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Mr. Thomas Schreiner <br />Juty 29, 2003 <br />Page 5 of 7 <br />6.4.12 EXHIBIT L -Reclamation Costs <br />21. In your absence, we discussed the bonding requirements with Alan Sorenson of the DMG. <br />Based on our discussion with Alan and an email response from him, this project is eligible for <br />the 20% bonding option under the following condfions: <br />The permit application must include a general description of the proposed <br />slurry wall. <br />The permit application must include a commitment stating that the slurry wall <br />design, specifications, and quality assurance plan will be approved through <br />the technical revision process prior to exposure of ground water in the pit <br />aground water may be exposed as necessary for the construction of the slung <br />wall in accordance with an approved TSSP). <br />A construction report will be provided to DMG following installation of the <br />slurry wall. DMG must be satisfied that the construction of the slung wall was <br />completed such that there is a high degree of assurance that the wall will meet <br />performance standards established by the State Engineer. If the construction <br />report is found to be deficient, DMG may increase the bond to between 20 <br />percent on up to and including 100 percent of the estimated cost to replace <br />the slurry wall. <br />The following is a general description of the Slurry Wall: <br />The general, approximate location of the slurry wall is shown and identified on the Mining Plan <br />Map included in the 6khibit C of the Application. The estimated length of the slurry wall <br />surrounding the mining area is 9,282 linear feet According to the depth of bedrock shown in <br />the soils test borings, the wall will vary in depth from approximately 40'-0g'. Based on this <br />available data, the wall depth includes 3' keyed into bedrock. As the trench for the wall is dug, <br />the clay slung is poured into the trench progressively around the mine area. The estimated <br />wall thickness is approximately 3'. Detailed design, analysis and test hole borings along the <br />slung wall alignment will be prepared at a later date. Upon completion of the design, the wall <br />alignment and depth may be altered to meet the State Engineer's Office requirements for <br />seepage. <br />In Exhibit L-Reclamation Cost Estimate, we have committed to submitting the necessary <br />design specfications as a technical revision prior to the exposure of groundwater in the pit <br />However, as described above, groundwater may be exposed as necessary for the construction <br />of the slurry wall in accordance with the approved TSSP for the site. <br />Upon completion of the slung wall installation, a construction report will be submitted to the <br />DMG. <br />22. Please refer to our response to item 21 above and item 9 on page 2. <br />23. As described on the enclosed Reclamation Calculation Map, the disturbed areas have been <br />accounted for in the Reclamation Cost Estimate and the requirements for the 20% bonding of <br />