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SENT CERTIFIED, RETURN RECEIPT REQUESTED 7015-1660-0000-0779-8393 11 January 2017 Mr. Timothy Cazier, P.E. Environmental Protection Specialist Colorado Department of Natural Resources Division of Reclamation, Mining and Safety Office of Mined Land Reclamation 1313 Sherman Street, Room 215 Denver, Colorado 80203 Re: Permit No. M-1980-244, Cripple Creek & Victor Gold Mining Company ("CC&V"): Cresson Project - Written notification — AGVLF Phase IV Washout - 3`4 January 2017 Dear Mr. Cazier, In accordance with Rule 8, Section 8.2.3 of the Hard Rock, Metal and Designated Mining Operations Regulations (2015), CC&V hereby provides the Division with a formal report regarding the Arequa Gulch Valley Fill Leach Facility (AGVLF) Phase IV washout that occurred on 3 January 2016. The following points addresses the requirements as outlined within Rule 8, Sub section 8.2. a. Actions taken to respond to and correct the emergency situation or condition • The ADR 1 processing facility operator identified a parameter variance with the Barren solution flow and pressure on the night of 3 January 2017 suggesting a possible leak in the barren distribution network on the AGVLF. • Operators were mobilized to inspect the AGVLF barren distribution piping for leaks. • Operators discovered a broken 12 inch HDPE DR11 header located on Phase IV. Flow to the failed section was shut off and the header was isolated (Error! Reference source not found.). • The washout affected four lifts (10100, 10000, 9900, and 9800) (Figure 2). The CC&V geotechnical department was notified and came out to inspect the washout on the morning of January 4, 2017. After examining the washout, the geotechnical department said there was not a stability issue. Remediation efforts commenced immediately. RECEIVED NE WMON T A 17 2017 Newmont Mining Corporation Cripple Creek & Victor Gold Mine 100 North V Strees P D Box 191 DIVISION OF RECLAMATION T 719-689-4029 F 719.689-3254 MINING AND SAFETY www riewmonl.com SENT CERTIFIED, RETURN RECEIPT REQUESTED 7015-1660-0000-0779-8393 11 January 2017 Mr. Timothy Cazier, P.E. Environmental Protection Specialist Colorado Department of Natural Resources Division of Reclamation, Mining and Safety Office of Mined Land Reclamation 1313 Sherman Street, Room 215 Denver, Colorado 80203 Re: Permit No. M-1980-244, Cripple Creek & Victor Gold Mining Company ("CC&V"): Cresson Project - Written notification — AGVLF Phase IV Washout - 3`4 January 2017 Dear Mr. Cazier, In accordance with Rule 8, Section 8.2.3 of the Hard Rock, Metal and Designated Mining Operations Regulations (2015), CC&V hereby provides the Division with a formal report regarding the Arequa Gulch Valley Fill Leach Facility (AGVLF) Phase IV washout that occurred on 3 January 2016. The following points addresses the requirements as outlined within Rule 8, Sub section 8.2. a. Actions taken to respond to and correct the emergency situation or condition • The ADR 1 processing facility operator identified a parameter variance with the Barren solution flow and pressure on the night of 3 January 2017 suggesting a possible leak in the barren distribution network on the AGVLF. • Operators were mobilized to inspect the AGVLF barren distribution piping for leaks. • Operators discovered a broken 12 inch HDPE DR11 header located on Phase IV. Flow to the failed section was shut off and the header was isolated (Error! Reference source not found.). • The washout affected four lifts (10100, 10000, 9900, and 9800) (Figure 2). The CC&V geotechnical department was notified and came out to inspect the washout on the morning of January 4, 2017. After examining the washout, the geotechnical department said there was not a stability issue. Remediation efforts commenced immediately.