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® Climax Molybdenum COLORA OPERATIONS <br /> Henddee rson Mine&Mill <br /> P.O. Box 68 <br /> A Freeport-McMoRan Company Empire, CO 80438 <br /> Phone(303)569-3221 <br /> Fax( ECEIVED <br /> November 4, 2016 NOV 0 7 2016 <br /> CERTIFIED MAIL: 7016 1370 0000 2426 7659 DIVISION OF RECLAMATION <br /> MINING&SAFETY <br /> Mr. Peter Hays <br /> State of Colorado <br /> Division of Reclamation, Mining & Safety <br /> 1313 Sherman Street, Room 215 <br /> Denver, CO 80203 <br /> Re: Climax Molybdenum Company, Henderson Mine, Permit No. M-1977-342 <br /> DRAFT Technical Revision for Inspection and Reporting Frequency for the Tailings <br /> Impoundment for Review <br /> Mr. Hays, <br /> This letter is in response the Division's letter dated May 17, 2016"Technical Revision Required, <br /> Inspection and Reporting Frequency for the Tailings Impoundment'. As requested during the Division's <br /> inspection of the Henderson Mill on May 20, 2016, Henderson is providing this letter as a response to <br /> your original letter, which the Division requested be viewed as a draft. We have edited your original <br /> outlined material with a few changes (in red, italicized font),which we feel will more accurately represent <br /> what our efforts should include and the information which would be provided to the Division. <br /> If the revisions we have made are acceptable, please provide us with a follow-up communication <br /> indicating that this is the case and Henderson will begin preparing a new Technical Revision submittal for <br /> Tailings Inspection and Reporting to the Division. <br /> The inspection and reporting program must include, but is not limited to, the following: <br /> 1. The tailings impoundment shall be inspected on an annual basis by a qualified registered <br /> professional engineer or other qualified professional specialist under the direction of a <br /> professional engineer. The professional engineer or specialist shall be experienced in the <br /> construction and maintenance of tailings impoundments. The inspection shall also be in <br /> accordance with the applicable requirements of the Office of the State Engineer for <br /> impoundments of similar size and/or capacity. The annual inspection frequency shall continue <br /> until the Division approves a different frequency and/or the Division has approved full release of <br /> the financial and performance warranties and the Division's permit has been terminated. <br /> Response: The tailings impoundment shall be inspected on an annual basis by a qualified, <br /> registered professional engineer or other qualified professional specialist under the direction of <br /> the Engineer of Record. The professional engineer or specialist shall be experienced in the <br /> construction and maintenance of tailings impoundments. The inspection will be managed in <br /> agreement with professional engineering judgment applicable to impoundments of similar size <br /> and/or capacity. The annual inspection frequency shall continue until the Division approves a <br /> different frequency or the Division has approved full release of the financial and performance <br /> warranties and the Division's permit has been terminated. A report for the annual inspection will <br /> be provided to the Division as an attachment to the Annual Reclamation Report, currently due on <br /> March 8 of the following year. <br />