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EXHIBIT 16 <br />MEMORANDUM <br />Toy Corey Hoffmann <br />FROM: Jon Ford <br />FILE: 1 L82BLH01 <br />HATE: November l0, 2005 <br />ttE: Potential for Radioactive Elements to be Present at Proposed MMRR Quarry Site <br />We have reviewed a letter report by Banks and Gesso, LLC dated August 16, 2005, a letter <br />report by Jim Paschis dated August 14, 2005 regarding the potential for uranium and other <br />radioactive elements to be encountered at the proposed MMRR quarry, Banks and Gesso, LLC <br />response to 3rd Adequacy Review letter dated September 14, 2005 that describes the applicants <br />proposed radioactivity monitoring and our February 2004 Well Completion Report for the Black <br />Hawk/Central City Sanitation District well. From this information, we have reached the <br />following conclusions: <br />1) The fact that radionuclides have not been documented at the site as reported in <br />regional scale publications as discussed by Banks and Gesso, is not evidence that they <br />are not present at the site. <br />2) The lack of a surface radioactive anomaly as reported by Paschis is not evidence that <br />a radioactive ore body is not present at depth beneath the site and it certainly is not <br />evidence that low-grade concentrations of radioactive elements are not present at the <br />site. <br />3) Because the reported uranium occurrences effectively surround the site, as shown on <br />the attached figure (includes radionuclides found in water from the Black <br />Hawk/Central City Sanitation District well located less than 0.1 miles from the quarry <br />property), we conclude that the site is located in an area of known occurrence of <br />radioactive elements and that there is a reasonable probability that radioactive <br />elements will be encountered at the site. <br />LEONARD RICE ENGINEERS. INC. <br />2000 CLAY STREET. SUITE 300. DENVER, COLORApO 8021 1 ~51 19 • PHONE (303) 4559589 • FAx (309) 45591 15 <br />