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INTRODUCTION <br />Star Mine Operations, LLC proposes to reopen the Revenue Mine located just over four miles <br />southwest of Ouray, CO to mine silver, gold and sulfide minerals from vein deposits on patented <br />mining claims owned by the applicant. Mining will be conducted entirely underground. Surface <br />disturbance associated with the Revenue operation will include mining support facilities, processing <br />support facilities, water ponds, and waste storage. The entirety of surface activities for the life of the <br />mine will take place in the area immediately north of the Revenue portal, all of which is located <br />within Ouray County, Colorado. The surrounding land is made up of either other patented mining <br />claims or land controlled by the US Forest Service. <br />1. History <br />The Revenue Mine is situated along County Road 26 up Yankee Boy Basin, along Sneffels Creek <br />southwest of Ouray, CO. This area of the San Juan Mountains is known for its precious metal <br />deposits, and the area is littered with the remains of mining from the 19th and 20th centuries. <br />Mining in this area started with the staking of the Virginius claim by William Feland in October of <br />1876. This area is located at an approximate elevation of 12,900 feet and approximately 7600 feet <br />southwest of the Revenue portal. See Map C -5 for the location of the Virginius and the Revenue <br />Mine workings. The Virginius Shaft was begun around 1878 at the vein intersection and was <br />extended downward to the 1, 2 and 3 levels. Each level was 100 feet below the previous level. A <br />mill was constructed at this location and work continued downward to the 10 level in 1890. Hoisting <br />and pumping costs continued to rise, so a decision was made to develop a lower access to the vein. <br />This was the start of the Revenue Tunnel. The Tunnel was started at an elevation of 10,670 feet and <br />was driven 7600 feet to intersect the Virginius Vein underground at an elevation of 10,750 feet. The <br />Tunnel was purposely driven slightly uphill so water would freely drain from it. The connection was <br />made in 1893. The inert waste rock from the driving of the tunnel was placed out of the Revenue <br />portal area and is still there today. <br />The Virginius shaft was extended down to the 14 level and a raise was driven from the Revenue <br />Tunnel upward approximately 600 feet to intersect with the Virginius workings. Once this was done, <br />Revenue Mine January 2015 TR 05 i -1 <br />