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CM0001450 <br />0 O TETRATECH <br />j <br />July 11, 2008 <br />Mr. Jim Curnutte <br />Planning Director <br />Summit County Planning Department <br />0037 SCR 1005, Peak One Drive <br />P.O. Box 5660 <br />Frisco, CO 80443 <br />Subject: Climax Mine - Tailing Delivery Line <br />Response to Request for Additional Information <br />Dear Jim: <br />On behalf of Climax Molybdenum Company, we are providing this additional information <br />as a follow-up to our phone conversation of last Thursday July 3, 2008. <br />During our conversation you requested additional information regarding Amendment 5 to <br />the Mine Reclamation Permit, which was submitted to the Colorado Division of Minerals <br />and Geology (now the Division of Mining, Reclamation and Safety - DRMS) on August 1, <br />2005. This amendment addresses two items: 1) a procedural issue related to the <br />definition of the operational status of the Climax Mine; and 2) an upgrade of existing water <br />treatment infrastructure to include a facility to produce high density sludge from the <br />existing water treatment system. Copies of the amendment document are attached. <br />Included in this package, in Exhibit Q, is the Notice of Filing that was sent to Summit <br />County as required by the Colorado Mined Land Reclamation Act. This amendment was <br />approved through a resolution of the Mined Land Reclamation Board on February 15, <br />2006. <br />The water treatment upgrades referred to in this amendment encompass the construction <br />of the Sludge Densification Plant (SDP) in Summit County. As you may recall this plant <br />was the subject of much discussion with Summit County, beginning at the time the <br />amendment was submitted and resulting in your determination that the plant construction <br />was exempt under Summit County's Activities of State Interest (1041) regulations. <br />The change to the Mining Plan exhibit related to the operational status of the mine <br />essentially represents a 'housekeeping' item with the Mined Land Reclamation Board <br />intended to clarify the status of the mine as an active operation with viable mineral <br />reserves, consistent with the original life of mine permit approved in 1977. The revised <br />definition of Climax as a swing producer provides clarification that even though the mine is <br />not actively producing ore, it can operate in response to market demands, plan for the <br />Tetra Tech <br />101 4900 Pearl E. Circle, Suite 300W, Boulder, CO 80301 <br />Tel 303.447.1823 Fax 303.447.1836 www.tetratech.com <br />Exhibit 54