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<br />DIVISION OF MINERALS AND GEOLOGY <br />Deparimenl of Natural Resources <br />1313 Sherman Si., Room 215 <br />Denver, Colorado 80203 <br />Phone: 1303) 866-3567 <br />FA%:(303)832-8106 <br />August 3, 1994 <br /> <br />STATE OF COLORADO <br />II~ <br />DEPARTMENT OF <br />NATURAL <br />RESOURCES <br />Mr. Jay Jones <br />Climax Molybdenum Company <br />P.O. Box 68 <br />Empire, CO 80438 <br />RE: Notice of Determination as a <br />Ruy Rnmr~ <br />Govvmo~ <br />Ken Sa laav <br />Exe[ulrvr Dnedur <br />KLChacl tl. Long <br />Donlon Direcmr <br />Designated Mining Operation, <br />Henderson M1ne, Permit No. M-77-342 <br />Dear Mr. Jones: <br />As a result of review by the Office of Mined Land Reclamation of your <br />permit application, pertinent geology and geochemistry and recent <br />inspection reports, you are hereby notified, pursuant to Ru:Le 7.2 of the <br />Mineral Rules and Regulations of the Colorado Mined Land Reclamation <br />Board, that the Henderson Mine, Permit No. M-77-342, has been determined <br />by the Office to be a Designated Mining Operation for the following <br />reasons: <br />1) Designated chemicals used in metallurgical processing are <br />present onsite. Such designated chemicals include sodium cyanide <br />and sulfuric acid used at the mill site. Sodium hydroxide is used <br />at the mine site for water treatment. Other chemicals in use at <br />the mine and mill may also be designated chemicals. Part of the <br />Environmental Protection Plan required for Designated Mining <br />Operations will be specification of chemicals at the site, an <br />assessment of their potential adverse environmental impacts, and <br />description of measures taken to prevent such impact::. <br />2) Toxic- or acid-forming materials are or will be exposed or <br />disturbed as a result of mining operations. Pyrite and other <br />metal sulfides are endemic to the Henderson ore body. These <br />potentially acid and heavy metal generating minerals are depressed <br />in the milling process and are discharged to permanent disposal in <br />the tailing impoundment. <br />3) Acid mine drainage occurs or has the potential to occur due to <br />mining or reclamation activities. Currently, groundwater from the <br />underground workings of the Henderson Mine is pumped, treated and <br />discharged in accordance with your CDPS permit. Prior to <br />treatment, the mine water would meet the definition of acid mine <br />drainage contained within the Mineral Rules and Regulations. <br />Currently, mill water is continuously recirculated, and the <br />