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r <br />Venture Resources, Inc. <br />PO Box 1974 (303) 619-6323 <br />Idaho Spi•i igs, CO 80452 Fax: (303) 484-6369 <br />venttu•eresources(q ?att.net <br />November 10, 2010 <br />CO Division of Reclamation, Mining & Safety <br />1313 Sherman St., Room 215 <br />Denver, CO 80203 <br />Attn: Jared Ebert <br />RE: M-2009-076 Application <br />Subject: Technical Revision, Revised Exhibit C - reflecting enhanced Tailings Impoundment stability design <br />Dear Mr. Ebert: <br />Venture Resources is submitting this Technical Revision as a partial response to the DRMS' September 8"' Second <br />Adequacy Review and to discussions held with DRMS on November 8"'. In this Technical Revision we are <br />presenting an enhanced Tailings Impoundment design that incorporates geosynthetics and a network of "French <br />drains". By the addition of these elements, the Tailings Impoundment stability will greatly be increased for both <br />static and seismic conditions. <br />This Technical Revision is intended to address Items #1 - #3 of page 1 of the September 86 Second Adequacy <br />Review and prescribed parameters given during our November Wh meeting. The remaining items in the Review are <br />secondary to these stability issues and will be addressed after DRMS acceptance and affirmative approval of this <br />Technical Revision concerning Tailings Impoundment stability enhancement. This letter will serve as an outlined <br />presentation of the changes and additions made to the design. A revised Exhibit C and Exhibit E Drawing E11 have <br />been attached in original duplicate containing the amendments. <br />DRMS Statement in Review Item #I: <br />"Analysis of impoundment with saturated slimes and under static conditions yields an unacceptably low safety <br />factor of 1.05. The minimum acceptable safetyfactor given the current degree of certainty of tailing characteristics, <br />and the variability in tailing properties that will occur under the proposed mine plan, is 1.5 for static conditions and <br />1.1 under seismic loading. " <br />Venture Resources Response to Review Item #1: <br />Requiring this design to be evaluated at saturated water levels at total buildout does not conform to real or practical <br />considerations. Carefully adhering to the operating and embankment construction parameters set forth in Exhibit C <br />of our last Technical Revision, and again within this submittal, ensures proper impoundment stability behavior. <br />These parameters prescribe a method of tailings impoundment, dewatering practices and embankment geometry <br />relationships which will minimize elevated phreatic zones. The design was developed based on the preeminent <br />works on this subject: Steven G. Vick's Planning, Design, and Analysis of Tailings Dams, 1990 and the US Army <br />Corps of Engineers (USACE) Slope Stability, EM 1110-2-1902. <br />It appears these factors of safety are of DRMS' own choosing since there is no mention of specific values of factors <br />of safety in the Hardrock Rules. In a meeting with DRMS staff on November 8"', Venture Resources was specifically <br />instructed to meet the following factors of safety requirements: <br />Un-Saturated Tailings, Static Conditions - minimum Factor of Safety = 1.5 <br />Un-Saturated Tailings, Seismic Conditions - minimum Factor of Safety = 1.1 <br />Page 1 of 5