opher L. Varra Corporate Secretary or Equivalent Title: President Town/City/County Clerk State of C O/O<n 1O )ss. County of //-- The foregoii g nstrument was acknowledged before me is l day of fe KJ rtJary D0R ,by (J A..."--M14c kpher ,L. Va-rro as VilaSid9rif of {4..rt'a o-riiC.E�7' Notary Public My Commission expires: le0/3/42 SIGNATURES MUST BE IN BLUE INK You must post sufficient Notices at the location of the proposed mine site to clearly identify the site as the location of a AN EXAMPLE PUBLIC NOTICE WHICH MEETS THE REQUIREMENTS OF THE STATUTES IS SHOWN BELOW. THE BLANKS WHICH REQUIRE DATES WILL NEED TO BE FILLED IN ACCORDING TO THE FOLLOWING INSTRUCTIONS. PLEASE READ CAREFULLY. PUBLICATION INSTRUCTIONS: Date of commencement and date of completion should represent the dates which you feel most accurately describe the life of the operation. For all Regular(112)types of operations,this notice must be published once a week for four(4)consecutive weeks,starting within ten(10)days of the date the application is considered to be submitted to the Division. The final date for receiving comments is the 20th day after the fourth publication or the next regular business day. All notices must be published in a newspaper of general circulation in the locality of the proposed mining operation and mailed to the landowners as set forth in the Colorado Mined Land Reclamation Rules and Regulations. Since the date for consideration of your application may change,DO NOT include it in this notice. For a complete discussion of the notice procedures and objections,please refer to C.R.S. 34-32.5-112(10), 114 and 115. ***************************************************************************************************** ***** PUBLIC NOTICE (Operator Name) ;(Address and Phone Number) has filed an application for a Regular(112)Construction Materials Operation Reclamation Permit with the Colorado Mined Land Reclamation Board under provisions of the Colorado Land Reclamation Act for the Extraction of Construction Materials. The proposed mine is known as the(Name of the Mine) ,and is located at or near Section , Township , Range , Prime Meridian. The proposed date of commencement is ,and the proposed date of completion is . The proposed future use of the land is(Future Landuse) . Additional information and tentative decision date may be obtained from the Division of Reclamation,Mining,and Safety, 1313 Sherman Street,Room 215, Denver, Colorado 80203,(303) 866-3567, or at the (County Name) County Clerk and Recorder's office; (Clerk and Recorder's Address) ,or the above-named applicant. Comments must be in writing and must be received by the Division of Reclamation,Mining,and Safety by 4:00 p.m.on(Final Date for Comments) Please note that under the provisions of C.R.S. 34-32.5-101 et seq. Comments related to noise, truck traffic, hours of operation, visual impacts, effects on property values and other social or economic concerns are issues not subject to this Office's jurisdiction. These subjects, and similar ones, are typically addressed by your local governments, rather than the Division of Reclamation, Mining, and Safety or the Mined Land Reclamation Board. M:\min\share\vsforms\07-07-01 vsforms\Construction 112.doc 07/24/2007) Exhibit A — Legal Description 6.4.1 EXHIBIT A— Legal Description (1) The legal description must identify the affected land, specify affected areas and be adequate to field locate the property. Description shall be by (a), township, range, and section , to at least the nearest quarter-quarter section and (b), location of the main entrance to the site reported as latitude and longitude, or the Universal Transverse Mercator (UTM) Grid as determined from a USGS topographic map. A metes and bounds survey description is acceptable in lieu of township, range, and section. Where available, the street address or lot number(s) shall be given. This information may be available from the County Assessor's Office or U.S. Geological Survey (USGS) maps. (2) The main entrance to the mine site shall be located based on a USGS topographic map showing latitude and longitude or Universal Transverse Mercator (UTM). The operator will need to specify coordinates of latitude and longitude in degrees, minutes and seconds or in decimal degrees to an accuracy of at least five (5) decimal places (e.g., latitude 37.12345 N, longitude 104.45678 W). For UTM, the operator will need to specify North American Datum (NAD) 1927, NAD1983, or WGS 84, and the applicable zone, measured in meters. The 120.00* acre permit area is originally defined and unaltered by this submittal as that part of the E/2,SW/4; and NW/4,SW/4; all in Section 31; Township 3 North; Range 67 West; 6th P.M.; Weld County, Colorado. The Weld County GIS boundary and description is used to better define the affected lands for purposes of CAD measurement and related financial determinations as: A parcel of land located in part of the E/2,SW/4 and NW/4,SW/4; Section 31; Township 3 North; Range 67 West; 6th P.M.; Weld County, Colorado; more specifically beginning from the Center of Section 31; thence: 2577.02 feet S00°18'44"E 1189.71 feet 589°48'34'W 1476.19 feet N00°09'19"E 84.00 feet N90°00'00'1N 1241.44 feet 589°20'07'W 375.40 feet N01°07'54'1N 20.00 feet N89°34'13"E 220.49 feet N00°02'59"E 20.00 feet N89°3413"E 224.84 feet N00°02'59"E 82.00 feet N51°48'41"E 233.94 feet N04°51'42"W 1104.40 feet N89°42'51"E 1315.22 feet N89°42'48'1, to the point of beginning, and comprising 102.56± acres, more or less. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit A — Legal Description The mine entrance is identified on Exhibit C-1: Vicinity Map, and located as identified under NAD 83 Colorado State Plane North Zone — (UTM ZONE 13): Easting 3156076.26, Northing 1308716.13. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 zz :i 4 � 1 \ L� -+,,;.`Y ✓ ) 1 /' %-,-00.' I III II k•i� C: J, . • I ( .� 1 I•V • n - w .�5rN M �I e .a - y 76 I4 �O .,____.,.4.....„„...,,„.. ..,..._:, �," __T. a i • Ii ...... .',"?•,t-, \ Y Ii S Ditch �� ..','•,;t.tit\ 26 i �1 3.0 ,l • \, of- Y F •--- . 4951:.. --)4.'.--- - i ,''�-. ' ' : \. I--'I �} k i, - 9eDI L� ' f) . 36'35• r3L ' • IRAIN` '- ! c f �{ Y ; ST .. V I — f eM I. , 4827 • k f• em .. CNANCL i k ( i s "f _ IL. , C / Y • % .• 1 , I4] r'.n 2 • I 6 .F�V --4839 • -l ' < a' 'r o'fc� • Lki I -f I c c a s as um .i s / JIT� / ) i ". Cg • al , i Gre.ePPilx• __ Y \ . („ i . 4.O I i-1 1 : :f 2 7 e4t•:'—. i \ a , I I, a''. . f ' l f I /Y. r 1 1 \\ I__......4L____,S. 0 • . r i. n.V•aI1sk ' •••*.1 HBM' " -'-.o 1. Willa I _L Do iscc `4s7-- LOCATED WITHIN PART OF THE SCALE: 1 INCH =2644)FEET VARRA COMPANIES, INC. SW/4; SEC. 31; T3N; R67W; DATE: 11 JANUARY 2011 8120 GAGE STREET 6TH P.M.; WELD COUNTY. CO , . . FREDERICK. COLORADO 80534 REVISION: TELEPHONE: (303) 688-6857 h i c 1:; , : . _ PAGE: 1 OF 1 Exhibit C — Pre-Mining & Mining Plan Map 6.4.3 EXHIBIT C - Pre-mining and Mining Plan Map(s) of Affected Lands One or more maps may be necessary to legibly portray the following information: (a) all adjoining surface owners of record; (b) the name and location of all creeks, roads, buildings, oil and gas wells and lines, and power and communication lines on the area of affected land and within two hundred (200) feet of all boundaries of such area; (c) the existing topography of the area with contour lines of sufficient detail to portray the direction and rate of slope of the affected land; (d) the total area to be involved in the operation, including the area to be mined and the area of affected lands (see definition of "Affected Land"); (e) the type of present vegetation covering the affected lands; and (f) in conjunction with Exhibit G - Water Information, Subsection 6.4.7, if required by the Office, further water resources information will be presented on a map in this section. (g) Show the owner's name, type of structures, and location of all significant, valuable, and permanent man-made structures contained on the area of affected land and within two hundred (200) feet of the affected land. (h) In conjunction with Exhibit I - Soils Information, Subsection 6.4.9, soils information may be presented on a map in this section; (i) Aerial photos, if available, may be included in this section. Adjoining Surface Owners Of Record As Shown On Exhibit C — Pre-Mining & Mining Plan Map (Source: Property Owners from Weld County Assessor Records and Utilities Directly from Utility): Property Number Name & Address 120931000051 Varra Companies, Inc. 8120 Gage St. Frederick, CO 80516 120931000054 Pasquale &Jacqueline Varra 8120 Gage St. Frederick, CO 80516 120931000055 St. Vrain Sanitation District 120931000059 436 Coffman St., Ste. 200 Longmont, CO 80501 120931200064 Varra Companies, Inc. 8120 Gage St. Frederick, CO 80516 120736102015 Pelican Shores North Homeowners Assn. c/o Douglas A. Tiefel P.O. Box 17130 Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit C — Pre-Mining & Mining Plan Map Boulder, CO 80308 12073641027 Pelican Shores South Homeowners Assn. do Douglas A. Tiefel P.O. Box 17130 Boulder, CO 80308 120931000057 Myrnaloy Gould Trustee 120931000047 12148 Weld County Rd. 13 Longmont, CO 80504 120931000056 Jerry Gould Living Trust 12480 County Rd. 13 Longmont, CO 80504 131106201003 Colorado East Bank& Trust c/o Terry Seelhoff 207 First Ave. LaSalle, CO 80645 131106000060 Theodore M. Lehmann Living Trust 6474 Weld County Rd. 26 Longmont, CO 