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r .) • III IIIIVIIIIIIIII~ DIVISION OF MINERALS AND GEOLOGY Depanmem ni Nalu ral Fesources 131 3 Sherman SL, Room 215 Denver, Colorado A0203 Phone: (3011 N66-1567 FA%: (3011 A32 A 106 August 16, 1996 Ms. Michelle R. Reltmann Environmental Coordinator Energy Fuels Nuclear, Inc. 1515 Arapahoe Street, Suite 9C~0 Denver, CO 80202-2110 RE: DMO DETERMINATION -West Sunday Mine -Permit No. M-81-02I And Sunday Mine -Permit No. M-77-285 Dear Ms. Rehmann: ~~ DEPARTMENT OF NATURAL, RESOURCES Roy Romer Governor lames 5 Lnchhmd Executive Diretibr Michael B Lnng Division Director The Division completed its review of your August 1995 submittal for an exemption from DMO determination. It is the Divisiolo's decision that the operator did not satisfactorily demonstrate that the operation is not a Designated Mining Operation. Specifically, the operator did no[ demonstrate that toxic-forming materials will not be exposed or disturbed in quantities sufficient to adversely affect human health, property or the environment. Pursuant to Rule 7.2.4(1)(a) "If the operator/applicant does not satisfactorily demonstrate to the Office that [he operation is no[ a Designated Mining Operation, the Office shall make a final determination that the operation is a Designated Mining Operation. In order to demonstrate that ¢oxic-forming materials are or are not exposed or disturbed in quantities sufficient to adversely affect human health, property or the environment, the operator will be required to collect samples from the waste dumps for chemical analyses. The material should be analyzed, primarily, for uranium and vanadium. Since the biggest problem with waste rock is the potential long-term exposure to ionizing radiation from Radium-226, collection of the samples can be determined by radio-metric surveys. Only those samples that exhibit high radioactive constituents (high scintillometer readings) need to be collected and analyzed. STATE OF COLORADO The operator will be required to collect an adequate amount of samples from the Sunday and West Sunday waste dumps by September 30, 1996. The results of the analyses must be submitted to be Division prior to November 1, 1996.