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.~~ o .~"' © CLIMA]~ MOLYBDENUM COMPANY H ONI51011 OI LypN9 CITBF MBLCS C0. February 11, 2004 Mr. Allen Sorenson' Environmental Protection Specialist ~ Colorado Division of Minerals and Geology 1313 Sherman Street, Room 215 Denver, Colorado 80203 Colorado Operations Henderson Mine P.O. Box 68 Empire. Colaratlo 80436 Metro (303] 271-0107 Out of State [3031 569-3221 Fax [303) 569-2630 Ft~CEIVED FEB 1 2 2004 ~ ~islon of Minerals Yn~ Geology RE: TR-14 Submittal Mi1J Water Return Pipeline Project, Spring 2004, Henderson Mill, Permit No. M-77-342 „/ Dear Mr. Sorenson: This letter and other submittals are being provided to the Division of Minerals and Geology (Division) for approval to construct a new mill water return pipeline from the tailing pond to East Branch Reservoir. A larger project, deemed the Henderson Barge Project, was discussed with the Division several years ago. Due to budgetary constraints, this larger project has been broken down into smaller pieces. The Mill Water Return Pipeline Project is the tlrst step in constructing a replacement for our current process water return system. Engineering for the pipeline was completed several years ago but these plans were recently modified to accommodate the phased construction approach. "fhis project will provide infrastructure to ensure improved pipe integrity. We plan to complete the bulk of this project in-house. Contractors will be utilized to cross the county road and to fuse and x-ray the pipe. Henderson is requesting approval to construct a replacement mill water return pipeline from the backside of the tailing pond, traveling northeast and terminating near the southwest corner of East Branch Reservoir. Eventually, Henderson will add a pumping barge, barge channel, powerline, and all other necessary infrastructure to complete the replacement mill water return system. Until the remaining infrastructure is in place, this mill water return line will act as an emergency back-up system with adiesel-powered pump. As the Division is already aware, relocating the mill water return pipeline will greatly improve Henderson's operational safety. Our current decant return system is aging and involves operation of a pressurized line flowing underneath the tailing impoundment. The current system also includes an aging pipeline that travels outside of secondary containment along County Road 3 to East Branch Reservoir. The new pipeline will remain directly upgradient of the tailing impoundment throughout its entire length. Although a portion of the pipeline will also be upgradient of the interceptor canal, Henderson has the ability to divert all of this water into the tailing pond maintaining containment if necessary. The protections this new pipeline location provides and the improvements over the existing system are obvious. Henderson has already obtained the necessary nationwide permit from the U.S. Army Corp of Engineers for the wetland disturbances that this proposed pipeline will involve.