80504 131106000024 James M. French 6600 Weld County Rd. 26 Longmont, CO 80504 Other(Utilities, Roads, etc) Name and Address Weld County Dept. of Public ATTN: Don Carroll, Engineering Administrator Works — Road & Bridge — P.O. Box 758 Right-of-Way Greeley, Colorado 80632-0758 Merit Energy Merit Energy ATTN: Clay Munger, Operations Manager 1313 North Denver Avenue, Building#3 Fort Lupton, Colorado 80621 c/o K.E. Andrews &Co. 1900 Dalrock Rd. Rowlett, TX 75088 Kerr-McGee Oil & Gas c/o Travis Holland Property Tax Onshore LP P.O. Box 173779 Denver, CO 80217-3779 1099 18th Street, Ste. 1800 Denver, Colorado 80202 Noble Energy Production, ATTN: Right of Way Department Inc. 804 Grand Avenue Platteville, Colorado 80651-7560 c/o K.E. Andrews & Co. 3615 S. Huron St., Ste. 200 Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit C — Pre-Mining & Mining Plan Map Englewood, CO 80110 ATTN: Laura White 1625 Broadway, Ste. 2000 Denver, Colorado 80202 DCP Midstream ATTN: Right of Way Department 1324 North 7th Avenue Greeley, Colorado 80631 L.G. Everest, Inc. P.O. Box 5829 Sioux Falls, South Dakota 57117-5829 Tri-State Generation & P.O. Box 33695 Transmission Association, Denver, Colorado 80234 Inc. American Telephone & Telegraph Co. Xcel Energy ATTN: Right-of-Way Dept. P.O. Box 8 Eau Claire, WI 54702 Qwest ATTN: Right-of-Way Dept. 12680 County Road 58 Greeley, Colorado 80634 United Power ATTN: Bill Meier 500 Cooperative Way Brighton, Colorado 80603 Central Weld County Water 2235 Second Avenue District Greeley, Colorado 80631 St. Vrain Sanitation Dist. c/o Rob Fleck, Dist. Engineer 11307 Business Park Circle Firestone, Colorado 80504 Last Chance Ditch Co. 11955 County Road 15 Longmont, Colorado 80504 Town of Firestone - Road P.O. Box 100 Right-Of-Way Firestone, Colorado 80520 Kerr-McGee Gathering, LLC 1099 18th Street, Ste. 1800 Denver, Colorado 80202 Varra Companies, Inc. Varra Resources Project 110 3 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit D- Extraction Plan 6.4.4 EXHIBIT D - Mining Plan The mining plan shall supply the following information, correlated with the affected lands, map(s) and timetables: (a) description of the method(s) of mining to be employed in each stage of the operation as related to any surface disturbance on affected lands; (b) earthmoving; (c) all water diversions and impoundments; and (d) the size of area(s) to be worked at any one time. (e) An approximate timetable to describe the mining operation. The timetable is for the purpose of establishing the relationship between mining and reclamation during the different phases of a mining operation. An Operator/Applicant shall not be required to meet specific dates for initiation, or completion of mining in a phase as may be identified in the timetable. This does not exempt an Operator/Applicant from complying with the performance standards of Section 3.1. If the operation is intended to be an intermittent operation as defined in Section 34-32.5-103(11)(b), C.R.S., the Applicant should include in this exhibit a statement that conforms to the provisions of Section 34-32.5-103(11)(b), C.R.S. Such timetable should include: (i) an estimate of the periods of time which will be required for the various stages or phases of the operation; (ii) a description of the size and location of each area to be worked during each phase; and (iii) outlining the sequence in which each stage or phase of the operation will be carried out. (Timetables need not be separate and distinct from the mining plan, but may be incorporated therein.) (f) A map (in Exhibit C - Pre-Mining and Mining Plan Maps(s) of Affected Lands, Subsection 6.4.3) may be used along with a narrative to present the following information: (i) nature, depth and thickness of the deposit to be mined and the thickness and type of overburden to be removed (may be marked "CONFIDENTIAL," pursuant to Paragraph 1.3(3)); and (ii) nature of the stratum immediately beneath the material to be mined in sedimentary deposits. (g) Identify the primary and secondary commodities to be mined/extracted and describe the intended use; and (h) name and describe the intended use of all expected incidental products to be mined/extracted by the proposed operation. (i) Specify if explosives will be used in conjunction with the mining (or reclamation). In consultation with the Office, the Applicant must demonstrate pursuant to Subsection 6.5(4), Geotechnical Stability Exhibit, that offsite areas will not be adversely affected by blasting. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—MI984-036 2011 Exhibit D- Extraction Plan Summary Status of Affected and Unaffected land as of this is detailed further under Exhibit E — Reclamation Plan and Exhibit L — Reclamation Costs; and attending maps. Extraction of planned basins and lining of basins is complete as determined under a previous 2010 Technical Revision and attending correspondence. As part of the excavation activity, nearly 5.0± acres remain open with exposed surface waters and needing fill (refer to Exhibit D — Extraction Plan and Exhibit E — Reclamation Plan). Since there are adequate water resources to account for the exposed surface waters over the 5.0± acres pending fill, if fill activity stopped, at this point or when the acreage is less, since this is an area designated for post permit agricultural stockpiles and equipment storage, no additional expenses for resoiling or revegetation for this area are necessary. The activity extends the extraction/excavation out an additional five years, with finished revegetation of the surrounding vegetation strip an additional five years, with an estimated end date of 2021. Area 1 fill is complete and Area 3 fill is predominantly needed within a portion of 3 (A) and (B). Estimating nearly half of Area 3 (A) is filled with little to no exposed groundwater; nearly 3.3± acres will require an additional top of 1.5 feet of fill/and 0.5 feet of additional fill in lieu of soil (consistent with those conditions specified in the 1996 Technical Revision) for this portion of the agricultural stockpile and storage location, or approximately 2.0± feet of total fill. Area 3 (B) will require the same over 5.0± acres, for a total of 8.3± acres. All other excavation is complete, including two basins which have been lined and approved by the Colorado Division of Water Resources, as provided in previous correspondence consistent with the approved 2010 Technical Revision. All other aspects of the affected land and planned reclamation are attended to further under Exhibit E — Reclamation Plan and Exhibit L— Reclamation Costs; and attending maps. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan 6.4.5 EXHIBIT E - Reclamation Plan (1) In preparing the Reclamation Plan, the Operator/Applicant should be specific in terms of addressing such items as final grading (including drainage), seeding, fertilizing, revegetation (trees, shrubs, etc.), and topsoiling. Operators/Applicants are encouraged to allow flexibility in their plans by committing themselves to ranges of numbers (e.g., 6"-12" of topsoil) rather than specific figures. (2) The Reclamation Plan shall include provisions for, or satisfactory explanation of, all general requirements for the type of reclamation proposed to be implemented by the Operator/Applicant. Reclamation shall be required on all the affected land. The Reclamation Plans shall include: (a) A description of the type(s) of reclamation the Operator/Applicant proposes to achieve in the reclamation of the affected land, why each was chosen, the amount of acreage accorded to each, and a general discussion of methods of reclamation as related to the mechanics of earthmoving; (b) A comparison of the proposed post-mining land use to other land uses in the vicinity and to adopted state and local land use plans and programs. In those instances where the post-mining land use is for industrial, residential, or commercial purposes and such use is not reasonably assured, a plan for revegetation shall be submitted. Appropriate evidence supporting such reasonable assurance shall be submitted; (c) A description of how the Reclamation Plan will be implemented to meet each applicable requirement of Section 3.1; (d) Where applicable, plans for topsoil segregation, preservation, and replacement; for stabilization, compaction, and grading of spoil; and for revegetation. The revegetation plan shall contain a list of the preferred species of grass, legumes, forbs, shrubs or trees to be planted, the method and rates of seeding and planting, the estimated availability of viable seeds in sufficient quantities of the species proposed to be used, and the proposed time of seeding and planting; (e) A plan or schedule indicating how and when reclamation will be implemented. Such plan or schedule shall not be tied to any specific date but shall be tied to implementation or completion of different stages of the mining operation as described in Subparagraph 6.4.4(1)(e). The plan or schedule shall include: (i) An estimate of the periods of time which will be required for the various stages or phases of reclamation; (ii) A description of the size and location of each area to be reclaimed during each phase; and (iii) An outline of the sequence in which each stage or phase of reclamation will be carried out. (The schedule need not be separate and distinct from the Reclamation Plan, but may be incorporated therein.) (f) A