2010-09-29_PERMIT FILE - M2010037

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40586 Co. Rd. 21 Haxtun, CO 80731 September 26, 2010 Mr. Michael Cunningham Environmental Protection Specialist Division of Reclamation, Mining and Safety 1313 Sherman Street, Room 215 Denver, CO 80203 4'-9 RE: Response to-Adequacy Review - 02 dated Septembe 15 010 Masters Pit #2; DRMS File No. M-2010-037 i/ Dear Mr. Cunningham: sch174,01- PaAd r RE V D p 2 9 2010 Division ci Reciamation, Mining 2nd "'af-e4y This is a response to your second adequacy review for the Masters Pit #2. The comments which require a response are shown in bold as provided. The spelling of Arikaree has been changed to reflect the same spelling on USGS maps. Our responses are given in italics. 6.4.3 Exhibit C - Pre-mining and Mining Plan Maps(s) of Affected Lands 1. The Pre-mining Plan Map and the Mining Plan Map show that mining will occur within the North Fork of the Arikaree River. However, the Location Map shows that mining will occur south of the North Fork of the Arikaree River within the main channel of the Arikaree River. Please clarify this discrepancy and revise all exhibits accordingly. After reviewing additional USGS quadrangle maps, it does appear that theMasters Pit #2 has the main channel of the typically dry Arikaree River running through it. All maps containing the incorrect label have been corrected and are attached. 6.4.4 Exhibit D - Mining Plan 2. During the inspection conducted on August 24, 2010, the Operator indicated mining would be contained to the bed of the Arikaree River. The proposed Mining Plan and Mining Plan Maps show that mining will occur to the north and south of the Arikaree River. Please clarify if mining will be restricted to the bed of the Arikaree River or if it will also take place outside of the river and revise any exhibit as necessary. As you may recall, the Masters Pit #1 (M-2009-029) was originally permitted in as a 110 permit with 7.7 acres. Due to difficulties in taking material out of the permitted area, a final decision was made to simply permit the entire eighty acres. There has been thought expressed that the entire area may not be mined due to the cost of removing overburden and uncertainty over quantities of material. However, we are permitting the entire 80 acres and mining could take place in areas outside the bed of the Arikaree River if removal appears to be cost effective and material is sufficient to justify the work. At this point nc