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It should be noted that less than 55,000 gallons of water were discharged in May 2008. <br />This is well below the permitted discharge volume of 930,000 gallons (based on the 0.03 <br />mgd permit limit over 31 days). <br />Two exceedances occurred for total suspended solids (TSS); one exceedance each for the <br />average and daily maximum effluent limitations. The following factors likely caused <br />high TSS levels in May: <br />• The mine sump underwent considerable rehabilitation work in an effort to treat <br />water for TSS before it leaves the mine workings <br />• High winds during the period of discharge may have contributed to stirring of <br />sediment in the untreated water tank <br />• The polymer line clogged during treatment and resulted in a shorter time of <br />additional prior to treatment <br />Energy Fuels has been adding a polymer in effort to treat for TSS in the untreated water <br />tank. In an effort to better treat for TSS, Energy Fuels is has begun adding an additional <br />flocculant following the May discharge. Preliminary results from the most recent <br />discharge event in June indicate that the TSS levels are below detectable limits (<10 <br />mg/L). The mine sump rehabilitation in the mine is now nearly complete. With the mine <br />rehabilitation now nearly complete, Energy Fuels expects that the TSS water being <br />pumped from the mine will be much clearer and TSS levels will be far lower in the <br />future. <br />Dissolved iron, sulfate, and nitrate levels are being monitored in the discharge samples at the <br />request of WQCD. Dissolved iron in the discharge samples was detected at 0.55 mg/L, <br />sulfate was detected at 132 mg/L, and nitrate was detected at 2.6 mg/L. <br />Please contact me at (303) 974-2151 if you need any additional information. <br />Sincerely, <br />Zach Rogers <br />Cc: Jeff Osborn, Frank Filas, Marty Olson (Energy Fuels) <br />Attachment: May 2008 DMR <br />litaer y F`ttels, ltic, 44 Union Blvd, SuRe 600 <br />wv -etwrgy itekcorn l ake%vood. Colorado 80-128 <br />11hotte: 30-3-974-2140 <br />]:a--,-: 103-974-2141