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Gold Eagle Mining Inc. <br />Hawkeye Mine Permit Number M- 1978 -311 <br />6.0 Designated Chemical(s) and Material(s) Handling <br />At the present time there are no designated chemicals within the Hawkeye Mine <br />permit area. Because the Hawkeye Mine has produced both Uranium and <br />Vanadium ore the mine falls under the DMRS designation for a Designated <br />Mining Operation. The materials that qualify for this special consideration are <br />limited to uranium ore, waste rock, and potential leachate from these two <br />materials because the use of designated chemicals is not planned for the <br />Hawkeye Mine operation and the mineralogy and geochemistry of the host rock <br />and ore indicates that acid -mine drainage will not occur. Testing of mineralized <br />rock for uranium recovery or for environmental release considerations is <br />currently disallowed due to the DOE limitation on activities on the lease. <br />7.0 Facilities Evaluation <br />At the present time the only facilities at the Hawkeye Mine are a small steel ore <br />bin and the mine portal. In 2002 reclamation efforts include grading of the <br />portal bench and waste rock stockpile to approximate 3H:1V slopes which <br />blended with surrounding topography. The final slope of the waste rock material <br />had been pocked with staggered rows of depressions. The offset rows of small <br />basins are designed to detain stormwaters, control erosion, trap sediment and <br />seed, and encourage revegetation. Available topsoil was replaced over the <br />graded waste rock and the area seeded. There is a small sediment basin below <br />the reclaimed waste rock pile. <br />Given the probation on activity by DOE; no planning for future facilities at this <br />site has been completed. The uncertain nature of the pending DOE PEIS limits <br />the understanding of measures that will be necessary to limit impacts from ore <br />and waste rock piles, air quality, and surface water facilities. Information from <br />the DOE PEIS will guide the development of facilities and the Hawkeye Mine Site. <br />8.0 Groundwater Information <br />The Hawkeye Mine site is located on a terrace above the Dolores River. <br />Mesozoic age continental sandstone, shale and mudstone are exposed by the <br />incision of the canyon. Geologic units dip at a shallow 2 to 5 degrees towards <br />the northeast. Exposed formations of Mesozoic age within one mile of the <br />Hawkeye Mine (from bottom up) include the Jurrassic Period - Navajo Sandstone <br />( -200 ft. thick), Entrada Sandstone ( -70 to 90 ft. thick), Wanakah Formation <br />also know as the Summervile Formation ( -100 ft. thick), and the Morrison <br />Formation Salt Wash Member ( -300 ft. thick) and the Morrison Formation <br />Brushy Basin Member ( -500 ft. thick); overlying the Jurrassic Period units is <br />Cretaceous Period —Burro Canyon Formation ( -200 ft. thick). A generalized <br />Exhibit U -3 <br />