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0 <br />e <br />Hard Rock/Metal Mining Permit Application Air <br />+Limited Impact Designated Mining Operation (I 10(d)) 421$9 <br />Venture Resources, Inc. - Robert Fulton Reclamation <br />Revision 0: 1anuEuy 17, 2011 -o . <br />Exhibit C - Mining Plan <br />Overall Project Summary: U <br />The proposed Venture Resources Reclamation Project will be involved in operating a mineral processing mill to <br />begin cleaning up and processing pre-existing abandoned mine waste rock for trace precious metal content and <br />environmental remediation. This mill facility, the Venture Resources' Hukill Gulch Millsite, will be located in <br />Clear Creek County and has already been permitted through the Colorado Division of Reclamation, Mining, and <br />Safety (DRMS) under permit #M-2009-076 as of November 24th, 2010. <br />The CO DMG has done extensive work in analyzing the abandoned mine waste rock problem in this vicinity and <br />produced the "Reclamation Feasibility Report - Virginia Canyon", December 2001 (attached). Prior to that, the US <br />EPA also analyzed the situation, and a summary can be found in their EPA Record of Decision, ROD R08-88/019, <br />1988 (attached). <br />The US EPA has recognized this cleanup methodology in their ROD R08-88/019 concerning the waste rock <br />problem in this vicinity: <br />"REPROCESSING ALTERNATIVE: THE REPROCESSING ALTERNATIVE CONSIDERS THE <br />TAILINGS AND WASTE ROCK PILES AS AN ECONOMIC RESOURCE AND RECOVERS THE <br />INHERENT MONETARY VALUE WHILE GENERATING A WASTE WHICH MAY NOT BE <br />DETRIMENTAL TO THE ENVIRONMENT." <br />"REPROCESSING WOULD BE A PERMANENT SOLUTION THAT ELIMINATED COLLAPSE OF <br />THE TAILINGS AND WASTE ROCK PILES. A NEW WASTE TAILINGS IS PRODUCED. <br />LEACI IING TF,STS SHOW THAT THE NEW TAILINGS CAN BE DISPOSED INA MUNICIPAL <br />LANDFILL. (emphasis added)" <br />It shall also be noted that the US EPA (through a contract with Environmental Restoration, LLC) removed and <br />relocated several clumps in the Virginia Canyon vicinity during the summer of 2010. Venture Resources considers <br />this work and the processes employed a benchmark of the highest degree in the appropriate method to approach our <br />project. We will conduct our project to the same standards that were done here. One major difference is that the US <br />EPA was not required to obtain any mining/reclamation permits from the CO DR1I5, as we are required to do. <br />Being held to a di f ferent regulatory standard is something Venture Resources will investigate f irther. <br />Phase I of operations employs the use of a smaller mineral processing mill (40-80 ton/day), construction of a new <br />tailings impoundment (in Clear Creek County) and processing over 200,000 tons of pre-existing abandoned mine <br />waste rock located on property Venture Resources controls in both Gilpin and Clear Creek counties. <br />Additionally, abandoned mine waste rock may be imported for processing from other locations, obtained through <br />private contract negotiations. Prior to impounding processed imported material tailings (of a similar geology and <br />mineral composition as described further in this exhibit), a waste stream characterization will be done by Venture <br />Resources that will be logged in a record for future reference. <br />It shall be clearly understood that a permit modification will not be necessary for milling similar ore of similar <br />mineralogy from imported locations. Notwithstanding, Venture Resources will notify the DRMS and follow the <br />reporting requirements of Rule 3.1.5(9) prior to importing any offsite material to the mill facility. This notice shall <br />include at a minimum the following information: general description of material, source location with DRMS <br />permit number, volume of material, and operation period dates. <br />Page 1 of 8