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Mr. Dustin Czapla <br />Page 3 of 8 <br />bench testing performed in 2014 demonstrated that addition of phosphate to the Pitch <br />Reclamation Project surface water and groundwater resulted in rapid and near complete <br />immobilization of uranium. As a result, phosphate -based treatment was identified as the <br />principal means of achieving source control in the underground mine workings and pit <br />lake (North Pit Lake) at the high elevation mine site with limited year-round access. <br />The viability of in-situ source treatability under field -scale conditions in the underground <br />mine workings is currently being advanced. As a precursor to full-scale treatment, pilot <br />testing is tentatively scheduled for the 2015 field season (June to early October). Pilot <br />testing will further characterize the physical extent and hydraulic conditions in the <br />underground mine workings, and will identify the appropriate method for application and <br />distribution of reagent to facilitate source treatment. The knowledge gained from pre - <br />design pilot testing will be used to design, permit, and implement BMPs to establish a <br />reasonable and defensible LPL for uranium at the discharge POC (SW -33) over the <br />next few years. <br />Land Ownership <br />Homestake Mining Company has fee title to an area of approximately 1.5 square miles <br />that completely surrounds the Pitch Reclamation Project. All areas where the proposed <br />activities will be conducted are on Homestake Mining Company property and within the <br />DRMS reclamation permit boundary. <br />Historical Operations and Ongoing Reclamation and Monitoring <br />Homestake Mining Company acquired the Pitch Reclamation Project in 1972. Prior to <br />the acquisition, underground mining was conducted by Pinnacle Exploration. <br />Homestake Mining Company conducted open pit uranium mining from 1979 until 1984 <br />when operations were suspended, and the mine was placed into a care and <br />maintenance status. The ore was trucked to the Homestake Mining Company mill in <br />Grants, New Mexico. In 1993, Homestake Mining Company initiated the process of <br />permanently closing the mine. <br />Ongoing reclamation and monitoring activities have been conducted in support of the <br />DRMS reclamation permit (M-77-004HR), the Radioactive Materials License (# 150-01) <br />issued by the Colorado Department of Public Health and Environment (CDPHE) <br />Radiation Management Program, Hazardous Materials and Waste Management <br />Division (HMWMD), and the CPDS permit (# CO -0022756) issued by the CDPHE Water <br />Quality Control Division. <br />Geology and Hydrology <br />The Pitch Reclamation Project is located within the Marshall Pass Mining District, on the <br />southern flank of the Sawatch Mountain Range, which is part of an exposed remnant of <br />folded sedimentary rocks of Paleozoic age. The Paleozoic section of sedimentary rocks <br />is bounded roughly by Precambrian rocks on the north and east and is covered by <br />460 West 50 North, Suite 500, Salt Lake City, Utah 84101 TEL(801)990--3746 <br />