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RECEIVED <br />Idazado Mining Company <br />2005 Annual Report JUL 0 3 2005 <br />Permit Number: M-1977-403-HR Division rf Minerals and Geology <br />Anniversary Date: July 1, 2006 <br />Idarado Mining Company (IMC) is implementing remediation and reclamation activities <br />as per the Consent Decree (D. Colorado Civil Action No. 83-C-2385) between the State <br />of Colorado Department of Public Health and Environment, the State of Colorado Office <br />of Attorney General, and IMC. <br />All field reclamation and remediation activities prescribed and required within the <br />Remedial Action Plan (RAP) as amended to the Consent Decree has been completed and <br />the monitoring of these reclamation and remedial activities is being conducted and will <br />continue to be conducted, at least, until calendaz 2011. No amendments to the Consent <br />Decree and RAP were conducted during the 2005 anniversazy yeaz (July 1, 2005 -July 1, <br />2006). <br />Site activities conducted during the anniversary year included: <br />a) RAP monitoring and maintenance (e.g., soil erosion, slope stability, <br />revegetation, diversion structures, etc.) was conducted where monitoring <br />activities determined repairs or maintenance was required. Spring and fall <br />season diversion structure debris removal was conducted at the Red Mountain <br />and Pandora (Telluride) operations. Debris removal and clean out of the High <br />Country channels was conducted during the summer when roadway access <br />allowed entrance to the High Country areas. Periodic water quality <br />monitoring as per the schedule and requirements prescribed in the RAP was <br />conducted. All monitoring and maintenance activities under the RAP were <br />completed in a timely fashion and to the specifications and requirements of <br />the RAP. Water management from the Red Mountain and Pandora mine <br />workings was conducted throughout the reporting period in accordance with <br />the provisions of the RAP. <br />b) Mining and milling operations associated with the Idarado Red Mountain, <br />Pandora, and High Country sites aze not and were not operationally active <br />during the permit yeaz. No mining, beneficiation or waste rock disposal <br />operations were conducted during the permit yeaz. <br />c) Work permitted under the 2004 Technical Revision (TR) was continued <br />through the 2005 anniversazy yeaz. During the period of April 2005 through <br />October 2005 miscellaneous tailing and mill/mining related wastes were <br />removed from the historic Liberty Bell mill site area. These materials were <br />removed to facilitate property development of the historic Liberty Bell mill <br />azea. As contemplated with the Division's Technical Revision, the materials <br />