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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 />March 6, 2013 <br />Mark Steen <br />Gold Hill Mines, Inc. <br />P.O. Box 1523 <br />Longmont, CO 80502 <br />RE: Gold Hill Mill; DRMS File No. M- 1994 -117; Technical Revision No. 9; Adequacy <br />Review <br />Dear Mr. Steen, <br />STATE OF COLORADO <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />— &— <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />The Division of Reclamation, Mining and Safety (Division) received Technical Revision - 09 for <br />the above referenced site on February 15, 2013. The decision date for this Technical Revision is <br />March 18, 2013. The Division has reviewed the Technical Revision Application and has the <br />following comments: <br />1. The Operator has proposed eliminating the sampling point at the Left Hand Creek since it is <br />not located in the same drainage basin as Gold Hill Mill. The Left Hand Creek sampling <br />point was selected because of the general southwest to northeast trend in the fractures of the <br />crystalline rock and the potential for groundwater to move into the Left Hand Creek <br />drainage. Sampling of Left Hand Creek has been sporadic and without a period of at least <br />five consecutive quarters of data to evaluate, the Division will require the Operator to <br />continue sampling at this location. <br />2. The Operator has proposed eliminating the sampling point at the Wynona Mine. The Wynona <br />Mine has historically been used to store water which is utilized in the milling process. The <br />Division concurs with the Operator that there is not currently a need to sample at this location <br />given that the mill in not operational and water is not being stored in the Wynona Mine. The <br />Division will require the Operator to commence sampling at this location prior to its use for <br />water storage. Please respond. <br />3. The Operator has proposed eliminating the sampling point at the Hazel A. Mine. The Hazel <br />A. Mine was historically used as part of the surface water management system for the mill <br />and tailings impoundment; decant lines collected excess stormwater runoff within the tailings <br />impoundment and directed the water through a pipeline to the Hazel A. adit. The decant <br />water was recycled from the Hazel A. Mine back to the mill The Division concurs that there <br />is no longer a need to sample at this location given that the mill is not operational and that the <br />Hazel A. Mine no longer receives stormwater runoff from the tailings impoundment. <br />4. The Operator has proposed the elimination of the sampling points at Mill Well No. 3 (MW -3) <br />and Mill Well No. 4 (MW -4). Currently four wells located below the tailings impoundment <br />Office of <br />Mined Land Reclamation <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />