2008-09-17_REVISION - M1980244 (28)

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CC&V previously included an approximate height limitation of about 10,600 feet and is • proposing under this MLE Project Amendment to include new proposed approximate final topography of the SGOSA at approximately 10,635 feet. Drawing F-1 from Amendment No. 8 and the Technical Revision for the East Cresson Mine Extension had proposed final topography at approximately 10,600 feet. Text on page 57 from the Project Description within Amendment No. 8 stated "The total capacity of the Amendment No. 8 SGOSA is approximately 410 million tons when constructed to an elevation of approximately 10,600 feet amsl." Surrounding peaks within the permit boundary include the peak at American Eagles at approximately 10,775 feet and Bull Cliffs at approximately 10,740 feet. CC&V is planning current and future activities above the 10,600 foot elevation in order to keep mining disturbances located within the area of influence of the diatreme. The reclamation plan addresses the blending of these features with the surrounding topography. F. CC&V states, "Most of the activities discussed in section 5.0 are anticipated to take place prior to 2016, but may vary due to price of gold, weather conditions, and myriads of other factors, as such, time frames may vary, from those addressed in this document and the engineering designs contained in this document and are based on the best information currently available". The Division understands that all the factors mentioned by CC&V could affect the final outcome or change the proposed plan. However, DRMS, also has the responsibility to make sure the warranty posted for the proposed disturbances are worst case scenarios and any changes that could be the outcome of the reasons discussed above can be submitted as a future revision to the permit. Are the conceptual mining phases and • overburden placement depicted in the conceptual drawing C-5 the worst case scenario through 2016, which will end the current proposed mining plan? Please explain. Response. Conceptual Drawing C-5 presents anticipated maximum disturbance proposed by CC&V and therefore satisfies the DBMS financial warranty requirements. As has always been the case for the Cresson Project, updates to the mining plans occur regularly and are reported through the annual reports process, the technical revision process, or the amendment process as appropriate. If these relatively minor changes require a change in the reclamation warranty, such change is included in the future submittal to DRMS. The warranty posted for the proposed MLE Project is always posted at the "worst case scenario" of mine build out and factors in the warranty associated with complete reclamation of each individual facility at the stage ("worst-case scenario") of the project. G. The old cabin owned by Mr. and Mrs. Raymond in the Clyde mining claim will likely be impacted by the proposed mining and blasting activities proposed under the current plan. How does CC&V plan to address this, when mining in close proximity to this structure? A timely letter of concern was sent to DRMS from the owner and subsequently passed on to CC&V. Please explain. Response: • Since submittal of the application, CC&V has worked with the owner of the old cabin (Armand Raymond) to reach a purchase agreement. As a result, CC&V has obtained ownership of the cabin and associated property. in