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999 <br /> GUNNYSIDE GOLD CORPORATION <br /> AN ECHO 33"COMPANY <br /> P.O. Box 177 .Silverton, CO 81433 <br /> Phone (303) 387-5533 .Telecopy (303) 387-5310 0 C t- E <br /> July 01, 1996 MG <br /> cYiGs�on of t���nerais d.6eology <br /> Mr. Allen Sorenson <br /> Department of Natural Resources <br /> Division of Minerals and Geology <br /> 1313 Sherman Street, Room 215 <br /> Denver, CO 80203-2273 <br /> RE: File No. M-77-378, TR-14, COMMITMENT NO. 3 <br /> Bulkhead Construction Costs <br /> Dear Mr. Sorenson: <br /> Sunnyside Gold Corporation (SGC) submits the following attached <br /> direct cost summaries for construction of the Terry Tunnel and <br /> American Tunnel bulkheads as agreed to under COMMITMENT NO. 3 of <br /> TR-14. These cost summaries are to be used to aid the Division and <br /> SGC in setting the bond amount for one time bulkhead replacement. <br /> In order to accurately state the costs, the wages were inflated to <br /> 1996 levels and costs were added to account for SGC equipment usage <br /> and the cost of other equipment rental that SGC did not incur <br /> because of trades made with an equipment dealer. An additional <br /> person was also added to the costs as an outside person where SGC's <br /> water treatment operator served this purpose. The costs of a third <br /> Moran car were not added in because its value was minimal during <br /> the American Tunnel pour. <br /> These summaries include costs that would not be incurred by the <br /> Division if a bulkhead replacement was required under the direction <br /> of the Division such as; <br /> 1) ventilation installation at each site. <br /> 2) establishing coffer dams and/or water diversions. <br /> 3) one half of the form building and bracing. In all <br /> probability, a replacement would entail adding on to the <br /> present bulkheads and depending on circumstances may not <br /> even include piping. <br /> 4) placing debris screens and limestone. <br /> 5) a hoistman would no longer be required for constructing <br /> a Terry Tunnel bulkhead. <br />