2013-05-30_REPORT - M2009018 (3)

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112c AW rReport n 0/< ?10 Permittee Name: Varra Companies, Inc. Permit Number: M2009 -018 Operation Name: Heintzelman Project (Pit 116) County: Weld Annual Fee Due: $ 791.00 Anniversary Date: 17 June 2010 Permit Acreage: 155.23 Current Bond Amt: $ 239,266.00 According to C.R.S. 34- 32.5 -116 or 34 -32 -116, each year, on the anniversary date of the permit, an operator shall submit the annual fee, an annual report and map showing the extent of current disturbances to affected land, required monitoring information, reclamation accomplished to date and during the preceding year, any new disturbance that is anticipated to occur during the upcoming year, any reclamation that will be performed during the upcoming year, the dates for the beginning of active operations, and the date active operations ceased for the year, if any. Information contained in this report will be reviewed by the Division upon receipt and prior to the next compliance inspection of the site. If, while completing this report, you learn that your site is not in compliance with the rules and the act, it is advisable that the issues be rectified promptly to avoid possible enforcement action. SUMMARY NARRATIVE: The permit was revised by Amendment (2011) providing for 1.58+ acres for a conveyor route. The conveyor route has been constructed and became operational in November 2012. Extraction soon followed in the 65.58± acres of Tract A. Extraction has proceeded from North to South along the extraction limit perimeters to the red line shown on the 2013 Annual Report Map. Market conditions will determine if and how far extraction will occur beyond the red line. The actual extent will be updated in next year's annual report. Soil for reclamation is placed along the cut perimeter, forming a berm apx. 3.0± feet in height. Tract A is kept dry by directing water to a settling basin established in the northeast corner of Tract B, and returned via the adjacent seep ditch. In cooperation with Kerr -McGee Gas Gathering and Anadarko, the well and gas lines located in Tract A have been removed. Continuity of gas lines was established by placement of replacement lines along the outer perimeter of Tract A extraction, and notated as lines R -1 and R -2, showing connection with established and existing oil and gas facilities, as well as the creation of new tank, batteries, and pot along just to the northeast of the established settling basin in Tract B, as identified in orange, and as labeled on the revised 2013 Annual Report Map. Stockpiling of overburden and excess soil is occurring South of the red line shown, within Tract A. Soil for reclamation lines the extraction limit boundary as provided for in the approved permit. Weeds where they occur are mechanically controlled either by discing, mowing or pulling by equipment or hand, but are generally not a problem at this location. Water level data is also included as an attachment to this report. No reclamation is anticipated for the 2013 -2014. 1. Is the site identification sign posted in accordance with Rule 3.1.12(1) 2. Is the affected area boundary clearly marked in accordance with Rule 3.1.12(2) 3. Is the mine site in final reclamation (all material extraction and stockpile removal is complete)? If "YES," please note time limits related to completion of reclamation, Rule 3.1.3. 4. What was the date of last excavation, processing or hauling activity at the mi ?, RIE-ECEV-) 5. Does the mine operate more or less than 180 days per year? If "LESS ", please review Rule 1.13 to assure that your mine is in compliance. MAY 0 ? 6. Has this mine been granted: a) approval of TEMPORARY CESSATION Sta=0310NOFREMWAT!GN b) approval for INTERMITTENT OPERATION? MININGAND SAFE.; Y 7. Number of acres currently affected (mining + incomplete and or unreleased reclamation) YES NO YES NO YES NO On -going MORE LESS YES NO YES NO < 66.0± Acres Construction of elevated conveyor system approved in 2011 Amendment has been constructed according to design.