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TR -18 to Permit M- 1977 -342 <br />Environmental Protection Plan <br />19. DISPOSAL OF TAILINGS AND SLUDGES IN MINE WORKINGS <br />Tailings are not disposed of in mine workings. Water treatment sludge from the URAD treatment <br />plant is hauled off site for disposal. Sediments collected at the mine water settlers underground <br />are hauled to the conveyor and transferred to the Mill with other ore where it is processed for <br />molybdenum recovery. In past years, some of these sediments have intermittently been stored in <br />underground drifts. These sediments will either be processed as the drifts are mined out in the <br />future or will remain in place. Since the sediments are of the same mineral composition as the <br />ore body, no discrete impacts or management is anticipated. <br />Climax Molybdenum Company <br />Henderson Operations <br />October, 2012 <br />Page 40 of 40 <br />