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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Na[ural Resources <br />1373 Sherman 6t., Room 275 <br />Denver, Colorado 80203 <br />Phone: (3031 866-3567 <br />FAX: (303) 832-8106 <br />February 24, 2005 <br />COLORADO <br />DIVISION O F <br />MINERALS <br />GEOLOGY <br />0.EClAM ATION•MIN ING <br />SAf ETY•S LIEN CE <br />Bill Owens <br />Governor <br />Glen Williams Russell George <br />Cotter Corporation ~ Ezetutive Director <br />P.O. BOX 700 Ronald W. Cottony <br />Nuela, Colorado 81424 Division Director <br />/ ~/ / / Natural Resource Trustee <br />Re: Review of Permitted Sites, Permit No.'s M-1977-308, M-1977-310, and M-19V84-014, To Ensure <br />"Designated Mining Operation" Status Is Not Required. <br />Dear Mr. Williams: <br />' The Division of Minerals and Geology (Division) is pleased to'hearthatrmining operations have once: again been -. ; <br />'' ~ :-undertaken at the permitted sites noted above. Due to the length of time and-change.in goalssince these sites= ; . . <br />were permitted, the Division has instructed staff to review alt permits to ensure that the-sites comply.with.all : - <br />`applicable rules ahd regulations. Originally, the 3 sites noted-above were mothballed and slated far little activity or . . <br />reclamation. Under current economic conditions, Cotter-has resumed mining operations, which.must. now be <br />reviewed as noted. <br />The primary issue of concern to the Division is whether current activities will place the permitted sites in the <br />"Designated Mining Operation" (DMO) category under CRS 34-32-112.5, Rule 6 and 7 of the Hard Rock /Metals <br />Rules. Please find enclosed a copy of the sfatute.and rules pertaining to "DMO"designations.. Staff asks that . <br />'Cgtter please review its permits in regard to DMO regulations and be ready to address any issues concerning; the:.- <br />Rules. Rule 3.1.7 which is specific to'groundwater was noon:effect when the:permits were originally approved, but <br />the Division now will ask that the Rule be addressed. The Division would-like to make,it clear that:no issues have <br />been identified, but a thorough review is in order under the circumstances. <br />,~ <br />Waste rack characteristics, disposal, ore storage and groundwater issues are specific issues under current site <br />activities that may have significant surtace impacts that may need to be reflected in bonding for reclamation liability. <br />Staff will review mining and reclamation plans with Cotter to ensure Rule compliance and adequate bonding is in <br />place. <br />Staff will be contacting Cotter in early March Yo set up site inspections and permit reviews,for the 3-noted permitted <br />sites. <br />If you need additional information, please contact me at the Division of Minerals and Geology, Grand Junction Field <br />Office, 101 S. 3rd St., Suite 301, Grand Junction, Colorado 81501, telephone no. 970.241.1117. <br />Sincerely, <br />G. Russell Means <br />Environmental Protection Specialist <br />Cc: Bruce Humphries, Minerals Supervisor, Denver Office (e-mail) <br />Cc: Carl Mount, Senior Environmental Protection Specialist, North Team, Denver Office (e-mail) <br />Cc: Alien Sorenson, DMG Mining Engineer, Denver Office (e-mail) <br />Office of Office of Colorado <br />