2010-07-27_PERMIT FILE - M2009076 (16)

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• Two years ago we began to start our engineering and permitting phase. A concentrating mill will be constructed employing both gravity and flotation concentration processes. Initially, we have assembled a 40-80 ton/day mobile processing facility to start at a small scale to prove out the concept and iron-out process details. The second phase of our operations will be to construct a 400 ton/day permanent facility. We envision this process to become the premier solution for mitigating the waste rock problem in this vicinity. For more information on the process, please refer to Exhibit C for a detailed explanation of the operations. Venture Resources wishes to appeal to the DRMS Office and Board to apply the provisions set forth in 6.4.20(e) which states: The Board shall also consider current or pre-existing conditions and the degree to which the proposed plan would provide for net improvements in the protection of human health, property, or the environment. This project extracts nearly all of the acid-forming minerals in waste rock that are the source of acid-runoff that plague this historic mining district. By doing nothing, these piles of pre-existing waste rock will continue to leach acid and heavy metals for a very, very long time. But, by designing a carefully regulated and engineered program a solution can be achieved. Along with the environmental benefits of this cleanup, new employment opportunities and increased business within the local economy will develop. Post-Mining Land Use Summary: The proposed post-operations land use is to restore the property back to its current Mining District zoning designation, resembling semi-arid rangeland. Clear Creek county currently has the patented mining claims of this property zoned M-1 (mining and/or residential). The segments of property that have been added to these parcels via. the BLM land purchase program are zoned M-2 (mining only). A copy of Clear Creek county zoning regulations are attached at the end of this Exhibit D. It shall be stressed that the only permitted use of M-2 zoned property in • Clear Creek county is MINING. The vicinity of the Tailings Impoundment is a remote, unpopulated mountainous area. Access is limited and the terrain is steep and inhospitable. Restoring this property to Mining District zoning, resembling semi-arid rangeland, is very appropriate. By removing and processing the pre-existing abandoned mine waste rock from this area and reclaiming it to support vegetation will create a. better wildlife habitat. It shall be remembered that this patented land is owned by Venture Resources, not leased. At our discretion, and in full compliance with existing zoning in place, Venture Resources may elect to use the portion of the property described as Mobile Mill Site to continue to store inactive mining and milling equipment. Venture Resources may also elect to create residential building sites on property zoned M-1. Any infrastructure development (ie electric/water utility, roads, etc.) or any structures built are to remain in place per landowner's (Venture Resources') request. Tailings Impoundment Reclamation: ***Note: The bulk of the following reclamation measures apply specifically to the affected area denoted in Exhibit E as the Tailings Impoundment, unless otherwise noted. A separate section will follow prescribing reclamation measures to be applied to the Mobile Mill Site. 6.3.4(1)(a) As per the Mining Plan, Exhibit C 6.3.3(i)(c), there is no overburden to be removed as part of the proposed operation. The material to be processed is pre-existing abandoned mine waste rock. 6.3.4(l)(b) The maximum gradient of reclaimed slopes of the Tailings Impoundment (illustrated within Exhibit E drawings) is . to be constructed at 1.5h: Iv. This establishes an angle horizontal to grade of 33.7°. This will create a stable Page 2 of 9