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BEFORE THE DEPARTMENT OF HEALTH <br /> DIVISION OF ADMINISTRATION <br /> STATE OF COLORADO <br /> ------------------------------------------------------------------------------- <br /> AGREEMENT AND STIPULATED ORDER <br /> ------------------------------------------------------------------------------- <br /> IN THE MATTER OF: SUNNYSIDE GOLD CORPORATION <br /> CO-0027529 (AMERICAN TUNNEL) <br /> CO-0036056 (TERRY TUNNEL) <br /> SAN JUAN COUNTY, COLOR-ADO <br /> ------------------------------------------------------------ <br /> Paul Ferraro, Director of and on behalf of the Water Quality Control <br /> Division of the Colorado Department of Health by and through Attorney General, <br /> Duane Woodard, and Sunnyside Gold Corporation by and through their attorney, <br /> William C. Robb hereby agree and state as follows : <br /> 1. The Water Quality Control Division ("the Division" ) , a section within <br /> the Colorado Department of Health, ( "the Department") has primary <br /> responsibility pursuant to sections 25-8-301 through 308, C.R.S (1982) to <br /> enforce the provisions of the Water Quality Control Act, sections 25-8-101 <br /> through 703, C.R.S (1982 and 1985 supp. ) . <br /> 2. Sunnyside Gold Corporation ("Sunnyside") holds a permit authorizing <br /> discharge from the American Tunnel (permit no. CO-0027529) into Cement Creek <br /> and a permit authorizing discharge from the Terry Tunnel (permit no. <br /> CO-0036056) into Eureka Gulch. Both permits are subject to specific terms and <br /> conditions. <br /> 3. On January 7, 1987, the Division issued a Notice of Violation and <br /> Cease and Desist Order ( "the January Notice and Order") to Sunnyside for <br /> effluent violations of their American Tunnel permit . The January Notice and <br /> Order is attached hereto as Exhibit A and incorporated herein by reference. <br /> 4. On February 9, 1987, the Division issued a Notice of Violation and <br /> Cease and Desist Order ( "the February Notice and Order") to Sunnyside for <br /> effluent violations of their Terry Tunnel permit. The February Notice and <br /> Order is attached hereto as Exhibit B and incorporated herein by reference. <br /> 5. On February 6," 1987 Sunnyside filed a request for a hearing on the <br /> January Notice; on March 11, 1987 Sunnyside filed a request for a hearing on <br /> the February Notice. <br /> 6. Upon entry of this Stipulation as a final order, Sunnyside agrees to <br /> withdraw both hearing requests described in paragraph 5 of this Agreement and <br /> Stipulated Order ( "Agreement" ) . <br />