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u <br />SOURCE, QUANTITY AND COMPOSITION OF WATER <br />The only water required for use in this operation is for dust control along the approach <br />road, on the tailings stockpile, and in the ore processing azea. <br />The main source of water is from spring run-off and summer thunderstorms, all of <br />which is stored in a small retention pond. The second source, is potable water from the <br />City of Victor, Colorado (SEE EXHIBIT 2, attached, contract agreement). The amount <br />of water to be purchased will depend on the frequency of watering the approach road, <br />tailings stockpile, ore processing area, and if need be, replacement of water within the <br />retention pond due to evaporation. Except for those water's used in dust control, al] <br />water utilized, will be recycled in a closed loop system. <br />The composition of the City of Victors water has been analyzed and, if necessary, data <br />• can be obtained and submitted at a later date. <br />The Turquoise Connection Inc. has a Colorado Wastewater Discharge Permit in place <br />as of March 31s', 2006, Permit No: COG-600000, Facility No: COG-600703 (SEE <br />EXHIBIT 1, attached.). <br />This is a zero dschage mine. <br />Page 7. CUP <br />