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Ouray Silver Mines, Inc. <br /> 1900 Main St. Unit I <br /> PO Box 564 <br /> Ouray,CO 81427 <br /> To: Colorado Division of Reclamation, Mining& Safety <br /> 1313 Sherman Street, Rm 215 JUL 2 7 2021 <br /> Denver, CO 80203 <br /> From: Brian K. Briggs, P.E.,Chief Executive Officer DIVISION OF RECLAMATION <br /> Date: July 21, 2021 MINING&SAFETY <br /> Subject: Q2 GW-3R exceedances for copper, lead, and silver DBMS 112(d) Mining Permit# <br /> M2012-032 <br /> De Mr. West, <br /> Purewater Systems of Ridgway,Colorado performed second quarter groundwater sampling on June 17, <br /> 2021 at Ouray Silver Mine Inc.'s Revenue-Virginius under Division of mining reclamation and Safety <br /> 1 12(d) permit M2012-032. The results, received on July 14",2021, reveal copper, lead and silver above <br /> groundwater standards in well GW-3R as described in the bullet points below, all other locations and <br /> parameters were within groundwater standards. <br /> • Copper in GW3R occurred at an estimated 0.0019 mg/L, above the detection-limit based <br /> standard of 0.0001 mg/I, but below the practical quantification limit. <br /> • Lead in GW-3R occurred 0.146 mg/L,above the 0.044 mg/L standard <br /> • Silver in GW-3R occurred at 0.0139 mg/L,above the 0.009 mg/L standard. <br /> Monitoring well GW-3R was resampled yesterday,July 20111,2021. It is believed that construction of the <br /> semi-passive treatment system and cessation of groundwater infiltration have perturbed the groundwater <br /> table leading to temporary increases in some metals. <br /> Please do not hesitate to call me with concerns or questions at 970-325-9830. <br /> Sincerely, <br /> Brian K. Briggs PE <br /> CEO,Ouray Silver Mines Inc. <br /> Attachments: <br /> ACZ Lab Report <br /> Phone: (970) 325-9830 ♦ Fax: (970) 325-9824 <br />