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DIVISION OF MINERALS AND GEOLOGY Depanmenf o(Namral Resources 1313 Sherman St.. Room 215 Denver, Colorado BO203 Phane~ (3031 866-3567 FAx: (303)832-8106 DATE: Wednesday, December 13, 2000 STATE OF COLORADO DIVISION OF MINERALS GEOLOGY RECLAMATION MINING•SAFETY Bill Owens Governor TO: File No. M-]977-348 eregE walcner Executive Director FROM: Allen Sorenson ~ ~ Michael 8 Long Division D~recior RE: Silica Sludge Landfill, HOLNAM, Inc., Boettcher Quarry, Permit No. M-1977-348 During the first part of November 2000, the Division of Minerals and Geology was contacted by Mike Toelle of Holnam, Inc. and by Sam Lien of Colorado Lien Company to discuss permitting aspects of the silica sludge landfill located in mined out portions of the Boettcher Quarry. The silica s:iudge is generated at the Colorado Lien sand plant located adjacent to the Boettcher Quarry and is piped to the landfill as a slurry. The Colorado Lien sand plant is no[ operated under a reclamation permit from the Colorado Mined Land Reclamation Board; no permit is deemed necessary for the sand plant because it is not a "Mining Operation" as defined in the Colorado Mined Land Reclamation Act, section 34-32.5- 103(13), C.R.S. Large portions of the mining disturbance at the Boettcher Quarry preda':e the Mined Land Reclamation Act, and as long as these areas are not re-disturbed they are considered pre law and are exempt from reclamation requirements. Al] areas of the Boettcher Quarry disturbed or redis[urbed following issuance of reclamation permit M-1977-348 are subject to the reclamation requirements described in the permit. The silica sludge landfill is located at the south end of the A-band quarry designated as area A1. Holnam owns the land where the silica sludge disposal is occurring. Holnam and Colore.do Lien aze considering the sale of the landfill to Colorado Lien. As a component of the transfer of real estate, Holnam wants to have the landfill area removed from their reclamation permit. However, the Colorado Mined Land Reclamation Ac[ requires that land disturbed by mining remain under a reclamation permit until such time that the land has been reclaimed to a beneficial post mining land use. Colorado Lien has expressed a willingness to obtain a reclamation permit, sepazate from the Holnam Boettcher Quarry Permit, that would provide for reclamation of [he silica sludge landfill. The permit issue3 to Colorado Lien for the landfill would be for reclamation only; there would be no mining plan included. Once a bond is posted and a reclamation permit is issued [o Colorado Lien, Holnam could have that portion of land deleted from reclamation permit M-1977-348 via an acreage reduction (AR) revision. The Division of Minerals and Geology has completed a review of the Boettcher Quarry reclamation permit file and has determined that the following issues are relevant to the process of transferring ownership and the operational and closure responsibility of the landfill to Colorado Lien.