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February 7, 2007 <br />1.0 INTRODUCTION <br />This report presents the results of Golder Associates Inc.'s (Golder) Phase I historical mine workings <br />investigation for the proposed Squaw Gulch Valley Leach Facility (VLF) extension at the Cripple <br />Creek & Victor Gold Mining Company's (CC &V''s) operation near Victor, Colorado. <br />1.1 Project Description <br />CC &V is currently evaluating various options for extending the life of their mining operation near <br />Victor, Colorado. One element required for the mine life extension is construction of an extension of <br />an existing VLF. Towards this end, a pre - feasibility level trade -off study was previously conducted <br />comparing three potential sites for the VLF. A pre - feasibility level design was subsequently <br />conducted for the preferred Squaw Gulch site. The results were presented in Golder's report titled <br />"Pre- Feasibility Level Trade -Off Study, Valley Leach Facility Siting Investigation" dated September <br />7, 2006 (Golder, 2006). This Phase I historical mine workings investigation was performed to <br />advance the identification and classification of near - surface historical mine workings to support <br />development of a more comprehensive Phase II field program. Remediation recommendations for the <br />historic mine workings will be provided at the conclusion of the Phase II investigation. <br />1.2 Scope of Work <br />I. 61i1C0 , U100WIMIISPNOR6LGS- FV1 -07. 807.11 HISfONCALWORRIT35- FAILOWEBUl MC Golder Associates <br />-1- 063 -2140 <br />Golder's work was performed to fulfill the following recommendations for future work presented in <br />the pre - feasibility study (Golder, 2006): <br />• Provide a general reconnaissance of underground workings within the proposed <br />footprint (of the Squaw Gulch VLF). The underground workings reconnaissance <br />should include categorizing major underground workings based on visual site <br />conditions. <br />• A detailed surface reconnaissance program which includes photographing and <br />documenting the characteristics of the surface disturbance features, including <br />verification of locations with the database coordinates. <br />The work completed generally corresponds to the Phase I historical workings reconnaissance <br />recommendations presented in Section 5.1 of the Golder (2006) report. The work performed also <br />includes the historical workings surface reconnaissance work item previously recommended for <br />Phase II. The results of the Phase I geotechnical foundation and clay borrow source investigation are <br />presented under a separate cover. <br />