Wes acquired a mineral interest during the year for $10 million. A geological survey estimated that 250,000 tons of the mineral remained in the deposit. During the year, 80,000 tons were mined, and 45,000 tons were sold for $12 million. Other related expenses amounted to $5 million. Assuming that the mineral depletion rate is 22%, calculate Wes's lowest taxable income, after any depletion deductions.
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