description of each of the following: Exhibit E — Reclamation Plan (i) Final grading - specify maximum anticipated slope gradient or expected ranges thereof; (ii) Seeding - specify types, mixtures, quantities, and expected time(s) of seeding and planting; (iii) Fertilization - if applicable, specify types, mixtures, quantities and time of application; (iv) Revegetation - specify types of trees, shrubs, etc., quantities, size and location; and (v) Topsoiling - specify anticipated minimum depth or range of depths for those areas where topsoil will be replaced. This Amended Reclamation Plan is intended to satisfy the concerns expressed in the 20 January 2010 inspection report of the Colorado Office of Mined Land Reclamation, not otherwise revised by the 2 April 2010 Technical Revision. Extraction at this location is completed. The focus here is on above basin agricultural uses (Areas 1 and 3) necessary to effect final reclamation, and more predominantly explain remaining activities planned over the NE quarter (Area 3) of the quarter section area, where former extraction is being filled to establish a suitable area for continued agricultural activity, which the location will revert to subsequent to release of the permit. The Amendment does not alter any previously approved reclamation, including the use of inert fill or the establishment and use of Developed Water Resources as it pertains to two completed basins located in the southern third and northwestern third of the permit area. The application principally focuses upon the approval of agricultural based uses, including the placement of agricultural stockpiles, equipment and correlated processing of materials for recycling within Area 3 (an approximation of the material and equipment to be placed in Area 3 is included at the back of this exhibit). Further, the previous establishment and continued use and maintenance of Area as the location of an existing scalehouse, and for continued use and enjoyment of all areas to serve the needs and interests of the owner as allowed under the Weld County A-Agriculture Zoning laws and regulations. 1) The boundary determined under Weld County GIS shape file information defines an area of affected land comprising 102.6± acres, and below the original 120.0± acres permitted. The difference is useful in that the metes and bounds description fits within the existing permit area, yet better defines and updates activities outside the present level of disturbance which in the majority is contained within the smaller GIS boundary, and facilitates reclamation cost estimates, as provided under Exhibit L— Reclamation Costs. Still, the 120.0± acre quarter quarter section description comprises the known permit boundary as it is originally constructed. The Weld County GIS is included in part to better reflect changes in the County Right-of-Way along Weld County Road 13, that occurred since the 1992 Amendment. Regardless, all lands within the 120.0± acre permit boundary, but outside of the Weld County right-of-way shown in the Weld County GIS metes and bounds boundary, should be considered affected or able to be affected for purposes of this application and any subsequent revisions or amendments. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan Existing contour information is based upon physical survey for the southern basin; and for the northwest basin; while projected contours for the balance of the affected lands, including areas of fill located within Area 3, are based upon modified USGS Gowanda Quadrangle contour information. The surveyed northwest basin fill line (cyan line on map) contains approximately 16.5± acres. This leaves a Discrepancy of approximately 3.9± acres of additional area to revegetate inside the area originally estimated for the northwest basin; however, the increase in area to be revegetated within the northwest basin is more than offset by the unaffected but previously unaccounted for acres outside of the area of disturbance but within the reported 102.6± acres used as a means of estimating the actual area of disturbance from permit related activities. Therefore, the measurements and estimates of disturbed areas and pending warranty determinations for lands within Areas 1 and 3 on the included Exhibit E: Reclamation Plan Map, and the last Technical Revision Map, remain unaltered for purposes of determining remaining reclamation, calculated acreages, and correlated financial warranty. Consideration for these areas, the principle subject of this revision beyond the updated survey of the northwest basin, is consistent with information provided in the 2010 Technical Revision, as follows: 2) Consistent with information provided in the approved 2010 Technical Revision, previously approved inert fill activity is proceeding over the northeast third of the permit area (areas A & B =11.6± acres). While area A (6.6± acres) fill is nearly complete, approximately 5.0± acres remain to be filled over area B. All fill activity should be completed within the next five (5) years, or approximately July 2016. This includes capping the fill areas with approximately six inches of structural or other suitable clean fill, and completion of the perimeter filter strip of vegetation surrounding Area 3. Since the combined basin areas comprise 41.1± acres, and approximately 0.6± acres comprise permanent routes along the permit boundary and perimeters of basins, the balance of lands will require resoiling and revegetation over a portion of the remaining 57.0± acres, including the area of fill, stockpiling and recycling activities. While resoiling and revegetation will occur within the next year around the southern basin, and within five years since the completion of the northwest basin; resoiling and revegetation activities over Areas 3 and 1, or in general over established roads, will not occur at these locations since they will be traversed with equipment, materials and other activities, and the establishment of vegetation over what will be a heavily trafficked and compacted area is not viable. 3) The southern basin is a completed basin of apx. 24.6± acres and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 28 November 2003, was included under separate cover as part of the approved 2010 Technical Revision. Varra Companies,Inc. Varra Resources Project 110 3 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan 4) The northwest basin is a a completed of apx. 16.5± acres basin and has met the liner construction and test requirements of the State of Colorado Division of Water Resources Office of the State Engineer. The approval letter from the Office of the State Engineer dated 4 January 2011 was included under separate cover as part of the approved 2010 Technical Revision. 5) Reclamation Status and Clarification of Future Activity: a. 2.7± acres surrounding the northwest basin (area 2) will require six inches of soil and vegetation. b. 5.2± acres surrounding the planned farm storage area will be soiled and vegetated as a filter strip. c. 2.6± acres of the current stockpile area on the northeast corner of the completed southeast basin (area 4) will require resoiling and revegetation. The balance of the area surrounding the southeast basin has been soiled and only revegetation is pending. Soil requirement total = 10.5± acres — total soil volume required = 8470.0± cu.yds. Soils available on site are shown as: Soil Stockpile i = 3100± cu.yds. Soil Stockpile ii = 5,000± cu. Yds. Misc. and insitu soils = 500 - 1,000 yards. Total onsite soil is estimated to be 8,600-9,000± cu.yds. — or sufficient to meet the reclamation requirement. Revegetation requirement total = 14.5± acres utilizing the revised mixture as attached. The reclamation planning and design is further clarified to show permanent roads, agricultural scalehouse area (area 1), and farm equipment and agricultural materials stockpile area (area 2). The roadways, scalehouse operations area and farm storage area will be covered by roadbase to a minimum depth of 4 inches. An existing seep will be maintained as shown as area C. The seep channel forms and will retain a near trapezoidal shape with an approximate three foot bottom at varying depths to the extent necessary to maintain positive flows to the point of exit where waters continue to St. Vrain Creek through established drainage ways. The waters and drainage are pre-existing and the new seep segment will essentially assure continued flows through a channel whose volume exceeds incoming culvert sizes and nominal flows. The exiting flows of the seep will be maintained at an elevation of apx. 4794 feet, consistent with correspondence included in the August 1992 Amendment, dated 18 December 1992. Finally, for clarification, the St. Vrain Sanitation District has plant operations to the northeast of the permit location. Area E is a 50± wide area set aside for the existing Varra Companies,Inc. Varra Resources Project 110 4 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit E — Reclamation Plan access and maintenance of this system by St. Vrain Sanitation District. The area will not be soiled or vegetated to accommodate this system and District access and related activities. Consistent with conversations with the Office of Mined Land Reclamation (Office), due to recent concerns pertaining to floodplain and floodways, since a significant acreage of the location will be filled, the applicant