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<br />ATTORNEYS ~~~ <br />Ryley Oarlock & A lewh't ~/ <br />pp 1 e 1999 Broadway <br />A PROFESSIONAL ASSOCIATION <br />John W. Watson <br />Direct Line: 303-813-6722 , <br />E-mail: jwatson@rcalaw.com <br />January 16, 2008 <br />Suite 1800 <br />s Denver, Colorado 80202 <br />~6~/~ ~ephone 303-863-7500 <br /> <br />JAN 2 8 2008 <br />Division of ReC-a <br />~INn matio <br />9 and Safety acsimile 303-595-3159 <br /> <br />Offices in: <br />n, phoenix, Arizona <br /> <br />Denver, Colorado <br /> www rcalaw com <br />Scott Wilkonson <br />Assistant Attorney General <br />,Office of the Attorney General <br />Natural Resources & Environment Section <br />Office of the Attorney General <br />1525 Sherman Street, 2nd Floor <br />Denver, Colorado 80203 <br />``~~ , <br />JAN 18 2008 :'~ <br />GRAND JUNCTION FIELD OFFICE <br />DIVISION OF <br />RECLAMATION MINING & SAFETY <br />Re: Cotter Corporation's Ura~m Mines JD-6, JD-8, JD-9, and SM-18. Acid <br />Mine Drainage Potential /''1 _ ~~ 7 7 _ ~ ~~ ti <br />Dear Mr. Wilkinson: <br />As we have discussed, Cotter has gathered and analyzed samples of waste rock and ore from <br />its uranium mines on the west slope. The purpose of the report attached hereto is to provide <br />relevant data and technical analysis for the statutory exclusion (see C.R.S. Section 34-32-103 <br />(3.5) (b)) of the Cotter Mines JD-6, JD-8, JD-9, and SM-18 (Cotter Mines) as Designated <br />Mining Operations (DMO). C.R.S. Section 34-32-103 (3.5) (b) states in part, "Such mining <br />operations exclude operations which do not use toxic or acidic chemicals in processing for <br />purposed of extractive metallurgy and which will not cause acid mine drainage." It is <br />undisputed that the Cotter Mines do not use toxic or acidic chemicals in processing for <br />purpose of extractive metallurgy. In addition, based on the analyses contained in this report, <br />Cotter submits that acid mine drainage will not occur as a result of mining operations at the <br />Cotter Mines, and that the Cotter Mines, thus, should not be considered DMOs. <br />Sincerely, <br />~~ <br />J L. Watson <br />Copies: (w/ enclosures) <br />Travis Stills <br />Jeff Parson <br />~ Russ-Means <br />Dave Barry <br />