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Varra Companies, Inc. <br />OFFICE OF SPECIAL PROJECTS <br />8120 Gaee Street Frederick, CO 80516 Telephone (303) 666 -6657 Fax (303) 666 -6743 <br />Subject: Technical Revision #2 — Varra Companies, Inc. <br />Western Sugar Reclamation Land Development Project - OMLR Permit #: <br />M- 2010 -049 <br />This Technical Revision (TR) is intended to satisfy the option of lining approved basins. <br />The basins identified in the original Office of Mined Land Reclamation (OMLR) permit <br />are presently approved and bonded for in an unlined state. The permit provides for the <br />option that the basins be lined in order to liberate the waters presently securing the <br />exposed groundwater in the unlined condition. The option to line the basins requires a <br />technical revision to the approved permit to assure the OMLR that lined basins will <br />comply with state law. <br />To satisfy the concerns of the OMLR, included with this revision is a report on the <br />potential for shadowing and mounding by AWES, LLC of 27 June 2013. The report <br />concludes: <br />'...that lining mined gravel pits has almost unmeasurable influences to the <br />surrounding groundwater hydrology and does not change hydraulic gradients <br />beyond the variations that would normally be expected in the geologic settings <br />associated with the operation.' <br />We anticipate the OMLR will concur with this analysis. Once operations near completion <br />of any lined basin, the Colorado Department of Water Resources Office of the State <br />Engineer (OSE) will be contacted and the lined basins will be approved prior to use. <br />The OSE approval letter will be provided to the OMLR as a condition of the permit and <br />satisfaction that the lined basin has met the specifications necessary to pass a liner test <br />as part of the OSE approval process. <br />Varra Companies, Inc. Western Sugar Land Development Project 2 <br />OMLR Permit #: M- 2010 -049 Technical Revision #2 19 July 2013 <br />