agrees to seek a Flood Hazard Development Permit (FHDP) with Weld County as part of the terms of completion of the project for release by the Office, if required under existing zoning laws and regulations of Weld County for the A-Agriculture Zone. This provision is included at the request of the OMLR to better assure that no adverse impact to the floodplain will occur, and in consideration that under the terms of this permit, the Office has the authority to make such a determination, and not the included County. Respectful of that authority, the applicant agrees to make such a commitment as part of the conditions of approval under this Amendment. Additional information and clarification of planned reclamation and attending costs may be found under Exhibit L— Reclamation Costs. If timelines portrayed in this submittal run to term, final reclamation of the permit area should be completed by the end of 2021. Varra Companies,Inc. Varra Resources Project 110 5 OMLR 112 Permit Amendment—M1984-036 2011 FARM EQUIPMENT DESCRIPTION MAKE/MODEL YEAR SHAPE I NOTES DESCRIPTION MAICE/MODEL SERIAL NO YEAR SHAPE NOTES Red Disk 263 White 1970 Weed Mower Bush hog 286 12-12338 - 2000 Good For sale Rototiller RT 1360 MCRT1360X200028 2002 Good For sale Old Rake Back M-56 7276 1950s For sale Hay Stacker New Holland 1048 1393 1970 Fair Landscape scraper box Command 1970 Good Seeder Drill 9300 John Deere 010857 1970 Good Flat Trailer LP!!W-43416 Poor Disk John Deere 316 1970 Good Big Weed cutter/Mower Terrain King TK 8545 1970 Cutter/Mower Bush Hog 2010 12-00-421 2005 New Seeding Drill John Deere 750 N00750X0052I0 2000 Good Hydraulic Tower lights 700 Series 8702F0062 1970 Ball King Shredder Vortex 3100 BK4184 2004 New Post Hole Digger Rhino-SPHD 14398 1990 Good Lawn Mower Trailer LPS 501-FICA 2002 Grass Lawn Mower John Deere LX178 M01178A161042 1995 Grass Lawn Mower John Deere X495 XCH301D116003 2002 Homemade Sprayer 001 Homemade Car Tow 002 Farm Tractor John Deere 6715 L06715D422310 2004 Sycle Bar John Deere 350 559768 1980 Ditcher Everaman 1950 Plow Ferguson 2 Bottom Tumble Bug International 1950 Rake Ferguson 1950 12 R box scraper-Green 1970 Weed burner Silver Jet Old Trailer Red Ford Jacks Gunnison? Tractor/shredder Red Rake Frank Varras 1950 Air Compressor-Diesel Smith/I00DP 10011002 Sand Blast Equipment EQUIPMENT Pipe Steel for Water and Reservoir+/-10,000' Pipe plastic and aluminum w/gates+/- 4000' Pipe trailer 40'x 5 axle John Deere 315 Disc Single axle water trailer+ 300 gallon tank Soil Management System Chisel 2000'of bridge planking for ditch crossing 80'metal ditch crossing x 10'wide panel Inventories of hay and straw up and down Concrete pipe inventory water projects+/-500' FARM EQUIPMENT I DESCRIPTION I MAKE/MODEL I YEAR 4 SHAPE I NOTES Vehicle Manholes water projects+1-l00'x 6' diameter +/-75 Portable Coral Gates Units Sand Stock pile w/cow manure to make amended soil+10,000 cubit yards Exhibit F — Reclamation Plan Map Refer to the Exhibit F: Reclamation Plan Map, for information required under this exhibit. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit G — Water Information 6.4.7 EXHIBIT G -Water Information (1) If the operation is not expected to directly affect surface or groundwater systems, a statement of that expectation shall be submitted. (2) If the operation is expected to directly affect surface or groundwater systems, the Operator/Applicant shall: (a) Locate on the map (in Exhibit C) tributary water courses, wells, springs, stock water ponds, reservoirs, and ditches on the affected land and on adjacent lands where such structures may be affected by the proposed mining operations; (b) Identify all known aquifers; and (c) Submit a brief statement or plan showing how water from de-watering operations or from runoff from disturbed areas, piled material and operating surfaces will be managed to protect against pollution of either surface or groundwater (and, where applicable, control pollution in a manner that is consistent with water quality discharge permits), both during and after the operation. (3) The Operator/Applicant shall provide an estimate of the project water requirements including flow rates and annual volumes for the development, mining and reclamation phases of the project. (4) The Operator/Applicant shall indicate the projected amount from each of the sources of water to supply the project water requirements for the mining operation and reclamation. (5) The Operator/Applicant shall affirmatively state that the Operator/Applicant has acquired (or has applied for) a National Pollutant Discharge Elimination System (NPDES) permit from the Water Quality Control Division at the Colorado Department of Health, if necessary. No additional information since the original 1984 permit, or subsequent revisions, including the August 1992 Amendment, August 1996 Technical Revision, or the 2010 Technical Revision or related subsequent correspondence. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit H — Wildlife Information 6.4.8 EXHIBIT H -Wildlife Information (1) In developing the wildlife information, the Operator/Applicant may wish to contact the local wildlife conservation officer. The Operator/Applicant shall include in this Exhibit, a description of the game and non-game resources on and in the vicinity of the application area, including: (a) a description of the significant wildlife resources on the affected land; (b) seasonal use of the area; (c) the presence and estimated population of threatened or endangered species from either federal or state lists; and (d) a description of the general effect during and after the proposed operation on the existing wildlife of the area, including but not limited to temporary and permanent loss of food and habitat, interference with migratory routes, and the general effect on the wildlife from increased human activity, including noise. (2) The application may be reviewed and commented upon by the State of Colorado Division of Wildlife (DOW). If the DOW has comments, they must be provided prior to the end of the public comment period specified in Subsection 1.7.1(2)(a) to be considered by the Board and Office. No additional information since the original 1984 permit, or subsequent revisions, including the August 1992 Amendment, August 1996 Technical Revision, or the 2010 Technical Revision or related subsequent correspondence. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit I & J — Soils & Vegetation Information 6.4.9 EXHIBIT I - Soils Information (1) In consultation with the Soil Conservation Service or other qualified person, the Operator/Applicant shall indicate on a map (in Exhibit C) or by a statement, the general type, thickness and distribution of soil over the affected land. Such description will address suitability of topsoil (or other material) for establishment and maintenance ofplant growth. The above information shall satisfy "completeness" requirements for purposes of determination of date of filing. (2) If necessary, at its discretion, the Board may require additional information on soils or other growth media to be stockpiled and used in revegetation to be submitted subsequent to the filing and notification of"completeness" of the application. 6.4.10 EXHIBIT J -Vegetation Information (1) The Operator/Applicant shall include in this Exhibit a narrative of the following items: (a) descriptions of present vegetation types, which include quantitative estimates of cover and height for the principal species in each life-form represented (i.e., trees, tall shrubs, low shrubs, grasses, forbs); (b) the relationship of present vegetation types to soil types, or alternatively, the information may be presented on a map; and (c) estimates of average annual production for hay meadows and croplands, and carrying capacity for range lands on or in the vicinity of the affected land, if the choice of reclamation is for range or agriculture. (2) The Operator/Applicant shall show the relation of the types of vegetation to existing topography on a map in Exhibit C. In providing such information, the Operator/Applicant may want to contact the local Soil Conservation District. No additional information since the original 1984 permit, or subsequent revisions, including the August 1992 Amendment, August 1996 Technical Revision, or the 2010 Technical Revision or related subsequent correspondence. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—MI984-036 2011 Exhibit K - Climate 6.4.11 EXHIBIT K— Climate Provide a description of the significant climatological factors for the locality. No additional information since the original 1984 permit, or subsequent revisions, including the August 1992 Amendment, August 1996 Technical Revision, or the 2010 Technical Revision or related subsequent correspondence. Varra Companies, Inc. Varna Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit L — Reclamation Costs 6.4.12 EXHIBIT L - Reclamation Costs (1) All information necessary to calculate the costs of reclamation must be submitted and broken down into the various major phases of reclamation. The information provided by the Operator/Applicant must be sufficient to calculate the cost of reclamation that would be incurred by the state. (2) The Office may request the Operator/Applicant to provide additional, reasonable data to substantiate said Operator/Applicant's estimate of the cost of reclamation for all Affected Lands. Summary Status of Affected and Unaffected land as of this Amendment is detailed under Exhibit D — Extraction Plan and Exhibit E — Reclamation Plan and attending maps. While this Amendment provides for an clarification of Agricultural end uses on the above water portions of the permit area outside the attending basins established and fully lined for Developed Water Resources by previous permit provisions, revisions, or amendments, the activities accounted for the majority of the remaining activities under this Amendment, including fill and revegetation considerations, were fully determined relative to Reclamation Cost by OMLR's Christina Kamnikar, in her correspondence of 15 April 1997; provided as an addendum to this exhibit, and reflecting the current financial warranty of $87,000.00. With the exception of time, and possible changes in the acreage of each typed or kind of disturbance or reclamation at play, the methods and units of determination should remain relatively close. We have iterated the items determined in Kamnikar's 1997 determination and adjusted them either by acreage or completion to establish current day costs, as follows: Of the 120.00* acre permit area, the affected areas requiring reclamation and attending warranty are as follows: Direct Costs: 1997 2011 1. Earthwork: Cut and Fill highwalls around the lake $ 1,147.00 $ 0,000.00 Dewatering $ 8,337.00 $ 0,000.00 Spread Soil over 75 acres @ $30,375.00 or $ 405.00/acre (1997). The current soil demand summarized under Exhibit E — Reclamation Plan, is 10.5± acres @ $405.00/acre = $ 4,252.50; or, $30,375.00 $ 4,252.50 Continued...next page... Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit L — Reclamation Costs 2 Revegetation: 1997 2011 Kamnikar estimated 75 acres @ $26,883.00 or $358.44/acre (1997). The current acreage requiring revegetation, as summarized under Exhibit E — Reclamation Plan, is 14.5± acres @ $358.44/acre = $ 5,197.38; or, $26,883.00 $ 5,197.00 3 Fill and Grading: As stated under Exhibit D — Extraction Plan: part of the excavation activity, nearly 5.0± acres remain open with exposed surface waters and needing fill (refer to Exhibit D — Extraction Plan and Exhibit E — Reclamation Plan). Since there are adequate water resources to account for the exposed surface waters over the 5.0± acres pending fill, if fill activity stopped, at this point or when the acreage is less, since this is an area designated for post permit agricultural stockpiles and equipment storage, no additional expenses for resoiling or revegetation for this area are necessary. The activity extends the extraction/excavation out an additional five years, with finished revegetation of the surrounding vegetation strip an additional five years, with an estimated end date of 2021. Area 1 fill is complete and Area 3 fill is predominantly needed within a portion of 3 (A) and (B). Estimating nearly half of Area 3 (A) is filled with little to no exposed groundwater; nearly 3.3± acres will require an additional top of 1.5 feet of fill/and 0.5 feet of additional fill in lieu of soil (consistent with those conditions specified in the 1996 Technical Revision) for this portion of the agricultural stockpile and storage location, or approximately 2.0± feet of total fill. Area 3 (B) will require the same over 5.0± acres, for a total of 8.3± acres. 1 cu.ft. fill per acre = 43,560 cu.ft. per acre _ 27 cu.ft./yd. = 1,633± cu.yds/acre x 2 ft. total depth = 3,226.7± cu.yds. fill required per acre x 8.3± acres =26,781.61 LCY total required fill. Utilizing Kamnikar's cut/fill unit cost estimate of $0.204/LCY x 26,781.61 LCY required fill = $ 5,463.45; or, $1,147.00 $ 5,463.45 Grading will more or less keep up with fill and sighted along existing lines to establish grades near those extimated under modified USGS contours shown on the included maps. Grading will not exceed historic elevations determined by the best available information at the time of original ground disturbance, which is USGS quadrangle topographic information. Since overall, the permitted activities have created more detention than diversion, no impacts to the floodplain are anticipated, and should provide a net benefit to any attending peak flows. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit L — Reclamation Costs Regardless, should the intended end use of agricultural stockpiles, equipment and recycling activities be required under the A-Agricultural Use of Weld County to secure other permits, the operator will work with Weld County to secure all required permits for these purposes, or otherwise limit those uses as allowed by right under the A-Agricultural Zone. Nothing in this Amendment is intended to modify the intended and rightful use of Developed Water Resources already established under this permit by prior permit approval, or approved amendment or revision of the same. Therefore: Total Direct Costs estimated for resoiling, revegetation and fill of the current ground = $20,110.33. The Total Direct Costs in this estimate does not account for minor inflation or Indirect or Administrative Costs to be determined by the OMLR under present day determinations. Varra Companies, Inc. Varra Resources Project 110 3 OMLR 112 Permit Amendment—M1984-036 2011 • • II? IIIIIIIIIIIIIIII STATE OF C LORADO DIVISION OF MINERALS AND GEOLOGY 1 313 Sherman enl of Na l Resources it I 113 Sherman St..Room 215 Denver,Colorado 80203 Phone:13031866-3567 FAX:13031 832-81 06 DEPARTMENT C NATURA] April 15, 1997 RESOURCE Roy Rom& Governor Christopher L. Varra lames 5.kochhead • Varra Companies Inc. Executive Director 2130 S. 96th Street s on DnK Long Broomfield, CO 80020 RE: Dakolios Pit No. 1, Financial Warranty Reduction Approval, Perm No. M-84-036, Revision No. SR-1 Dear Mr. Varra: On April 14, 1997 the Division of Minerals and Geology approved your requ t for a Financial Warranty Reduction to $87,200.00. This is a reduction of$65,052.00. Please provide a rider to the current Financial Warranty, or submit a new Fi ncial Warranty reflecting this reduction. If you wish to submit a different type of Financial arranty, please contact me so I may send you the applicable form. If you have any questions, please contact me. Sincerely, p l`L'w.n' " o .° n Christina L. Kamnikar Environmental Protection Specialist Enclosures cc: Barbara D. Chiappone, DMG ' CERTIFIED MAIL P 076 556 477 RETURN RECEIPT REQUESTED M1oss\krMiemp\MFW 13036 elk eZ SENDER: y Complete ben 1 and/or 2 for.ddidanel as*,.. I also wish to receive the • stor mMeen a.49.end 4b. following services(for an ePdM sux nameM a address on the reverse of this lam so that we can aWm dYe extra feet: 8 r wd ho f *Attach earl vs roan to front d e fn tro mailplx v m the e back II open donna 1. 0 Addressee's Address e sWrit 'Refueipt Requested- the meridiem,belwerowddemntec 2.❑ Restricted Delivery a m Receipt £ eThe Return Receipt will slaw to atom the wade was Severed end the date 5 minis. .. Consult postmaster for fee. I . a Mide Addressed to: 4a Number 0 CAntaioraeel_1�Vy}oie- i-- I---)0—(67 650 1 7 V C.o ca `n"" '` ( 4b.Servlce Type Q.'��� �+""' 0 Registered 4(Certifi a a\30 5- lD S 0 Express Mall O Insured N —1 / .' C�� 4kRetun Receipt fa Merchandisese o COD C-� 7.DatesllveiyrttLMd1 Received By:(Print Name) B.Addressees Address(Only B requested e and tee is paid) Is B.Signatu (Addressee or Act • PS Form 11,December 1994 Domestic Return Re - as P 07+ 556 477 os Fug al gal Service spec. L co Receipt for i , of ! O No Manna) !� : 0 yep V Do not use , late ' Mal reverse he '- > areal -. S. (o ' CJ . a Par•lien. `?dam ' D3d-a 16 N Peden $ c.m.d Fee — .. Spode DenwyFee a Rn-hhsed Newsy Fee �I M r. § Raw Flecelot a) E Whom h. z • .I .�--- g arl.&Adaeos _ fi Yglo Tal ee) S 70TAL Pomp e Pmenaa or Da N 0 a III 41) 111111111N III STATE OF C, LORADO DIVISION or MINERALS AND GEOLOGY °cowmen(of Natural Resources p„alai en SShermanRoom 215 Denve r,Colorado 110203 R F(:F`V F C Phone:(303)1166-3567 FAX:003)832-8106 MAR 1 7 19P DEPARTMENT NATURI March 4, 1997 RESOURC uiw5'uu in•:c'.•S w:!'8r' Mr. Chris Varra o Governor Varra Companies, Inc. lams S.Lochhead 2130 S. 96th St. Ineculive Dlre(m Broomfield, CO 80020 Michael R.Lore, Divh(on DeceiW RE: Decrease in Required Financial Warranty for Dakolios it, Permit $M-84-036 Dear Mr. Varra, This letter is being written to inform you that the DiviSi n of Minerals and Geology (DMG) has recalculated the financial war my for the Dakolios Pit, Permit #M-84-036, following the inspection of the site done on September 12 and November 25, 1996, and the recce t approval of your water supply augmentation plan by the Office of the S ate Engineer. After several discussions with your consultant, Brad Janes, the Division is prepared to reduce the required bond to $87,000.00, a reduction of $65,252 .00 from your currently posted financial warranty of $152, 252 .00 . The surety reduction will be possible after the submittal of a written commitment from you attaching all correspondence from your onsultant to DMG (January 3 - 10, 1997) as a binding part of your permit, with regard to the excavation and reclamation of the new pit. Thi includes a committment to concurrent reclamation of the slopes of th'e ew pit to be excavated from the south boundary northward, with final sbo es at 3H:1V. After this is submitted, your company can request a surety reduction in the amount specified above. The attached task estimate escribes the estimated cost to the Division for full reclamation of the site at this time . If you have any questions, please contact me at (303) 666- 567. Sincerely, C / Christina L. Kamnikar Environmental Protection Specialist cc: Carl B. Mount, DMG Bradford Janes, Professional Forester 1 • • sheet i of • Colorado Division of Minerals and Geology 1 RECLAMATION COST SUMARY FORM PERMIT NUMBER : M-04-036 PREP. BY: CLK FILENAME: M036-0 DATE : 04-Dec-96 OPERATION: Dakolios Pit PERMIT ACTION : Recalculation of Bond GRAND TOTAL BOND AMOUNT : 686,968 T. DIRECT COSTS A. EARTHWORK - BACKFILLING 6 ROUGH GRADING Task No. Task Description Cost I$) 7 CUE and Fill highwalls around the lake $1.107 10 Dewatering $0,137 Subtotal IA): 59.285 0. EARTHWORK - RIONNALL REDUCTION Task No.I Task Description ) Cost 1$) I I I I Subtotal ID)I C. EARTHWORK - WASTE PILE COVER PLACEMENT Task No.I Task Description Coat IS) Subtotal ICI: • • RECLAMATION COST SUMMARY cont'd sheet 2 of 4 O. EARTHWORK - FILL COMPACTION Task NO. Task Description 1 Cost IS) Subtotal ID)) E. EARTHWORK - RIPPING Task No.