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HomeMy WebLinkAboutDRC-2011-007893 - 0901a068802cbd01DENISO MINES November 14, 2011 Denison Mines (USA) Corp. 1050 17th Street, Suite 950 Denver, CO 80265 USA Tel : 303 628-7798 Fax ; 303 389-4125 www.donl8onmine3.com VIA E-MAIL AND OVERNIGHT DEUVERY Mr. Rusty Lundberg Utah Department of Environmental Quality 195 North 1950 West P.O. Box 144850 Salt Lake City, UT 84114-4850 Re: Denison Mines (USA) Corp. ("DUSA") White Mesa Mill Facility Response to 2nd Quarter, 2011 DUSA DMT Performance Standards Monitoring Report and Cell 4A and Cell 4B Performance Standards Monitoring Report (Dated August 31, 2011): Ground Water Quality Discharge Permit UGW370004: DRC Findings, Confirmatory Action and Notice of Enforcement Letter Dear Mr. Lundberg: This letter transmits Denison Mines (USA) Corp's ("DUSA's") responses to the DRC Findings, Confirmatory Action and Notice of Enforcement Letter, dated November 7, 2011. We have re-quoted each of DRC's Findings and Confirmatory Action items and provided below, specific responses to each item discussed in DRC's November 7, 2011 letter. DRC Findings: 1. Part 3.1 (b) (v) of the GWDP requires DUSA to monitor and record weekly, the depth to wastewater in the Cell 2 slimes drain access pipe to determine maximum and minimum head before and after a pumping cycle, respectively. This information was not included in the Report. DUSA Response: See response to Confirmatory Action ^1. The data has been provided in attached Tab A. As discussed during DRC's telephone conference with DUSA on October 26, 2011, DUSA currently has one DRC-approved DMT Plan, which addresses the DMT requirements set forth in the Radioactive Materials License ("RML"), which has no quarterly reporting requirement, as well as those set forth in the Mill's GWDP, which requires a quarterly DMT report. The quarterly DMT reports submitted by DUSA are intended to satisfy the requirements in the GWDP, and afe not intended to include information that is required to be monitored, but not reported, by the RML. Information required by the RML is available for inspection at the Mill. The requirement in Section 3.1(b)(v) of the DMT Plan is a requirement of the RML and is not a DMT performance monitoring standard required by Parts I.D.3 or I.E.7 of the GWDP and hence is not required to be included in the routine DMT Performance Standards Monitoring Report under Part I.F.2 of the GWDP N:\Required Reports\DMT Reports\2011 DMTAQ2 2011 DMT Report\Q2 AddendumM 1.14.11 Response to DEQ 11 7,11 Itr DMT.doc Itl il '.t t-ltl Letterto Mr, Buaty arrot Norrember 14, e011 Page E lt DUSA has provided the information reque8tEd in the DRC'$ November 7,2011 letier lor completene68 ol response, Howevsr, as disoussed dudng the telephons cortference, DUSA intends to reviee the DMT Plan by prepadng two eeparate plans for the GWDP and BML requlrementa. Following approval of the plans, DUSA proposes to contlnue providng quarterly DMT reports addresslng the GWDP DMT requlrem€nta only. Untll suoh tlmE ae the aeparate plans are approved, DUSA wlllcontlnue to inolude the HML:required informatlon in the DMT rsport, lf required by the Executlve Secretary. 2" Affiondh( A,ttc tlre fuport prafp|nte waaw water aufiafE elalatiij,he in tha tdlllnga oalb aN Rd.bsrla Pond. DaE for tha wqak of Apfil E , eal t @a nd appear ln thp rurterciwd Attaohmant A. DUSA Rgeponsc: $ee reaponee to Conlinnatory Action #2, below, The data has boen provlded ln attached Tab B. 3. DUSA began dlvertlng tailings to Qell 48 on February 1, 2011. No eolution pool elevatlon mdasurcments werc tr,lron until Mqy 91, zol 1 . This is in .vlolatlon of Part 3,1 (a) of tha BAT Plan, ORC prevlously noted thle violatiort durlng lb raviaw letter tor the t'I Quaftar Report dated August gt, 2011, Duflng the Ond Quartar ot 2011 DUSA dlecwarsd this violafun and returnod to compllance. DU$A Fccpon*e: No reeponse required. 4, Paila.\d) otthe DMTB,AT requi+s DUSA meas.ure tha gizg arrd ma,rlmum elavation of the tallinge beach in Cella 4A and 4:8 monthly. Thle lnformation dooe not eppffir in the R;efrclrt. DUSA Hesponct: Baeed on tho lacts and background informatton inc-luded in Tab C of the Second QuaftEr 2011 DMT Addendum, beach Elevetlon maasur€mente are no longer required for Cell 4A per the approved DMT Plan, Revieion 11.1, dated January 2011 and approvad by DHC on January 10, 2011. Moaeurements oeaeed ln February 2011, after the approval lor thE us€ of C6ll 4ts was recelved from DRC, The remeining reference to beach el€vation meagurements in Coll 4A ln the currently approved DMT Phn, Sestion 9,1(d) is a typographlcal error. The lntent of Section 3,'l(d),b, was clearly lo remove ihe beach elevation msseurem€nts from all talllngs oelle except Cell 48. DUSA will submlt a revised DMT Plan, for DRC review and approval, to corrsct thle error. DU$A proposes to Eubmit tw'o separhta revised DMT Plana to address tlrls correctlon as well as the separation ol requlrementE disougsod in raeponee to Cornment Number 1, above, by January 14, 2012. No baach elevation measurements have heen conducted to date ln C6ll 48, as there are no beaches present at tftie time. Future beach alevation meAsurom€flts will be oonducted in Cell48 when beachae are observgd. 5. Ff,dfl. l(a) of the DMT Flan raqulrce DUSAlo monftorthe leak dsteotton sJlatom forCeils I aN I wwkly, Ihp'F/an ruqulrw DUSAtB,-trprrlthetilkdeterlthn *ystem,ea,drye or.'to.rero(the f,uid'lewllntheeya/clm, Dateotlng tluid triggere d Hgulrapent to *xtrant il1e f,utd, me&sut6 tfie exfrEctgd volume, aN cvlrnputo e leakagl ruts lot the call. The { Quarter DMf Pailormanoe &Endarde Monitoring norrrtt @fitalne no date tor either ths Cell I or Cell I leak daeciisn $ysIErnE. il it il .-l I DEN'gOJil/ ., mtNEg Letter to Mr, Rusty LrnOt November 14, 201 1 Page 3 DUSA Reeponse: The requirement in Section 3,1(e) CIf the DMT Plan is a requirement of the FIML and is not a DMT performance monitoring standard roquirod by Parts 1.D.3 or 1.8.7 of the GWDP and hence is not required to be includod in the routine DMT Porlormance $tandards Monitoring Beport undor Part 1.F,2 of the GWDP. DUSA has provicled the informalion requested in DRC's Novembor 7,2011 letter for completeness of ro$pons6. Howsver, ae discussod during the above-mentioned tolophone conforonce, DUSA intends to.revise tho DMT Plan by preparing two soparate plans for the GWDP and RML requirements, Following approval ol the plans, DUSA proposes to continue providing quarterly DMT reports addressing the GWDP DMT requiroments only, Until such time as lhe separate plans are approved, DUSA willcontinue to include the RMl-required information in the DMT report, if required by tho Executive Secretary. Monitoring results for the second quarter 201 1 Cell 1 and 3 leak detection syste rTts are included in the DMT Addondum in Tab D and are discussod in Conlirmatory Action #4. As shown in Tab D of the Socond Quader 2011 DMT Addendum, Csll 3 loak detection system was dry for tho entire quader, but Cell 'l had fluid levol detections during this period, Howavor, no fluid extraction or sampling was required or took place as a rosull ol the Cell 1 fluid dotections. ln regard to DFIC's findings above "Datecting fluid triggors a requirement to extract tho fluid, m&a$ure the oxtracted volume, and compute a leakago rato for the cell.' DUSA believe thi$ to be incorrect, Cell 1 fluid measurements throughout the quarter wero minimaldetections ranging lrom 4 inches on April 1, 2011 to 0.1 inches on June 30, 2011, and did not consist ol sufficient fluid to allow extraction or pumping, Tho currently approved DMT plan, Revision '11.1, Section 3.1 .a states , " lf suff iciant fluid is prc'sent in the leak detection sysfem of any cell, the llttid shall be pumpad from the LDS, to the extent reasortably posslb/e, and record the volume of fluid recovered. Any fluid pumped from an LDS shall be returned to a disposa/ cel/." DU$A believe the