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Golder Associates Inc. <br />44 Union Boulevard, Suite 300 <br />Lakewood, CO USA 80228 <br />Telephone: (303) 980-0540 <br />Fax: (303) 985-2080 <br />www.golder.com <br />May 15, 2007 <br />RECEIVED <br />14181, MAY 15 1007 <br />?9 n <br />?? , <br />"MW <br />(P-1=de <br />Our Ref: 073-2140 <br />Cripple Creek & Victor Gold Mining Company <br />P.O. Box 191 <br />Victor, CO 80860 <br />Attention: Mr. Kevin Riley Process Operations Manager <br />RE: PROPOSED UNCERTIFIED LINER ISOLATION BARRIER, LOCATED NEAR <br />THE EXISTING LOAD OUT BIN, CRIPPLE CREEK AND VICTOR GOLD MINING <br />COMPANY, VICTOR, COLORADO <br />Dear Kevin: <br />Golder Associates, Inc. (Golder) has prepared this letter for the AngloGold Ashanti (Colorado) <br />Corporations' Cripple Creek and Victor Gold Mining Co. (CC&V) to present the engineering design <br />for the construction of a geomembrane liner barrier and for ore placement upslope of the existing <br />Phase IV load out bin (LOB) uncertified liner area. <br />Background <br />The thickness of drain cover fill (DCF) required to protect the integrity of the primary LLDPE <br />geomembrane liner is a function of the maximum stress level anticipated. In the immediate vicinity <br />of the LOB, Golder's Phase IV design provided for a minimum DCF thickness of 10 feet as a result <br />of ore haulage being conducted with 240-ton haul trucks. When CC&V commenced haulage with <br />300-ton haul trucks, the minimum required thickness of DCF increased from 10 feet to 20 feet. The <br />DCF in the areas adjacent to the LOB, where truck haulage from 300-ton haul trucks has occurred, no <br />longer meets the minimum thickness requirement for the maximum equipment load at the liner <br />interface (8.7 psi per the design criteria). As such, the primary LLDPE in this area is now designated <br />as uncertified liner. Leach solution has not been allowed to come into contact with the uncertified <br />area due to the potential of damage to the primary LLDPE geomembrane liner from haul traffic. <br />The area of uncertified liner is relatively small, covering approximately 56,240 square feet. However, <br />the presence of the uncertified liner currently precludes placement of ore over a much larger area of <br />the leach pad located up-gradient from the LOB. <br />The LOB is located on the southeast corner of the Phase IVc heap leach pad. Moving the LOB to a <br />new off-pad location and then reconstructing the uncertified liner is the only technically feasible way <br />to regain all of the ore capacity lost due as a result of the location of the uncertified liner. CC&V has <br />recently evaluated this option, and has decided it is not feasible to move the LOB until later in the life <br />of the project. Constructing a liner barrier will allow ore to be placed over a significant portion of the <br />currently unusable area upgradient of the uncertified liner until such time as relocation of the LOB <br />occurs. <br />OFFICES ACROSS AFRICA, ASIA, AUSTRALIA, EUROPE, NORTH AMERICA AND SOUTH AMERICA