( Task Description Cost ($) 3 1 Rip Process Area $7,065 Subtotal IR)) 57,065 F. EARTHWORK - ROAD RECLAMATION Task No. Task Description Cost IS) Subtotal (F) C. EARTHWORK - FINISH GRADING Task No. Task Description 1 Cost I$1 Subtotal ICI: REEL.COST SUMMARY cont•d . sheet J of � H. EARTHWORK - STREAM CHANNEL RECONSTRUCTION Task No.) Task Description Cost (5) Subtotal (Iq: I. EARTNORK - DRAINAGE CONTROL SYSTEM INSTALLATION/REMOVAL Task No. Task Description Cost 151 Subtotal (11: O. EARTNORK - TOPSOIL/M(0501L REPLACEMCNT Task No. Task Description Cost (5) 22 Spread topsoil over IS acres 530,575 Subtotal (J), 5)0,)05 • RECLA ATIOR COST S014AARY tont'a • sheet 4 of 9 K. PORTAL/SHAFT SEALING Task No. Task Description Cost (5) I Subtotal (K): L. DRILL IIOI.E/MONITORTNG NELL SEALING Task No. Task Description Coat (51 Subtotal IL): M. MISCELLANEOUS RECLAMATION TASKS Task No. Task Description I Cost (S) G Hopper Ram I $1,646 Demolition 4 Seeding I $21.219 Fencing S Mob/Demob I $1,995 Subtotal (M1: $26,081 TOTAL DIRECT RECLAMATION COSTS (subtotals A through $73,608 II. INDIRECT COSTS A. CONIAACIOR'S OVERHEAD G PROFIT Item No.l Item Description I Cost ($1 1. I Public Liability Insurance 1.550% of dir. I $1,141 2. I Contractor's Performance Bond 0.9751 of dir. I $718 3. I Contractor's Profit 10.001 of dir. I $7,761 4. I Job Superintendent.. I Subtotal IA): $9,219 TOTAL CONSTRUCTION CONTRACT AMOUNT (direct plus 0 6 P): $52.127 B. (MG PROJECT ADMINISTRATION EXPENSES Item Nod Item Description I Cost ($1 1. I Minerals Program Adm 'i.OO% of cntr.I $4.141 NET INDIRECT COST PERCENTAGE: 16.15! Subtotal ID): $4,141 TOTAL INDIRECT RECLAMATION COSTS (subtotals A through R): $13.141 TOTAL PERFORMANCE BOND AMOUNT (direct plus indirect costs): $86.960 1 •• Colorado Division of Minerals and Gaol ESTIMATING FORM - BULLDOZER WORK Task N: 7 Prep. by: CLN Task File Name: M036-7 Date: 01/29/97 Permit NIH-a9-036 Mine: Dakolloe Pit Permit Action: Recalculation of bond Task Description: Cut and fill sides of pit HOURLY EQUIPMENT COST Basic Machine: Cat DON Horsepower: 206 Blade Type: SEMI-UNIVERSAL Attachment Ni: ROPS Cab Shift Basis: /day Attachment N2: 11/A Cost Dreakdown: Utilization I Ownership cost/hr . $90.05 N/A Operating 6 overhaul cost/hr- dozer . $51.67 100 -ripper . $0,00 N/A Operator cost/hr e $22.95 N/A Total eqpt. unit Coat/hr • $119.67 Total fleet cost/hr: $229.31 MATERIAL QUANTITIES • Initial Swell Loose Volume: 5,000.0 CC? Factor: 1.125 Volume: 5,625.0 Y Source of quantity take-off: Site/permit Letter 1/17/97 Source of est. swell factor, Cat handbook HOURLY PRODUCTION Job Condition Correction Factors Avg. push distance: 100 fr. Operator 0.75 la 9.1 Unadjusted hourly Mat. consistency : 0.90 ( t cbll dozer production: 001 ICY/hr Dozing method • 1.00 ig n.I Visibility 1.00 la .1 Material consistency: Job efficiency : 0.03 11 h/day) Compacted fill or embankment Spoil pile factor + 0.90 (a d-fc) Push gradient 1.39 IC t [1711 Avg. push gradient: 10.00 I (negl Altitude deration. : 1.00 ( t tbl) material weight-.. : 1.00 (C t th11 Avg. site altitude: 5000 fr. Blade type 1.00 (5,5U,U1 Material weight . 2300.00 lb/LCY Net Job Correction : 0.70 Mat. Deeper.: GENERAL FILL Adjusted Unit Prod.: 542.1] IC hr Adjusted Fleet Production: 1124.21 LCY hr Jon COST Fleet size : 2 Dozerlsl Total Joh Time: S.00 Hon s Unit Cost $0.201 /WY Total Job Cost: $1.197..40 • Colorado Division of Minerals and Geology sheet 1 of 2 ESTIMATING FORM - REVEGETATION WORK Task Number : 4 Prepared By : CLK Filename : M036 4 Date 04-Dec-96 Permit Number : M-94-016 Operation : Dako ices Pit Permit Action : Recalculation of Bond Task Description : Reseed 73.8 acres A. SEED MIA RATE-PLS NATIVE./ N/C SEEDS/ COST SPECIES NAME - COMMERCIAL VARIETY SCIENTIFIC NNW LDS/ACRE INTRODUCED SE N SO.FT. PLS/ACRE GRASSES: Big bluestem - Champ Andropogon gerardl 1.40 Native Harm 4.2 $10.85 Blue grams - fleabite Oouteloua gracilie 0.30 Native warm 4.9 $1.80 Sideoate grams - Butte Bouteloua curtipendule 1.10 Native Warm 3.6 $8.01 Switchgraas - Alamo Panicum virgatum 1.00 Native Want, 9.9 $1.50 Western wheatgrass - Arriba Agropyron smithii 4.80 Native Cool 13.9 $15.41 Alkali eacaton - Native Sporobolus airoides 0.10 Native Warm 4.0 $0.11 Needle and thread - VNS Stipa cpmata 2.00 Native Cool 5,3 $14.20 Sterile Hybrid Nheatgrass wheats 7.00 1 r 0.0 $11.20 FORDS: Hairy vetch - VNS Viola villoea 5.10 Introduced NA 2.3 $6.00 SIIRUDS t TREES (seed): TOTAL SEEDS/SQUARE FT. . 94.29 TOTAL POUNDS PLS/ACRE - 45.6 TOTAL SEED MI COST/ACRE. - 5142.67 NOTE: Seed mix totals are doubled automatically if any seeding method other than drill sending a used. • • ' ESTIMATING FORM - REVEGRTATION WORK coned Filename : M0J6-4 sheet 2 of 2 D. SUTLUD f TREE TRANSPLAUTS MATERIAL: PLANTING: I $/PERT. TOTAL TOTAL SPECIES HMS QUAN./ACRE STOCK TYPE L SIZE S/PLANT S/PLANT I PEL.ET $/PLANT 5/ACRE No transplants required I $0.00 Total transpl nt cost/acre, $0.00 C. SEEDDED PREPARATION Tilling method N1: Disk harrowing $25.00 42: D. SEED APPLICATION To al cost/acre: $25.00 Seeding method: Seeder w/ATP To al cost/acre: $20.00 E. FERTILIZING FERTILIZER / SOIL AMENDMENT I UNITS/ACRE I UNT I $/UHIT I S/ACRE I I I I Materials used N1: 10-14-0, 16-46-D, 5-10-S • I 200.00 I pound I $0.20 I $40.00 42; I I I I al, I I I I 1 I I I Total materia s cost/acre: $40.00 Application method NI: tractor drawn broadcast spreader •• $20.91 12: Total applicati n cost/acre: $20.91 P. MULCHING MULCH / NETTING / OTHER MATERIALS UNITS/ACRE I UNIT I S/UNIT I S/ACRE. I I I Materials used Ni; I I I 42: I I I X17 I I I X4: I I I I I 1 Total material cost/acre: Application method N1: 42: 47: Total applraltio: cnst/.crr: C. JOR CYST Total area to be seeded: 75.00 acres. Total $/acre $248.50 Treol ini:.i ii Jo) Post- $10.543.I4 Estimated failure rate: 25.001 of area. Total $/acre• : $246.56 Total Nesoeliny Costs • $4,660.79 - ',emceeing cost item•: A C D R P GRAND IOTA. JOn COST • $21,103.9] I a'1,1 et, rt• Exhibit M — Other Permits and Licenses 6.4.13 EXHIBIT M - Other Permits and Licenses A statement identifying which of the following permits, licenses and approvals the Operator/Applicant holds or will be seeking in order to conduct the proposed mining and reclamation operations: effluent discharge permits, air quality emissions permits, radioactive source material licenses, the State Historic Preservation Office clearance, disposal of dredge and fill material (404) permits, permit to construct a dam, well permits, explosives permits, highway access permits, U.S. Forest Service permits, Bureau of Land Management permits, county zoning and land use permits, and city zoning and land use permits. • Note: Any required permits for existing or other planned or potential activities beyond that already provided for under the existing permit and any prior Amendments or Technical Revisions, or as included under this Amendment application, will be acquired prior to on-set of such plants, facilities or operations. All future permits will be submitted to the Division to update this list as necessary. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit N — Source of Legal Right to Enter 6.4.14 EXHIBIT N - Source of Legal Right to Enter The source of the Operator's/Applicant's legal right to enter and initiate a mining operation on the affected land. (Same requirements as Rule 6.3.7). As landowner(s) to all lands to be permitted for extraction under a Colorado Division of Reclamation Mining and Safety (DRMS), Office of Mined Land Reclamation (OMLR) permit, our signatures below testify that Varra Companies, Inc. has the legal right to enter a mine with respect to all lands under this permit. Signed: G Christopher L. Varra, President Varra Companies, Inc. Signed and dated this /O> day of Febrt)o-ry , 0®// . State of ( ,c)/ora-C/0 ) / )ss County of l4e./ ) The foregoing instrument was acknowledged before me this /O t' day of Lru y , &O/1 by C9)u C1 T i 5)Diph/Jr 2.. Vowra as f re,s;d�T/ of V ra anpet-vii Or149#3e6-10 Notary Public My Commission expires: IO,/3/Ja Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit 0 — Owner(s) of Record of Affected Land (Surface Area) and Owner(s) of Substance to be Mined 6.4.15 EXHIBIT 0 - Owner(s) of Record of Affected Land (Surface Area) and Owners of Substance to be Mined The complete list of all owners can be submitted as a list or on a map in Exhibit C. Varra Companies, Inc. 8120 Gage Street Frederick, CO 80516 Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit P — Municipalities Within Two Miles 6.4.16 EXHIBIT P - Municipalities Within Two Miles A list of any municipality(s) within two miles of the proposed mining operation and address of the general office of each municipality. Town of Gowanda Gowanda, Colorado No Other Known Address or Contact Information for Gowanda, Colorado Town of Firestone 151 Grant Avenue P.O. Box 100 Firestone, Colorado 80520 Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit Q — Proof of Amending Materials in previous Notice to the Board of Supervisors — West Greeley Soil Conservation District Longmont Conservation District Board of Supervisors AT'I'N: Nancy McIntyre, District Manager 9595 Nelson Road Box D Longmont, Colorado 80501 Subject: Colorado Division of Reclamation Mining and Safety (DBMS), Office of Mined Land Reclamation (OMLR), Permit application for Varra Companies, Inc. — Permit M-1984-036— Varra Resources Project 110 (formerly, Dakolios Pit). NOTICE TO THE BOARD OF SUPERVISORS LONGMONT CONSERVATION DISTRICT Varra Companies, Inc. (the 'Applicant/Operator') has applied for a Regular (112) reclamation permit Amendment from the Colorado Mined Land Reclamation Board (the `Board') to conduct the extraction of construction materials operations in Weld County. The attached information is being provided to notify you of the location and nature of the proposed operation. The entire application is on file with the Division of Reclamation, Mining, and Safety (the `Division') and the Weld County Clerk to the Board. The applicant/operator proposes to reclaim the affected land to Agricultural and Developed Water Resources use. Pursuant to Section 34-32.5-I16(4)(m), C.R.S., the Board may confer with the local Conservation Districts before approving of the post-mining land use. Accordingly, the Board would appreciate your comments on the proposed operation. Please note that, in order to preserve your right to a hearing before the Board on this application, you must submit written comments on the application within twenty (20) clays of the date of last publication of notice pursuant to Section 34-32.5-112(10), C.R.S. If you would like to discuss the proposed post-mining land use, or any other issue regarding this application, please contact the Division of Reclamation, Mining, and Safety, 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567. Your signature below acknowledges receipt of the above referenced permit application form. Date Received: ��17%l Received By: ‘..7457 .711 c.-4c/c.e.„) Longmont Conservat on District Varra Companies, Inc. Varra Resources Project 110 OMLR 112 Permit Amendment — M 1984-036 2011 1;xhibit. Q Proof of Amending Materials in previous Notice to the Board of County Commissioners Office of the Board of Weld County Commissioners c/o Weld County (Jerk to the Board I !! ! ' ;�•.7 915 1011 Street, 1 d Floor Greeley, Colorado 80632 Subject: Colorado Division of Reclamation Mining and Safely (DRMS) Office of Mined I,and Reclamation (OMI.R Permit application Ibr Varra Companies, Inc. Permit M- 1984-036 Varra Resources Project 110 (formerly, Dakolios Pit). NO'I'I('i' TO TIM BOARD of WhI,1) ('.OLINTY COMMISSIONERS Varna Companies, Inc. (the 'Applicant/Operator') has applied Ibr a Regular (112) reclamation permit Amendment from the Colorado Mined Land Reclamation Board (the `Board') to conduct the extraction of construction materials operations in Weld County. The attached information is being provided to notify you of the location and nature of the proposed operation. The entire application is on file with the Division of Reclamation, Mining, and Safety (the 'Division') and the Weld County Clerk to the Board. The applicant/operator proposes to reclaim the affected land to Agricultural and Developed Water Resources use. Pursuant to Section 34-32.5-I I6(4)(m), C.R.S., the Board may confer with the local Conservation Districts beibre approving of the post-mining land use. Accordingly, the Board would appreciate your comments on the proposed operation. Please note that, in order to preserve your right to a hearing bclbre die Board on this application, you must submit written comments on the application within twenty (20) days of the date of last publication of notice pursuant to Section 34-32.5-I 12( 10), C.R.S. If you would like to discuss the proposed post-mining land use, or any other issue regarding this application, please contact the Division of Reclamation, Mining, and Safety, 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567. Your signature below acknowledges receipt of the above referenced permit application Iorm. Date Received: ,2//1/ , ZG / I Received By: SGT%' Weld County Clerk to the Board of eld County Commissioners Varra Companies, Inc Varra Resources Project 110 OMI,R 112 Permit Amendment M 1984-036 2011 Exhibit R — Proof of Filing with County Clerk and Recorder 6.4.18 EXHIBIT R - Proof of Filing with County Clerk and Recorder An affidavit or receipt indicating the date on which the application was placed with the local County Clerk and Recorder for public review, pursuant to Subparagraph 1.6.2(1)(c). Proof of filing with the County Clerk, pursuant to Subparagraph 1.6.2(1)(c): Weld County Clerk to the Board 915 10th Street, 3rd Floor Greeley, Colorado 80632 Subject: Colorado Division of Reclamation Mining and Safety (DRMS), Office of Mined Land Reclamation (OMLR) Permit application Amendment for Varra Companies, Inc. — Permit M-1984-036 — Varra Resources Project 110 (formerly, Dakolios Pit). Your signature below acknowledges receipt of the above referenced permit application. The application will be placed for public inspection and review. The information will be made available to the public until final agency action by the OMLR Board, as defined by C.R.S. 24-4-105(14). Date Received: a 1 `3 Received By: LCY' ik- .,. Office of Weld Countyberk to the Board n , G'H rr Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment-M1984-036 2011 Exhibit S — Geotechnical Stability 6.4.19 EXHIBIT S - Permanent Man-made Structures Where the mining operation will adversely affect the stability of any significant, valuable and permanent man-made structure located within two hundred (200)feet of the affected land, the applicant may either: (a) provide a notarized agreement between the applicant and the person(s) having an interest in the structure, that the applicant is to provide compensation for any damage to the structure; or (b) where such an agreement cannot be reached, the applicant shall provide an appropriate engineering evaluation that demonstrates that such structure shall not be damaged by activities occurring at the mining operation; or. (c) where such structure is a utility, the Applicant may supply a notarized letter, on utility letterhead, from the owner(s) of the utility that the mining and reclamation activities, as proposed, will have "no negative effect" on their utility. 6.5 GEOTECHNICAL STABILITY EXHIBIT 1) On a site-specific basis, an Applicant shall be required to provide a geotechnical evaluation of all geologic hazards that have the potential to affect any proposed impoundment, slope, embankment, highwall, or waste pile within the affected area. The Applicant may also be required to provide a geotechnical evaluation of all geologic hazards, within or in the vicinity of the affected lands, that may be de-stabilized or exacerbated by mining or reclamation activities. (2) On a site-specific basis, an Applicant shall be required to provide engineering stability analyses for proposed final reclaimed slopes, highwalls, waste piles and embankments. An Applicant may also be required to provide engineering stability analyses for certain slopes configuration as they will occur during operations, including, but not limited to embankments. Information for slope stability analyses may include, but would not be limited to, slope angles and configurations, compaction and density, physical characteristics of earthen materials, pore pressure information, slope height, post-placement use of site, and information on structures or facilities that could be adversely affected by slope failure. (3) Where there is the potential for off-site impacts due to failure of any geologic structure or constructed earthen facility, which may be caused by mining or reclamation activities, the Applicant shall demonstrate through appropriate geotechnical and stability analyses that off-site areas will be protected with appropriate factors of safety incorporated into the analysis. The minimum acceptable safety factors will be subject to approval by the Office, on a case by- case basis, depending upon the degree of certainty of soil or rock strength determinations utilized in the stability analysis, depending upon the consequences associated with a potential failure, and depending upon the potential for seismic activity at each site. Varra Companies, Inc. Varra Resources Project 110 1 OMLR 112 Permit Amendment—M1984-036 2011 Exhibit S — Geotechnical Stability (4) At sites where blasting is part of the proposed mining or reclamation plan, the Applicant shall demonstrate through appropriate blasting, vibration, geotechnical, and structural engineering analyses, that off-site areas will not be adversely affected by blasting. The remaining previously approved fill activities should not significantly impact adjacent structures. The Amended reclamation uses to include agricultural stockpiles and equipment, commonly allowed and provided for under existing A-Agricultural Uses in Weld County, Colorado, which subsequent to release, the permitted parcel will revert to, should not significantly impact adjacent structures. All owners of structures, easements and right-of-way located within 200 feet of the planned activities have been properly notified as required. Proofs of notification and any subsequent agreements, will be provided prior to, and as part of, the approval of this Amendment application. Varra Companies, Inc. Varra Resources Project 110 2 OMLR 112 Permit Amendment—M 1984-036 2011 LARGE MAPS AVAILABLE FOR VIEWING AT THE CLERK TO THE BOARD 'S OFFICE , IN THE PUBLIC REVIEW FILE . Varra Companies, Inc. Office of Special Projects 8120 Gage Street Frederick,Colorado 80516 Telephone(970)353-8310 Fax(970)353-4047 Monday 7 March 2011 Weld County Clerk to the Board 915 lot" Street,3rd Floor Greeley,Colorado 80632 Subject: Varra Companies, Inc. -Amendment to M-1984-036 - Varra Resources Project 110 (a.k.a., Dakolios Pit). Materials submitted to the Colorado Division of Reclamation Mining and Safety (CRMS) - Office of Mined Land Reclamation (OMLR): • Correspondence of 7 March 2011 from Varra Companies, Inc. to the Colorado Office of Mined Land Reclamation,with attachments. Attachments: 1 Corrected pages 1 & 2 — Application Form. Your signature below acknowledges receipt of the above referenced material,as attached. The material should be added to the above referenced Application, as originally submitted to the Weld County Clerk to the Board, and made accessible for public review. Received On a `CL/ , 2011 By: ycza_O_,`'4 sue ( Office of the Weld County Clerk to t] Board of County Commissioners c-; < 1 Varra Companies, Inc. Office of Special Projects 8120 Gage Street Frederick,Colorado 80516 Telephone(970)353-8310 Fax (970)353-4047 Monday 7 March 2011 Peter Ilays, EPS Colorado Division of Reclamation Mining and Safety Office of Mined Land Reclamation (OMLR) 1313 Sherman Street, #215 Denver, Colorado 80203 Subject: Amendment to M-1984-036 — Varra Resources Project 110 (a.k.a., Dakolios Pit). Dear Peter: Enclosed, find with this cover letter, two copies of the corrected application form (pages 1 &2), consistent with your correspondence of 1 March 2011: 1&2 Applicant Operator and Type of Organization under Part 1 — has been corrected. 3 The Site Name has been changed to 'Varra Resources Project 110.' 4. Page 2 — Item #9 — Legal Description, has been corrected to correspond to the correct quarter section — which is the southwest quarter of Section 31. 5. Placement for these corrections was made at the Weld County Clerk to the Board. Proof of placement is also enclosed. This should bring the submittal into 'Completeness.' Regrets for the oversights, Peter. Please feel free to contact me directly should you need clarification or additional information. Sincerely, Cory — Varra Companies, Inc. Bradford Janes Professional Forester bljforester@msn.com desk: 970-353-8310 cc. Garrett C. Varra, V.P. Operations Varra Companies, Inc. 1 STATE OF COLORADO DIVISION OF RECLAMATION,MINING AND SAFETY Department d Natural Resources 1313 Sherman St.,Room 215 Denver,Colorado 80203 COLORADO Phone:(303)866-3567 CONSTRUCTION MATERIALS DIVISION OF RECLAMATION FAX:(303)832-8106 REGULAR(112)OPERATION MINING RECLAMATION PERMIT APPLICATION FORM SAFETY Bill Ritter,Ir. CHECK ONE: Ill There is a File Number Already Assigned to this Operation Governor Harris D.Sherman Pe • m I�t[I M -19 _ 84 036 (Please reference the file number currently assigned to this operatioalecutive Director 1—J New Application(Rule 1.4.5) Amendment Application(Rule 1.10) Ronald W.Cattany Division Director Conversion Application(Rule 1.11) Natural Resource Trustee Permit# M -19 -84 -036 (provide for Amendments and Conversions of existing permits) The application for a Construction Materials Regular 112 Operation Reclamation Permit contains three major parts: (1)the application form;(2)Exhibits A-S,Addendum 1,any sections of Exhibit 6.5(Geotechnical Stability Exhibit;and(3)the application fee. When you submit your application, be sure to include one (1) complete signed and notarized ORIGINAL and one (1) copy of the completed application form,two(2)copies of Exhibits A-S,Addendum 1,appropriate sections of 6.5(Geotechnical Stability Exhibit,and a check for the application fee described under Section(4)below. Exhibits should NOT be bound or in a 3-ring binder;maps should be folded to 8 1/2"X 11"or 8 1/2"X 14"size. To expedite processing,please provide the information in the format and order described in this form. GENERAL OPERATION INFORMATION Type or print clearly,in the space provided,ALL information requested below. 1. Applicant/operator or company name(name to be used on permit): Varna Companies, Inc. 1.1 Type of organization(corporation,partnership,etc.): a Colorado corporation 2. Operation name(pit,mine or site name?: Varra Resources Project 110 3. Permitted acreage(new or existing site): 120.0 permitted acres 3.1 Change in acreage(+) acres 3.2 Total acreage in Permit area acres 4. Fees: 4.1 New Application $2,696.00 application fee 4.2 New Quarry Application $3,342.00 quarry application 4.4 Amendment Fee $2 229.00 amendment fee 4.5 Conversion to 112 operation(set by statute) $2,696.00 conversion fee 5. Primary commoditie(s)to be mined: Completed 5.1 Incidental commoditie(s)to be mined: I. - Ibs/Tons/vr 2. / lbs/Tons/yr 3. / lbs/Tons/yr 4. / lbs/Tons/yr 5. / lbs/Tons/yr 5.2 Anticipated end use of primary commoditie(s)to be mined: N/A 5.3 Anticipated end use of incidental commoditie(s)to be mined:N/A Office of Office of Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines -2 - 6. Name of owner of subsurface rights of affected land: Varra Companies, Inc. If 2 or more owners, "refer to Exhibit O". 7. Name of owner of surface of affected land: Varra Companies, Inc. 8. Type of mining operation: 1 7 J Surface Underground 9. Location Information: The center of the area where the majority of mining will occur: COUNTY: Weld PRINCIPAL MERIDIAN(check one): al 6th (Colorado) 11 10th(New Mexico) LI Ute SECTION (write number): S 31 TOWNSHIP(write number and check direction): T 3 Q North El South RANGE(write number and check direction): R 67 ID East jj West QUARTER SECTION(check one): EI1H OF, ❑ SW QUARTER/QUARTER SECTION(check one): NE NW SE SW GENERAL DESCRIPTION: (the number of miles and direction from the nearest town and the approximate elevation): Immediately north of the Town of Firestone,and southeast of the intersection of Weld County Road 13 and St.Vrain Creek;elevation 4820+/-ft. 10. Primary Mine Entrance Location(report in either Latitude/Longitude OR UTM): Latitude/Longitude: Example: (N) 39° 44' 12.98" (W) 104° 59' 3.87" Latitude(N): deg min sec . (2 decimal places) Longitude(W): deg min sec . (2 decimal places) OR Example: (N) 39.73691° (W) -104.98449° Latitude(N) (5 decimal places) Longitude(W) (5 decimal places) OR Universal Tranverse Mercator(UTM) Example: 201336.3 E NAD27 Zone 13 4398351.2 N UTM Datum(specify NAD27,NAD83 or WGS 84) Nad 83 Zone 13 Easting 3156076.26 ft. Northing 1308716.13 ft. Varra Companies, Inc. Office of Special Projects 8120 Gage Street Frederick,Colorado 80516 Telephone(970)353-8310 Fax(970)353-4047 Wednesday 16 March 2011 l R 2 Weld County Clerk to the Board 915 10th Street, 3'd Floor Greeley, Colorado 80632 Subject: Varra Companies, Inc. - Amendment to M-1984-036 - Varra Resources Project 110 (a.k.a., Dakolios Pit). Materials submitted to the Colorado Division of Reclamation Mining and Safety (CRMS) — Office of Mined Land Reclamation (OMLR): • Correspondence of 16 March 2011 from Varra Companies, Inc. to the Colorado Office of Mined Land Reclamation, with attachments. Attachments: 1 Corrected page 2 - Application Form. Your signature below acknowledges receipt of the above referenced material, as attached. The material should be added to the above referenced Application, as originally submitted to the Weld County Clerk to the Board, and made accessible for public review. Received On '--\(Y\0S\ jV-a A , 2011 By: 1/41.91,1A-' �CrkiV�L Office of the Weld County Clerk to the Board of County Commissioners Acapk\ ' ��o.� 'Cl�'�- WUS ta.�Ssa�s.c� J '("�:�u,-cx wY'c - aptI - ()LIR, Varra Companies, Inc. Office of Special Projects 8120 Gage Street Frederick,Colorado 80516 Telephone(970) 353-8310 Fax(970)353-4047 ' i) 7: Wednesday 16 March 2011 Peter Hays, EPS Colorado Division of Reclamation Mining and Safety Office of Mined Land Reclamation (OMLR) 1313 Sherman Street, #215 Denver, Colorado 80203 Subject: Amendment to M-1984-036 — Varra Resources Project 110 (a.k.a., Dakolios Pit). Dear Peter: Enclosed, find with this cover letter, two copies of the corrected application form (page 2), consistent with your correspondence of 10 March 2011. Proof of placement for this correction with the Weld County Clerk to the Board is also enclosed. This should bring the submittal into 'Completeness.' Regrets for the oversights, Peter. Please feel free to contact me directly should you need clarification or additional information. Sincerely, - Co? y v?c Varra Companies, Inc. Bradford Janes Professional Forester bljforester@msn.com desk: 970-353-8310 cc. Garrett C. Varra, V.Y. Operations Varra Companies, Inc. 1 Hello