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w <br />C~ GAULT GROUP INC.s~- <br />CREATING PARADIGMS IN RESOURCE MAN~~T <br />August 14, 2007 ~~ Rai"V~a <br />Reference Number: 07-06A SEP 10 2001 tyti, <br />pfvlsion of Reclamatbn, ~ 4 2Q07 / <br />Mlning and Scan <br />Attn. Kelly Morgan/Clean Water Compliance Assurance Unit `Son o° F`eia o <br />Compliance Assurance and Data Management Section !y`oln9a~dsame 6~~, <br />Water Quality Control Division ty ~. <br />4300 Cherry Creek Dr. S ,. <br />Denver, Colorado 80246-1530 ~(Al {Ui ~ C.-G'w'~~ ~~S unafz `, <br />Regarding: Response to "Compliance Advisory - Dischazge Permit Requirement": <br />Certified Mail No. 7005 1 82000003 2 1 27657 and 70051820000032127574 <br />(Kye Abraham [LKA Int.] and Lance Bazker [Au Mining] recipients}. <br />Dear Ms. Morgan: <br />Gault Group Inc. (GGI) is pleased to provide this letter and the attached Technical <br />Memorandum (TM) documenting our response to your recent `Compliance Advisory - <br />Discharge Permit Requirement' (the Advisory Letter; dated August 3, 2007). This <br />information also provides a comprehensive discussion of stormwater flow pathways and <br />the effectiveness of the stormwater management plan practices as required from the <br />Notice of Violation (pazagraph 22) issued as a result of the lack of having a current <br />Stormwater Permit. A stormwater permit has been issued (COB-040000, Facility No. <br />COR040226), therefore this submittal represents a response to the outlying questions <br />surrounding the effectiveness of the stormwater controls. <br />GGI represents both LKA Int., and Au Mining in azeas of regulatory compliance as <br />related to the Golden Wonder mine (DBMS Mine Pennit No. M-78-091). The results of <br />our analysis of the hydrologic pathways within and around the Golden Wonder mine <br />indicate that there is no need for a Discharge Permit. Results also indicate that <br />stormwater is contained and not creating anv off-site releases. Site conditions indicate <br />that the `waste rock toe seeps' are related to Deadman Gulch ephemeral flows and would <br />not be defined as process water which the discharge permit process serves to address. <br />We have provided the information from which we have drawn these conclusions for your <br />review. In addifion to these studies, Au mining is constructing a lined channel to contain <br />Deadman Gulch flows out and away from the waste rock pile. We will not be able to <br />determine the effectiveness of this control until flows occur within the Gulch again <br />(which maybe during spring melt conditions of 2008). We therefore request that you <br />review the infonnation provided herein, consider the fact that flows are likely to be <br />eliminated in the near future, reconsider the need for the Discharge Permit and contact us <br />regazding any questions you may have. <br />602/294-6652 <br />2200 E. CAM ELBACK ROAD, BUTTE 21 7 36 WEST MAIN STREET <br />PN DENIX ARIZONA 8501 6 <br />vAx 602/294-6659 <br />CORTEZ, COLORADO 81321 <br />97D/565.1222 cax 97D-565-1226 <br />