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Consent Agreement <br />Page I 2 <br />February 27, 2013 <br />November 14, 2012 — The Division received the Operator's Annual Report which indicated the <br />Cross Gold Mine had been inactive for more than 180 consecutive days. <br />December 17, 2012 — The Division sent the Operator a letter in response to the 2012 Annual <br />Report. The letter requested that the Operator file a Notice of Temporary Cessation or otherwise <br />demonstrate that the mine was active. <br />January 4, 2013 — The Division received a Notice of Temporary Cessation from the Operator for <br />the Cross Gold Mine. <br />January 7, 2013 — The Division sent the Operator a Notice of Financial Warranty Increase for <br />Amendment No. 1. The letter informed the Operator that if the required financial warranty was <br />not posted by April 9, 2013, then the matter would be scheduled a Formal Public Hearing in <br />accordance with Rule 4.1(2). <br />January 17, 2013 — The Division conducted an inspection of the Cross Gold Mine in response to <br />the Notice of Temporary Cessation and found the Operator had commenced development of the <br />Cross Mine decline portal prior to posting the required financial warranty. Waste rock generated <br />from the development of the decline portal was stockpiled outside of the currently approved 2 <br />acre permit boundary. <br />January 25, 2013 — The Division sent the Operator a copy of the Inspection Report. <br />January 25, 2013 — The Division sent the Operator a Notice of Possible Violation for failure to <br />submit the supplemental performance and financial warranties for additional acreage added <br />through a reclamation permit amendment, prior to affecting land associated with said amendment <br />and for failure to protect areas outside of the affected land from slides or damage occurring <br />during the mining operation. <br />REASON FOR VIOLATION: <br />The Operator has commenced development of the Cross Mine decline portal which was approved <br />through Amendment No. 1 on April 9, 2012. Approximately 500 tons of waste rock generated <br />from the development of the Cross Mine decline portal was stockpiled outside of the currently <br />approved 2 acre permit boundary. In addition, the Division has not received the financial <br />warranty associated with the approval of Amendment No. 1; therefore, the revision has not been <br />finalized. <br />STAFF RECOMMENDATION: <br />Violation: <br />Find a violation of: <br />• C.R.S. 34- 32- 112(8) and C.R.S. 34- 32- 117(1) for failure to submit the supplemental <br />performance and financial warranties for additional acreage added through a reclamation <br />permit amendment, prior to affecting land associated with said amendment. <br />AND <br />