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STI \ SO \ <br /> March 18, 2022 <br /> Via Electronic Mail to: amy.eschberger(&state.co.us <br /> Ms. Amy Eschberger <br /> Environmental Protection Specialist <br /> Colorado Division of Reclamation, Mining and Safety <br /> 1001 E 62nd Avenue, Room 215 <br /> Denver, CO 80216 <br /> Re: Cross Gold Mine, Permit No. M-1977-410, Preliminary Designated Mining Operation <br /> Determination <br /> Grand Island Resources, LLC's Appeal of the Division's DMO Determination <br /> In response to your letter dated February 17, 2022 ("Division Letter"), and pursuant to Rule 7.2.4 <br /> of the Mineral Rules and Regulations of the Colorado Mined Land Reclamation Board, as <br /> amended in April 1994 ("Mineral Rules"), Grand Island Resources, LLC ("GIR"), the owner of <br /> the Cross Gold Mine (referred to herein as the "Cross Mine"),through its representative Stinson <br /> LLP, hereby submits its appeal of the Division of Reclamation, Mining and Safety's (the <br /> "Division") determination that the Cross Mine meets the definition of a "Designated Mining <br /> Operation" ("DMO"). <br /> Description of the Cross Mine <br /> The Cross Mine site is located approximately four miles northwest of Nederland, Colorado <br /> adjacent to Roosevelt National Forest, at an elevation of approximately 9,700 feet above mean sea <br /> level (MSL). The property is an existing hard rock mining operation owned by GIR and at <br /> present, no active mining is being conducted. The mine permit number M-1977-410 was last <br /> revised through Amendment No. 2, dated January 6, 2022 ("AM 2") and approved by the <br /> Division on February 8, 2022. The AM 2 increased the permit area to the current 9.99 acres and <br /> provided an additional financial warranty for reclamation. <br /> The site is bisected by Coon Track Creek, a tributary of Beaver Creek that joins with Middle <br /> Boulder Creek near its discharge at the Barker Meadows Reservoir. The mine currently manages <br /> discharges directly into Coon Track Creek under the Colorado Department of Public Health and <br /> Environment, Water Quality Control Division ("WQCD")National Pollutant Discharge <br /> Elimination System ("NPDES") permit number CO-0032751. <br /> Summary of Arguments <br /> 1. The Division Letter does not specify the basis for designating the Cross Mine as a DMO, <br /> but instead simply cites Rule 1.1(1). <br /> 1144 Fifteenth Street,Suite 2400,Denver,CO 80202 <br /> STINSON LLP \ STINSON.COM <br />