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such that treatment by the addition of quicklime (Ca0) and fly ash was necessary to maintain pH and metals <br />concentrations in the water pool for subsequent use in the milling and flotation circuits. Over the years, a <br />significant amount of lime and metal hydroxide precipitates was deposited in the reservoir which reduced <br />available water storage capacity in the reservoir. The sediments to be removed are a combination of <br />precipitates from the water treatment and other settled solids. <br />In order to reclaim lost water storage capacity due to sediment accumulation over time and ensure adequate <br />storage in the reservoir for future operations, Climax is preparing to begin sediments removal from the <br />reservoir in 2008. The reservoir must be drawn down as low as possible in 2008 to allow for work to be <br />performed on the outlet works and must be filled in 2009 in preparation for the commencement of mining and <br />milling operations in late 2009. This will provide a window of time to allow for removal of a maximum of <br />approximately 500,000 cubic yards of material from the upper portion of the reservoir this year. <br />The primary objectives of the Climax Robinson Lake Sediments Removal Project are to: <br />A. Reclaim water storage capacity lost in the reservoir due to sediment accumulation over time in an <br />environmentally responsible manner; <br />B. Excavate and handle/place these sediments in a manner that meets relevant statutory authorities, <br />applicable laws, codes, guidelines, regulations and standards acceptable within the mining and <br />environmental practice; <br />C. Excavate and handle/place the sediments in a manner that meets safety standards that are equal to <br />or exceed MSHA, with dedication to making health and safety a primary value. <br />2.1 Proposed Scope of Work <br />The Robinson Lake Sediments Removal work will commence with the mobilization of equipment and <br />personnel on or about 20 June 2008. In general, the scope of work to be performed as part of the project <br />includes: 1) Divert and dewater Robinson Lake, 2) Remove sediments using amechanical-excavation <br />technique (as appropriate) from the area illustrated on Figure 1, and 2) Load excavated material into <br />articulating trucks and transport the material via the haul road for placement in a sediments fill area (Figure 1) <br />located in the Tenmile tailings storage facility (TSF). <br />Specific Robinson Lake Sediments Removal tasks include the following activities: <br />3.0 Sediment Removal <br />The plan is to excavate and haul the sediment material to an area located on the Tenmile Tailing Pond, See <br />Figure 1). <br />3.1 Diversion, Dewatering and Un-watering of Sediment Material <br />A. The work will require diversion, dewatering and un-watering of the excavation area for the <br />completion of the work. Temporary diversion and pumping systems will be installed as needed and <br />allowed to discharge to the Warren's Pump Station pool. <br />Climax will divert water from the pool using the existing pumping systems. The existing systems <br />consist of a floating pump in the pool near the dam that discharges to the Warren's Pump Station <br />pool. Water removed from the main pool is lifted from the Warren's Pump Station pool and <br />delivered to the Sludge Densification Plant (SDP). Climax will be responsible for operation and <br />maintenance of these pumping systems through the duration of the project. The target elevation for <br />the pool associated with the work that will be performed on the outlet works is 10,840 feet above <br />mean sea level <br />