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Mr. Peter Hays, DRMS <br /> November 2016 <br /> Response: If any inspection referenced herein indicates a hazard that may lead to a failure or <br /> imminent failure of any impoundment, embankment or slope, as described in C.R.S. 34.32.124.5, <br /> , the Operator shall, within 24 hours, inform the Division of the finding and of the emergency <br /> procedures formulated for public protection and remedial action. If adequate procedures cannot <br /> be formulated or implemented, the Division shall be notified immediately. If the Operator has <br /> knowledge of a failure or imminent failure of the impoundment or embankment the Operator shall <br /> follow the emergency notification procedures of Hard Rock Rules 8.1 and 8.2. <br /> 6. Plans for an enlargement or reduction in size, reconstruction, or other modification to the tailings <br /> dam, spillway(s), or other portion of the impoundment, shall be submitted for Division review and <br /> approval through the appropriate processes outlined in the Hard Rock Act and Rules. Except <br /> where a modification is required to eliminate an emergency condition constituting a hazard to <br /> public health, safety or environment, the Division shall approve the plans before modification <br /> begins. <br /> Response Plans for a non-operational enlargement or reduction in size_reconstruction; or other <br /> modification to the tailings dam, spillway(s), or other portion of the impoundment, shall be <br /> submitted for Division review and, where required by the Hard Rock Act and Rules, for Division <br /> approval before modification begins. Except where a modification is required to eliminate an <br /> emergency condition constituting a hazard to public health, safety or environment, the Division <br /> shall approve the plans before modification begins. Notwithstanding any other requirement <br /> herein, Climax reserves the right to develop and implement voluntary modifications to the <br /> impoundment to enhance safety or the environment, and where a modification exceeds the <br /> requirements of the Hard Rock Act and Rules, the requirements of Rule 4 (Performance <br /> Warranties and Financial Warranties), Hard Rock Mining/Metal Mining Rules and Regulations <br /> shall not apply. <br /> If you would like to discuss any of these items further, or require any additional clarification, please do not <br /> hesitate to contact me at(720) 942-3518. Otherwise, we will wait for your response on modifying this <br /> draft further or finalizing it. <br /> Regards, <br /> Tim Haynes <br /> Sr. Environmental Engineer <br /> Climax Molybdenum Company <br /> cc(via email): <br /> M. Hamarat, Climax <br /> B. Romig, Climax <br /> D. Benbow, Climax <br /> L. Yenne, AECOM <br /> S. Deely, FMI <br />