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999 <br /> SL?l1 NYSIDE GOLD CORPORATION <br /> AN ECHO DAY COMPANY <br /> P.O. Box 177 .Silverton, CO 81433 <br /> Phone (303) 387-5533 .Telecopy (303) 387-5310 <br /> August 23, 1988 <br /> Mr. Fred Banta - Director <br /> Department of Natural Resources ' <br /> Mined Land Reclamation Division `�O <br /> 215 Centennial Building <G w 41988 <br /> 1313 Sherman Street MINED „� <br /> Denver, Colorado 80203-2273 <br /> RECLAMATION UIV1810N <br /> RE: "Sunnyside Mine", File No. M-77-378, San Juan County <br /> I. ice of Possible Violation dated 8-1-88/received 8-8-88 <br /> Dear Mr. Banta, <br /> The above referenced "Notice of Possible Violation" concerning waste <br /> storage in Sunnyside Basin came as a complete surprise to myself and Bill <br /> Goodhard - General Manager. We each assumed our current responsibilities <br /> in July, 1988 and although we were aware that stipulations to the Permit <br /> Amendment 03 existed, we were under the assumption that they were to be <br /> addressed as the open pit project matured (except the BLM's cultural <br /> resource inventory) and not as a condition before startup. Similar assumptions <br /> were made by the people in charge before us (see attachments). <br /> We believe the "Notice of Possible Violation" is a direct result of <br /> our poor communication with the Division and not because of a violation <br /> of the terms of our Permit. Because of the time constraints involved, this <br /> matter will regretfully end up before the Board instead of being worked <br /> out through discussions with Division which is our preference. The <br /> following discussion is the reasons why we believe no violation of the terms <br /> of our permit exists and a partial update (a complete submittal will take <br /> more time) on the project. <br /> The scope of the "open-pit project" was drastically reduced from the <br /> plans submitted in the Amendment. This reduction was a result of detailed <br /> Geologic and Engineering studies of the preliminary design and the final <br /> product resulted in a reduction of waste volume generated from 2,346,000 <br /> cubic yards to 100,000 cubic yards. This reduction eliminated the need <br /> for permanent disposal sites for waste (Waste Rock Dumps No. 1 and No. 2) <br /> as the volume to be generated was less than that estimated for backfilling <br /> the Lake Emma void (385,000 cubic yards) . Since backfilling the Lake Emma <br /> void was a requirement of the Consolidated Permit and reiterated in Amend- <br /> ment 03, temporary waste areas were established close to the hole for <br /> backfilling when enough volume could be accounted for to complete the project <br /> in one construction season. <br />