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OF COO <br /> 999 <br /> �T 9$ DEPARTMENT OF NATURAL RESOURCES <br /> 4 t David H.Getchee,Executive Director <br /> MINED LAND RECLAMATION DIVISION <br /> s 1876 + DAVID C.SHELTON, Director <br /> Richard D.Lamm <br /> Governor <br /> March 14, 1985 <br /> Mr. Garry Miller <br /> Centennial Gold Corporation/Marathon Gold Corporation <br /> 50 Spurce Street <br /> Craig, Colorado 81652 <br /> Re: Prospecting Versus Mining Issue <br /> Dear Mr. Miller: <br /> We have received correspondence from you concerning both Centennial ' s and <br /> Marathon's "Prospecting Operations". The description of your operations, pit <br /> sizes and locations clarifies the extent of your activities. <br /> Based upon our review of your permit, inspection of the site and review of <br /> your recently submitted maps it appears that your bulk sampling activity is <br /> directly linked to the operation of the pilot plant. If this is the case, <br /> then we believe the bulk sampling program would be considered "Development" as <br /> defined in C.R.S. 34-32-103(4) below, and should be included in the permit for <br /> the pilot plant operation : <br /> (6) "Development" means the work performed in relation to a deposit, <br /> following the exploration required to prove minerals are inexistence in <br /> commercial quantities but prior to production activities, aimed at, but <br /> not limited to, preparing the site for mining, defining further the ore <br /> deposit by drilling or other means, conducting pilot operations, <br /> constructing roads or ancillary facilities, and other related <br /> activities. <br /> Additionally, it appears that the disturbance from your bulk sampling program <br /> exceeds the scope of the Centennial Notice of Intent and that it is <br /> underbonded. <br /> We recommend that Marathon Gold Corporation submit an amendment to its <br /> existing 112 pilot plant operation permit to incorporate the activities <br /> associated with the bulk sampling program and provide sufficient financial <br /> warranty for reclamation of these activities. The amended permit should <br /> include the area that covers the existing pits and also any proposed pits. If <br /> the locations of the proposed pits are known, then it would be a simple matter <br /> of permitting those specific locations and associated roads. If the exact <br /> location is not yet known then a larger area could be permitted. For example <br /> 423 Centennial Building, 1313 Sherman Street Denver, Colorado 80203 Tel. (303) 866-3567 <br />