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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources L <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 C O L O R A D O <br />Phone: (303) 866-3567 D 1 V I 5 I O N O F <br />RECLAMATION <br />FAX: (303) 832-8106 E® MINING <br />FEB io?o j SAFETY <br />Division of Reciamatfor?, Bill Ritter, Jr. <br />February 17, 2010 Mining & Safety Governor <br />Harris D. Sherman <br />Christy Woodward Executive Director <br />Denison Mines (USA) Corp. Ronald W. Cattany <br />1050 17'r Street -Suite 950 Division Director <br />Denver, CO 80265 Natural Resource Trustee <br />Re: Environmental Protection Plans, Adequacy Responses to DMO Amendment Materials, for Permit 'Numbers: <br />M-1977-285, Sunday Mine, Amendment AM-3; M-1977416, Carnation Mine, Amendment AM-1; <br />M-1978-039 HR, St. Jude Mine, Amendment AM-1; M-1980-055 HR, Topaz Mine, Amendment AM-1; <br />M-1981-021, West Sunday Mine, Amendment AM-1. <br />Dear Ms. Woodward, <br />The Division has completed its review of the most recent adequacy submittals, pertaining to the EPPs that are being <br />finalized for the permits for the Sunday group of mines (all five permits and amendments identified above). The <br />submitted materials were received at the Division's Durango office on January 4, 2010, which was before the decision <br />date. The complexity of the materials, however, required additional review time by Division staff, beyond the decision <br />date. The submittal is nevertheless considered timely and the Division will proceed toward decisions on the <br />amendments. <br />The five permits are each being amended presently to include their respective EPP. Your submitted EPP materials <br />were combined into one set of documents, though each permitted area is treated individually when appropriate. <br />Similarly, this response letter will include comments for the combined permits and separate comments for individual <br />permits, as appropriate. <br />The following paragraphs contain comments by the Division, for all issues and recent responses provided by Denison <br />that the Division still considers to be inadequate. (The Division's comments, below, are not necessarily arranged in <br />the same order as in previous correspondence.) All topics considered to be adequately addressed at this time are not <br />discussed further herein. <br />Please see the attached memo from the DRMS geochemist for discussion and comments regarding Uranium as a toxic- <br />forming material, Water quality monitoring plan, and Addendum to the hydrologic evaluation. You may respond <br />directly to me regarding those questions. <br />If Denison's responses to the questions concerning the water quality monitoring plan in the attached memo are <br />reviewed and found adequate, a written approval from DRMS will be issued. <br />Ore pad liner. <br />Justification: As shown by UNSAT-H modeling, the potential for percolation of water to groundwater resources from <br />the waste rock and ore stockpiles does exist though it the model indicates that it may be minimal. As such, the <br />requirement for lined ore pads is justified. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines