[HollyMutual-Announce] Valve installation update

[Mark Derbyshire]

All:

As planned the excavator began work today installing a new cutoff valve
where our main pipeline intersects Plateau Dr from the south. We expect
this will allow us to more precisely isolate the leaking section of
pipe, and restore partial or perhaps even full operation of the Holly
Mutual system, while in parallel we narrow down the leak location.

This work was complicated by the uncertainty of where this section of
our pipeline is. Just this past Sunday we uncovered a low resolution map
showing the approximate location 200' east of where we thought it was.
With nothing better we gambled on the map. It took a lot of digging, but
the excavator located the pipe mid-afternoon and started installing the
cutoff valve. Colorado Water Well has been monitoring progress, and they
plan to activate the Piedmont Well tomorrow (Wednesday) morning.

We will first need to verify the leak is isolated, but we are hoping we
can resume partial operation of our system soon afterwards. I will write
another email to confirm this. The first caveat is we will initially be
operating with only one well, limiting the amount of water we can supply
each day. Thus if you are able to minimize Holly Mutual water usage
and/or continue to use Denver Water for a short while longer, it will
help us supply water to as many properties as we can. The second caveat
is certain properties will initially be cutoff from the water supply by
isolation valves:

1. Those properties north and west of Whitehall Dr

2. Three properties immediately east of El Camino Dr and immediately
north of Plateau Dr

We believe we have identified the valve that was previously preventing
service to properties on the east side of our service area, and those
are expected to have service when we activate the Piedmont Well. Once we
are convinced the leak is isolated we will start opening the remaining
closed isolation valves. While not conclusive, we have evidence
suggesting we may next be able to restore service to properties in group
1 above. If that is successful, we will also be able to activate the
Whitehall Well and provide nearly full service to most of our
shareholders. That is the best information we have, but it could change
in real time as we learn more.

Cheers,
Mark Derbyshire