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Nix Gravel Pit SWSP <br /> August 30, 2023 <br /> Page 2 of 8 <br /> replacements for water consumption for the slurry wall construction will be made by Dixie Water, <br /> LLC under a separate SWSP that was approved on May 17, 2022 and will expire on April 30, 2024. A <br /> slurry wall around Cells 4-6 is anticipated to be constructed in approximately 5-10 years. The <br /> depletions associated with this SWSP include evaporation from exposed groundwater, water lost <br /> with the mined product, and dust control. <br /> In accordance with the letter dated April 30, 2010 (copy attached) from the Colorado Division <br /> of Reclamation, Mining, and Safety ("DRMS"), all sand and gravel mining operators must <br /> comply with the requirements of the Colorado Reclamation Act and the Mineral Rules and <br /> Regulations for the protection of water resources. The April 30, 2010 letter from DRMS <br /> requires that you provide information to DRMS to demonstrate you can replace long term <br /> injurious stream depletions that result from mining related exposure of groundwater. The <br /> DRMS letter identifies four approaches to satisfy this requirement. <br /> In accordance with approach nos. 1 and 3, you have indicated that a bond has been obtained <br /> for $6,964,000.00 through the DRMS for lining or backfilling of this site to assure that <br /> depletions from groundwater evaporation do not occur in the unforeseen event, or events <br /> that would lead to the abandonment of the Pit. <br /> Depletions <br /> The projected depletions for the period of this SWSP consist of net evaporation from exposed <br /> groundwater surface area, water removed in the mined product, dust suppression, concrete and <br /> asphalt batching and first fill. This SWSP anticipates that a maximum of 22.7 acres of water <br /> surface will be exposed at the site in the overflow and freshwater ponds during the period of this <br /> SWSP. <br /> The Applicant proposed to replace evaporation from exposed ground water at the site based upon <br /> evaporation atlases in NOAA Technical Report NWS 33 and the SEO monthly distribution factors for <br /> sites below 6,500 feet. Gross annual evaporation at the gravel pit location is estimated to be <br /> 42.00 inches per year. Net evaporation is defined as gross evaporation less the consumptive use of <br /> water by vegetation that naturally occurred at the site prior to construction of the pit. The <br /> historical consumptive use was assumed to be equal to the effective precipitation, which was <br /> estimated based on the data from Northern Colorado Water Conservancy District's weather station <br /> at Gilcrest (record 1994-2004). The net evaporation from the exposed water surface is 43.52 acre- <br /> feet for the SWSP period (Table 1). <br /> While the projected evaporation depletion amount assumes no ice cover throughout the year, the <br /> evaporation in the accounting will be set to zero for periods where the exposed groundwater is <br /> completely covered by ice during actual operations. Computation of the net evaporation during <br /> any time that the pit is not completely covered by ice shall be determined as the pro-rata amount <br /> of the monthly gross evaporation rate distribution amount identified in the State Engineer's <br /> General Guidelines for Substitute Supply Plans for Sand and Gravel Pits, subtracting the pro-rata <br /> amount of the effective precipitation for that period. <br /> In addition to the evaporation, water is lost with the mined product removed from the mine site. <br /> The Applicant projected that they will produce 800,000 tons of gravel during the SWSP period and <br /> 1.7 million tons/year in subsequent years. Approximately 20 percent of the mined material is <br /> anticipated to be mined above the groundwater table. Beginning in April 2023, it was assumed all <br /> material mined above the groundwater table will be washed, and will therefore be charged 2% by <br /> weight. Material mined below the groundwater table will be charged 4 percent by weight whether <br /> washed or not. The total consumption of water removed with the product during the approval <br /> period is estimated to be 21.19 acre-feet (Table 2). <br />