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2017-11-30_REVISION - C2009087
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2017-11-30_REVISION - C2009087
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Entry Properties
Last modified
1/16/2018 10:49:19 AM
Creation date
12/1/2017 7:01:23 AM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
C2009087
IBM Index Class Name
Revision
Doc Date
11/30/2017
Doc Name
Adequacy Review Response
From
Peabody Sage Creek Mining, LLC
To
DRMS
Type & Sequence
RN1
Email Name
TNL
DIH
Media Type
D
Archive
No
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24) Groundwater quality and quantity information found in Section 2.04.7 and Exhibit 2.04.7 -EI is referenced in <br />Section 2.05.6(3) and elsewhere within the PAP. Exhibit 2.04.7 -EI contains a collection of documents that are <br />not paginated or organized, making it difficult to find specific information. In accordance with Rule 2.03.3(1), <br />please paginate and organize Exhibit 2.04.7-E1 and create a table of contents for this Exhibit. <br />Response: Exhibit 2.04.7-E1 has been reviewed and organized with section dividers, pagination, and a table -of - <br />contents, to facilitate reference and use. Copies of the updated information accompany these responses. <br />25) The Division is aware of a Notice of Violation/Cease and Desist Order (#:10-120912-1) issued by the Colorado <br />Department of Public Health and Environment's Water Quality Control Division (WQCD). A subject of the <br />WQCD NOV is the exceedance of the effluent standard of selenium associated with Outfalls 002 and 004. <br />Elevated selenium levels are not addressed in the probable hydrologic consequence (PHC) as approved in <br />Section 2.05.6 of the permit. In accordance with Rule 2.05.6(3)(b)(iii), please update the PHC section of the <br />permit to reference a potential increase in selenium during mining. If PSCMfeels that a discussion regarding <br />the increase of selenium levels is not justified or warranted in an update to the PHC, please provide a <br />justification for the exclusion of such discussion. <br />Response: The referenced selenium exceedence and associated NOV and CDO were the result of "upset" <br />conditions associated with near -record snowpack, and extremely high subsequent spring runoff and infiltration <br />which mobilized both naturally -occurring selenium and selenium in the reclaimed mine spoils from the previous <br />Seneca II mining operations. The regulatory aspects of the NOV/CDO are addressed in the updated information <br />provided in response to Comment 8 (Section 2.03.5). Additional factors relative to the PHC include current <br />effluent limitations which do not recognize or account for high ambient levels of selenium, unrealistic selenium <br />limits which do not correlate with actual aquatic impacts, and existing wetland passive treatment systems which are <br />effective in reducing selenium to compliance levels but which are not considered by the CDPHE-WQCD relative to <br />the point -of -compliance where potential impacts are measured. The noted considerations are the substance of a <br />current legal challenge. The PHC has been revised and updated to reflect the current information and perspective <br />re: selenium levels in discharge from mine disturbance and reclaimed areas. Copies of the updated information <br />accompany these responses. <br />26) In accordance with Rule 2.05.6(3)(b)(v), based on any updated PHC section of the permit discussed in the <br />previous item, please update the hydrologic reclamation plan specifically addressing any adverse hydrologic <br />consequences resultingfrom elevated selenium levels. <br />Response: Please refer to the previous response. <br />3.03.2 - Determination of the Bond Amount <br />27) The Division updated the reclamation cost estimate for the site. The last substantial update to the reclamation <br />cost estimate occurred during the Midterm Review (MTI) of the permit conducted in 2013. Since then, there <br />have been several revisions and two bond release (SLI and SL2) approvals that have changed the liability <br />amount. The reclamation cost estimate enclosed with this letter takes into account the approved revision and <br />bond release applications. The current liability for the site is $3,636,389.73. The Division's updated <br />reclamation cost estimate liability amount was calculated to be $3,753,199.27. The Division is currently <br />processing, and has yet to approve, the SL3 bond release application. Given this, the liability associated with <br />the SL3 bond release application is included in the updated cost estimate. Please review the cost estimate. <br />Response: Bond Release SL -3 was approved on April 24, 2015, a bond reduction was approved in August 2016, <br />and the SL -4 Bond Release Application is currently under review. Given the bond release status and the time <br />interval that has elapsed since the 04/15 CDRMS renewal comments and associated bond calculations, CDRMS has <br />reviewed and updated (11/14/17) the reclamation cost estimate. PSCM has reviewed the updated cost estimate, <br />resolve a related question, and concurs with the updated cost estimate. <br />
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