2012-06-20_PERMIT FILE - C2010089A (19)

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Section 2.04.3 Site Description and Land Use Information General and Historical Land Uses within the proposed New Horizon North Mine Permit Area The lands adjacent to the Nucla area were utilized by Native Americans for thousands of years before white men arrived and began to settle in the late 1890's. Initial settlement was primarily focused on livestock grazing operations which took advantage of the large tracts of native grazing land found in this area. The town of Nucla was formally settled around 1900, but it was not until 1910 when the Colorado Cooperative (CC) Irrigation Ditch was completed that extensive settlement into First and Second Parks commenced. The CC Ditch which resulted in water being diverted from the San Miguel River to this area was the first viable agricultural - based operation in this immediate area. Those lands which are beyond the irrigated acreage of the CC Ditch continued to be used for grazing. In recent years, these native rangelands have become the center of big game hunting operations which have occurred as a result of this area being declared as a "trophy" elk and deer hunting area by the Colorado Division of Wildlife. The uranium bearing ore carnotite was discovered in the area in 1898 and uranium mining commenced as a major industry in the area. Mining of carnotite declined about 1923, the mining of vanadium, which is found in close geological association with carnotite, and which is used as a hardening agent in the production of steel became an important industry and this emphasis continued through World War II. With the development of the nuclear bomb and nuclear power, the mining of uranium again soared and boomed during the 1950's, 1960's and 1970's. The demand for uranium saw a significant decline in the early 1980's and the uranium mill at Uravan was dismantled and the town, which was once the largest town in western Montrose County, was removed and/or destroyed. Currently, agriculture and seasonal tourism associated primarily with big game hunting are the primary land uses in the Nucla Area. The uranium industry is in the bottom of one of its "roller coaster rides" and the UMETCO mill at Uravan is essentially nothing but a local memory. Energy Fuels, another uranium producer is attempting to construct a new mill to the west of area in the Paradox Valley, but this effort appears to be moving very slowly. The few uranium mines that historically operated in the area appear to largely shut down at the present time. Coal mining operations commenced on a very small scale in the early part of the 1900's where numerous small "wagon box" mines were opened up by individuals who supplied the limited local demand. In 1958, Edna Coal Company opened a small strip mine, called the Navajo Mine, in the area to the south of the proposed NHN Mine and north of Tuttle Draw. Coal from this mine was primarily utilized in a small coal fired power plant located in Nucla. In September Section 2.04.3 Page 1 November 2011