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DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832 -8106 <br />June 21, 2011 <br />Jon P. Thorson <br />RM Potash <br />5515 Nuthatch Road <br />Parker, CO 80134 <br />Dear Mr. Thorson, <br />Office of <br />Mined Land Reclamation <br />STATE OF COLORADO <br />JUN Z7 2011 <br />Division of Reclamation, <br />Mining and Safety <br />Re: Colorado Potash Project, NOI File No. P- 2011 -012, Technical Adequacy Review Letter. <br />COLORADO <br />D I V I S I O N O F <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pifieda <br />Director <br />The Division is reviewing the Notice of Intent (NOI) named above, and has identified several items that require <br />clarification. Please respond to each item listed below. These are the issues that staff has identified to -date, and if <br />additional issues are identified through further review, we will write to you requesting additional response. <br />1. Affected acreage: The affected acreage is stated to be 2.00 acres, though a breakdown of the acreages of the <br />various activities shows this figure to be too low. The acreage figure must include all lands to be disturbed <br />by drilling pad construction, and all new and significantly upgraded roads. The types of activities and <br />disturbance to be included in the total acreage are: topsoil stockpiles, piles of stripped brush, cut and fill <br />slopes, sediment controls, new roads and significantly upgraded roads. "Significant" road upgrades are <br />defined as widening, changes in grade, and realignment. Certain drainage structures may also apply. Please <br />provide a revised affected acreage figure, and how that figure was estimated. <br />2. BLM claims: In the "General Information" attachment, there is a list of BLM claims numbered D -1 through <br />D -21. The list does not exactly match the map of the claims, since on the map there is no claim number D- <br />18, but there is a claim number D -22. Please state if this was just a typo or if further claim description is <br />needed. <br />3. Groundwater protection: The plan states that the drilling operation may encounter groundwater. By virtue of <br />the extensive depth of drilling it is possible that more than one aquifer may be encountered. Please provide <br />detailed information as to how you will prevent mixing between aquifers, during drilling and as part of drill <br />hole closure during final reclamation. <br />4. Drilling will involve certain water -based mud and diesel -based mud. Please confirm that all drilling fluids to <br />be used on the site will be completely contained: mixed, stored and recycled in secure vessels and tanks, and <br />fully lined pits. Please state how water -based mud will be dewatered and disposed of during reclamation. <br />5. Diesel -based mud: The NOI states that due to the solubility of the potash that is being explored, a diesel - <br />based mud will be used in the potash bed section of the bore hole. Injection of a hydrocarbon into a bore <br />hole, especially when its recovery and/or full containment is not certain, making groundwater contamination <br />possible, raises concerns for this office. Please provide better description of diesel -based mud to be used, <br />including (on a one - drill -hole basis) how much will be stored on the pad surface at any one time, an estimate <br />Office of <br />Denver • Grand Junction • Durango Active and Inactive Mines <br />