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MINING PLAN EXHIBIT D <br />1. Background Information <br />The existing site has been heavily disturbed by past mining at the Revenue Mine that occurred <br />over 100 years ago. A brief history of the mine is given in the Introduction section of this permit. <br />The ore deposits to be mined at the Revenue Mine are vein type following igneous intrusions in <br />the San Juan Formation. All mining will be conducted underground via drill and blast methods <br />commonly used to mine these types of deposits. The annual production of material will be <br />approximately 100,000 tons with approximately 20% of that being waste rock and the rest being <br />ore. This gives a breakdown of 20,000 tons of waste rock annually being sent to the surface, and <br />80,000 tons of ore being sent to the mill. The inert waste rock may be transported off site to be <br />used as construction material. Of this amount, approximately 75,000 tons will be converted to <br />fine mill tailings. Therefore, approximately 95,000 tons of waste rock and tailings will be placed <br />in waste embankments while 5000 tons of concentrate will be shipped off site each year. <br />The Revenue Mine, for the purposes of this permit, will have a mine life of approximately 20 <br />years. Future mine economics may lessen or extend this life. Additional exploration may identify <br />additional ore reserves. <br />The ore will consist of approximately 1 foot thick of quartz vein host rock and approximately 3.5 <br />feet of wall rock which allows room for men and equipment. The quartz veins have 4 principal <br />minerals of interest: <br />- galena (PbS) <br />- sphalerite (ZnS) <br />- chalcopyrite (CuFeS2) <br />Revenue Mine August 2012 D -1 <br />