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Summary and Conclusions: <br />Excerpt from the 2014 Report The environ encompassing the King I and King II Mines is a <br />microcosm of complexity. The waters, which enter this, environ come from several varied sources. In addition, <br />the chemical signatures of these sources vary over time. Low TDS water from the La Plata River, via the Hay <br />Gulch Ditch can mix with regional rainwater and existing shallow aquafers to produce mixed and ever changing <br />water sources. The data used in this monitoring report is a series of "snapshots" taken quarterly. The analysis of <br />these snapshots gives a different assortment of data points each quarter that can and do bounce all over the <br />spectrum. A significant example is the depth to water in the King 11 Down -gradient Well which in one quarter was <br />almost artesian at 2 inches and in a different quarter dropped to 100+ inches below grade. Another example is the <br />level of Manganese in the King I Wiltze Well. This parameter varies from non -detect up to 2.5 mg/L while showing a <br />significant downward trend over the near ten-year monitoring period. <br />The single notable finding of the trend analysis is that most parameters remain somewhat constant [linear] <br />over long monitoring cycles, while others trend upward and still others trend downward. Examples of the former <br />are found in the King II Up -gradient well where Calcium, Magnesium, and Manganese trend upward significantly. <br />Examples of the latter is the downward trend in Iron in the King II Up -gradient Well and Manganese in the King II <br />Down -gradient Well. <br />Even though most trends are linear and mostly flat, individual quarterly readings run the gambit from tight <br />clusters around the linear trend to widely varying values along a trend line. This high degree of variability is in <br />keeping with natural occurrences within this environ [Hay Gulch] and not as a result of mining activities <br />In conclusion: As per your request CDS performed trend analysis on all of the data <br />submitted, including monitoring for 2015, by GCC to the State of Colorado, Division of <br />Reclamation, Mining and Safety. The complex nature of the interaction of various water <br />sources within the Hay Gulch environ precludes straightforward interpretations of the <br />presented data. Simple models using precipitation are invalid due to the interaction with <br />highly soluble soil minerals along the Hay Gulch valley and an irrigation ditch carrying low <br />TDS water. Variations in measured parameters are most closely related to what appears <br />to be a long term warming cycle, not related to global warming, where more effects of <br />reduced water supplies and found more often than precipitation driven changes. <br />Also as noted in the 2014 report it is our professional conclusion that mining <br />activities at the Kink I and King II mines do not impact measured water quality with in the <br />Hay Gulch environ. <br />If you have any questions please call. An invoice for our services will follow. <br />Joe Bowden Ph.D. <br />Senior Scientist and Partner <br />An appendix of all 14 trend plots are attached. <br />