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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINTING AND SAFETY <br />Department of Na[ural Resources <br />137 3 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 6663567 <br />FAX: (303) 832-8706 <br />April 17, 2007 <br />Ron Thompson <br />Peak Project Management <br />3800 Co. Road 63.9 <br />Trinidad CO 81082 <br />RE: 2005/2008 Annual Hydrology Report Review, New Elk Mine, #C-81-012 <br />Dear Mr. Thompson: <br />COLORADO <br />DIVISION OF <br />RECLAMATION <br />MIN[[~~ING <br />- tX- <br />SAFETY <br />Bill Ritter, Ir. <br />Governor <br />Harris D. Sherman <br />Executive Director <br />Ronald W. Cattany <br />Division DirecTOr <br />Natural Resource Trustee <br />The Division of Minerals and Geology has completed review of the 2005 and 2006 <br />Annual Hydrology Relports (AHRj for the New Elk Mine, #C-81-012. Please respond to <br />any issues as neces;>ary within 60 days of receipt of this letter. Previous issues <br />identified after revieHr of the 2003/2004 AHR were not addressed and are repeated <br />below in italics. <br />1. On page 15 0l` the report, the text states that before water is discharged from <br />pond 7, "it will be tested for settleable solids..." In fact, manual discharges must <br />meet the effluent limit for suspended solids prior to discharge. Please modify the <br />text in future reports. <br />2. On page 16, tl'ie report states "above the two mine sites...". This language is <br />likely leftover from when the New Elk and Golden Eagle mines were owned and <br />controlled by the same permittee. Please correct as necessary in future reports. <br />3. The surface elevation on the graph for NEW-4 water levels differs from the <br />surface elevation listed in table. 1.2-3. Please include elevations of the <br />measuring point, if different than the surface elevation, for each well in future <br />reports. <br />Monitoring Frequent <br />Excursions from the I•equired monitoring frequency in 2005 were noted as follows: <br />• No third quarter 2005 piezometer levels were reported <br />• One water level measurement in NEW-3 was missed in 2005 <br />• The annual sample reported in 2005 for NEW-4 was taken in April 2006 <br />Office of Office of <br />Mined Land Reclamation Denver Grand Junction Durango Active and Inactive Mines <br />