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iDENISONI)II <br />MINES <br />VIA Email AND US MAIL, <br />August 18, 2010 <br />Mr. Bob Oswald <br />Environmental Protection Specialist <br />State of Colorado <br />Division of Reclamation, Mining and Safety <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, CO 80203 <br />Dear Mr. Oswald: <br />Denison Mines (USA) Corp. <br />105017th Street, Suite 950 <br />Denver, CO 80265 <br />USA <br />Tel : 303 628-7798 <br />Fax : 303 389-4125 <br />www.danisonmines.com <br />?t P67/7 Mi,°;?9 aR c?a P ffl- <br />CLQ <br />dSao?C; <br /> ItECEIVED <br />Re: Operator Acceptance of Amendment Requirements, Permit Numbers: <br />M-1977-285, Sunday Mine, Amendment AM-3 <br />AUG 2 3 <br />M-1977-416 Carnation Mine, Amendment AM-1 <br />M-1978-039 HR, St. Jude Mine, Amendment AM-1 OiVision o: _.... _ . ; <br />M-1980-055 HR, Topaz Mine, Amendment AM-1 Uning and Safety <br />M-1981-021, West Sunday Mine, Amendment AM-1 <br />With one minor modification <br />Denison Mines (USA) Corp. ("Denison") received your letter regarding the Environmental Protection Plan for <br />DMO Amendment Materials, for the permit numbers identified above, dated June 29, 2010. Denison has only <br />one exception to your written requirements and has found a misstatement in Section 11 the EPP as a result. <br />This exception is outlined and corrected as follows: <br />In your January 291h letter, under Groundwater Monitoring Plan you state the following: <br />"The Division approves the proposed quarterly sampling frequency for the compliance wells, to occur <br />throughout the duration of the life of the permit, unless conditions arise necessitating a different sampling <br />frequency or duration. " <br />Upon reading this statement, Denison reviewed Section 11.0 of the EPP which states in the fourth bullet on <br />page 11-1 the following: <br />"The monitoring program would include the following components: <br />[second bullet] Monitoring of the two compliance wells on a quarterly basis until final reclamation <br />liability for the Sunday Mines Group is released by the Board. " <br />Denison also reviewed the Colorado Mined Land Reclamation Act for Hard Rock Metal and Designated Mining <br />Operations, Rule 6.4.20 Exhibit T - Designated Mining Operation Environmental Protection Plan (9) <br />Groundwater Quality Data (b) which states the following: