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• <br />07/11/1996 <br />10:37 303-247-5104 <br />MINERALS & GEOLOGY <br />PAGE 02 <br />STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />OeDartment of Natural Resources <br />7373 Sherman 57., Rrwm 215 <br />Denver, Colundo 00203 <br />Phone: U03) 866.7567 <br />FnX: {}037 832-8106 <br />DATE: July 11, 1996 Roy Ramer <br />Goverrror <br />TO: Bruce Sumphriea, Jim 8tevaas, Allen Sorenson, Ifarrypii66t11auQ.d <br />E,KUm,e Dlrecror <br />BRODS: Tom Oillis~o~ MichaN B.luny <br />Divifion Direcror <br />RS: Suanyside Mine, psrait 2Io. 11-77=378, Zteviaw cff Operator's <br />Coat Estiaate for Hulkluad Beal )iteplace7aent (Tlt-14) . <br />I have coa~leted a revlw-of the operator's coat eetimat~ for replacing <br />the bulkhead seals at the American is Terry Tuuaels. In general, the <br />estimate appears very detailed and thorough is the oa:lculation of <br />direct costa. The list o! specific tasks and associated costa are <br />probably an aacurats refleotioa of the operator's diref:t experience <br />with instailatlon o! the bulkheads presently is place at the mina. <br />• <br />However, I do have some concerns regarding possible additional costa <br />that might be incurred by the Diviaioa under a lut:ure bulkhead <br />replacement scenario as outlined below. <br />1. Coat savings !tams. Tha operator indicated that oartaia costa <br />contained is the operator's estimate would not be incurred by the <br />Diviaioa i! bulkhead replacement wan required. Howlevnr, it would <br />seam probable that most, if not all, of the "cost a7avings• items <br />subtracted from the operator's estimate might very well be <br />iaaurred by the Diviaioa if replacement were to ooaur after mine <br />faailitise have bees dacommiasioned ae part of fiaa:L reclamation, <br />mining equipment has been removed, utilities disaonnected, and <br />mine entry areas reclaimed. Additionally, other significant coats <br />may be incurred depending oa the nature sad extt7;tt of bulkhead <br />failure, and how iar in the future failure occurs. Sara are some <br />examples: <br /> <br />a. Vantilatiaa 13astallaticm st snob cite. If :Failure occurs <br />after completion of final reolamation, it is logical to <br />assume that ventilation facilities at the eurlace have bees <br />removed, sad ventilation facilities underground have <br />deteriorated dun to flooding, roof falls, etc. Evan it <br />eurfaae ventilation facilities were loft oa site, they may ba <br />is Coo poor of a condition to function due to exposure to the <br />elements, lack o! maiateaaacs, thelt or vaada:Liem. It would <br />^wem prudent to iaolude costa fora Division hlLred contractor <br />to either refurbish existing ventilation systems or install <br />a new, temporary ventilation system. <br />