REV89442

• Permit No: M1977342
• IBM Index Class Name: Revision
• Doc Date: 5/31/1996
• Doc Name: WATER TREATMENT FACILITY IN THE URAD VALLEY HENDERSON MINE AMENDMENT AM-02 PN M-77-342
• From: DMG
• To: CLIMAX MOLYBDENUM CO
• Type & Sequence: AM2
• Media Type: D
• Archive: No

• iii iiiiiiiiiiiuiii •
STATE OF COLORADO
DIVISION Of MINERALS AND GEOLOGY
Depanmenl of Natural Resources
1313 Sherman St., Room 215
Denver, Colorado 80203
Phone: [phone]
FAX: [phone]
May 31, 1996
Ms. Anne Beierle
Climax Molybdenum Company
P.O. Box 68
~~~
DEPARTMENT OF
NATURAL
RESOURCES
Roy Romer
Governor
lames 5. L«hhmd
Evecmive Director
Empire, CO 80438 Mic harlB Lung
Din sion Uncnur
RE: Water Treatment Facility in the IIrad Valley, Henderson
Mine, Amendment AM-02, Permit No. M-77-342
Dear Ms. Beierle:
This letter is intended to respond to your request for a determination
that the proposed water treatment plant at Urad is not subject to the
requirements of a reclamation permit. The Division of Minerals and
Geology has determined that the proposed water treatment facility in the
Urad Valley does not need to be incorporated into Henderson Reclamation
Permit No. M-77-342, as long as the following conditions are met:
1. Climax Molybdenum Company (CMC) must maintain water treatment
facilities at the Henderson Mine site that are adequate to assure
compliance with the applicable CDPS Permits for the Henderson Mine, or,
alternatively, CMC must post financial warranty sufficient to construct
new facilities, modify existing facilities, or resurrect decommissioned
facilities at the Henderson Mine that will be adequate to assure
compliance with CDPS Permits during the period of reclamation.
2. CMC must post financial warranty sufficient to allow the Division to
operate the Henderson Mine water treatment facilities during the period
of reclamation in the event of permit revocation and bond forfeiture. CMC
must provide a plan for reclamation that could be followed by the Division
in the event of bond forfeiture that would eliminate or minimize the need
for pumping and treating Henderson Mine water. The reclamation plan
provided need not be the primary plan to be implemented by CMC at the time
of mine closure, but could be an alternate plan that could be implemented
by the Division in the unlikely event that the Division reclaims the site.
3. The commitments and financial warranties necessary to implement items
no. 1 and 2 above, must be incorporated into Reclamation Permit No. M-77-
342 through the technical revision process.
4. The application for amendment AM-002 to Permit No. M-77-342 will be
withdrawn by CMC.
5. The technical revision discussed in item no. 3 above must be
submitted to the Division within 60 days after amendment application AM-