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<br />15. As a part of the site winterizing process, please commit to either emptying or <br />covering the coarse and fine ore bins and any other open tanks associated with <br />the milling operation that have potential to form toxic or acid drainage when filled <br />with water from precipitation events. <br />All process water storage tanks, fine ore bin, coarse ore bin, and any other tanks <br />exposed to the atmosphere will be covered to prevent over spillage from precipitation <br />events. <br />Hydrology <br />16. Until the cyanide heap is detoxified, and until the ore, waste rock, tailings and <br />solidified tailings are characterized and proven to be non-toxic or acid forming, <br />the operation will be required to perform water monitoring to evaluate compliance <br />with water quality standards set by the Colorado Department of Health. Please <br />provide a proposed water monitoring plan for the Neglected mine operation that <br />addresses the requirements stated in Rules 3.1.6 and 3.1.7. If the operation <br />proves, through analysis, to qualify as a DMO operation, this plan may need to be <br />revised accordingly. <br />MDI has, as a part of the 5 quarters baseline testing requirement, set up three water <br />quality monitoring locations. These locations are illustrated on the mining plan map that <br />has been revised and included as Appendix 5 in this mailing. The first location is the <br />intersection of Gaines Gulch and the drainage out of the Buffalo portal which is on the <br />Buffalo claim upgradient from the Neglected claim. The second location is at the <br />drainage from the 175 level portal, immediately before it intersects Gaines Gulch, on <br />the Neglected claim. The third location is Gaines Gulch downgradient from the <br />Neglected claim as it leaves the Neglected claim. The water quality monitoring so far <br />has been done on a quarterly basis. Per the Divisions request, the monitoring will be <br />extended until all of the requirements above have been satisfied. Currently, MDI has <br />characterized the waste rock and ore, and plans to detoxify the leach pad and <br />characterize the tailings. Pending your approval of the analysis submitted so far, MDI <br />has reason to believe that the tailings will also turn out to be non toxic and non acid <br />producing. If this turns out to be the case, MDI will continue to monitor water quality <br />according to plan above. If MDI does qualify as a DMO, the plan will be revised <br />accordingly. <br />Exhibit D <br />Reclamation Plan <br />1. Please provide the proposed post mining use for the concrete pads that justify <br />their retention as permanent structures. <br />