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J&T Consulting, Inc. <br />October 17, 2008 <br />Mr. Michael Cunningham <br />State of Colorado <br />Division of Reclamation, Mining, & Safety <br />1313 Sherman St., Room 215 <br />Denver, CO 80203 <br />RE: Broken Arrow Investments, LLC, Derr Pit, File No. M-2008-017, Adequacy Review <br />Comment Responses <br />Dear Mr. Cunningham, <br />J&T Consulting, Inc. and Broken Arrow Investments, LLC have reviewed the adequacy review <br />comments. We met with you on October 3, 2008 to discuss the comments to ensure that the <br />responses we are providing in this letter along with revised exhibits would address the <br />comments adequately. Thank you for taking the time to meet with us and discuss the comments <br />as it was very helpful in clarifying the concerns the Division of Reclamation, Mining, and Safety <br />had with our permit application. The following are our responses to each of the numbered <br />comments you provided in your August 20, 2008 review letter: <br />1. The Division received comments from the Colorado Historical Society, <br />Colorado Division of Water Resources, and Army Corps of Engineers. The <br />letters are attached for your review. Please address the comments noted in the <br />letters, and make any changes in the application as necessary. <br />Response: <br />The comments from the Colorado Historical Society indicated that no additional <br />information from the application is needed, however if human remains are <br />discovered during the mining activities that the requirements under State law CRS <br />24-80 part 13 apply and must be followed. Broken Arrow Investments, LLC will follow <br />the state law if human remains are discovered. The comments from the Colorado <br />Historical Society do not require any changes to the application. <br />The comments from the Army Corps of Engineers do not require any changes to the <br />application. <br />The comments from the Colorado Division of Water Resources are valid when <br />groundwater is exposed and consumed. The phasing of the mining is such that <br />groundwater will not be exposed or consumed until Phase 2 of the mining. Phases <br />IA-IC will be mined prior to Phase 2 and groundwater will not be exposed during <br />these phases. A letter is attached from Mr. Jeff Deatherage dated August 6, 2008 to <br />Weld County indicating the requirements, plans, and permits that must be in place <br />and approved by the Division of Water Resources prior to groundwater being <br />V 1400 W 122nd Avenue - Suite 120 • Westminster CO 80234 • Ph: 303-457-0735 • Fax: 303-920-0343