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2021-12-07_REVISION - M2012032 (25)
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2021-12-07_REVISION - M2012032 (25)
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Last modified
12/7/2021 11:13:38 AM
Creation date
12/7/2021 10:48:41 AM
Metadata
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Template:
DRMS Permit Index
Permit No
M2012032
IBM Index Class Name
Revision
Doc Date
12/7/2021
Doc Name Note
Exhibit D: Mine Plan
Doc Name
Proposed Revision Materials
From
Ouray Silver Mines, Inc
To
DRMS
Type & Sequence
AM2
Email Name
LJW
THM
Media Type
D
Archive
No
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I INTRODUCTION <br /> This Exhibit D provides background information about the Revenue-Virginius mine and milling <br /> operations and includes the information required by Rule 6.4.4 a through J. References to other Exhibits <br /> are provided where necessary. <br /> 2 MINING METHODS <br /> The ore deposits being mined at the Revenue-Virginius Mine are vein type following igneous intrusions <br /> in the San Juan Formation.All mining will be conducted underground via drill and blast methods <br /> commonly used to mine these types of deposits.No surface or open pit mining will occur within the <br /> affected lands boundary. Surface disturbance will be limited to buildings,tailings storage facilities <br /> (TSFs),waste rock stockpiles, and other surface features needed to support underground mining. <br /> The annual production of mined material will be approximately 150,000 tons with approximately 20%of <br /> that being waste rock and the rest being ore. This gives a breakdown of 30,000 tons of waste rock <br /> annually being brought to the surface, and 120,000 tons of ore being sent to the mill.Waste rock is either <br /> stored on site or blended with tailings and sold as construction material or road base, as was permitted in <br /> TR-09,which was approved on March 16, 2017. Of this amount, approximately 75,000 tons will be <br /> converted to fine mill tailings. Therefore,approximately 95,000 tons of waste rock and tailings will be <br /> placed in one of two TSFs while approximately 5,000 tons of concentrate will be shipped off site each <br /> year. The Revenue-Virginius Mine, for the purposes of this permit,has a mine life of approximately 8 <br /> years. This timeline is heavily dependent on grade, commodity markets, and exploration activities,which <br /> may reduce or extend this life. <br /> The ore consists of approximately 1 foot thick of quartz vein host rock and approximately 3.5 feet of wall <br /> rock which allows room for miners and equipment. The quartz veins have 4 principal minerals of interest: <br /> - galena(PbS) <br /> - sphalerite (ZnS) <br /> - chalcopyrite (CuFeS2) <br /> - Tetrahedrite (Cu12Sb4SI3)with a variant freibergite which has some silver(Ag)replacing some <br /> of the copper. <br /> It is expected that these minerals will comprise approximately 20-40%of the vein material. The wall rock <br /> around the veins is primarily andesite,which is a very fine granite,consisting of quartz, feldspar, <br /> amphiboles,biotite and muscovite mica. The milling process is designed to concentrate the sulfide <br /> minerals;therefore,the tailings will consist primarily of quartz, feldspar,amphiboles,biotite and <br /> muscovite,which are inert minerals. <br /> 3 UNDERGROUND OPERATIONS <br /> Most activity at the Revenue Mine will take place underground. This includes mining of ore,transport of <br /> ore and waste rock,placement of waste rock and processing of ore in the mill. A summary of <br /> underground activities is presented below. <br /> Revenue Mine <br /> Amendment 02 D-3 <br /> December 2021 <br />
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