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R 2INCORPORATED <br />ENVIRONMENTAL AND ENGINEERING SERVICES <br />STRATEGICALLY POSITIONED- TECHNICALLY PREPARED <br />MAY DAY IDAHO MINE COMPLEX <br />WILDCAT MINING CORPORATION <br />ORIGINAL 112d PERMIT <br />EXHIBIT G <br />Water Information <br />6.4.7 <br />GEORGE M.L. ROBINSON,P.G. <br />J. ERICH RALIBER,P.E. <br />6.4.7(1) Statement of Effect on Surface Water and /or Groundwater <br />Due to the proximity of operations to surface water, specifically La Plata River and Little <br />Deadwood Gulch, Wildcat Mining Corporation ( "Wildcat ") conducted baseline <br />monitoring activities and have incorporated operating procedures to monitor and to <br />prevent impacts to the La Plata River system. Procedures described within the <br />Environmental Protection Plan (Exhibit U) will minimize the potential to impact surface <br />water and groundwater. Wildcat will comply with DRMS water management <br />requirements outlined in Rules 3.1.6 and 3.1.7. <br />Dry tailings will be disposed within the underground workings with little or no <br />opportunity to impact groundwater as outlined in Exhibit D, Attachments D -5, D -7 and <br />D -8. A summary of the hydrogeologic setting for the project area is presented in <br />Attachment G -1. The basic conceptual hydrogeologic model is that minor portal flows <br />discharges are seasonal and due to local surface infiltration of precipitation and snow <br />melt. The deeper saturated regional groundwater flow occurs in fractures and faults and <br />the groundwater table generally reflects a subdued replica of the surface topography. <br />Wildcat has characterized water quality based on existing sampling points and has <br />adequately characterized the geology of the site for baseline purposes using historical <br />data. Site characterization including surface water and groundwater monitoring will <br />continue during mining and reclamation to provide information to determine and report if <br />the environmental baseline condition has changed. <br />The Division of Water Resources (DWR) has permitted groundwater monitoring wells <br />that will be drilled to provide additional groundwater quality characterization and to <br />confirm/determine the depth of groundwater, groundwater flow direction and velocity. <br />Also, a production water well permit application is currently being processed by the <br />Wildcat Mining Corporation <br />May Day Idaho Mine Complex — 112d Permit Application <br />5555 DTC Parkway Suite A -4000, Greenwood Village, Colorado 80111 <br />Phone: (303) 832 -7664 Fax: (303) 832 -7469 <br />Revised: August, 2011 <br />