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Burns Figa&Will 4 <br /> September 5,2023 <br /> Impacts to Water& Use of Water <br /> • Water safety is of utmost concern to nearby residents and should also be of concern to <br /> those who drink the water in the Arkansas River. Water safety is of utmost concern to <br /> nearby residents and should also be of concern to those who drink the water in the <br /> Arkansas River. While CJK has safety measures and good practices detailed, accidents <br /> continue to happen everywhere and seem to be accelerating in recent months. CC4LC <br /> members and other members of the Lake County community do not want our wells or river <br /> contaminated with cyanide or any other deadly toxins. <br /> • Water is of great concern in the West! There is concern that farmers and ranchers may <br /> not have enough water to grow crops and provide sufficient water for their herds. The <br /> quantity of water the mill will use on a daily basis represents a real waste of water to the <br /> citizens of Leadville, let alone the West. While they have secured water, we have to ask <br /> "is this a good use of our limited water resources"? Lake County winters are bringing less <br /> snowfall and becoming drier each year leaving residents constantly worried about its <br /> impacts on the water table and heightened wildfire risks. The blatant waste of water for <br /> them to reclaim gold does not seem like a good trade off to the CC4LC Association. We <br /> believe the risks to the community in milling less than 20 grams of gold and silver per ton <br /> of mine waste far outweigh the benefits to a private enterprise. Let alone leaving <br /> approximately 2.6 million tons of mill waste (see Note 1) for our community to monitor and <br /> maintain after CJK ceases operations and leaves the area. Rule 7.0 6.4.7 Exhibit G — <br /> water information states in several places "The operation is not expected to affect surface <br /> or groundwater systems." Which does not offer much assurance to CC4LC members. On <br /> pg. 10 of the 4.0 Rule 6.4.4 Exhibit D—Mining Plan there is a table indicating daily use of <br /> water is 234,600 lbs. or 27,280 gallons and monthly 3,578 tons or 818,372 gallons. One <br /> well on a 35-acre parcel in Lake County allows for 325,852 gallons per acre foot of water <br /> annually, and yet CJK plans to use almost three times as much water monthly. According <br /> to How We Use Water I US EPA, the average American family uses about 300 gallons of <br /> water per day. One of CC4LC member families, tracks their water usage and they use <br /> about 100 gallons of water per day. This milling operation will be using anywhere from 90 <br /> to 273 times more water than their nearby neighbors. The fact that they may be using <br /> Parkville Water, rather than a well, is of little comfort to the burgeoning and already <br /> stressed Leadville-Lake County infrastructure. <br /> See Step 7 above. See also discussion in the "Reclamation" concern regarding project size. <br /> Parkville Water District welcomes the addition of an industrial water client, and CJK is in <br /> discussion with them to determine the best way to access this water. Also,there is water available <br /> in the Arkansas River watershed for industrial mining and processing uses. Water laws do not <br /> permit this water to be used for other purposes. Similarly, water dedicated to agriculture cannot <br /> be used for anything except agriculture. Therefore, the use of water at the process plant will not <br /> affect agricultural, ranching, or other users. CJK prefers to access water from Parkville, as it is <br /> our understanding that Parkville welcomes us as a user, this water is available, and that an <br /> industrial client will result in an economic benefit to Parkville and the community. Alternatively, <br /> CJK can go through the adjudication process to obtain water from the Arkansas River watershed. <br /> In this instance, the circular economy philosophy posits that it's best to recover materials from <br /> historic mine dumps than to obtain material from a new undeveloped source. This is CJK's <br /> operating model and our belief that our operation will result in a net benefit to the community. <br />