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DRMS, MD-02 <br />April 14, 2009 <br />aquifer. Powertech is taking this approach in order simplify the situation and to minimize <br />soil impacts and to prevent and/or minimize potential impacts to the environment. <br />While Powertech maintains its position that the previously submitted MD-02 would be fully <br />protective of the uppermost aquifer, the current approach will eliminate the needless research <br />and drafting of technical responses to justify the prior proposal. Therefore, inasmuch as the <br />data and information requested in Item 3 becomes irrelevant under the current plan, <br />Powertech does not intend to develop and submit the listed information and data, with the <br />exception of 3.a., as the requested reports have already been submitted as part of Powertech's <br />request for bond reduction under NOI -2007-15. <br />4. Again, with the withdrawal of MD-02 and the switch to Baker tanks above ground, <br />Powertech believes that development of the information in item 4 is no longer necessary. <br />Therefore there is no need to develop it at this time. <br />5. While item 5 requests information upon which a final decision on the previously <br />proposed water disposal pit depends, and which is unnecessary for that purpose, Powertech <br />agrees to submit the well completion and development reports for the new pump test wells <br />and water quality data from a minimum of one sample from each well. Also, as requested, <br />Powertech will notify DRMS at least five working days prior to sampling of the wells so that <br />sampling can be observed and split samples collected, if that is desired. Additionally, DRMS <br />will be notified five days prior to commencement of the pumping test. <br />6. Item 6 requests information that will be presented in the proposed pumping test plan <br />that will be submitted soon. Powertech presented a draft of this report during the March 31, <br />2009 meeting and it was agreed that this plan would be finalized to address the details of the <br />pumping test. <br />7. DRMS stated that "Many of the activities being conducted or proposed to be <br />conducted under prospecting notice P-2008-043 are baseline characterization under the <br />Colorado Mined Land Reclamation Act at 34-32-112.5(5)(a)." Further, DRMS stated that it <br />would "retain an independent third party reviewer to oversee baseline site characterization, <br />monitor field operations, and review the information collected, developed, or submitted." <br />Powertech acknowledges DRMS's position, but asserts that the activities proposed to be <br />conducted under NOI P-2008-043 are prospecting in nature and must be conducted prior to <br />development activities being undertaken. Since the purpose for the pump test is to measure <br />the technical parameters of the aquifers and aquitards to determine the suitability of the <br />aquifers for in situ leach mining, this activity clearly relates only to prospecting. See the <br />enclosed letter from counsel for additional comments on this particular issue. <br />8. DRMS provided copies of letters from the Western Mining Action Project and Weld <br />County and requested Powertech provide its position on each issue raised in each letter. <br />Powertech's response to the issue raised in the Weld County letter follows the response to the <br />letter from the Western Mining Action Project. Powertech's position regarding the three <br />issues raised by Jeffrey C. Parsons on behalf of CARD, Environment Colorado and INFORM <br />is discussed below. The enclosed letter from counsel also addresses Mr. Parsons' issues in <br />more detail.