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1.~' <br />~~ Banks and Gesso, LLC f <br />February 20, 2007 `~ <br />David A. Bird `~/ <br />Colorado Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver. CO 80203 <br />Subject: Response to Preliminary Adeguac <br />Resources, Regular 112 Application, <br />Dear Mr. Bird: <br />720 Kipling St.,Suite117 <br />Lakewood, Colorado 80215 <br />(303) 274-4277 <br />Fax ( fi27~83291 P~ <br />www. banksandgesso. com <br />FEB 212007 <br />Division of R=.~.~..~ ..,.on, <br />Mining aYtL SiliGiy <br />/~ <br />1 for Sundance <br />No. M-2006-073 <br />Lafarge is in receipt of the Preliminary Adequacy Review-01 comments for our <br />Sundance Resources Regular 112 Application, File No. M-2006-073. Banks and <br />Gesso, LLC, has been retained to compile adequacy responses and submit this <br />response on behalf of the applicant. <br />This response also includes, for the record, a revised and more detailed plan for <br />certain technical features of the operation. These revisions include: <br />1. Pre-mining installation of a slurry wall. To reduce groundwater exposure <br />and mitigate depletion effects of de-watering operations, the applicant <br />plans to install a slurry wall around the perimeter of proposed water <br />storage cells before those areas are excavated. This plan will involve <br />installation of the wall and maintenance of appropriate setbacks and side <br />slopes, as a result reducing the total mining plan in corresponding areas. <br />2. Additional berming. To address visual impacts and other concerns in the <br />local review of the resource extraction proposal, the applicant plans to <br />expand berms to include not only screening of the plant and processing <br />area and Phase 1, but most mining operations as well. The pre-mining <br />installation of slurry walls facilitates this dedication of additional <br />overburden to stockpiling as screening berms. <br />Our responses to comments raised during the adequacy review are given below <br />in the order in which they were presented, referencing the appropriate Exhibit. <br />As discussed further below, the applicant intends to submit these responses in <br />order to meet the March 2, 2007 decision date. <br />