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DIVISION OF MINERALS AND GEOLOGY Doparlnn•m ul Nawral He+uure'es I l l t Sherman SL, Ruom ! I i Denver, GrluraJo HD'_'0.1 Phane.I lU II 7166~Bi67 FAY 17011 R)?~BIOh April l2, 2001 DIVISION OF MINERALS 6t-- GEOLOGY RECLAMATION MINING•SAFE iY Bil I Owens Governor Mr. Duane Bollig Western Mobile, Inc. P.O. Box 215001 Denver, CO 80221 RE :Nyholt Pit, Reason to I3eiieve a Violation Exists, Permit No. M-82-147 Dear Mr. Bollig: CreR E. bValchcr Eaecmrve Duccbr MiCI1dCl B. EOnH Divi+iun D,renur The Division received citizen complaints on June 5, 2000; June 29, 2000; and August 28, 2001 from Four (4) citizens in the Henderson area alleging adverse impacts to their private wells and private lake due to dry mining and dewatering activities at several or more mining operations in the Henderson area. In response, the Division conducted a site inspection of the Nyholt Pit on February 28, 2001 and found a significant portion of the permit area to be dewatered and dry mined. The mining and reclamation plan specifies that the operation will be carried out in a semi-wet condition, that there will be virtually no disruption of the prevailing hydrologic conditions during the life of the mine, and that all applicable Colorado water laws and regulations governing injury to existing water rights will be complied with. Following the inspection the Division began an investigation in cooperation with the Office of the State Engineer to evaluate the allegations. On Mazch 20, 2001 the Division received written correspondence from the Office of the State Engineer indicating that the operator is required to have an approved well permit and temporary substitute supply plan for existing dewatering and water management activities at the Nyholt Pit and that the operator has been delinquent in their water permitting requirements since 12/31/92. We believe this is in violation of Section 34-32.5-116(4)(h) of the Colorado Land Reclamation Act for the Extraction of Construction Materials and the mine plan and Rule 3.1.6(1) which states "Disturbances to the prevailing hydrologic balance of the affected land and of the surrounding area and to the quantity and quality of water in surface and groundwater systems both during and after the mining operation and reclamation shall be minimized by measures, including, but not limited to a) compliance with applicable Colorado water laws and regulations governing injury to existing water rights ..." OF COLORADO I I~ I I~ I I~'I~~ II~ 999 Therefore, we have found reason to believe a violation exists to Permit M-82-147 and the Law and have scheduled this matter before the Mined Land Reclamation Board. A Formal Public