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COLORADO RECEIVED
<br />Division of Water Resources OCT 2 7 2016
<br />Department of Natural Resources
<br />1313 Sherman St., Room 821 DIVISION OF RECLAMATION
<br />Denver, CO 80203 MINING AND SAFETY
<br />Response to Reclamation Permit Application Consideration
<br />To: Clayton C. Wein, Environmental Protection Specialist
<br />From: Justina P. Mickelson, Physical Science Researcher/Scientist
<br />Date: October 26, 2016
<br />Re: Deserado Mine (Permit No. C-1981-018)
<br />Technical Revision No. 70 (TR -70)
<br />B -Seam Dewatering System #2
<br />Operator: Blue Mountain Energy, Inc.
<br />Portions of Sections 1-4 & 10-12, T2N, R101W, 6th P.M.; all in Rio Blanco County;
<br />Portions of Sections 17-21, 23, 25-28, 30, 31, and 34-36, T3N, R101W, 6th PM; All of
<br />Sections 22, 29, 32, and 33, T3N, R101W, 6th PM, all in Rio Blanco County
<br />CONDITIONS FOR APPROVAL
<br />® If the proposed mine dewatering system #2 for the B -Seam workings is not approved under well
<br />permit no. 75086-F, then a new dewatering well permit must be obtained.
<br />® Well permit no. 75086-F (well SH -3) is approved to divert 575 of/yr of ground water tributary to
<br />the White River, at a point where unappropriated water is available for withdrawal at 424 gpm, for
<br />industrial, dewatering and evaporation off of settling ponds. The well is located in the SWNW,
<br />Sec 27, Twp 3 North, Range 101 West of the 6th P.M.
<br />® According to the DRM permit file, the applicant indicated plans to use other water to make up for
<br />unavoidable or accidental losses. The maximum amount of makeup water estimated to be
<br />required is 552 acre-feet per year or 0.763 cfs or 180,000,000 gallons. The source of other water
<br />for this use is proposed to be obtained from outside sources. The applicant will need to
<br />document that the water was obtained from a legal source that allows such industrial use.
<br />® According to the DRM permit file, the applicant has the following water rights:
<br />• Moon Lake Pipeline - Case Nos. W-297, 81CW26, and 90CW154, 6.0 cfs decreed
<br />absolute 7/20/71, 0.3 cfs conveyed to BME with point of diversion to well gallery, 1/12/82.
<br />The point of diversion was subsequently changed to the pump at the fresh water lagoon on
<br />11/26/90.
<br />• Deserado Mine Water System - Case Nos. 80CW493, 85CW117, and 89CW079, 0.5 cfs
<br />absolute, ground water mine excavation, 5/9/90.
<br />Gross -Nichols Ditch - Case Nos. CA617, CA624 and 91 CW021, not to exceed 0.333 cfs
<br />decreed absolute 5/5/92. The point of diversion is at the pump at the fresh water lagoon.
<br />• Moon Lake -Staley Mine Pipeline and Reservoir, and Enlargement of Moon Lake -Staley
<br />Mine Pipeline and Reservoir. Caes Nos. CA1269, W-2937, 80CW186, 84CW147,
<br />88CW154, and 91CW036. Change of 0.3 cfs (conditional) to the fresh water lagoon pump
<br />for fully consumptive industrial and mining purposes. BME also has 180 cfs of conditional
<br />non -consumptive water right under these cases.
<br />0940
<br />1313 Sherman Street, Room 821, Denver, CO 80203 P 303.866.3581 o
<br />John W. Hickentooper, Governor 1 Robert Randall, Executive Director I Dick Wolfe, State Engineer `i•*\ t_ ":*/
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