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STATE OF COLORADO DIVISION OF MINERALS AND GEOLOGY Department of Natural Resources 1313 Sherman St., Room 215 Denver, Colorado 80203 Phone: (303) 866-3567 rAX: (303) 832-8106 January 23, 2003 Ron Thompson Basin Resources, Inc. c/o Peak Project Management 3800 County Road 63.9 Trinidad CO 81082 RE: 2001 Annual Reclamation Report Review, Golden Eagle Mine, #C-81-013 Dear Mr. Thompson: DIVISION O F MINERALS GEOLOGY RECLAMATION MININ G•SAFETY Bill Owens Governor Greg E. Walther Executive Director Ronald W. Cattany Acting Division Director Please be advised that the February 15, 2003 deadline for submittal of the 2002 Annual Reclamation Report is rapidly approaching. Prior to submittal of that report, please review comments below associated with past reviews and review of the 2001 ARR. Incorporate any necessary changes in the 2002 report as well. Please respond to the questions or comments as necessary with 45 days of receipt of this letter. 2001 ARR Review 1. The Division shows receipt of a response to our review letter dated March 5, 2002 for the 2000 ARR regarding Table F of the report. However, the 2001 ARR was submitted in August 2002 and this change was not made to that report. Please submit changes as necessary to the 2001 report that incorporate the lowered and corrected acreage based on the Table F change. 2. The title for categories B-E refer to work done in the year 2000. Should this be 2001 since it is the 2001 ARR? Please explain and correct if necessary. 3. No map is referenced for the bleeder fan and Apache Canyon #2 areas. All areas should be clearly labeled and shown on a map. Please include a map for these areas in future reports beginning with the 2002 ARR. 4. Category G refers to the 1999 Annual Hydrology Map. The last map regarding reclamation received by the Division is the 1998 Annual Reclamation Report map. Please explain what is meant by reference to the hydrology map. 5. Page 2.05-21 of the permit states that "evaluation of seeded areas shall occur in year 4 and two years prior to bond release." This same permit page also states "species diversity and visual cover estimates will be monitored in the third growing season following seeding." The permit also states that "the results of any revegetation success evaluation will be submitted to the Division in the Annual Reclamation Report for the year." Please provide discussion on your interpretation of these requirements and any future plans for evaluation of revegetation at the site. 6. Page 2.05-19 of the permit states that a Weed Control Plan will be submitted to the Division prior to the use of herbicides. The Division is unaware of such a plan. Please direct us to the approved plan or provide a weed control plan for review in the 2002 ARR.