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STATE OF COLORADO <br />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 30, 2013 <br />George Patterson <br />Energy Fuels Coal, Inc. <br />P.O. Box 459 <br />Florence, CO 81226 <br />Re: Marr Mine (Permit No. C- 1980 -006) <br />Bond Release Application No. 5 (SL -5) — Adequacy letter <br />Dear Mr. Patterson: <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 />As you know, a bond release inspection was conducted by myself, Dan MacKinnon of OSM, and Gordon <br />Brocker, representing Energy Fuels, on December 17, 2012. The inspection covered the Marr Mine site <br />and the loadout facility. <br />No problems were identified with roads, culverts, or the Best Management Practices for sediment control <br />from the reclaimed pond area. No gullies, large weed patches, or other problems were seen on the <br />reclamation at the mine site and the loadout. At the reclaimed pond area emergent vegetation can be seen, <br />including rabbit brush and grasses. <br />One adequacy issue has been identified. The two alluvial monitoring wells at the loadout have yet to be <br />removed (as of the time of the inspection on December 17, 2012). This will need to be done in <br />compliance with the PAP (page 780 -88b) prior to a DBMS approval of the SL -05 bond release <br />application and final release of the site. Please notify me when this work is scheduled and/or completed. <br />A follow -up inspection by DBMS will need to be conducted to confirm that these wells were removed. <br />If you have questions or need additional information, please contact me. <br />Sincerely, <br />4V__P 7-�' <br />Robert D. Zuber, P.E. <br />Environmental Protection Specialist <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />