2017-05-23_REVISION - P2016020 - Laserfiche WebLink

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s I\A i n e\/'\/ater Mr. Michael Cunningham 05/23/2017 Division of Reclamation, Mining and Safety -- Denver Office Dear Mr. Cunningham, MineWater Finance LLC (MineWater), is pleased to provide this Amendment to our previously filed Notice of Intent P2016-020 for prospecting at the London Mine (attached). As you know, the London Mine discharge had been in continuous violation of water quality standards from the Water Tunnel under CDPS permit number C00038334 since about 2009 until MineWater purchased the property in November 2016. Since that time, discharge standards have been achieved during each monthly sampling since that time due to diligent efforts by MineWater to install and operate treatment systems within the London Mine pursuant to the Consent Order with the State (CDPHE). MineWater is the bona fide prospective purchaser of the London Mine under the Brownfields Act of 2002 which amended CERCLA. As such, we are focused on making certain that any activities that we undertake are not contributing to any increase in pollution released from the Mine, and that we are proactively addressing known pollution to bring the Mine into compliance. On August 3, 2016 I signed a Consent Order and Settlement Agreement with the State of Colorado (CDPHE) which became effective with our purchase on November 22, 2016 and as part of that Agreement Mlne`N'ater has agreed to very substantial efforts pertaining to the Mine to reduce pollution and rapidly bring the discharge into compliance, and to maintain compliance with the Discharge Permit. The most important facet of this Agreement is that we have committed to separate the polluted upper mine water arising from the porphyry rock, from the relatively clean water in the Leadville Limestone that upwells into the water tunnel and to treat the polluted water, prior to discharge. The work described in this amendment to the NOI is an integral part of this commitment. Through the work proposed in this Amended NOI we will continue to research ways to better manage the water in the Leadville Limestone and to separate it from the upper porphyry water in a sustainable manner. These hydrology studies will be conducted by MineWater LLC (our sister company) with support from Dean Misantoni, PG and from Mark Stacy of Lidstone Associates. After recovery of cuttings and mineral evaluation thereof, we will be assessing water production rates, and formation characteristics in these boreholes to determine if the Mine can be fully dewatered using 425 HP pumps located in each borehole, pumping at a rate of about 1650 GPM (each). This Amendment to the N01 is consistent with the Water Decrees, with the permit application filed with Division of Water Resources, with the Consent Order entered with CDPHE, and will support the water management plan developed by our team. Service yard—10924 Leroy Drive, Northglenn CO 80233 PO Box 3729, Englewood CO 80155