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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />November 1, 2010 <br />Mr. Scott Wanstedt <br />Environmental Engineer <br />Blue Mountain Energy, Inc. <br />3607 CR 65 <br />Rangely, CO 81648 <br />RE: Deserado Mine, C1981-018, Third Quarter 2010 Discharge Monitoring Reports <br />CPDS Permit CO-0038024 <br />Dear Mr. Wanstedt: <br />COLORADO <br />D IV IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />The Division has reviewed Blue Mountain Energy's (BME) Discharge Monitoring Reports for Third Quarter <br />2010 for the Deserado Mine. The reports were received on October 28, 2010. The Deserado Mine's CPDS <br />Permit Number is CO-0038024. <br />BME reported two discharges during Third quarter 2010 from Outfall 001A. Both Discharges were the result <br />of two isolated precipitation events on July 7, 2010 and another on August 2, 2010. The precipitation event <br />on August 2nd measured 1.76" within a 2 hour period as reported by BME. BME reported that outfall 001 A <br />discharged on August 3, 2010. BME reported that Total Suspended Solids (TSS) exceeded the standard for <br />this discharge event. BME has requested that the CDPH&E apply the Alternate Limitation to this event. The <br />only other reported discharge for third quarter 2010 was 045A. No exceedances were reported for outfall <br />045A. None of the other permitted outfalls discharged during the third quarter 2010. These outfalls include: <br />002A, 003A, 004A, MN04, 004W, 005A, 008A, MN08, 009A, MN09, 025A, 026A, MN26, 026W, and <br />028A. <br />The reports are in compliance with Rule 4.15.13(2)(iii). Thank you for your prompt submittal of these reports. <br />Sincerely, <br />Protection Specialist II <br />C:/jhb/C81018/Reports/DMRs/3rd Q 2010.doc <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines