ADEQ. G/ Chief ~62. OCT 1 2 :(\is; October 11,2005. Mr. David Barron Arkansas Infrastructure Inc Highway 16 East Shirley, AR 72453

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1 ADEQ A R K A N S A S Department of Environmental Quality October 11,2005 Mr. David Barron Arkansas Infrastructure Inc Highway 16 East Shirley, AR Dear Mr. Barron: Please find enclosed pour copy of Open-Cut Mining Permit Number #0623-MN for the Arkansas Infrastructure Inc. mine site in Van Buren County, Arkansas. If you have any questions coi~cerning this matter, please contact me at (501) Sincerely, James F. Stephens, P. G. G/ Chief enclosure OCT 1 2 :(\is; ~62 SURFACE MINING AND RECLAMATION DIVISION 8001 NATIONAL DRIVE / POST OFFICE BOX 8913 / LllTLE ROCK, ARKANSAS / TELEPHONE / FAX w.adea.state.or.us

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3 Open-Cut Mining Permit Application For Arkansas Infrastructure, Inc. Weaver Creek Mine Shirley, Arkansas March 2005 Arkansas Infrastructure, Inc. And Cenark Project Management Services, Inc.

4 Permit Application Checklist A. The below listed items are the minimum requirements for permit application submission: 1. Two signed and notarized permit application forms 2. Permit application fee 3. Proof of right to mine 4. Mining Plan 5. Reclamation Plan 6. Maps a) 7.5 min. topographic quadrangle vicinity map b) Site map rn c) Reclamation map 7. Bond determination 8. Bond instrument 9. Disclosure statement

5 MAIL TAX STATEMENT TO Ozark Title Services. Inc. Under the Npavirion of E. Lcon Nichobon. Attorney at Law Greers Fcrry. Arknras WARRANTY DEED!Doc# (Married Persons) THIS DEED made and entered intoon this th&h&day of fihfu.*",22003, by and between JOHN H. SIETSTRA and LINDA J. SIETSTRA, husband and wife, ; gin their own right and as spouse of the other, as GRANTOR, whether one or more, and CHARLES DAVID BARR~N and OPAL WONNE BARRON, husband and wife, as GRANTEE, whether one or mire, WITNESSETH: That said Grantor, for and in consideration of the sum of One Dollar ($1.00), cash in hand paid, and other good and valuable consideration, the receipt of all of which is hereby acknowledged, does hereby grant, bargain, sell and convey unto the Grantee, and unto the Grantee's heirs and assigns forever, the following described property lying and situated in VAN BUREN County, Arkansas, to-wit: PART OF THE SOUTH 112 OF THE SW 114 OF THE SE 114 OF SECTION 26, TOWNSHIP 12 NORTH, RANGE 13 WEST AND PART OF THE NW 114 OF THE NE 114 OF SECTION 35, TOWNSHIP 12 NORTH, RANGE 13 WEST, ORE PARTICULARLY DESCRlBED AS: BEGINNING AT THE NORTHEAST CORNER OF THE NW 114 NE 114, SECTION 35, TOWNSHIP 12 NORTH, RANGE 13 WEST, THENCE SOUTH 627 FEET, THENCE WEST 190 FEET APPROXIMATELY TO THE CENTER LINE OF WEAVER CREEK, THENCE SOUTHWEST AND UP THE CENTER OF WEAVER CREEK A DISTANCE OF FEET APPROXIMATELY TO THE EAST PROPERTY LINE OF KENNY LINN, THENCE NORTHWEST AND LEAVING SAID CREEK A DISTANCE OF APPROXIMATELY 974 FEET TO THE CENTER OF HIGHWAYS NUMBER 16 AND 9, THENCE NORTHEAST ALONG SAID HIGHWAY 1550 FEET TO A POINT ON THE EASTERN LINE OF THE SW 1/4 SE 1/4, SECTION 26, THENCE SOUTH FEET TO THE POINT OF BEGINNING, CONTAINING 12 ACRES, MORE OR LESS IN SECTION 26 AND ACRES, MORE OR LESS IN SECTION 35 AND CONTAINING IN THE AGGREGATE ACRES, MORE OR LESS.

6 -2- TO HAVE AND TO HOLD THE SAME, together with all tenements and improvements thereon and hereditaments and appurtenances thereunto belonging or in any wise appertainkg unto the said Grantee, and unto the Grantee's heirs and assigns forever. The Grantor, for the considerations aforesaid, does hereby release, relinquish and convey unto the Grantee, and unto the Grantee's heirs and assigns forever, any right, claim and possibility of dower, curtesy and homestead of Grantor in and to said real property. - ~rantbfd~iii h&b&=iagi a@ee thaf Gmor dl1 foreverwarrant d defend the-title to said real estate unto the Grantee, and unto the Grantee's heirs and assigns forever, against the lawhl claims and demands of all persons whomsoever. IN WITNESS WHEREOF, the Grantor has hereunto signed this Deed on the day and year first herein written. 4

7 CERTIP~TE OF F~ECORD h n zeo3isje Pa e if1 Dab 83/21/ :34:2i PN Fiied & Recorded it) -3- Official Records of STflTE OF flrkfflscis ACKNOWLEDGMENT STATE OF ARKANSAS COUNTY OF CLEBURNE -- BE IT REMEMBERED that on this day before me, the undersigned, a Notary Public within and for the County and State aforesaid, duly commissioned, qualified and acting, appeared the within named JOHN H. SIETSTRA and LINDA J. SIETSTRA, husband and wife, to me so known or identified, and to me stated and acknowledged that the foregoing Warranty Deed was executed for the considerations and purposes therein mentioned and contained and I hereby so certifl. IN WITNESS WHEREOF, I have hereunto set my hand and seal as such Notary Public on this REAL PROPERTY TRANSFER TAX AFFIDAVIT c been placed on this ~nstrument. /"

8 Ozark Title Services, lnc. Under the supervision of E. Leon Nicholson. Attorney at Law Grem Ferry. Arkansas WARRANTY DEED (Corporate) THIS DEED made and entered into on this the day of a - -,2002, by and between BIG BRANCH FARMS INC., a corporation, by and through its duly authorized officer(s), as GRANTOR, whether one or more, and CHARLES DAVID BARRON and OPAL YVONNE BARRON, husband and wife, as GRANTEE, whether one or more, TVJTTESSETH: That said Grantor, for and in consideration of the sum of One Dollar ($1.00), cash in hand paid, and other good and valuable consideration, the receipt of all of which is hereby acknowledged, does hereby grant, bargain, sell and convey unto the Grantee, and unto the Grantee's heirs and assigns forever, the following described property lying and situated in VAN BUREN County, Arkansas, to-wit: PART OF THE SOUTHEAST QUARTER OF THE SOUTHEAST QUARTER (PT. SE 114 SE 114), SECTION TWENTY-SIX (26), TOWNSHlP TWELVE (12) NORTH, RANGE THIRTEEN (13) WEST, VAN BUREN COUNTY, ARKANSAS, MORE PARTICULARLY DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHEAST CORNER OF SECTION 26, T-12-N, R-13-W, THENCE N 89 DEGREES 26' 52" W FEET TO A SET IRON PIN AT THE POINT OF BEGINNING, THENCE N 00 DEGREES 1 1' 40" E FEET TO THE INTERSECTION OF A BRANCH-&WEAVER CREEK, THENCE ALONG THE CENTER OF THE AFORESAID BRANCH, RUN N 20 DEGREES 46' 19" W FEET TO A POINT, THENCE N 24 DEGREES 3 1' 24" W FEET TO A POINT, THENCE N 35 DEGREES 56' 24" W FEET TO A POINT WHERE THE BRANCH INTERSECTS THE SOUTH RIGHT OF WAY LINE OF HIGHWAY NUMBER 16, THENCE ALONG THE THE SOUTH RIGHT OF WAY LINE OF HIGHWAY 16, RUN S 43 DEGREES 1 8' 4 1 " W FEET TO A POINT, THENCE S 44 DEGREES 58' 47" W FEET TO A POINT, THENCE S 60 DEGREES 09' 37" W FEET TO A POINT, THENCE S 42 DEGREES 47' 10" W FEET TO A POINT, THENCE S 62 DEGREES 39' 58" W FEET TO A POINT, THENCE S 71 DEGREES 04' 26" W FEET TO A POINT, THENCE S 75 DEGREES 40' 15" W FEET TO A POINT, THENCE S 78 DEGREES 27' 26" W FEET TO A POINT, THENCE S 78 DEGREES 55' 50" W FEET TO A POINT, THENCE S 76 DEGREES 34' 44" W FEET TO A SET IRON PIN, THENCE ALONG THE WEST LINE OF THE SAID SE 114 SE 114, SECTION 26, RUN S 00 DEGREES 07' 46"

9 W FEET TO A SET IRON PIN, THENCE ALONG THE SOUTH LINE OF THE SAID SE 114 SE 1/4, SECTION 26, RUN S 89 DEGREES 26 52" E FEET TO A SET IRON PIN AT THE POINT OF BEGINNING CONTAINING ACRES, MORE OR LESS, ACCORDING TO THE DANNY L. ROBERSON SURVEY RECORDED IN SURVEY RECOm "G, PAGE 374. TO HAVE AND TO HOLD THE SAME, together with all tenements and improvements thereon and hereditaments - and appurtenances thereunto - belonging or in any wise appertaining, unto the said Grantee, and unto the Grantee's heirs and assigns forever. Grantor does hereby covenant and agree that Grantor will forever warrant and defend the title to said real estate unto the Grantee, and unto the Grantee's heirs and assigns forever, against the lafil claims and demands of all persons whomsoever. herein written. IN WITNESS WHEREOF, the Grantor has hereunto signed this Deed on the day and year first BIG BRANCH FARMS INC., GRANTOR,

10 ACKNOWLEDGMENT V w STATE OF ARKANSAS COUNTY OF CLEBURNE 4' BE IT REMEMBERED that on this day before me, the undersigned, a Notary Public within and for the domy and ~&eafodd, duly commissioned,qualified an-zaee-nma DANIEL J. GRIUOT and KAREN H. GRILLOT, the duly authorized officers of BIG BRANCH FARMS INC., a corporation, to me so known or identified, and to me stated and acknowledged that, acting in said corporate capacity, the foregoing Warranty Deed was executed for the considerations and purposes therein mentioned and contained and I hereby so certifl. IN WITNESS WHEREOF, I have hereunto set my hand and sea*. he [@7\dayof &.&.'L this REAL PROPERIY M S F mthe kgally correct pn this inshument /'

11 Arkansas Infrastructure, Inc. Weaver Creek Farm and Quarry Mining Plan Refer to the attached Weaver Creek Farm and Quarry Site Plan. The overall purpose of the mining operation is as follows: To construct an irrigation pond for an interim vegetable farming operation To sell mined material on the open market To provide reuse irrigation water for crop production To control storm and irrigation water run-off from the farming operation To ultimately convert the land area to scenic pond, fish habitat, and property enhancement feature. To achieve the above purposes, a mining operation is planned upon the land over several years. The mine will be operated by Arkansas Infrastructure, Inc., a licensed contracting company operating in Arkansas and surrounding areas. In addition to construction, Arkansas Infrastructure, Inc. is in the farming business and desires to improve the 50+ acre tract shown in the plan to an interim vegetable farm for the next few years. The overall plan is to farm portions of the acreage and mine a portion of the acreage simultaneously in such a way that both operations compliment each other. The mining pit will be opened in phases, with each phase creating or expanding the irrigation water storage area needed to support crop irrigation in the growing season. As the material is mined and exported from the site the pond area will increase, thus supporting the farm land production. At some point the optimal space will be provided for irrigation and farming. At this time the decision will be made as to continue emphasis on the farming operation or the mining operation. If mining has proven profitable the mine will be expanded and the farm operation diminished. If farming has proven to be more profitable the farm will continue and the mining will stop. In either case the land is being placed into its highest and best use. The following description of the mining plan assumes mining to be the highest and best use, therefore, this permit application is being sought to support this scenario. The plan will begin upon issuance of a mining permit and other permits that may be necessary for the overall operation. This is expected to happen in the spring of This is important to the 2005 farming operation, so mining can provide a means to process material away from the site to create the beginning irrigation pond. Once the mining is started the ultimate pond will be formed in phases over several years of operation. The material to be mined will consist of sand, gravel and quarry rock. A portion of the overburden sand and gravel will be sold and exported directly away from the site for use C Wro~ecrs\Arkansas Infrastructure lnc\mintng Perm~fs\Weaver Creek Open P1l\i-I9-2005_Mtnnng and Reclamation plan doc CEh4RK PROJECT MANAGEMENT SERVICE IUC

12 as imported fill to various local construction sites. The remaining overburden sand and gravel will be processed through a crushing and sizing plant into various marketable materials and exported from the site. The overburden covers hard rock that will be drilled and shot prior to overburden removal to a depth of approximately 50'. This material will be later processed into concrete aggregate, road base and other sized products. The operation will commence by setting up the plant in the location shown on the site plan. A combination of overburden mining for processing and borrow pit exporting will begin. This work will be staged in such a way as to construct a small initial irrigation reservoir to support the farming operation in The mining will begin in the area designated Area 1-Phase I at the southeast end and progress as shown toward the west. All mined material will be exported away from the site thus forming the ultimate pond structure. As time goes on and material is processed from the site the mining will be expanded to Area %-Phase 2 and so on as indicated on the site-plan. Assuming the mining operation continues and farming diminishes the mine operation will stop when all the material is removed from Areas 1 thru 4 by phases of operation. The remaining area where the plant was initially established will be mined as a borrow pit so the material will be removed down to solid rock to establish the final pond configuration. At that time the mine area will form the pond as shown on the Reclamation Plan and mine closure will be completed. The configuration of the site and mined areas will be as shown on the "Site Plan" and the "Typical Cross Section of Mine" detail. The slope along Weaver Creek is such that a 40 to 50: 1 slope exists from the creek's existing bank location to the beginning of the mine pit edge. The first 10' depth around the mine perimeter will be cut to a 4: 1 slope. The next 10' of depth or until solid rock is encountered will be 2: 1. The cut in solid rock will be near vertical or stepped as needed for stability. While not initially, the property will eventually be fenced with light barbed wire as a barrier to discourage unauthorized ingress onto the property along Highway 16 and along the east and west perimeters. Gates will be maintained at two entrances, one primary to the plant and one secondary for direct overburden removal by trucks. Warning signs will be placed at the entrances and along the Highway 16 side of the property. Contact is underway with the Mine Safety and Health Administration to implement any safety requirements necessary. Once the crushing plant is set up, construction of the sediment ponds shown on the site plan and the installation of the circulation piping and wash water pump system will begin. The initial mining will be for exported fill material used for fill at local construction sites and for start-up of the crushing plant. Topsoil will be removed where topsoil exists prior to mining and stockpiled in the location shown on the site plan. Approximately 3500 BCY of topsoil will be stockpiled over the course of mining for replacement during reclamation. Approximately 4 acres of C-\Projects\Arkansas Infrastructure Inc\Mining Permits\Weaver Creek Open Pil\ Mining and Reclamation plan doc CENARK PROJECT MANAGEMENT SERVICE. Ih'C

13 pond perimeter will be reclaimed and re-vegetated plus any other remaining disturbed areas. Topsoil stockpiles will be temporarily seeded with Bermuda grass as needed to control erosion. Haul roads will be constructed as shown on the site plan to a width of 20' with side ditching to control drainage. Drainage will be controlled over the entire site by means of ditches, culvert installations, and berms. Crusher wash water will be controlled within the plant area, accumulated and pumped to the sedimentation ponds and returned to the plant for reuse. Farm irrigation runoff will be directed back to the irrigation ponds created by the mining operation. No water from the site will be allowed into Weaver Creek or the unnamed drainage branch to the east of the permit site and property boundary. Weaver Creek forms the permit boundary to the south. Arkansas Infrastructure is currently obtaining Section 404 Permits from the United States Army Corps of Engineers for work to be done along the stream channel to control erosion. Contact has been made with the Water Division of the Arkansas Department of Environmental Quality regarding permit requirements related to the work being done for the mining operation. To date the ADEQ has indicated no water quality permit is required; however, this plan is being transmitted to the Water Division for their information and filing. CWrojects\Arkansas Infrastructure IncWinlng Permits\Weaver Creek Open Pit\; Minlng CENARK PROJECT hlanagement SERVICE. INC and Reclamation plarldoc

14 Arkansas Infrastructure, Inc. Weaver Creek Farm and Quarry Reclamation Plan Refer to the attached Weaver Creek Farm and Quarry, Reclamation Plan. The overall purpose of the reclamation plan is as follows: To reclaim the land used in the mining operation To reclaim the mined pit area into a 31 acre scenic pond, fish habitat, and property enhancement feature. Reclamation will consist of the crusher plant being removed from the site, re-grading the disturbed areas of land around the perimeter of the mined pit area and re-establishing vegetation. The last phase of mining will be the area where the plant and entrance road were located. This stage of reclamation will consist of the removal and sale of borrow material until this area's overburden is removed down to a level that would be below the natural water level in the large pond formed by the mining operation. The last phases of haul roads will be re-graded and ditched to establish property drainage and accommodate normal farm traffic. A strip of land approximately 4.05 acres (100' wide around the mined area perimeter on the west, north and east) will be regarded, top-soiled and seeded. Approximately 3500 BCY of topsoil will be replaced on the 4.05 acre area. The sediment ponds will be refilled, graded, top-soil replaced and seeded. This work falls within the area mentioned above. The banks of the mine pit shall be sloped as shown on the Reclamation Plan. Since there is no expectation of acid bearing rock formations to be encountered during mining, there is no provision in this reclamation plan for any types of water treatment to maintain the ph levels between 6 and 9 in the completed pond. The site will be re-vegetated into pasture land or garden area as this is its current use. As topsoil is replaced on the 4 acre or more area, a soil test will be performed to identify the soil amendments that will be needed. The proposed plant species mix for this site will include Bahia grass, Bermuda grass, Tall Fescue, Red and White Clover. The affected area during the 2005 period of start-up operation from mining will be that as shown on the Site Plan for Area 1- Phase I, the plant area, entrance road and the location of the sediment ponds. This will consist of approximately 15.2 acres. Eventually, as mining progresses and farming decreases the affected area by mining will increase to 30.8 acres. The total area of the mine, haul roads and adjacent boundary is acres. Arkansas Infrastructure, Inc.'s bond is for the entire long-term operation and reclamation close-out. As soon as the area meets the grading and re-vegetation requirements of Regulation 15, they will request formal release of the reclaimed land and the bond. C \Projectr\bkansas lnfrastruclure Inc\M~nlng Perrn~ls\Weaver Creek Open P11\ Mln1nv. and Reclamat~on plan doc CENARK PROJECT MANAGEMENT SERVICE INC

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20 ARKANSAS DEPARTMENT OF ENVIRONMENTAL QUALITY DISCLOSURE STATEMENT FOR FIRMS DATE: 3118/05 APPLICANT: Arkansas Infrastructure, Inc Hishwav 16 East PHONE NUMBER: Shirley SSN OR EMPLOYER I.D. NUMBER: AR A. List All Officers of the Applicant. \c SSN: Corporate Fed. I.D. David Barron President P. 0. Box 155 Shirley AR SSN: Corporate Fed I.D. Marlene Lucas Secretary / Treasurer P.O. Box 83 Shirley AR

21 List all Directors of the Applicant. SSN: Cor~orate Fed I.D. David Barron' President P.O. Box 155 Shirley AR SSN: Corporate Fed I.D. Marlene Lucas Secretary / Treasurer P.O. Box 83 Shirley AR SSN:

22 *i List all Partners of the Applicant. SSN: None SSN: SSN:

23 List all persons employed by the applicant in a supervisory capacity or with authority over operations of the facility which is the subject of this application. SSN: Corporate Fed I.D. Wade Lucas General Manager P.O. Box 83 Shirley AR SSN: SSN:

24 List all persons owning or controlling five percent (5%) or more of the applicant's debt or equity. SSN: Corporate Fed I.D. David Barron President P.O. Box2155 Shirley AR SSN: SSN:

25 List any Parent Company of the Applicant and describe the Parent's ongoing organizational relationship with the applicant. Organizational Relationship: NONE

26 List any subsidiary company of the applicant and describe each subsidiary's ongoing organizational relationship b with the applicant. Organizational Relationship: NONE

27 List each legal entity in which the applicant holds a debt or equity interest of five percent (5%) or more and describe each legal entity's ongoing organizational relationship with the applicant. David Barron & Associates ~resident STREEZ 09 South Collins Street Organizational Relationship: G e m 1 Contractor Plant City Florida Dol~hin Realtv President Real Estate Sales 0110 Reach Rlvd- Apollo Beach Florida David Barron Farms Owner Crop Farm P.O. Box Turkey Creek Durant Florida 'IP: oad

28 b I- List and describe any person not listed in Sections A-H of the Statement who is: 1. Currently in violation or has a history of violations with the environmental laws or regulations of this State or any other jurisdiction; and 2. Related to the applicant or any persons listed in Sections A-H of this statement by blood or marriage; or related to the applicant or any persons listed in Sections A-H of this statement by any relationship which significantly influences the applicant. RELATIONSHIP: NONE SSN: RELATIONSHIP: SSN:

29 J. Give a description of the experience and credentials of the applicant, including any past or present permits, licenses, certifications or operational authorization relating to environmental regulation in this State or any other jurisdiction. Arkansas Infrastructure, Inc. has not been in the mining business before, but is a licensed General Contractor in the State of Arkansas, License #

30 List and provide an explanation of all civil or criminal legal actions by government agencies involving environmental protection Laws or regulations against the applicant and all persons and entities identified in Sections A-I of this Statement in the ten years immediately preceding the filing of the application, including: 1. Administrative enforcement actions resulting in the imposition of sanctions; 2. Permit or license revocations or denials issued by any State or Federal authority; 3. Actions that have resulted in a finding or a settlement of a violation; and 4. Actions that are pending. NONE

31 List all Federal environmental agencies and any other environmental agencies outside this State that has or has had regulatory responsibility over the applicant. NONE If the applicant is a publicly-held company required to file periodic reports under the Securities and Exchange Act of 1934 or a wholly-owned subsidiary of a publicly-held company, the applicant shall not be required to submit a disclosure statement, but shall submit the most recent annual and quarterly reports, i.e., prospectus, required by the Securities and Exchange Commission, which provide information regarding legal proceedings in which the applicant or its parent has been involved.

32 The applicant agrees to provide any other information the director of the Arkansas Department of & Environmental Quality may require at any time to comply with the provisions of the Disclosure Law and any regulations promulgated thereto. The applicant further agrees to provide the Arkansas Department of Environmental Quality with any changes, modifications, deletions, additions or amendments to any part of this Statement as they occur by filing an amended Disclosure Statement. DELIBERATE FALSIFICATION OR OMISSION OF RELEVANT INFORMATION FROM DISCLOSURE STATEMENTS SHALL BE GROUNDS FOR CIVIL OR CRIMINAL ENFORCEMENT ACTION OR ADMINISTRATIVE DENIAL OF A PERMIT, LICENSE, CERTIFICATION OR OPERATIONAL AUTHORIZATION. State of Arkansas County of I, David Barron, swear and affirm that the information contained in this my knowledge, information and belief. APPLICANT: Arkansas Inf ras ucture, Inc. BY: David Barron, President Mlgnature L DATE: 3/18/05 SUBSCRIBED AND SWORN TO BEFORE ME THIS 1 8th DAY OF March MY COMMISSION EXPIRES: February 10, NOTARY PUBLIC Sharon A. Smith