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4 ll� <br /> 0 ENSERO <br /> PYs o I u t i o n s <br /> 305 Magnolia St.PMB 225.Fort Collins, Colorado 80521 <br /> T.(970)632-2242•www.ensero.com <br /> April 12,2023 <br /> Colorado Legacy Land,LLC <br /> Jim Harrington,Managing Director <br /> 333 W.Hamden Ave.,Suite 935 <br /> Englewood CO 80110 <br /> Jim@ColoradoLegacy.Land <br /> Regarding:Proposal for Schwartzwalder Mine Site Water Treatment Plant Operations and Compliance Monitoring <br /> Dear:Jim <br /> Ensero Solutions US, Inc. (Ensero)appreciates the opportunity to potentially continue work at the Schwartzwalder <br /> Mine Site(Site)and to find cost-effective solutions to the water management at the Site. We have approached this <br /> with an offer to perform the work associated with the water treatment and required discharge monitoring at the <br /> site. This document describes the proposed scope,schedule,and cost estimate for each task. <br /> Task 1—Water Treatment <br /> Together with the previous operator and DBMS,Ensero has designed,built,and operated the Water Treatment Plant <br /> (WTP)at the Site. Ensero has exclusively performed WTP for CLL since 2018 and previously supported Cotter starting <br /> in 2012. Given our longstanding presence at the Site and familiarity with the scope of work,we are best suited to <br /> provide dependable water treatment for the Site. <br /> The Schwartzwalder WTP process begins with mine water pumped from the workings to the surface by a 60hp <br /> Gould's Model 7CSL mine pump, installed into the Jeffery vent shaft at an elevation of 6,202 feet above mean sea <br /> level (amsl), or 400' below the Steve Level (6,602 feet amsl). The influent pump is locally controlled via Variable <br /> Frequency Drive(VFD)located within the interior of the plant and adjusted by the operators as necessary to maintain <br /> sufficient Reverse Osmosis(RO)feed pressure.Mine water is pumped downhill through a dual contained 4 inch DR- <br /> 11 High Density Polyethylene(HDPE)conveyance line to the plant,where the influent flow rate is measured via PLC <br /> connected electromagnetic flow meter prior to treatment unit process. <br /> The WTP is staffed by a full-time operator and overseen by a Colorado Certified Water Professional with a Class A <br /> licence. Ensero has prepared an estimate consist with our past operating experiences and has included a summary <br /> of costs as Table 1- WTP Operations. The value of this work is estimated at $314,3S6. The costs in this estimate <br /> includes; <br /> • Labor needed to perform water treatment operations, <br /> • Equipment needed to support operations, <br /> • Supplies such as chemical reagents and those needed for the maintenance of the RO units, <br />