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<br />Mr. Romig <br />September 23, 2005 <br />Page 2 <br />1. The most significant consumption of water associated with the new system will <br />be caused by evaporation from the sludge deposition cells. These cells will be <br />created by partitioning off a portion of the surface of Tenmile Tailings Pond. <br />The total surface area of the two cells will be approximately 38 acres. <br />Depending on the operation of the cells, at any given time they may be dry, <br />contain primarily free water, or contain wet sludge. In accordance with the <br />Readjudication Decree, the wet surfac:~ area withinthe cells wil! be included on <br />the water rights accounting form as water surface area or wet tailing, as <br />representative of the conditions in the cells. The existing accounting form <br />includes line items for both of these categories of water use, which quantifies <br />the total water surface area and wet tailing area at the Climax Mine. <br />2. There will be several water storage tanks (reaction chambers, clarifiers, mixing <br />tanks, etc.) associated with the sludge densification plant. The total surface <br />area of these tanks is expected to be less than one acre. It is possible that all <br />of these tanks will be covered. The surface area of the tanks that are not <br />covered will be included on the accounting form under the total water surface <br />area at the site, as described in Item 1 above. <br />3. There will be a small seepwater collection pond at the toe of No. 3 Dam. The <br />surface area of this collection pond is expected to be less than one acre. The <br />water surface area of this pond will be included on the accounting form under <br />the total water surface area at the site, as described in Item 1 above. <br />4. Although the amount of water used in the lime slaking process is not expected <br />to change significantly, this water use is quantified monthly and accounted for <br />as a line item on the water rights accounting form. <br />5. There will be a small bathroom located in the new sludge densification plant. <br />The water source for this facility will be from the Climax water system. It is <br />expected that this potable water use at the plant, which is covered under the <br />Readjudication Decree, will be insignificant in comparison to the overall water <br />