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DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832-8106 <br />October 31, 2012 <br />STATE OF COLORADO <br />COLORADO <br />DIVISION OF <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Mr. George Patterson Loretta Pineda <br />Energy Fuels Coal, Inc. Director <br />Southfield Mine <br />Florence, CO 81226 <br />Re: Southfield Mine, C1981 -014, Third Quarter 2012 Sediment Pond Report Response Review <br />Dear Mr. Patterson: <br />On October 19, 2012, Energy Fuels Coal Inc. supplied a response to the Division's review of Third <br />Quarter 2012 Sediment Pond reports for the Southfield Mine. <br />The Division had noted that notes written on the back of the Sediment Pond report form had not been <br />copied when the reports were submitted to the Division. EFCI" s re- submittal of Pond 45 report addressed <br />this oversight. EFCI also submitted the first quarter 2012 Engineer's certification on Pond 45 in <br />accordance with Rule 4.05.9(14) and (15). EFCI's response addressed the first concern identified in the <br />Division's October 1, 2012 review. <br />As noted in the Division's inspection that occurred on September 17, 2012, the gated valve on the <br />primary spillway at Loadout Pond 41 was missing, and material from the slope north of the primary riser <br />was sloughing into the riser. These discrepancies need to be addressed, brought into compliance with the <br />approved pond design, and reported on the quarterly inspection report. Please correct the primary riser <br />at Loadout Pond #I to agree with the approved design and clear material from the bottom of the primary <br />riser. <br />Sincerely, <br />Janet Binns <br />Environmental Protection Specialist III <br />(303) 866 -3567 ext. 8107 <br />janet.binns @state.co.us <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />