2001-06-04_PERMIT FILE - M2000158

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IV. Applicant shall extend pumping times and otherwise regulate pumping practices to reduce potential impacts on neighboring wells. V. Once the dredge has been assembled, de-watering activities shall cease. VI. In the event neighboring wells are injured by Applicant's activities, Applicant shall be required to cease all de-watering activity until such injury is remedied and Applicant demonstrates that no such injury will occur in the future. In addition, Applicant shall be required to compensate the owner of any injured well for damages sustained as a result of any injury caused by Applicant's activities. 2. The Applicant must demonstrate an ability to augment ground water evaporation losses from the pits at full build out. Applicant currently owns insufficient water for augmentation. A 112 permit should be made contingent upon Applicant's demonstration of ownership or control of water sufficient to augment evaporation losses and adjudication of a decreed augmentation plan. EXHIBITS 1. Leaf Engineering Letter Reports dated February 28, 2001, and March 26, 2001. 2. Copies of well permit files for all neighboring wells, including but not limited to permit nos. 14041, 3-14540, 3-14042, 10747, 2-14043, 11494, 13626, 5-14542, 1-12022, 12948, 1-12934, 1-14131. 3. The permit application, all materials submitted by Applicant to the Division of Minerals and Geology, and all correspondence between the Division and the Applicant. WITNESSES 1. Forrest Leaf, P.E., Leaf Engineering, to testify as an expert witness concerning his investigation of the application herein. Mr. Leafs resume is attached hereto as Exhibit "A." 2. Michael Ptasnik. Dr. Ptasnik will testify as to his ownership of neighboring wells, his use of those wells, and his concerns with the de-watering plans of the Applicant. DATED this 4th day of June, 2001. LIND, LAWRENCE & OTTENHOFF LLP F:\KIM\Ptasnik,Michael\010604 DMG Pre-Hearing Statement.wpd 2