1998-08-12_REVISION - M1977493

• Permit No: M1977493
• IBM Index Class Name: REVISION
• Doc Date: 8/12/1998
• Doc Name: Discussion
• From: Climax
• To: DMG
• Type & Sequence: SR2
• Media Type: D
• Archive: No

RUG-12-98 WED 17: 17 P, 02/06
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CLIMAX MOLYBDENUM uUmt-141v T OMANN OPERATIONS
r y a Division of Cvzru:C on-
�z naerais co Climax Mine
Hwy,91
Climax.Colorado 8C1a4A
[719)486-2150
Fay f719)d96-2251
/August
12, 1998 1 cf 7 7—
Mr.Allen Sorenson /
Division of Minerals and Geology r/
1313 Sherman Street, Room 215
Denver, CO 80203
Dear Mr. Sorenson_
The following discussion is presented to the Division of Minerals and Geology by the Climax
Molybdenum Company as a set of agreements and findings concerning contingencies and
Performance measures for final acceptance of the Application for Warranty Reduction, SR-002, on
Eagle Park Reservoir. Documentation submitted on October 29, 1997 and subsequent
correspondence between Climax and the Division dated January 9, March 10, and April 6, 1998,
along with a five-year dialog over reclamation project activities in the Eagle basin at the Climax Mine,
support the plan presented below. Climax seeks a statement on the part of the Division of Minerals
that a post-mining beneficial land use of developed water resources has been achieved on
conditional approval as described in this letter. Climax extends appreciation to the Division for
working to complete this project.
Introduction
On June 8, 1998, representatives of the Climax Molybdenum Company (Climax), the Colorado
Division of Minerals and Geology (DMG), and the Colorado Water Quality Control Division (WOCD)
met to discuss the pending delivery of water from Eagle Park Reservoir to the East Fork of the Eagle
River. In attendance at the meeting were Phil Hegeman, Don Holmer and Dennis Anderson of the
WQCD, Allen Sorenson of DMG, Bryce Romig representing Climax, and Patricia Nelson, consultant
to Climax from CH2MHill. The crux of the discussion aimed at finding meaningful targets and criteria
to evaluate long-term water quality protections in the East Fork of the Eagle River during delivery of
water from Eagle Park Reservoir.
Eagle Park Reservoir is located at the Climax Molybdenum Company's Climax Mine located on
Fremont Pass, Climax, Colorado. Climax, under a Colorado Division of Minerals and Geology
reclamation permit, has worked with the DMG during a model reclamation project of the reservoir.
Initiated in 1993, the project saw the removal of approximately 1.2 million cubic yards of oxide tailing
material from the former 4-Dam Oxide Tailing Impoundment toward conversion of the tailing pond into
a fresh water storage facility. The reservoir will be used in an exercise of water rights for delivery of
water to users in the Eagle River basin. While current water quality shows that water quality
standards of the Eagle River have been achieved through the reclamation effort, all parties concur
that a desired long-term objective for the project is assurance that water delivery to the East Fork of
the Eagle River from Eagle Park Reservoir will be protective of down-stream beneficial water use.
This document is intended to provide the framework under which this assurance can be
demonstrated to obtain final release.
Relevant Agreements of the Attending Parties
Climax gathered the following understandings from the June 8"' discussion,