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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 />February 7, 2012 <br />J.E. Stover, P.E. <br />J.E. Stover and Associates, Inc. <br />2352 North 7 Street, Unit B <br />Grand Junction, Colorado 81501 <br />RE: Hamilton Mine; C- 1991 -078 <br />Request for Phase III, Final Bond Release; SL -3 <br />Dear Mr. Stover, <br />Completeness Items <br />Protection of the Hydrologic Balance —Water Monitoring Plan <br />Mined Land Reclamation <br />STATE OF COLORADO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />—&— <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta Pineda <br />Director <br />On January 5, 2012 the Colorado Division of Reclamation, Mining and Safety (Division) received the Phase III, <br />final bond release application for the Hamilton Mine, Permit No. C -1991 -078. Several items have been identified <br />that must be received and/or clarified prior to the Division deeming the application complete. Also, a preliminary <br />review was completed of the approved Water Monitoring Plan to determine compliance with the permit conditions. <br />An issue was identified that must be addressed prior to final bond release approval. <br />1.) In accordance with Rule 3.03.2(1)(e), please submit a notarized statement which certifies that all applicable <br />reclamation activities have been accomplished in accordance with the requirements of the Act, the rules and the <br />approved reclamation program. <br />2.) The bond release application included a certificate of service that lists the entities that must be sent the public <br />notice in accordance with Rule 3.03.2(1). The certificate of service indicates the sewage and water treatment <br />authority will be notified. Please indicate which party on the list is the sewage and water treatment authority. <br />3.) The Division approved the cessation of all water monitoring with exception of CDPS requirements in July 1999 <br />with TR -7. On page 2.05 -36 of the PAP, Honeywood states "Water monitoring requirements as detailed above will <br />be re- initiated two years prior to the time the Operator requests final bond release." This was not implemented. The <br />last sample data were provided in the 1998 AHR. There has been no sampling and analysis of surface water, <br />groundwater or springs at the mine site since 1998. This is clearly out of compliance with the permit requirement to <br />sample two years prior to final bond release. <br />Well completion information was requested back in July of 1998 and was never provided by the Operator. This <br />information is critical to assessing groundwater quantity and quality impacts. Well completion information is <br />unavailable other than a "typical" drawing for an alluvial well and a bedrock well (see Hydrologic Area Map) and the <br />total depth of the wells listed next to the well location for some but not all wells. Well completion information must <br />be submitted. <br />The Division recommends the following course of action to rectify the problem regarding the Operator's <br />noncompliance with the permit requirement to re- initiate water monitoring two years prior to requesting final bond <br />release. <br />Office of Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />