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<br />Introduction <br />Connell Resources, Inc. is expanding the mining operation at the Camilletti Pit. The existing <br />Camilletti permit (M-1987-164) area of approximately 21 acres is located in the Northeast 1/4 of <br />Section 11, Township 6 North, Range 88 West of the Sixth P.M. in Routt County The proposed <br />permit expansion area of approximately 15 acres is also located in the Northeast 1/4 of said <br />section as described in the attached document, dated July 18, 2008. This proposed permit <br />expansion area includes an approximately 14 acre parcel located to the west of the existing <br />permit area (denoted parcel B1), as well as an approximately 1 acre parcel located at the <br />northeast corner of the existing permit area (denoted parcel Al). <br />Approximately 1 acre of the proposed permit expansion area overlaps the existing Camilletti <br />permit area due to an ownership change during the mining process. Therefore, the amended <br />permit boundary includes approximately 35 acres, more or less. <br />The main entrance to the mine site from Routt County Road 51A is located at latitude <br />40.493742° N, longitude 107.226533° W. <br />The proposed mining operation will extract gravel reserves on the property. A slope stability <br />analysis was performed to analyze safe mining and reclamation conditions. This report contains <br />an overview of geotechnical results and methodology used in the analysis of the mining slopes. <br />Overview <br />The Division of Reclamation, Mining, and Safety mining plan proposes that the sand and gravel <br />pit will be mined in one large cell. During mining the highwall will be mined at a near vertical <br />slope a cross section is included showing the mining section. The final reclaimed use for the <br />Camilletti Project site is to return areas used originally as cropland back to cropland and areas <br />used as grazing lands back to grazing lands. Maximum reclaimed slopes will not exceed 3H:1 V <br />to ensure slope stability, as shown in Exhibit F (Reclamation Plan Map). A 12 foot wide access <br />road will remain on the property after reclamation has been completed. An exhibit illustrating a <br />typical maximum cross section is included. <br />Geotechnical Data <br />Since the mine is currently being mined the stability analysis was done as a check. Therefore <br />conservative numbers were assumed since the site has been mined for 10 years and the stability <br />has been adequate. <br />The Design of Small Dams book was used to establish soil properties including densities, and the <br />value ranges for cohesion and friction angle based on all soil classifications. The values were <br />used in a sensitivity analysis to determine conservative, worst-case scenarios. Table 1 represents <br />a summary of the soil strength parameters that were used in this stability analysis.