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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 D I v 15 1 o N O F <br />Phone: (303) 866-3567 MINERAL $ <br />FAX: (303) 832-8106 ~ <br />GEOLOGY <br />RECLAMATION <br />MINING•SAFETY <br />Bill Owens <br />MEMO TO FILE c°"er"°r <br />Greg E. Walther <br />Executive Director <br />Ronald W. Canany <br />Acting Division Director <br />Date: Januazy 23, 2003 <br />Specialist: Tom Schreiner ~'' S <br />RE: Compliance Issues for "Durham-Pit 117 ", Varra Companies Inc., <br />Permit No. M-1978-056, Class: Inspection (1/9/03) <br />Type of Interaction: Phone (970) 353-8310 <br />Person('s) contacted and affiliation: Brad Janes, Varra Companies Inc. <br />Summary and Resolution of Interaction: I discussed with Brad Janes of Vazra Companies <br />Inc. compliance issues noted during the Division's recent 1/9/03 site inspection of the <br />Durham-Pit 117. I mentioned a number of "problems" with the existing permit that may <br />be remedied via a permit amendment. I mentioned the "problem" of an inadequate bond <br />and the Division will be requesting an interim bond of $300,000 to be submitted within <br />the next 60 days. I also mentioned that the existing permit does not allow for dry mining <br />and de-watering as noted during the inspection and the Division will be sending a RTB <br />letter since the operator is permitted for wet mining methods. I suggested the operator <br />cease de-watering and dry mining as soon as possible and be prepared to provide the <br />Division with tangible evidence of when the operator was able to cease de-watering and <br />dry mining operations. I mentioned that the Division will mail a RTB and inspection <br />report to Varra Companies Inc. on or before 1/24/03 and will send a faxed copy of each <br />prior to 4:00 P.M. on 1/24/03. <br />