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Permit M-1977-342 (Henderson Mine and Mill) <br />Mill Water Supply Line Upset Report <br />September 9, 2010 <br />3. phone: 303-569-3221 ext. 1233 <br />4. fax: 303-569-2830 <br />(d) No monitoring or analyses were performed for this situation <br />(e) The primary cause of this upset can be attributed to a seal failure on a valve. Henderson <br />purchased a new butterfly valve for temporary installation on the replacement mill water <br />supply line. This valve was to be temporarily used during the installation of the line, and <br />then removed once it was no longer needed. The valve was located immediately outside <br />of the East Branch Pumphouse. Upgradient from the valve, a portion of the new line had <br />been completed adjacent to the East Branch Reservoir up to the opposite side of Grand <br />County Road 3. At the time of the incident, a blind flange was installed on the end of the <br />line, but was not completely tightened down. The intent of the blind flange was only to <br />keep excavation soils out. In this instance, the seal failed on the new valve, allowing <br />water to come through the closed valve and fill the line to the point where it flowed out <br />through the blind flange. <br />At present, the valve has been removed, and a spool piece put in its place. Henderson engineering has <br />indicated that there is no further need for this valve, and no further potential for incident. <br />If you have any additional questions or concerns, please feel free to contact me at 303-569-3221, ext. <br />1233. <br />Sincerely, <br />p?ZA4?.?- <br />Miguel Hamarat <br />Chief Environmental Engineer <br />Climax Molybdenum Company <br />Henderson Operations <br />CC (via email only): <br />B. Romig, Climax <br />T. Haynes, Climax <br />S. Deely, Freeport-McMoRan <br />J. Roose, Freeport-McMoRan <br />N. Hall, Freeport-McMoRan <br />Page 2