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Annual Report—2016 <br /> Henderson Mine and Mill Reclamation Activities <br /> Permit No. M-1977-342 <br /> 3.0 Anticipated 2017 Activities <br /> 3.1 Prospecting <br /> No prospecting activities are currently planned for 2017. <br /> 3.2 Ute Park Extraction Wellfield—Phase III <br /> Phase III of the Ute Park Extraction Wellfield is planned for the summer of 2017. This effort will include <br /> the installation of two additional extraction wells, along with appurtenant structures. A technical revision <br /> request will be submitted to the DRMS in the second quarter of 2017 for approval to proceed with this <br /> activity. <br /> 3.3 Gravel Pit <br /> Henderson intends to operate the gravel pit to produce a limited amount of aggregate during calendar year <br /> 2017. <br /> 3.4 Aspen Canyon Well <br /> Henderson Mill continues to evaluate the Aspen Canyon well and is working with the landowner to <br /> explore considerations around rehabilitating their existing well. This could form a baseline of what <br /> ambient water chemistry will look like without influence from localized corrosion of the well-casing as <br /> well as influence of iron-reducing bacteria. <br /> 3.5 Closure Planning <br /> Henderson continues with closure-based planning and investigation work. More specifically, Henderson <br /> Mill intends to run two separate pilot plants during the summer of 2017 to understand water treatability <br /> with varying treatment methods. <br /> 3.6 Mine POC Well <br /> Henderson intends to submit a memo to the DRMS regarding our current understanding of pH issues <br /> witnessed at the MNGW-1 well. <br /> 3.7 Reclamation <br /> No reclamation is planned for calendar year 2017 <br /> 3.8 3-Dam Regrade <br /> Henderson plans to regrade the lower, non-active portion of historic 3-Dam to a nominal 4:1 grade. This <br /> effort will serve to obtain a uniform grade across the entire dam face, along with providing the structure <br /> of the dam with enhanced stability. A technical revision request was sent to DRMS February 24, 2017 <br /> for this project. <br /> Page 4 <br />