2018-10-30_PERMIT FILE - M1977493

• Permit No: M1977493
• IBM Index Class Name: PERMIT FILE
• Doc Date: 10/30/2018
• Doc Name: Reclamation Cost Estimate
• From: Climax Molybdenum
• To: DRMS
• Email Name: JLE
• Media Type: D
• Archive: No

Climax Mine
Climax Molybdenum Hwy 91 —Fremont Pass
Climax, CO 80429
A Freeport-McMoRan Company Phone[phone]
Fax[phone]
Sent by UPS Legal Express
October 29, 2018 C
Mr. Jared Ebert, Environmental Protection Specialist III
Colorado Division of Reclamation, Mining and Safety OCT 3 0 Z018
1313 Sherman St., Rm. 215 DIVISION OF RE
Denver, CO 80203 MININGgNp SA ETy ON
RE: Climax Mine Permit No. M-1977-493, Draft Reclamation Cost Estimate
Dear Mr. Ebert:
Your October 1, 2018 letter regarding the DRMS draft reclamation cost estimate for Climax
Molybdenum Company—Climax Mine (Climax) included two adequacy review items with a
requested response date by November 1, 2018. AJAX Mountain Enterprises, LLC who prepared
the Climax updated cost model has addressed the items as follows:
l. The floor and footing information for the requested Demolition 3 structures is provided
as follows:
a. New Mill Building—approx. 1,105 ft. x 805 ft. x 1 ft. max.
b. Coarse Ore Dome—concrete ring foundation 1,036 ft. x 1 ft.
c. New Scale House—approx. 102 ft. x 24 ft. x 0.5 ft.
The demolition of any pedestals, footings, foundations for the ball/sag mills, perimeter stem
walls, or any other specific foundation which is considered interior to the Mill and Scale House
buildings is assumed to be included in the general cover and reclamation-in-place for the
structure's main slab and footing foundations.
2. The source for and explanation of the cost estimate for the Coarse Ore Dome is provided
as follows:
a. Similar to many other foundations at Climax and consistent with the basis of design
used in the Reclamation Plan provided with approved AM-06, foundations will
generally be regraded, covered and reclaimed in place. These include the Coarse Ore
Dome's concrete ring foundation for the stockpile dome itself, the 8 ft. diameter
CMP emergency exit tunnel, the concrete wing walls and conveyor supporting
retaining wall, and the MSE retaining walls.
b. The steel salvage credit for the dome itself will be significant. However, to
acknowledge the general reclamation that will still be required in and around the
facility, a pre-adjusted lump sum amount of$250,000 was applied. A more accurate
value can be calculated, if required.