2008-05-28_REPORT - C1981018

• Permit No: C1981018
• IBM Index Class Name: REPORT
• Doc Date: 5/28/2008
• Doc Name: 2007 AHR Review Letter
• From: DRMS
• To: Blue Mountain Energy Inc
• Annual Report Year: 2007
• Permit Index Doc Type: Hydrology Report
• Email Name: JDM
• Media Type: D
• Archive: No

STATE OF COLORADO
DIVISION OF RECLAMATION, MINING AND SAFETY
Department of Natural Resources
1313 Sherman St., Room 215
Denver, Colorado 80203 C O L O R A D O
Phone: [phone] D IV IS I ON OF

FAX: [phone] RECLAMATION
M I N I N G
- 8c-
SAFETY
May 28, 2008
Bill Ritter, Jr.
Governor
Scott Wanstedt Harris D. Sherman
Blue Mountain Energy, Inc. Executive Director
3607 County Road #65 Ronald W. Cattany

Ran
el
CO 81648 Division Director
g
y, Natural Resource Trustee
RE: Deserado Mine (Permit No. C-1981-018)
2007 Annual Hydrology Report Review
Dear Mr. Wanstedt,
The Division has completed its review of the above referenced report received on 04 Feb 2008. The
Division finds the 2007 Annual Hydrology Report (AHR) in compliance of the following Rules:
Rule 4.05.13(4)(a) - The data compiled in the 2007 AHR is kept and maintained at the Deserado Mine
office.
Rule 4.05.13(4)(c) - The 2007 AHR is in compliance of this rule, as the report was received by the
Division on 04 February 2008.
Rules 4.05.13(4)(c)(i), (ii), (iii) - The 2007 AHR identifies the water quality data obtained during the
2007 water year. This includes data from each monitoring site. The AHR included interpretation of
the data and related impacts to the hydrologic balance.
Following is a review as per the predicted probable hydrologic consequences based on the base line
predictions in the Deserado Mine permit. Predictions appear to be accurate and meet the operator's
obligations.
1. PHC: The impact of mining on the quantity of water in the White River will be minimal.
The water withdrawal rate from the lagoon at the White River during the 2007 reporting year
was estimated at 112,855,316 gallons or 346 acre-feet. This compares with an expected
withdrawal rate of 552 acre-feet per year at full production.
Office of Office of
Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines