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Refer to correspondence of 13 January 2014 from AWES, LLC. <br />21.Please state if the Applicant is pursuing agreements with the existing well <br />owners within 600 feet of the site. Please provide signed copies of the <br />agreements if available or provide evidence the appropriate notice was <br />provided to the well owners. <br />Refer to correspondence of 13 January 2014 from AWES, LLC. <br />6.4.12 Exhibit L - Reclamation <br />22.The Division will estimate the cost to reclaim the site based on the <br />information submitted once the Applicant addresses the concerns noted in <br />this letter. <br />The Division will include costs to comply with the Office of the State <br />Engineers requirement for out -of- priority groundwater depletions. The <br />reclamation plan states a 59.30 acre clay lined reservoir will remain as the <br />post mine land use. The Division is required to set the financial warranty at a <br />level which reflects the actual current cost of fulfilling the conditions of the <br />Reclamation Plan per Rule 4.2.1(1). The Division has identified several <br />options for determining the amount of the financial warranty. The Applicant <br />must choose one of the following options to be included in the financial <br />warranty calculation: <br />a. Backfill the pit to two feet above the groundwater level. <br />b. Install a slurry wall or clay liner. <br />c. Provide the Division with documentation from SEO, which <br />demonstrates the Applicant owns a sufficient amount of shares of <br />water to cover the evaporative losses from the exposed groundwater <br />and the said shares have been committed to the SEO should the <br />financial warranty be forfeited and the permit revoked. <br />Prior to exposing groundwater, Varra Companies, Inc. will provide the OMLR <br />the following from the Office of the State Engineer: <br />• An approved well permit for the planned basin. <br />• An approved Substitute Water Supply Plan. <br />Varra Companies, Inc. Coulson Resource Project OMLR M- 2013 -064 12 <br />Correspondence to Peter Hays 21 January 2014 <br />