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`SNE WMON T Newmont Mining Corporation <br /> Cripple Creek&Victor Gold Minrig Co <br /> Env rormeni end Socia'Respois bnit} 100 N 3 Street P 0 Box 191 <br /> Victor CO 80850 <br /> T 719-689-2977 <br /> F 719 689-3254 <br /> SENT CERTIFIED, RETURN RECEIPT REQUESTED <br /> 7015-1660-0000-0779-6900 <br /> 19 May 2016 RFC=JVED <br /> Mr. Timothy Cazier, P.E. gRAY 2 3 2016 <br /> Environmental Protection Specialist DIVISION OF RECLAMATION <br /> Colorado Department of Natural Resources MINING AND SAFETY <br /> Division of Reclamation, Mining and Safety <br /> Office of Mined Land Reclamation <br /> 1313 Sherman Street, Room 215 <br /> Denver, Colorado 80203 <br /> 1 <br /> Re: Permit No. M-1980-244; Cripple Creek & Victor Gold Mining Company ("CC&V"); <br /> Cresson Project; -response to DRMS question on drainage from the southeast corner of the <br /> High Grade Mill Pad (HGM) <br /> Dear Mr. Cazier: <br /> As a follow up to the CC&V response provided on February 24, 2016 and subsequent <br /> conversations, on the above referenced topic, during the inspection of March 15, 2016 (and <br /> restated in your inspection report) we offer the following: <br /> 1. Issues with water seeping from the edge of the mill liner system primarily occurred <br /> during the period Q2 to Q4 of 2015. During Q2 the sump was known to be reading <br /> elevated levels. The high level was thought to be due to high infiltration flows stemming <br /> from the unusually high precipitation the district received. Initial investigations were <br /> conducted to look at upsizing the installed sump pumps to handle the perceived flow. As <br /> the weather pattern turned and precipitation levels dropped off issues with the sump level <br /> remained. At this time it became apparent the elevated levels were not do to meteoric <br /> infiltration and must be stemming from a leak in piping within the lined area. No <br /> indication of process solution, e.g. elevated pH, cyanide, etc., were ever detected and <br /> internal water balances within the mill showed no indication of a leak suggesting the <br /> most likely source was within the fire protection loop. Inspection of the hydrants <br /> surrounding the mill showed that water was bubbling to surface near the hydrant on the <br /> north east corner of the mill. The area was excavated and a repair was made on a failed <br /> tee connecting the hydrant to the main loop. Overall water supply issues were improved, <br /> the sump level began dropping immediately thereafter, and evidence of seepage around <br /> the liner abated. The level stabilized and remained through much of Q3, but the level <br />