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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 />January 10, 2013 <br />George Patterson <br />Energy Fuels Coal, Inc. <br />P.O. Box 459 <br />Florence, CO 81226 <br />STATE OF COLORADO <br />COLORADO <br />ID IV I S I O N O F <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />Re: Southfield Mine (Permit No. C- 1981 -014) <br />Technical Revision No. 40 (TR -40) <br />Raise Monitoring Point in monitor well MW -NW 19.2 (20) vertical ft to facilitate a <br />partial obstruction near bottom of well. <br />Dear Mr. Patterson: <br />We have received your application for a technical revision to your permit to conduct coal mining in <br />Colorado. Our initial review indicates that all preliminary items required by Rule 2.08.4(5) have <br />not been submitted. Thus, your application is incomplete for the purposes of filing as of January <br />10, 2013. <br />During the Division's May 15, 2012 inspection of water monitoring well, MW -NW, using a <br />borehole camera, the Division identified that there was an obstruction in the well. Energy Fuels <br />Coal Inc. (EFCI) was directed by the Division to remove the obstruction from MW -NW. <br />Energy Fuels did not remove the obstruction as directed, so the Division sent EFCI a letter, dated <br />August 8, 2012, directing EFCI to remove the obstruction(s) within 45 days of the letter. <br />On August 28, 2012, EFCI provided notification (electronic mail) to the Division documenting <br />removal of a tangle of steel cable from MW -NW. <br />The Division re- inspected MW -NW with a borehole camera on September 17, 2012, and observed <br />an obstruction at 353 feet below the top of the steel casing. This obstruction appeared to be a <br />wooden block. Observation with the borehole camera was unsuccessful in viewing the condition <br />of the well below the obstruction. The Division directed EFCI to remove any obstruction(s) in <br />MW -NW and provide documentation when rehabilitation of the well had been conducted. <br />The Division sent another letter to EFCI, dated November 28, 2012, directing EFCI to remove the <br />obstruction(s) in MW -NW before December 31, 2012. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and <br />Inactive Mines <br />