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A trench was dug in the area of the perforated pipe in October of 2012. This trench was <br />approximately 20 feet long and 4 feet wide and 3 feet deep. The trench was pumped with water <br />over 2 days and the water rapidly permeated through the rock. Pumping could not even fill the <br />trench, and when pumping was stopped, the water disappeared within seconds. <br />For this reason, the water will seep easily into the waste rock and into the natural alluvium below <br />the waste rock. There will be no surface discharge of the mine water flow, therefore, this flow <br />will not be regulated under the CDPHE regulations, as outlined in Senate Bill 181. This flow <br />design is discussed in more detail in Exhibit G. <br />It is estimated that this permeable waste rock will constitute the bottom 20 -30 feet of the <br />Revenue Waste Rock and Tailings Pile. Only the upper portion, as shown on Cross Section A -A' <br />will be comprised of the combined tailings and waste rock that will be produced from the new <br />operation. This upper portion (an additional 30 -40 feet) will be compacted and the lower portion <br />(existing waste rock) will not since it is important to maintain permeability of this material. The <br />slope stability of this "double layer" in the pile is addressed in one of the scenarios analyzed in <br />Exhibit U. <br />Atlas Waste Rock and Tailings Pile <br />The Atlas waste pile will have a total capacity of roughly 811,000 tons. There may be <br />jurisdictional wetlands in this area which have not yet been confirmed. Once they are confirmed, <br />either these wetlands will be avoided, thus lessening the capacity of the pile, or a COE permit <br />will be approved prior to their disturbance. It is understood that Star Mine Operations will not be <br />allowed to disturb any areas of the Atlas waste pile until the wetlands have been delineated, <br />approved by the COE and if any wetlands are to be disturbed, an approved nationwide or <br />individual permit must be supplied to the DRMS. If the full pile is constructed, this will satisfy <br />the needs of Revenue Mine for an additional 8.1 years at the anticipated production, assuming no <br />waste rock is removed from the site. This waste pile will be constructed on the moderately flat <br />area west of the main Revenue mining area. Prior to construction of this waste pile, the area will <br />be regraded to provide a flat area for the pile and Sediment Pond 1 will be constructed. Due to <br />Revenue Mine August 2012 D -14 <br />