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April 15, 2009 <br />Mr. Kye Abraham <br />LKA International, Inc. <br />3724 47"' St. Ct. NW <br />Gig Harbor, WA 98335 <br />RECENED <br />APR 2 7 2009 <br />Division of Pied-mation, <br />Minsng and Safety <br />;pg <br />,,; 24T <br />Re: Golden Wonder Mine, Permit M-1978-091 UG, Level 6 <br />Characterization Report, Response to Operator's Request for Extension. <br />Hydrologic <br />Dear Mr. Abraham: <br />The following presents Gault Group, Inc.'s (GGI) understanding of the key concerns expressed <br />by the Colorado Division of Reclamation Mining & Safety (DRMS) in their letter dated February <br />9, 2009 along with a response to each of those concerns. <br />DRMS provided four `General Comments' as summarized below. In addition to the general <br />comments, DRMS included a list of specific comments that delve into the details of the analysis. <br />Many of the bulleted comments appear to be the commenter's stated views or opinions rather <br />than a specific request for information. The remaining specific comments seem to revisit the <br />general comments and GGI has attempted to address those in the general response as well. <br />COMMENT #1: Summary of DRMS's concerns: The site setting indicates that the toe seeps <br />may still be comprised of `shallow ground water flow/interflow' from Deadman Gulch. DRMS <br />is not certain that the geotextile channel is containing all the possible flow that is transmitted <br />through the Gulch. <br />RESPONSE: The most compelling evidence that demonstrates the effectiveness of the <br />Deadman Gulch geotextile channel is from direct observation of surface flows. The <br />channel was completed in - September 2007 and there were several occasions when <br />water was observed in the geotextile channel from Gulch flows, and there were no flows <br />at the toe seeps. Given the physical location of the seeps in relation to the `notched cut' <br />where the emergent flows are captured into the geotextile channel; it stands to reason that <br />if the toe seeps were significantly comprised of gulch alluvium flow, then there would be <br />a cumulative gain underneath the pile and the seeps would flow whenever there was <br />2355 East Camelback Road, Suite 860 • Phoenix, AZ 85016 • Ph. 602.294.6652 Fx. 602.294.6659 <br />1250 24th Street North West, Suite 300 • Washington, DC 20037 • Ph. 202.467.8343 <br />36 West Main Street • Cortez, CO 81321 • Ph 970.565.1222 Fx 970.565-1226 <br />960 <br />M <br />aR? <br />www.gaultarour).com