f luid detections in eell 1 were residual fluicJ which could not be removod lrom the last Cell 1 leak detection sy$tom pumping event on August 8, e010. ln an August 18, 2010 lettor f rom DU$A to DBC, DUSA described in detail the root cause of signif icant fluid levels in the leak detection system which required extraction and sampling on June 3, 2010 and August 8, 2010 to possibly be a break in the Coll 1 linar near the surface level of th6 c6ll, and includod a detailed plan lor the repairs to the liner which bogan in $eptomber 2010 and are ongoing. Tho August 18, 2010 letter is included in Tab D of the Second Quarter 2011 DMT Addendum, 6. Part 1.D.6(b) of the GWOP specifies a head"dopendent allowable leakage rate through the Cell 4A flexible rnembrane liner, Part 3.1 (a) of the BAT Plan rsiterates fhr.s requiremenl. ln light of the spillway belween Gell 4A and Cell48, the DRC removed the requirement to measure the Cell 4A salution pool elovation to demonstrate compliance with freeboard requiremsnts for the cell. When DUSA placed Cell 48 into sorvice on Februaty 1, 2011, measurament of ths solution pool elevation in Cell 4A ceased. Tho rosull of terminating the Cell 4A monitoring was a /ack of data lo use to calculate the allowablo /eakago rate through the flet<ible membrane liner. This failure to monitor perslsted through the end af the Znd Quarter of 201 I . DRC ac/dressec/ this lssue tn cortjunction with the roview of the l't Quarter Report. DIJSA has now returned to compliance with respecf fo this mon itori ng requ irement. DUSA Response: No response required. 7. Pad 1.8.8(a)(l) ol th@ GWAP roquires DUSA to provide cotttinuou$ operation ot the Cell 4A LDS pumping and monitoring oquipmont, and to make such equipment aperational within 24 hours of discavery of a lailurs of such equipmsnt. On June 22, 201 I Mill personneldlscoyorecl that the LDS monitoring data logger had ceased OEN'sOJ)Md nllNEs i-l t-'l ll T Letterto Mr, Rusty Lundt November 1+2011 Page 4 to reoord on Jund 7, 2011. Plant perconnel rebootd the eystem qnd oWerued rusumption ol data logghg. Plant parconnel checked tha loggar morc frcguently tollowing the raboot, and rerr,ated the aystam raboot on July 1, 2011, Upon dlsoovery that rcbooting the eystam did not coneat the failurd, DUSA consulted with the equipmont manutalturer lor trcuble atooting and rcpalr advlca. DUSA has reetorcd he data logging equipment to aompliant opdratlon, lncluding installatiort of an upgruded version of the data manegement aoftware durlng July, E?l l, Fallure to repalr a tailed aystem and brlng ft to tull operation within 24 hwtx consfrtu|es a violatlon of Part 1,G,3 0lthe QWDP. DU9A Herponec: No response requlred. DRC Confl rmatory Ac'tion : 1. DUSA will provide the weekU lnepction sheets aN a ckta tabld summartzing the weeh$ maxlmum and mlnimum fluid level inthe Qell 2 Sllmda Dmin tor the Znd quarter of 20/.1 to the DHC as an adddndum to the Znd Quaiter DMT Pertormanoe Sfandards Monrtorlng Reryft. All tuture OU$A DMT Performance Standlards Monitoring Reporta will lnoluda waakly inepaotiort sfieels and a data table preeerrttrtg he weakly maximum and minimum fluid level in thd Call 2 $limes Drain. DUSA Hcrpontc: See the respon0e to Number 1, above. As requested, the Cell 2 Slimee data for the second guarter ol 8011 ara inoluded in Tab A of the Second Quarter a011 Dlvff Addendum. ?, DUSA wlll proulde a revisd Afiacnment A to the relport that ittctudea the weekly water surtaoe alevatione in the tatllngs cellle and Floberts Pond tor the wa€k of Aptil 29, 9011, DUSA Response: The omleaion of data lrom the week of Aprll 29, 201'1 was an overalght. As raquested, the revieed weekly water surface elevations in thetailings cetle and Roberts Pond, whlch now lncludethe weekof Aprll 29,2011, are lncluded in Tab B of the Seoond Quartsr 2011 DMT Addendum. 0, DUSA wlll provlde tha monhly sulay data and a data tabla sunmailzing the laillnga heaoh araa and mgu(ffium elavatlon for aach maltth othe ?N quafiEr of N11, Nlfuture DUSA FW Pertormarw,,e fiandarda Monttodng Re4lofie wlllinclude fi,onthly Butwy drfa and a Mta Hble preeentlng ha lu,ilings DEaefi aren aN maxlmum elevefron for each firottth DU$A Responre: As explained above, no beach elevatiofts were ob66rued in the 2M Quarter of 2011. Ftfiure beaoh elevatlon measurements wlll ha oondueted and included ln the Quarterly DMT reporte for Cell 48 when beachee are observed,il IJ tl l J DEN!gOJil/ ,YIINEg Letter to Mr. Rusty Lr"db; November 14,2011 Page 5 4. DIJSA will provide tho loak dotaction system monitoring results for Cells 1 and 3 in a tabla for each week of the 2nd quarter of 2011, All tuture DUSA DMT Porformanca Standards Monitoring Reports will include leak detection system monitoring rosulfs for Cells 1 and 3 in a tablo for each week ol the monitoring pariod. DUSA Response: See response Number 5, above. As requested, a table including the leak detection system monitoring results for Cells 1 and 3 is included in Tab D of the Second Quarter 2011 DMT Addendum. Please contact mo if you have any questions or roquire any further information, Yours very truly, Derutsor.r MrNEs (U$A) Conp. fue^ **"u#d*-.*_ Jo Ann Tischler Director, Compliance and Permitting David C. Frydenlund Harold B, Boberts David E, Turk K. Weinel Centralfiles 0ENrsorJ)#d IrillHE$ WHITE MESA URANIUMMILL ADDENDUM TO Zd Qu""t r 2011 DMT PtsRTI)RMANCE STANDARDS MONMORING REFORT AND CELL 4A And CELL 48 BAT PERFORII4ANCE STAIYDARDS MOMTORING REPORT Reporting Pertod Aprll throughJune 20tt State of Utalr Groundwator Disoharge Permit No. UGW370004 Prtpared By: Denison lvlines ruSA) Corp, 1050 17o $Eeot, Suite 950 Denver, CO. 80265 November 14, 2011 TABLE OT CONTEIYIE Nr\Regulred Rcportr\DMTRepofi\20110[4T\A? rolr DMTRepor\Q2Arrrlcnrrum\Qz 2011 DMT Report addendum text.docx INDEX OE TABS Tah A - Cell 2 Slimes Drain Liquid Lovels Tab B - Tailings Pond Elevations Tab C - Tailiugs Beaoh Elevations Tab D - Cell 1 and Cell 3 l"eak Detection Systems Tab E - Calculation of Maximum Daily Allowable LDS Flow Volume for Varying Head Conditions in CeUs 4.{ and 48 1.0 WIIIIE MESA UBANTUM MILL ADDENDIIM to 2"d Quader 201.1 DMT PMRTORMANSE STANDARDS MONTTORING REPORT AND CELL 4A ANI) CELL 48 BAT PERFORMANCP STANDARDS MOIVTORING REPORTS INTRODUCTION This is an Addendum to the Second Quarter Discharge Minimization Tcchnology ("DMT") Performance Standards Monitoring Report prepared by Denison Mines (USA) Cory. ('*Denison"), as required under Pafi I.F.2 of the Vfhite Mesa Mill's (the "Mill's") State of Utah Groundwater Discharge Permit No, UGW370004 (the "GWDP"), and the Routino Cell 4A and Cell48 Best Availablo Technology ("BAT"') Performance Standards Monitoring Roports for the second Quarter, as required underPart I,F.3 of the GWDP, This Addendum is being prepared in response to the October 25,2OLl teleconference between State of Utah Division of Radiation Control ("DRC") and Denison as documenhd in the DRC letter dated October n,20tl (received by Denison on November 7, 2011). The Octobor 27, 201[ letter transmits the DRC findings, Confirrratory Actions and Notico of Enforcemont Discretion. This Addendum provides the infotmatron requested in the aforemsntioned October 27,2011 letter. 2,0 ADDENDTJM ORGANIZATION AND CONTEI{TS This Addendum cortsists of the following items: Tab A - Tab A includes the Weekly Tailings Inspection Fonns as wpll aE a Burnmary table of the Cell 2 slimes drain data for e€cond quarter ?Oll. The Weekly Tailings Inspection Forms are included ln rcsponse to the DRC rcquest for tlu second quarter 2011 Cell 2 sllmes drain liquid level measurements. The, Cell 2 slimos drain measurcrnonts are recorded in itom number 2 of the Weekly Tailings Inspection Forms, Tab B * Tab B contains a revision to the Tailings Pond Elevatione Measurcment Summary originally submitted August 31, 2011 with the routine second quarter DMT Report The data for the week of April 29,2Dll was inadvortently omitted firm the original rcport subrnitted August 31, 2011, No changas will be made to the routine DMT report as a rpsult of this submission because these data are alrcady included in the rcutine rcports. These data are being submitted as e correction to previously submitted report. Tah C-- Tab C includes the background documentation diecussed below for beach elevation mca$uroments in Cells 4A and 48. Facts and background infonnation regarding the measuremont of beach elevations arE as followe: N:\&equired Ropoft\DMT Rcporta\Zo| I DMT\Q2 201I DMT Rcport\Q2 Addar&mV|2 201I DMI Report addendum texLdocx a) Beach elevation msasurements arc required for the calculation of annual Freeboard limits as specified in 6.3,5 of the White Mesa MiU Tailings Management System and Discharge Minimization Technology tvlonitoring Plan ('DMT Flan') Revision 11,1 dated January 2011. It is important to note that freeboard limits are only calculated for Cell4B. The Fresboard limit for Cell 48 is set assuming that the totat PMP flood volume for Cells 2, 3, 4A, and 48 will be accornsrpdatrd in Cell 48. b) Beach elevation mes$ureffr€nts for Cell 4A werc completed ftom second quarter 2@9 when beaches were first rcported, through first quarter 2011, The Iast measurtment of beach olevations in CeIl 4A was conducted February 18, 2011 (firet quarr€r 2011), c) The cunently approved rovision of the DMT Plau is Rwision 11.1 dated January 2011. d) Approval for the DMT Plan, Reviaion 11.1, dated January ?.011, was tran$mitted to Denison via conospondence from DRC, dated January 20,2011 (Attached in Tab C). e) Prior io Dsnieon rcceipt of the approval for the DMT Plan, Revision 11.1, dated January 20, 2011, Denison submitted several draft iterations and rcvisions of the DMT Plan in preparation for placing Tailings Cell 4B into service. Tho draft revisions of the DMT PIan incorporated changes required to address the newly cons[ucted CeU 48. f) DRC comments in a letmr dated January 6, 201I to ttre Draft DMT Plan, Revision 11.0, dated Novpmber 12,2010, provided Denison with several options regarding tho approval of the DMT Plan with regard to the inclusion or exclusion of Cell 4A freeboard limits. Denison chose to rEmove the Cell4A freeboard requircments (including beach elevation measurements) and await DRC approval of the DMT Plan, Revision 11.1, dated January 2011 prior to DRC authorization for use of Cell 48. Approval of the DMT PIan, Revision I l.l, dated January 2011 allowed the removal of the CeU 4A Freeboard limits and the rtquirements to measure beach elevations associated with the calculation of Cell 4A, Freeboard limits on an annual basis. Denison's reeponse to DRC's comrnsnts letter is included in Tab C. g) The DhdT Plan, Revisiort 11.1, datod January 2011 requires the measurement of beach elevations in Cell 48 only, as specified in Section 3.1(d),8 and on the Weekly Tailings Intpection Form included in Attachment A of the DMT Ptan, The DMT Plan, Revision 11.1 reference cited in the DRC letter dated October 27,2071 is conpct in notirrg that Section 3.1(d) state'$ that beach elevations will be measured monthly in Cells 4A and 48. The text in Section 3.1(d) which statee that beach elovations in CeIl 4A will be measurEd is a tlpographical enor, which will be comected by revision of the DMT Plan. h) Beach olevation measurEments were not conducted in Coll 4B during the second quarter 201I because there wore no beaches in Cell4B in ttre second quarter of 2011, It is important to note that as of the date of this Addondum, beach elevations have not been measured in Cell 48 because there are no bEaches in Cell4B. Currently, Cell48 receives fluids only. ?, "N;\Required RTort0\DMT Reponr\20t I DM1\Q2 z0tr DIrilT Rcport\ez Addildm\q2 Z0l ], DMT Re nort addendum text.docx In sumrnflry, based on the above facts ard background information, beach glevatlon measuremente are no longar requted for Cell 44 per the approved'DMT PIan, Revisiotr 11.1, dated January 2011 and approved by DRC on Januaxy ?O,2011. Moasrtrcments cessed in February 201I, after the approval for the use of Cell4B was received from DRC. Ttre remaining reference to beach elevation measuretnents in Coll 4A in the curfently approved DMT Plsn, Section 3,1(d) is a t;pographical 0rror; The intprrt of Section 3.1(d).8, was clearly to rumOve the beach elevation mea$urements frotn all tailiugs cells except Cell 48. The DMT Plan will ba revised to oonect this error, No boach olevation measurementg haVo been conduoted to t&& in Cell 48, as ttrere are no beaches pr*ont at this time. Future beach elevation meqsurtments will be conductod in Cell48 when beaches are observed. Tnb D - Tab D includos a summary table of the Cells I and 3 LeaI( Detpctlon Systems ("LDS") data for rccond quarter 2011. Additionally, DUSA's August 18,2010, letter ".Irara of Utah 'Ground Water Discharge Permit ("GWDP" ) No. UGW370N4 Whtte Mesa Uranium Mill - Phn ard Scltcdule for Cell I Inspection and Repairs" is included to provide baclcground infonnation on the Cell I liner repaira, The last time liquid was detected at sufficiEnt volume 0o be pumped from the LDS system was on August 8, 2010, Per the cunently approved DMT Plan, "If sufficient fluid is present in the leak detestion system of any cell, the fluid shall be pumped from the LDS, to the extent reasonably possible, and record the volume of fluid resovernd. .{ny flutd pumBed frqm an LDS shall be returned to a dlsposal oell." (3,1,a) The flqid was purrped t0 th's extont roasonably poseibie, elthough,a rninimal lgvel of .fluid, insuffloisnt to allow pUmpingi rcmainp in'the LSS systotu, Mi0irnal fluid detottiahs wEre Beeri iri tlle'(hll 1 [D$ iri tn'e eecone quarter of 201 1, but the detections were not sufflcient to allow exffacdon or purnpin-g. Tab E - Equatiou/foiunula for rnaximum daily ellpwable I.,D$ f,Uw volUu-re fot'v,ar$iu& trbad corulidon$ ln tho pell, Tahlss tA artd 1B from the Best Svatlehl$, Tochtolo&ll ('EAf) Opsraffoils and [4anagem6nt FIan, Bevtsion 9.2 have hmn iqp]ud*tifof 6fl$e oJ rsyiprfl. Toblag 1A ffrd 1B are routhely provided ttr the {partorly DMT reportr. fhe ffiethudg qf cnlsdilion fqr s€cond quafier 201I am slso iilpludcd in tsb E Futurs roritln-o DMi ruports wflt inOluile a copy of the oquation/fordtula methodo, the quartpdy calculafions, andTabler 1A snd- 18; 3.0 Yerlfleatlon Except as set out above by this Addendum, the contents of the Seoond Quarter DMI Performance Standards Monltoring Report, as submitted on August 31,2011, rcmains unchanged rJ NlRoguircd nopory\DMt [cnorbV0l I DM'[\Q2 201 I |yr nequtQZ Addondum\Q@ 201 1 DMT Report addsndum text.docx ': 4.0 SI(;NA1I'[JRAANDCITR'I'IFICATION This clocrtrllcnt wttri prcprarerl by Dcnison on Novcrrrhcr 14, 201 l, Ilenison Mipes (tJ6A) Corp. By: Davirl C./Frydcnlund Vice Presir.lent, Rcgulat<.lry Aftairs and Ccxrnscl N:\l(equirtrl Rcport.r\t)M'l'Rrports\?Olll)M'l\(Jz2()lll)M'l Rc1xrrl\Q2Athlenrlrrnr\(J22()llt)l'.,tTH('portodclendunrtext.docx C[R]'IFICA1'ION: I certily, undcr penalty ol-law, that this ckurrncnt lncl all uttachnrcnts wcre prcparccl uncler my clirootion r"rr supcrvision in *ccordancc with a systcnr clesigncd [o as.sLrrc thitt qualilicd pcrsonnel properly gathcr and cvaluate the inlbrnration suhrnittcd, l3ased on nly inquiry o[ tlre pcrson or pefsons who nrunagc thc systcm, or those persons dircctly responsible fur gathering the inlornration, the inl'r:r'nlittion suhnritted is, to thc best of rny knowledgc and bcliel true, accurate ibiIity ol'linc anel irnprisonulcnt fc.rr knowing violatit:ns. D atfi ff (i . $"yclcn I u ncl Vice Presi&ent, Rcgulatory al irs and Clounscl Denison Mincs (USA) Clorp. 5 N:\lteqrrirrrl lluporrs\DM'l ltsprrts\2ol I [)MIQ2 ;01 I l)il|'l' l{r:1xxt\Q? Arldcrrrhrnr\Q! 201 I nMT fieport add*ndum tcxt,ds(x 4lLlZfrLL 24,01 25,04 13,99 12,96 ve#,I''' 418/20LL 24.,6 25.ss 19,4 12.4s ve$ 4lt5l20tt ru/e I N/A 1 NC NC , Y€S 4lzzlzott ru/e 3 N/R ?NC NC yes 4lzelaotl 24.55 25.X7 13.45 12.63 sl6/20L1 23.65 24.98 14.35 13.02 ye5 SlrsilzaLL 23.88 2s.96 L4.L2 12.04 ye5 3lZOlz0LL N/A 3 N/A 3 NC NC yes 5l?71:7O77 24.2s 25,4s 13.75 12.55 yes 613l20LL 25.45 .25.7s 12.55 12.25 yes 6lnlzoLL 24.96 25,9 13.04 12.1 yes 6lt7l.Z0L1,N/A 4 N/A 4 NC NC ye$ dl24lfioLt 20r18 :2:g::6.7.17.82 14r,33 ves, 7lUfiLt 16.85 19,52 21:$s 18,48:rldS N/Ar - 4/15 128'l!,, Unable tp perforrn tsst dua to a haktng flanBe, Pump ls oper-ational but turneC off,and waltlhg for maintenance to fix, nl* - +/i2lz}t1., Urrable to perform dile td dlonthly recovEry test, N/At - S!olz}1.J.,Unable to perform due to monthly recovery test, N/go: 6llTlzollL, Unable to perform due to monthly recovery te$. NC - Head levels not calculated, hecause no measurernent was taken this week. The pre and post-pump head level calculatlons are done as follows : reid = (38 (fr)- depth to liquid pre-pump) head = (38 (ft) - depth to llquld posl-pump) n"t, Ll/l#.61{ ,.hspectotr: {n,r..,:. llollul$, /*nrin Polrrr Wlrltc Mem Mill- $tandma Oporatini Pmcodurtc Book I lr Bnvimnmntal Protoction Manual, Seodon 3,1 t. PondandBeadt elovations firul, h) 0l/l I Rovisionr Denimnl l.I Pago 28 of49 *"J{a - s6t2,g_ APPEI{DIX A (CONT) DENISON MINES OS4 CSRP, WEETNLY TAILnrlGS TNSPEEIION Ccll lr (a) Pond $olution,plevadon O) FMlBottomElsvation ',tr --,qlryE:dGi Ucpur of W#'abovo FML (rXb)) -J4,3fl--* @ll4A: (e)Pod Solutiou Elcrvation (b)FMLBofiom Elovation -5555.14- (o)Doptt of \Ydcr above FML (a[b)) Coll 4Er (a)Pond Solution Elcvetion (b)FldlBomom Blovafion _s551.50 (c)Depttt of Watff abovcFMl (a)-(bD (d)Bhvaflon of Boao[ ArEa with Higbcet Blovation (mon&ly) Roberte Potrd: (a)Pond Sohrtion Elpvadm (b)FML Bouom Elcvadon (o)Dtp0r sf Waor above FML ((cXb)) -1,,L -, 2, Slie€s Drain tlquid t#tch Cell 2 Pumpftrncdoningproperly 9r S Aq.Ot neFh olJquidpro{ump MioliquidPort-purp (all rmeasurcumts aru depth"tn-piBe) UH, hcrd le 38'-Dopttr tol,Jguld Prolpump = ilffitrffic 38'*Dcpth to LiquidPort' Cl\Dmmu lld S€dne\dt!*.DlilUl-drd E*tlaEATfirfor$y I'rhild Fms\Codlo(.Onloot\llM3Y6$ltt'lulnp Mtt* gpt?tu ild DMT li{oo Ph l{ov t0l0 Rv 1l I . Rcdltopdoc Whirc MstrMill - Standad Opomfing Procodures BoqB llr Bnvlrunrrcltral Protectlon Mrnusl, Socdot 3,1 0l/l I Revision: Dsnisont l. I Puo l0 of 49 r 7, Coiltrminstod WasE Oump: LaoBp GooA ,,. , , , .", * Doos Lcvol exceed l? inchoe abovc tho lowest polnt ort fro bofiotn RoxibIE meqbrane liner (solution ehvatim of 5556.14 anrstfsrCall 4A nnd 5558,50 forCclt 4B)? --1 no - yet If CcU 4A leak detecdm Bystcm leval H(ceed* 12 lnchee fbove thc lowwt poiot on tho botbm floxible mombrane lluet (elorrtion 5556,t4 amel), no$fy eupawimr on MiIl mrnrgpr immcdl*oly, C;\Doquuffi md ScalnplfrutDMCU.ml SofdnjATenrponry lnurg,Hlxt0odad.OudooRVMtY6gtl\Ttl[agrMgrrsylErn urd DMT tvlon Ptsn t{ov 20t0 Rv ll I . Rqlllfi.doc lrVhir MecE MiU -Sundud Operatl4g Procndutts Book lll Envhonmonnl hotoctlon Manual, Sootion 3.1 0lill Rovition: Denironl l.l Pago 2E of49 APPENDTX A (CONT) DEhrrsoN MINES ruSA) COBP. WEEI{LY TAILII{GS INSPECTION Dato;-H-d:.ll-- l. PondandB6ach elcvafions (mrt, ft) 2, Slimcr Draiu liguid Lcvck CEll2 Cell t : (a) Pond $oludon Blovation (b) FMLBouornElovadon Cell 4A: (a)Pood Solution Blcvatiorr (b)FML Boftom Blevadon Cell 48: (a)Pond Eolution Bhrnliou (b)FML Bottom Elovrdon (monhly) Robsrts Pond; (a)Pond Soludon Hcvadou (o)Dopfr of WatEr above FML (aXb)) (o)Deph of Wasr abovo F[4L (t)-O)) (d)Elavation of Beach Am wlth IllgheetElcvation _ 412D.33(bfihrf,,BotottElcvaliqrr , , 16l?.1-(o)Dcpft of WaH abovo Fh,fl- (i)+) g - O 3 Pump fu nctiming properly . Zl, f=Q nnttr to uquid pE pump'rl;q 5 q, rt+& to Llquid Port-PumP (alt moasurcmcnts are @th{n-plpe) Pre.pump hcadis 38'-Dcpth to Liquid Prupump =l'1t 1'{-#HTHS338' -DePh to Liquid Pout- CrDoqlmrile ad slttDSddn*nMcll.acrt S.trhplvurymry Inemor EBrtcodd'orloolrlVMlY6slllr{tnrr Mgnt Eyrum ud DMI MuPterllov2010Rv Il I 'Bodllnsdm r- \(J/ lnspectoul , G+nrt^ Pr" L**eu, Y**ra{r f+"lli4ct7 16 tA. Aq _55W (c) Dopilr of Waftrabove FML(a){b)) .l$r dq /u^ .. -5555,14-dl./^ 5557,50 Whln MemMlll -Stindald Opomting Proccdures Eook I l; Bnvironnrntal Protcotion Mmual, Scotion 3.1 OUl I Rnvision: Dcnimnl l,l Prye 30 of 49 r* 7, ContamlnatsdWrrto oumpt LgpJ'J 6r.& .,*- -*- ., r Doos Invel excoed 12 inches abovo tho lowrst potnt on tho botonr flodblc mcrnbranc lioor (golutioo olov*tion of 5556,14 amel for CcU 4A nd 5558.50 for Ccll4B)? *{.rn - yls If Cell 4A leak detec$on Bystem level orcceds 12 tnches abovo Src lowost point su tho bcfrom fladblE momHuno linpr (olovation 5556.14 ffisf[ notify mpenriaor or Mlll manrgcr immcdlamly. CtDootmffi md Sctdn#tfiIt DtilOl"oqEl Sednputmponry htetr*t Plh*\Con$nt Ourlmt(\vM9Y6sll\Trultgl M$t $yd!m lltd DMI Mo Ptn NoYilll0Rv lr I . Rrdlnadoo t White tvlosr Mtll - Strndard Opsnling ProEpdu:tc Book I I : Ertvirunmuul ProEctlfi Manrul, $ectlon 3. I L Pond mdBearh elevadons (nu[ fr) 0l/l I Rovirion: Denleonl l.l PrgE28 of49 r* APPENDIX A (CONT) DENIBON TT,IINES (USA) CONP. WEEIilY TAILINGg IMITMCTION Ccll l: (a) Pond $olr*ioa Blovaflon ,.,,,;, SGI&'6e. .,,,. .,5555.14* --r557.s0(c)Dopth sf Wa$( atoveFMI"(t){b)) (d)Elovdion of Boaoh Area wittr Hlgb*Blcvation li€rI.D.EP -5612,3- *,w 2. Slimas Dnin Liquid l.Etcls Cell1 Punpfrmcuooing propurlv X YtS Urn*\\" {o ?-$.^ T"rt 1,.* to a' Lsk I*$; {" S",y $* rnn+q*#=- H'nl flPtr{d is 38'"Depth toti{utd ho-pump= T"frrcl Foetaurnp hoad it 3E'-Dcpth to Liquid Poat" ci\Dofim6F ud $ctrtnjr\dint DMClIorl $iltlrtg$'Ibmg0ilry laallEl Hlor1cmmt()l5oot\Wrly6sl ItTdilrUl tv,tllt svrtsm {ld DMf Moo Plrn llou 10t0 Rv lI I - Redlhcdoo (all rrarurcments drt dep&-tn-pipo) , PurvrF *-n'b rS ('* Darctqlt5i/ tt Inrpectonr *t' . l1,l[lt tsSrr*q G) ftfl Botbm Elovation .. ,iSfl=- (c) Dcp0r of \ffatsr abovc Fh{L (eXb)) ,, . ..,t?,:6?L Cell 4A: (a)Pond Solution Elevttion (b)FML Bottom Blovation (c)Dop6 of Watcr abowFML (t)-(b)) Cell4B; 1e)Pord Solutim Blwatiot (b)FML Bofiom Elrovatiou (monthly) RobcrB Pondr (e)Pond $olution Blevtdon (b)FMLBouou Elevadon (c)Depth of Sluct abovo fML (rXu)) 7. cmhmiulmd lllute nvrnp; -- -].lzp#E- 6a) - , .,. ." , ,-... ..- I Dom lpvel sxoood l2 inohcs *bovc tho lowert point on tfic bouom flcxible membgp ltner (eohtlon olovatlon of 5556.14 amsl for Cell 4.{ Bnd 5558,50 for Cell 4B)? -*{no - ycs If Cell4A lcakdotootioil eysufi lovol cxcseda 12 inchrs rbove thc lowo*polm on the bottom flextble nourbtare llnu (elovation 5556,14 amsD, notiff atpavisor q Mill trmagu iE rtdiffely. ClDosnGrlr md sctdnt[\d[l(t.DMcu,ocnl Surlntruh[pon]y hrtnm Estoo0acat OulIodWMtYdSlNbUrW MEnt syst$rtl uxl Dl'fl I\&r Ph I$v 2010 Rv lt I . Red&Bdoc Wbltt Mr86 Mill - Stlrdrd Oporatlng ProsGduros Book I l: Environnontal Protoction Manurl, Scction 3,1 0l/l t Bovlclou Donironl l.lPago30of49 f L, c r'' - \_, rtrhlts MoraMlll - StandrU Opcrating Procaerce Boolc I l: Environmontal futouionManual, Sccdon 3.1 Daro: 1/le/8elt L Porrd and Beach clevadons (msl, ft) 0l/l I Revirion: Dmisonl l,l Pagc 28 of49 APPENDIXA (CONT) DEMSONMINES (U$al CORP. IVBKLY TNLINGB INSPECTION Call l: (a) Ibnd Solution Blovation sffi* G) m{LBosom Ehvaflon -.5597- (o) Dopfi of Warcr abovo FML (a)-O)) --15Jt- Coll4A: (a)Pond $oludou Elcwtion O)FML Bouom Elovadon -_5555.14_(c)Dcpdr of Sranr aboveFML (al0)) Celt 4B: (a)Pond Soludon Blevation (b)FMl-Bofrom Elcvation ,5557.fl) (c)Pepfi cf Wattr abovcFltdl (sl$)) (d)Blovarton of Baach A$awith Htghcst Blcvation (monftty) Robffc Pondr (a)Pold Solutioa ElGvaflon &FndL Bottom Elcvation (c)Dapttr of Warer rborrc fML ((EXb)) DoD& to Uould Dro{uulp -oitrr to l*i,ia eo**.rne (all rnpaturernente uu doptlt-lnTipe) , Pro-pump hoad ls 38'Oepth to Uquld Prc.pump x ..,,.,,,5!f,s'1s ..._ s6T2,X_ rt.rlf, 2, Slimos Drain Liquid [.owk CelI2 Pump firncdonrrrg properly *S \I""bL lo p"firnn )*. +" A'nl[,5 Rccoue.g I,s[ Poct pump hoad ir 38' -Deptb to Liquid Pott PutIlP e Ct\Doctre;ru rsd $r{tln6r1*ntt DMOrI.mrl S€ulrt8s\Tffportry htdmct nhswollEat.oldo*\\A&Y6s llYldllrg: Mg* Syaam urd DMr Mos PLn Hov 20lo RY I I I - Rcdtl*doc Whltc Mcsr Mlll - Sh{dard Oporrtirtg hocoduror Book I l; Envhonrncntal Prouctlon Mmurl, section 3,1 0l/l t Rovlsionr Denisoill l.l Page 30 of49 t 7, Cortlminated lYasrc Dump: * Does l,evel e.xccod 12 inohes above fie lowost point on the botom flcxtble mem$ans liner (solutlr alevatim of 5556,14 amal for Coll4A and 5558.50 for Coll4B)? -5-no - ygs If CcU 4A lesk dctcotion ry$em lcvol excoede 12 in&es abovo fte lowoet pdut on tho bottom flexible menrbrane tlner (ebvadon 5556.14 amsl), nodfy suporviror or Mill mmager lmmedhaly. C:Vloc$ptt rnd Ecdng$dtort-DMGtrncrl S*rlnfr\Trnfrry htlnt* Flto.\Cssilt OiloohvMlYf$lnTiflrlp Mt tl s),riior fid DMT Mon Plen Nov il)10 Rv tt I . tudlncdoc ifrL t Whib Mo$a Mill- $undlrd Opcrating Proccdurct Book I l; Envimnmental ProtcctionManunl, Ecction 3.1 0l/l t Rovhiorr; Donlcon I Ll Psgo 28 of49 C APTEIIIDIX A (COIITT) DENIBON MINHI (TISA) CORP. WMKLY TAILINGS INSPECIION Dxet {:r?-l t'-- l. PondandBedc,tt clevatlong (msl, ft) Irrrpw*r hierme,t 56el.oF _ _ s6t2.9_ -, 9.73 Puup tunctionlng pro,porly +Ze.i[- , a4,85 ncpmbLiqutdpro.pump,5,S-7 Dopth tolJquid PortAump (all meaaurunonu arc dopth"inprpe) Pnr-pump hcad if 38'-Dopth to Uquid Pr+pump =, lJ!6 Post pump head is 38' -Dopth o Liquid Post- PUutP= . ,4.6f Ct\Dqrrm.o0 rod $tttftrgtliluk-DMCllocrl Scilhp\TGrryorary Inttrurd ft*Coqtart.AdooHvM3Y6Sll\frlItt$ Mgtl Sy$str rad DMI Moo Ph Nov All0Ev I I I. n d[rro.doc Cell I: (e) Pond Soflution Blcvation {6te. 17..__ (b) FMLBosom Elcvulon -55n- (o) Dsp$oflYrrcrabovcFIUL(a){bD,,,, t s. ? t - Call4Ar (a)Pond $olurion Ebvatlom (b)FML ButomElevadon _5355.14_ (o)De,pttt of lVatct abovo FML (aXb)) CeU 48: (c)Pond Soludou Elovation O)EMLBotbmtsIevadon -55s7.50 (o)Dcp,th of Wrt6r abovo fML (a)"(bD (d)Elovatim of Beech A$ca wih I,IiSoS Ehvatlon (monfhV) Robcrts Potttl : (e)Pond Soluflou Elavagiqrl (b)IIML Bot0om Elovation (c)Dopflt of Wilerabove FML (a)-(b)) 2. Slimoe Dnin Liqutd l,cvele CcU 2 Whib Mesa Mitl * Stardlrd OpsratlrB hoqdurce Boqk l } Bnvimilmcnrsl Protsction Manrtal, Secdon 3,1 Ot/t I Rcvlslofll Denisoal l. I rage 30 of49 1, Contaminusd'ttraste numpz Ar+Ft 6a+l . -- - -r' Doos Lsrrcl exc*d 12 inches *orn the loweet point on he bottom flexlble meurbrane ltnor (roludon slevadou of 5556.14 anul for Coll 4A and 5558.50 for Csll 4B)? - no - yc$ If Coll 44 leak dotoflion ByFtEm level eilccede 12 iuotrse abow the loweet polnt on tho bouom flcr,iblo mcmbrane liua (chvation 5556.14 nmol), nod$ cuporvipr orMill mueger immedirtcfy. G\Doorre ud Srfilogdilu*,DMC\tocdserinp\tlrrrponry htcurci Hlor$orortOudogHVMSY6lllNlU[np Mprt$yrmr rud DMT Moa Hor Nov20l0 Rv ll I . Rodlin*doo .t Wblte Mess Mill * Strndrrd Opating Prooodurcs Book t l: Bnvironrncntal hotection Mrnual, Scctlon 3.1 l. Pond ardBotoh olcvatimr (mel, ft) n*, 5/6/snt"t Inryectors: Po'lnr' 0l/l I Revision: Denbonl Ll Prgo 2E of49 APPENDTX A (COND DEIIISTON MINES (USA1 ConP. WEBI(LY TAILINGS INSPECIION Cell lr (a) Pond $oludott Elcvatisn kll.$* { (b) EMLBottom Blcvatiqn 1597- (c) Doph oftrIateraboveptr6l(a)-(b)) lE.ha...-.. Coll 4A: (a)Potrd Solution Elraafion (b)Wt Bottom Blav4iqn Ccll48: (a)Pod Solution Elevuion (b)FIvfL B ofiom Elovation (montrty) RobEtta Pond: (a)Pond Solutioa Blevdm &m,tt Bomom Elovuiou (o)Dopttr of Warr above FML (aXb))--5555.14* -5* lB -561e3- -5f57"50 G)Dcpth of Waor abova frI{L (&Xb) (d)Blovrdon of Bea$ Arw with llighcrt Elova[on 2, Slimq Drein Llqutd Lovols CGll 2 Pump tuucdouing proeo*y ;JeS (c)Dep,& of lVatar rbovo FNIL ((e[b)) El$-.- .. .|n*.(5 PepUrtolJquidprc,punp --lS-9.6-DcEft to uquid Pootgump (all mearuromontr ars deph-tn-plpo) iffi head ts 38'-Daplh to Ugutd Pru-pump = Post-prmp hendfu 38'-Depth toHquid Pooc. pumpl* 15.9* ..;I C;\Doqul* ud &tdngldtuftDDvl0Locd $fflnp\Thrrponry trcrncr ElsfrnlsrtotltlootWMlYdgttllrlUry Mgrt SFFis rnd Dtm Mo PlEa Noy 2010 Rv I I I - RcrlUhtdoc ttrhita Mesa Mill - Standard Oporating hoceduer Book tlt EnvuonmcnulPmteodon Mmrnl, Sectlon 3.1 0l/l t Revisioul Donironl 1,1 Pqge 30 of49 t 7, Contarnlncted WastoDump: L"clE (' ^,1 'I DocE Lcvol sxccod 12 tnohes abovc thc lowcgt polnt on ttrc bonom fbxible mo4brrnc llnor (golctlon ebv*lon of 5556,14 amal for Coll4A and 5558,50 for Cell4B)? Lno - yps If CcU 4A IoaE detcotion tyetsur lovd corocods 12 inchcd rbove Se lowect point on the bouom flextble membranc linm (chvation 5556.14 amrl), notify supcrisor or Mill managsr immedirely. c\DE mcnb ud e*nretm*.DMCtln+U8oulryr\Tempcary htama Fll*W,Ordml\\/MrY6luuhilry Mgil. syrBrn fiU DrilT Mq'l Pha Ncv &I0 Rv ll I . nldrradoc Whitc MBa Milt - Str&rd Operrting Stooadurcs Book ll: Envimnmonul PrutactlouMtnuel, Sesdon 3,1 0l/l I Rovldonr Donlsonl l.I Prge 28 of49 C APpBr{DUtA (CONT) DEI{ISON MINB (USa) CORP. WEEKLY TAILINGS INEPEETION not . -f.r8-l(Inupecroru: P,ie^,^ #ticr*ofirfrfier lbll)ay { hrrinPalr' Call l: (a) Pond Soludou Blevation 5hle,37 O)mvlLBdoilrBlevetion -55Y1- (") oepttr of lVatotnbovoFML(i){b)) /#,fr,7 C,ell4A (a)Pond $olution Ehvatotr O)FktL Bottm Elevatlon _5555.14_ (c)DeB& of Warer above FML (r|(b) Cell 4B: (a)Pond Solution Elcv#lon G)Ftvg" Bottqm Elovatioo *-5557,50 (c)Dcpth of Watcr above FML (r)"(bD (d)Elcvation of Beac[ Arer wlth Hlghert Blevation (monfiy) Robctts Pond: (a)Pond Solutim Elovallon t. Pond andBooch clovations (msl, fr) 8bAl.{s O)FMlBottomElcvatiou 5-61?,9- (c)DWth of ntatarabovoFl\dl. (CI-&)) ..,..-?*it 2, Slinres Druin Liquld Lpvde Cell2 Pump functiouing prcpcrty y'€s ..- 4S' $F". , nepttroLlquidp+puop ,.f,6. 76- rEpfitotl$idPof,t-puup (all moasrucmenu aru dopth"in-pipe) Prc-punp lrcad is 38'-Dopth to Ilquld Prupump =lH.,e Poetjump head it 38' -Depth to Uquld Post PumP =Jarg{ C.\DoqrG{s ryl tctiqr\dqrrtDMCtl.fl] $dthtnmlpfiiry hrrna pttsrtCurrmQdooltglrmY6stnftEry M$t $Frol !d DMT Mm Pltn Nw 2010 Rv ll I - Rtduio,dos lVhitc Meu Mill - Stsdad Oparating ftoceduus Book l lr Environmonhl Prorction Manurl, $octlon 3.1 0l/l t Revhiort Denisonl 1.1 Pqsc 30 of49 r;t 7. ContartrinrtcdWNsEDurup: If Ccll 4A bak detootisn sygtcm lovel rmcccdr 12 inohee above Se lowrst point on tho bofiom flexiblo mombrane lincr (elcvuiou 5556.14 anrsl), nodfy eupcrviror of Mill managcr immedirtcly. C;\Doaropnr axl $ulAilautDMc:llacrl scftrg\Tsrnp0Hry Intmru Filse\CorrHltosufifvM3YostnTill08r ME I syilffi r$d DMf Mor Fhn t{ov 20lo Rv I t I - Rsdttrrl.d,oo ,;l*1.(.*, APFENDTX A (CONT) DENISON MINIS (USA) CORP. WEEKLY TAILINGS INSPECTION o*n,:;k 7#.:11-Inspectols :, - l6.q:t t *,,, --Pa l**cr*:- White Mesa Mill - Standud Oporating Proceduree Book I I: Environmental Protsction Maiual, Ssctiort 3.1 OUl I Revision: Denisonll.l Page 28 of49 --S"$Jt.1L _5397 -*-/l:*-_5555.14_ -4^- _,.. -..._5557.s0 l. PondandBeach olevations (msl, ft) Cell 1: (a) Pond Solution Elevation (b) FML Bottom Elevation Cell 4A: (a)Pond Solution Blevation 0)fML Bottom Elevation (c) Dcpth of Water above FML ((a)-(b)) - " lS.q{t ",., (c)Dop0r of Water aboveFML (a)-(b)) Cell 48: (a)Pond Solutiou Elevation $)fML Bottom Hlevation (c)Depth of Watu ahovs FML (a)-O)) (d)Elevation of Beach Area wi0r }lighest Blevation (monthly) Robere Pond: (a)Pond Solutiou Elevation -., 5lt8-13_ (b)FMlBottom Blovation -561?.1- (cin*ptt,ofWateraboveFML((a)"(b)) - .6*L9- Pump functioning properly2. Slimes Drain Liquid L,evels Cell2 (,ovl* ,wl Tcrfi*,.*. *alt baca.ust* thr* .fli'oaat rcl,ev.r! ta+t L'A,S ba:3 Ap^,*. Dopth to Liquid Pre-PumP:*-DePth to Liquid Post-PumP (all measurements are depth-in'pipe) Pre-pump head is 38'-Depth to Liquid Pre-pump = Post-pump head is 38'-Depth to Liguid Post- DumD = C:\Docunronts arrd Settllgr\dturk.DMClLocal $ettingtYltmporary btcmot Frlst\Contant.OrrtlEok\VMlY6S I I\Trlltngl Mgnt Sysem and DMT Mon Plarr Nov 2010 Rv I I I " Rcdline.doc S,hiE Moga Mll - Sundard Oporatlng hocodunc Boot I l: Err,ironmnd Prouotion Marurl, Scction 3.1 7, CouEmtnstedWaste 0l/l t Rsvisionr Dcnisonl l.t PIstSO of49 r ow*0-! ool r'J Sof,ir Does Lovol oxoesd 12 inctrs abovo the lorrttt polnt ou tha bottom flcxtblo rnomb4p linor (eolution slevation sf 5556.14 am*l for Coll4A a;d 5558.50 for Cell4B)? J,.#ho - )6s If CeU 44 lcak dctsotiou sytEm Isvol exccedr 12 inches abovo tho lowust point on &o boftom flotiblo ncrnbmnc liucr (elcvatlon 5556.14 ffiEDr notify upwleororMlll manrge*immediaEly. clDoflffie ud gcttrpuildrDMc{.d0dltdngrYknpfiry ht*ncrftu\osrFnt frrto*IvMlYd$lluuliua ug* $yeht *d DtrlT MmPhnt{svtrOl0Rv lt I -RtdUnuhc ( WhiaMcolMill - Standart Oirudng Pmsodurcs Book 1l: Bnvhorunental Prmcofion Menual, Scction 3.t 0l/l I Revtslon: Donieonl l.l Pago 28 of49 AP?ENDT'( A (CONT) DENISON MINBS (UBA) CORP. !\IEEKLY TAILINGS INEPBSIION 1. Pq,od g11dBerqlt elovadous (mal, ft) Inspctou, 4,n.^ l'l"tl;fu, funrh Pol^r, Cell t: (a) Pond $olution Blevation (b)FMLBofiotrrBbvation ,,----J591(c)DcpthofWalcrabovaFNIL((+(b)) lE.q2 ._ Cell 4A: (a)Pond Sohtion Elevation O)FML Bousln Etevadott 5580.7:5 (b)ItrdlBctouBlevadou 5557.50 (c)Deryt6 of sratcr abovo EML (offi (d)Blovuion of Boaoh Arlr wih }Iighcst Elcvdion (c)Depttr of Watc( rbove FML ((a){b)) Coll 48: (a)Poud Solution Blavation (mffithty) Roberts Poud: (a)Pmd Soludou Hcvadon (b)Fktr Bottou Blovatioo (c)DEpft of Wator &ove mUL (q).(b)) -5555.14* *tk.u,#- s6L?,9-6.3A_ 2. SHmel Ddn Li$ddl-cwls edl 2 I\lmp ftnctioning Eropeily j, *t toUquidpn+'pump pth !o UquidPoet{unp (all moarurcmcntr arc depth-in-pipc) HHn head ir 38'-D6pth to Lrquid h+purB = Po$aump tnad iB 38' -DGp& h Liquld M. purop= Je"55 C;\Documarts ryrd S.dotptdnllcD,M61"0cd Eedhf\ltanponry IEt trlct Hl6s\Corffi,Oltlooh\\D{tY68lttlld[nE Mrnt Syrts[r rnC DMT Mon Plm t+ov 2010 Rv ll t - Rtr{hq&o lilbitc Moea Mill - Strndard Qperaring Procedrrar Book Il: Brvhonmcnul Proteotlon Manual, Scctlon 3.1 01/l I Rcvlsioru Donieonl 1. t Page go of49 t' Contauriuatpd Wuto Doel kvel exceed 12 lnchee above tho longt poht ort tlp botom If Cell 4d leak detcctlon sysem lcvcl exoocds 12 inoh* above tlro lowost point on the bottom flsxiblo mcrubrane Unr (elevsfion 5556.14 a$Bl), uofiS supuvisor or Mlll managor imrusdiatoly. G\Doomcffi idsottrgs\fiutDMcu..crtscsln&fltmDor#yhtsradHl.E\oonhllf,OctloohVM3Y6sll\Trlltrgr M$rgyoE,r rU DIdT Moo Plil }.trov 20t0 Rv ll I , Rcdlluo.dw rnorubrrne linor (soludon -{-oo -ws ( olovatioq of 5556,14 ausl fur CoIl 4A E d 5558.50 for Cell 4B)? WhitoMera Mill- $tandad Oprtting Pruoodtnrs Bootc I Ll Emvlrorunentel hotactlon Manud' $oction 3'l 0I/l I Rcvlsion: Denilonl l,l Prgo28 of49 l, Pond andBoanh olovafiong (mel, fr) APPENDIX A (CONT) IIEf.lISoN II{INE$ ([ISA) C!}Rp. WEEffiLY TAILINGS ITiLSFECTION Coll l: (a) Poud Solution Blsvation (b) EMLEottomHevetion Inrpectors; drrr.. ilr.rrortlG+-mr^z-hr,BpA ..,,,J6lero_,,. __ _559?_ (o) Dcpth ofWaerabovoFML(a)-(b)) -,, lq.lo Cell4A; (a)Pond Soludou Blovation (b)FI\,fL Botom Elevation _5555.14- (c)Depft of Wator aboveFML (a)"(b) Coll 48 : (a)Pond Solutton Blev*iqr (b)FML Bottffitr Elovadou . .,.5557,50 (c)Dopth qf lyafer abovo fh,IL (a)-(b)) (d)Elov*ion of Beach Aroa wifr llighoat Elevation (mooUrly) Roborte Poud: (c)Poud Solution Blcrra{on O)FMLBofionHevnriou (o)Dcptr of Wdor aborra FIvIL (a)-(b)) 2. Slinrcs Drain Liquid l*vele Coll 3 Pump tuucflouiug proporty V". PF'tts n€pfttoLtquilPrtPump et . r" Ibpg to tiquid Poat-pmp (rll moasuwurouts aro dapth-in-pipc) ho-pumpheadir 38'-DopUr to LiqddPro'gump - tA.E5 Port-prrmp hoad is 38' -DGph to Li$id PoBt- pumpa-t8*5 Cr\Documutr End $canlr\dtrhDM6ld.$l Sarbp\Tcmp*uy Inuffixt Fltor\Cmtfit,Oilo0k\ln{3Y68lfilUlhsr Milt Snrm ud DMI Montur Nov20l0 Rv ll I . Rallhtloo ,,, +d612.3- 7, CmtaminatodWastsnump;"- D*xmP l""ls G.i.J ,, White Moca Mill - Sundrrd Opurting Frocoduros Book lL Bnylrcnnenhl hotootion Mdnual, Section 3.1 0l/l I Rcviglon: Denisorrl l. I Pago 30 of49 f * Does kvel qxcecd l? inches ibow tlro loweotpoint on tle boUom flexlble rnemlranc linu (cohfion olovuion of 5556.14 amsl for Coll 4A and 5558.50 for Ccll 4B)? / -no - ycs If @l aA b* dotoctisn Byctem level exooode 12 inchcE above the lowest point on tho bdbm floxibh mornbrrano linor (clwation 5556,14 amsl), notify mpcrvieor or Mi[ managor immodiaEly. G\DmmooE otd qtngt\du*,.DMClllocil S!trrtp\tunponry Inma Ftloot&nrentOslffi\vtvllY$lnTlur$ l{mt s:rrm rnd DMT Moo Prd Nor, 2010 Rv I I I . RrdlLndoo ( White Mesa Mill - Standard Operating Prooeduro$ Book I l; Environmentd Protection Manual, Sectlon 3,1 0l/l I Revision: Dsnisonl [,1 Pago 28 of49 _ . /u-/A _ _5555.14-"-. " 558l.rL .". -55s7,50 Dat*:J:JA:L!-Inspectors: da*d(*-.-&lr**.r*r.^,,hr tletti J"7 I,13. _559'l (c) Depth of Water above rML (a)-(bll -**i5*K l. PondandBeach elevations (msl, ft)" APPENDIX A (CONT) DENISON MINES (USA) CORP. WMMKLY TAU,INGS INSPACTION Cell 1: (a) Pond Solution Elovation (b) FML Bottom Elevation Cell 44 : (a)Pond Solution Hlevation (b)FML Bottom Elcvation (c)Depth of Water above FML (a)-(b)) Cell 4B: (a)Pond Solution Elevation (b)FML Bottom Elovation (c)Depth of Water above FML (a)-(b) . ,$..d**-(dlBlovation of Beach Area with HighestElevation (monthlY) Roberu Poudr (a)Poud Solutiou Elevation (b)FML Bottom Elevation (c)Depth of Watcr absvc FML (a)"(b)) 2. Slimos Drain Liquid Lovels Cell2 Pump functioning propert| *;{ ffi#,}ffifJJ$$x[? (all measuremcnts are itepth-in-pipe) iEru head is 38'-Depth to Liquid Pre-pump - Post-pump head is 38' -Depth to Liquid Post- pump= lA, l *fi+"1 P-**g*rI 'fi33Y C:\Docurnents and S€{tlngs\dturk.DMC\Local ScttJngoYfcrnpolary Intenrettrles\Conteilt,OutlookVM3Y6SlI\TatUn6s Mgnt Syrlorn and DMT Mon Plan Nov 2010 Rv t I I - Redtine,doc b_56 Wbim Mesa Mill - Stardard Operadng Proceduroe Book I lr Envlmnumnml Protaction Msnual, Scclion 3.1 0l/l I Bariaiolt: Denisonl l. I PacP 30 of49 ( 7. ContaminatedWash '* Doos lovel exceed 12 inctres above the lowost point ou the bonorr flextble membryne liner (eolutton ebvation ot 5556,14 lmel fu Coll 44 and 555E.50 for Cetl 4B)? -{oo - yog If Call4A loak deEcdon eystem lovel orcee& 12 inchs above the lowertpolnt on the boffom floxtblo memb,ruc lluer (elovuion 5556.14 rmol), nodfy supeMsor ot Mill mrnager irnrrudietely, Cl\Docsmc# ind Sahtr$tdB*DMc{.ooel Sdrlafr\Tumpoarry lirflrnrot Fllce\Conbot.Outlodr\Wt3Y68ltwtI[t, Mtnt $yrlc6 md pMT Mon Ptm lfov2010Rv ll I ,fudUtsdoc ( Whltc Mesa Mlll - Standard fuouatitg Prcocdwus Boolr I lr Environmental Pnotccilon Mrnrul, Ssction 3.1. 0l/l I Revision: Denisonl I'l Pafo 28 of49 APPENDDT A (crlNr) DEMSON MINES (UsA) coBP, WEEITLY TAILINGS INBTtsCTION Data: 6-17*2r,,Inspecton: ,RFrv., I ni,drno . ,€ T"Ht Holltddl t. Po,ndandBmctr clcvatione (ms[, fr) CoII l: (a) Pond Solu6on Blcvuion d6H.oq (b) Fl\{LBottomBlerration -fr.517- (c) Doptr of Srator abovoFMl ((a)-(bll ^, Jt-€-f- CoIl 4A; (a)Pond Solutiou Hsvadon (b)Ftl,tr EofiomElovadon ,..._ 5555,14_ (c)Depe of Wafior abovo EML (a)-(b)) CoII 48: (a)Pood Solution Elcv*io,n .6',0t 1 ,5 01 _ (b)FMlBffiomBlovaton -55!7.50tcjoeFh of Waier abqva FML ((aXbE--{ q , og- (d)Blovadon of Boach Arca with HigboetBhvailon Gu (o)Dopthof lYffirabovsFMl(a)-(bD ,6, *4 .-. 2, Slimce Draln Liquid Lnvda Call2 Puup hnodontg pro,party iln.&ts *" 6rry9.^ Slme5 d'rb h n*rlhty 6hrne6,.(all measure,rncutr are dopth-in-pipe) Pre.pump hoad is 38'-Dopth to Liquid Prc-pump = Poet-pump hsad is 38' -Dcpttt to IJguid Poor PUmp =- ClDocnrncnr rnrt Sofrhls\dmdcDMolocd fuElnp\Tcmponry IntenrctF[lor\Coopf.QuuootriVl.I3Y68tl\ftI[ry M$t SpumuttlDMT MonFhnNov2010Rv ll I -R*dllncdoc (motrthly) Roberte Pond: (a)Pond Soludon Blevation G)HUL BottomBhvatlon Whia Me*a MU - Sundard Oporetirg Proccduos Book ll; Bnvirunrrcrtrl Protection Mrnusl, S€ction 3.[ 7, CouhminatodWacto OUl I Rcvisiow Donisonl Ll Prgo 30 of49 fI, ( * Docs Lcvcl axcced t2 lnchcs abovc tho lowcst [loiut on &e bottom flexlble ntm$ane linor (soludon elovation of 5556.f4 amsl for CEll4A aud 5558.50 for Coll fi)? .[l1- no -- ytg If Cell 4A lodkdetecdsn eyrtom lowl cxooodg 12 tncles aboraa the lowestpoint on t]e bofiom flexiblc mcmbrane liuer (ehvation 5556.14 amel), nodfy auperylmt or Mill mtrnagcr immodiataty, e\Doerrmds r{d 8qilhg\dir*,DMCuiel Sqtilrp\ftmporrry hhtne( Rlccttbner*Ocd0on14{3Y6$lfiIU!ilt0 MB 9yac$ asd DMT Mm Ptrt t{w ?lll0 Rv t I I . Rcdtnc.doo Whio Mesa Mill - $uudard Oporating.Ptoccdure$ Book ll: Bnvironmbntal hofecdon Manual, Soction 3'l 0l/l l Revblon: Deniaonl l.l' Pagc ?8 of49 AI?ENDIX A (CONT) DENIS0N MrNES (USA) COBP. WEEIftY TAILINGE INSPECTION CEll I ; (a) Pond Solution BlEvatlon O) FMLBofromElsvadon (o) Dof& of Watrt above BML (a)-(b) Co[ 4/q* (a)Pond Solutiou Blevation (b)FMLBoftomElcvation (c)Depth of Wahr abovo FML Cell4B: (alPoud Solutlon Ehv*lon (moutrIy) Rpborts Pond; (r)Pond $olutim Blevafron O)BML Bottom Eleynflon (o)Do,pth of Wilcr abo,e FI{L ((aXb)) -5555.14-s580-97 tu Inrpectorer -lir,/l:j* . P*lr,*.qr r,, frrYr' * SaLi 4r& 5t tl" 8ql. PoodandBoEotr elcvadonr (mel, fr) (b)FMlBothmElovatiou -5A57.59- (e)Dcpth ofWater sbovoEMl (a)-O)) .-'*)L)J- (d)Elovdon of Bcach Amwith Higbost Elovadon 2. Slim* Draln Liquidlnvela Cellz Ptrmp ftrrrctionlng proptr\y *d (all rncasrurmenm arc d6pth-in-pipe) tryflt"ad ie 38'-Dopor to LtqsidPre'pump = ilHTAStr 38' -DePth tolrsuid Poet' C\Docu:afio ud go6hgEld[rrt,DMcllrcnl Scrtlngs\Ilempcuy tuurtctFtlcr[ormt.OurhoftlVlt3Ydlll\Tdllng Mltt SyDtffi add DMf Mm Plm ldov II10 Rv lI t - Rcd[ilo,(ht O Wlrirs Mo*r Mlll - Sundrd Opandrg Prrocedurst Book ll: Bnvirfirffinral hotectlon Mrnud, Saction 3.1 7, Cqrtaruinated Waslc Duwp: .Ut''. L a r' 8.9 /^.*,oel "-,,, 'i Doe0Inval cxoeod 12lnches abovo the lowcst point on flro bottom ftexiblo rrcmbrano liner (eolution olevrtiou of 5556,14 omrl for Coll4A and 5558.50 forCell4B)? Jg-A6 - ycE If Coll 4A lask dseotion eystom lwol eercecds l? iuchee aborre 0ro lowoot piut on tho botom floxiHo mcmbrans Iinor (dsvadou J556,14 insl), nofrfy rupwtoor m Mill manqgor immcdlatoly. f 0l/l I Rsvitlonr Denieonl l.l Pags30 of49 ( C,\Do(irffi ild $athgrtdurr,DMc1l,Gal SEBtUE\TtnrpotEy bhrut EhdPoror$"O{{ootlYuSY$lnTdlht' M$t Sydeor anl DMT MooPha l,lov2010Rv Il I . Rldlhc,doc Srhito Mosa Mill -Studtd Oporuirg Pmapdwcr Book [ [: Envtrurns[tal hotsdion Mmusl, $edtion 3.1 0I/l I Rsvirionr D$ti$onl1.1 Prgo 28 of49 t, Pond and Beaoh olovatone (msl, fi) 2, Sllmes Dnin LiquidLovolg CeIl 2 APPENDTX A (CONT) DEM$ON MINES (UsA) CORP. WEEIilY TAILING,S INSTECTION Ccll4A; (t)Pona $olutiop Blovrdon (b)EML Botour Blevrtion (o)Deftb of Water abova FML (r)-(b)) Cell 4El (a)Pooa Solution Elovation (uourhlv) Robcrts Pond: (a)Poud Solutiou Elcv*ion (b)FMLBottomElcvaflou (c)Dopth of Wator aborc mvIL (r).O)) Sifio. AQ (b)FMLBfrtonrBlevatim (o)Dcpth o'f Wffir above FML ((&)-(b) (d)Blovatiou of Bcmtr ArEs witr Highoet Elcvation,44 Inrpccton: l ,ir.l,*, Pa.l. <r, T*^rrq* tlo*toLa7 Call l; (a) Pond Solution BlcYuion .adl,lf ft) m,U. Bsttom Elovation .,.--5597- <c) Depth of lYatcr abovc FML (a)-(b)) *-JlC.-65- -5555,14- Dr*l:rfi_ Pump tonctimingprop ** -d Depth to Llqutd pn "pump optr to Liqtrid Post-pumP (all naasuromonts are dcpth.in*ipo) HflHf* ie 38"Dopth to Ltqutdftp-pulry= Port-pump lcad le 38' -Daph to Liquid Poet PumP = -1fr,,!8 C\Documiltr rnd Scdtr1ltdru*.m{Curc5lscoh3t\TE upor*ybtruuctF[bs\CoamntOr{oolrlvtylSY6gtnlhl[ogr M6fl symumd DMT Mon Plur l,lov 2010 Rv ll I - Rcdtae.doo Whito Maca Mill - Stildard Operuing hocodwc Book lI; Environrncotel Prctoctiou Msnuql, Sectioo 3.1 0l/l I Rsvldonr Donisonl I. I Page30 of49 t, 7, Curtaminrted Waste nump, [+e E-J 6^a A. -- * DoaE Lovel exceed 12 lnchog abovo tho lonret polnt ur fre bottom flcxiblo mombrano liuec (roludon elpvatlqu of 5556,14 amsl fm CcIl4A and 5558.50 for Cell4BX J,,ao - yGs If CoIl 4A leah detecdor systsm lovol oxc*sdg l? inctreg above tho lowost point on tho bottom flexible rucmbrane ltner (elewffsn 5556.14 amrl), notify rupcrviror s MiII rn nagpr immediably. Cr\Domrnuts rad gcfihFldrukDMclldof,l Setlq$Trmporrry htcnanl0e[w,Orflooltw]AY6$tlt'lUlng! M3rt sydim md DMT Uen Ptro Nov ?010 Rv I I I . Rsdlinc.doc ( Tab B Tailings Pond Elevations 2nd Quarter Elevations D.ele Free. Eoard { 41112011 4t8tm11 4115t2011 AlZZlZOtt 4129f2011 5tw2f11 511U2011 512012011 5/2712011 eBE011 atl.otgfJ11 alfiEol1 aleqlzo1t 7l't12011 GelLl. 56t5.lo 5613.39 5612.69 5612.62 5612,68 5812.77 5612.52 5612.87 5612.41 6012.32 5812.20 5612.I2 5612.04 5e11.89 561 1.65 Cell 3 z Foherts Pgnd Ce[ 4A I 9p-ll 48 4 6808,80 60e4,00 6600.74 5694.60 No longer required 5619.6 lnadvertentlY * lnadvertontly No longer required 5620.3 omitted * Inadvertently No longer raqulred 5620.5 omittEd t lnadvartently No longer requlred 5€90.8 omltted * lnadvertently No longer required 5621.0 omltted * lnadvertently No tonger required 5621.3 omitted * lnadvertontly No longer required 5621.5 omittad * . lnadvertently No longer requlred 5619.0 omitted i lnadvertentlY No longor requited 6618.6 omltted 5580.76 lnadV0ItentlY No longar reguired DRY omitted ** lnadvertently No longer required Dry omittbd 5581.11 Inadvertently No longer requlred 5619.1 omltted 5681,59 lnadvertentlY No longer required W omitted 5580.87 lnadveftentlY No longnr roquired Dry omitted 5580.69 * The wastewater elBvations wtre not measuted in Cell48 at the boginning of the qu$ter bscauso ttre fluid levols were below tho ths level at whish tho survey can be sonductod from the bank of Coll 48. ** Ths weekly nreffiuromont for June 3, 201I was not conducted during the const$ction of a platform and walkway , MeaEurexrnt$ resumcd the week of Junc 10, 2011. t Frreboard as permitted under Llconsa condition 10.3 is no longer applicablo to Cell3 or Cell4A, zCeU 3 is nearly ftrll of solids, is undergoing pro-closue stepe, and the freeboard ltnrit rpocificd here is no longer requhed and tho weekly measuremonB arc no longer rcquired per the January n sfrMarsh 14, 201I lettors from DRC. 5 The fteeboard limit for Cell 4A ie not sot out in the Licenso. The freeboqd limit of 5,593 .74 fwCelt 4A is eet out ln a lcttor from the Bxecudve Secr+ury datrd Novembor 20, 2008. Denison proposed in ttre DMT Plan reyision datcd November 12,20L0 the rcmoval of tho frooboard timit for ColI 4A to be replaced by a freeboard limit for npw CeU 4B that wilt accomrnodate ths ffeebqsrd requiremenE of Cells 2,3,4A, and 48. The Bxecutive Sooratary grantod'a varianse ftom the Cell 4.{ freebosrd limit on January 13, 201I and approved ttre removal of the Cell 4A limit and the use of Cell 48 on Isnuary n ,2011, Ttre weekly moasurenrents are no longff rcquirgd for compliancc with freeboard limts. The rneasurements havo resumed in Q3 2011 to complete the daily leakage rate for Cotl 4A. a The freeboard limit listed is tho value specifred in the DMI plan whcn the pool surface area is 40 asr€s. A pool surface trea of 40 acres is ugcd because thers ars no boaches prcsent in Cell 48 at ttris timo. DENI$OND#d MINES Oenleon Mlnes (U$A) Corp. 1050 17th Skeel, Sult€ 950 D6nver, CO 80265 USA Tel : 303 628-7798 Fax : 303 389-4125 www. donleonm ine s. co m January 10, 201 1 VIA E.MAIL AND OVERNIGHT DELIVERY Mr, Rusty Lundberg Utah Departmonl of Environmental Quality 195 North 1950 West P.O, Box 144A10 Salt Lake City, UT 84'l 14-4820 Fle: State ol Utah GrounclWater Discharge Permit ("GWDP") No. UGW370004 Transmittal of Revisod Doouments Addressing White Mesa Uranium Mill Now Cell 48 and Response to Divi$ion ol Radiation Control ("DRC") Lotter of January 6, 2011 RogarcJing Comprehensive Commonts on Proposed Revised Plans Dear Mr. Lundborg: This letter transmits Denison Mines (USA) Corp's proposed revisions to tho Tailings Management System and Diseharge Minimization Technology Monitoring ("DMT") Plan, and the Best Availabla Technology Operations and Maintenance ("BAT O&M') Plan for the White Mesa Mill which are currently pending UDEQ approval. This letter also responds to DHC's letter of January 6, 2011 requesting additional changes to prCIviously submilted versions of these documents. Per DRC's lotter, we understand that lh6 Contingency Plan will be addressed separately and charrges will not be tied to approval for use of Cell 4B or the New Decontamination Pad. DRC received the Octobor 11,2010 letter requesting changes to previously submitted versions of the DMT Plan BAT O&M Plan, and Contingency Plan, To addross those comments and other changas necessary for operation of Cell 48, Donison submitted on Novembar 12,2010 redline and clean copy revisions of those documents entitled DMT Plan Fevision 1 1, BAT O&M Plan Revision 2,0 and Contingency Plan Revision 4.0, DRC reviewed those submittals and requostecJ additional changes to the DMT and BAT O&M Plans in the letter of January 6, 201 .l . Donison has accepted all the changes submitted on Novembor 12, 201 0 to create new black-line copies of tho DMT and BAT O&M Plano, and has prepared tho additional changes, in response to DRC's January 6, 20'l 1 letter, as redlined markups, entitled DMT Plan 1 1.1 and BAT O&M Plan Flevision 2.1, These rovisions have been provided, respoctively, as Attachrnents 1 and 2 to this letter. For ease of rsview, both of the revised documents have also been provided as clean file versions with all changos accepted. Denison requests that UDEQ review and approve the versions attacho,d to this letter, which consolidate into one set of documonts all changes subrnitted by Denison sinco Septomber 2008, for which Denison is awaiting DBC approval. N:\Cell4B\January 10 2011 Sulrmittals and Flevisions for Cell4B\01,10,11 Transmittalto DRC Plan Flevisions for Cell 4B.doc Letterto Mr. Rusty Lrndht January 12,2011 Page 2 We have also provlded, below,'specifio responses to Each roquest ln UDEQ's January 6, 2011 letter. Tho sections and numherlng of the remaindor of thls letter follow the DRC January 6, 2011 lefier, Each UDECI request iq shown in italic6, below, followed by Denlson'B r€sponse. DEO Gommcntc ond Beeponses TheContingencvPlanlLl!-?9,l0Havision:DUSAA Pleaee bQ aware thtat in oider to expedlte the Celt 48 review pracese, lhdt DRO, review of the Contingency Plan will M addrcseed under separate covdr, procead independently, and not be tied to the usd of the NDP nor Cell 48. The lollowing is noted for luturc retarcnce: A. ln tha subjeot Novemher l?, 20ti0 lettor, DUSA providas proposed rcd-llnd and clean vorslons of the Contingency Plan version notad Which lncluda aspeots ragarding Call 48. B. The thifi paragnph ad wallas Section 2 .a.1 of a September? ,2010 UUSA lei,ttor drsouosos mntingency plan ffimmdnta in our May l0,20lO latter. Denison Responsel No response required, The DMT Plan fiU20-!9_Bevision: DUSA-ll 1, We acknowladga a extion of pangraph 3 .1.e.i.D hae been changad approNiately to read that, u, , , The dppth to water frum th.e tep . . . of any of the three (3) obsaruation ports to tlw etanding water thAll be no lass thah 6,2 faeL" lt appearc that inogrpotatlon of this itam into an Mproved DMT Pldlrl woald bomplete ff6 issqes regading ttte NDP wlth rcapectto DMT Plan adJuetments, Denison Reaponee: No responee requlred. 2. Tha DMT Plan (as well as tha O&M Plan), incorporatlng naaessary iteme lor Cell 48, must h€ aryruved prlor to DRC authorization of use for Cell4B, Regaldlng fraehoard requlremanls, tha Plans propasad by the eubjeot DUSA Novenbar 12, 2010 letter make the assumptiofi that Cell 48 is ounarttly authorlzad tor usa, and it ie nof neceeeary'to establieh a frcaboad for Cell 4,A. However, this is inoerrcct. Thls apprcaofi DUSA haa taken eppeare to flecese/tste ane of the followlng: a. That the last dotion priar to authorizing uso of Cell 48 muet be the approval ol the DMT Plan (and thaO&M Plan), orb, To obtain approval of the DMT and O&,M Plans now, DUSA o'hange tha plans to establiah tha freeboard for Cell 4A. to be one ol the lollowlng, eithen (1), The tked freeboard elevation for Cell 4A, esteblishod by the DRC fraehoard variance letter ol Novemhgr N, ?NB, or (2). Changethe ounentfreeboard datermination vefulage prcposed in fltase Plana ba more robust. This wouW include that the treeburd for Cell 4A or Cell4B, as may ba applicable, wottld ba eetablished by tha rlgorwe freeboard calculatlon mathod outlined ln tormar prcposed Plan$, but woutd be written wih that if Cett 4B becomda approvd, that the fiadboard determinatlon method would rto longar he neodod for or apply to Cell 4A, Plaasa pmvido DRC your dacieion to us in thld regard, tryether wtth any and all neoteeary conasponding changes to the DMT Plan, oHN'soJy/n"' 'fttlNHg Letterto Mr. Rusty Lund; January 12,201,1 Page 3 Denison Responae: Denieon has ohosen optlon (a.) above and wlll requaet the approval of the DMT Plan and the O&M Plan as the last action prior to the UDEQ authorization for the uee of Cell 48. As such, the changes requ€sted regarding the ralntroduction of Freeboard llmits for Cell4A are not necessary. 3, ' The following changes in DMT Ptan forms, rutated to taillnga beach elevations, arc nbadad dua to the need to medsqre beaah elevatlond ln tallings Cells 4A or 48, as applicahle ( per pamgraph 2 above), Thle lelerua wae bruught to your Attentlon earliar in our lotter dated Ootober 11, 2010, The freqboardtor tfieee ponde is detsrmined,trofi the uee ot such (see paffigraph 6:s and Appendix F of tha DMT Plan): a. On page EA of 49 in Appendlx A of the eubmitted clean copy of tha Ftan:(1) -The headtng numbared as onet neartho left marginbn that page; musf st€f€ nPond artd Beach alevatione . . . ,u thl tollowing oarlier propwed DMT Plan vercions also contalned tfiie ptpvlslon; (a), lilo7 Fdvleion: Danisoi-7, (b), 0S/OS Hevlaion: Donison-1, and (c), 3/t O Revision:Denhon-9, (2) ln thd conespoMing page otthe eubmined rc*line vdrclon ( i.d. paga 3A of 56), ftam number one contains sections for Cell 4A. and Cell48, An ltern (d) etating'Elevatiort of Beach Area with the Highast Etevation(monthty),, must be added trto tta eeaiois ut thie page lor eaoh ot thase aells, a$ Appilhabla with parugmph 2 above, (Earlier proposed DMT Plan vdrcione contain tlris item (d) forOell4Ai in the veraiona glvan in paragraph 3,a, ahova). b. Swtian.g:l.d,vii, Fflr€f,lflph G shoutd be tdbeted ae.paragft,ph E, Thie tittq,of .tttt# peragruphshould ber0re[,47,or,4, aoaqh'Elevatrbo'qs neede.d and a@iiaitble with pa.gmih l'pboid. Tha hodll of llnt plragtapn Qhotild lndlcata thattlle beach elevathn Buruey witt be ifl C.dtl 4.A, or Cell 48 as apitlcable. (ll0ui1.48 !@Prye.s.?ppmved tor use, it then wlll be is no longar t ece66a,y to e;stablish hoehoatd elevatistt tor Cell 4A). Denison Responee: 3,4,(1) The headlng has beeh changed as requested 9.a,(2) The reguested toxt 'Elovatlon of Eeaah Area wtth the Hlghest Etpvation (manthly),n hag been added to Oell 48 only. As prevloualy stated, Dsrtison ls requasting UDEA Approvel of the DMT Plan as the hst aotion prior to the use of Cell 48, and ae euch the requested ohange to the Cell 4A weekly inEpection is not neceseary. 3.b. Soe response to 9.a.(2) abovo. 4. Pleada coneot mlsoellaneous errorct noted at the tollowlng hcatlone on tlp suhiect aufuiltted redline DMT Plan oopy; a. The third paragraph of page 2, and in pangryh a) below it, ihe detethn and relocation ol a centonce i0 effoneous,b, Laet paragnph of page 3, the elevatlona listad for the lowest polntd on the flexihle membrund linete for Cells 4A and 4E oontlict wtth thd alavations lic,ted tn Appendlx A (page 93 of the redllna copy) for Celle4A. and 48,c, On page 1l heading lll, (ueed for the Roberts Pond) ehould ba a heading lV, oEN'soJ)ll L€tter to Mr, Husty *r;rg January 12,2011 Page 4 d. ln Section 6,3, the flfth pangraph, the frrst numbdr in the parenthetlcal phaoa appears it should be 40 la;ther than 45.72,e. On page 28 of the olean copy, conesponding to p. AS of the rcd-lino cpW, for Cell 4A the FML bottom elevation line neede to be ight justified,t. On page SS,paragraph number 2 , the statement nPump Timer set at t5 mln on ...,n negds to be daleted,g. On pago 36, tho alterlgk footnote shown refers to an elevation whiah appars to dpply only to Cell 44. The loofioto ne66b to b ac$usted eomahow lnclu* tho ehvation tfiat qplldd to Celt4B ae well. Denieon Response: Theee changes have been made ln the attached DMT Plan Hevleion 1 1.1. The Cell 4A & 48 Q&lt,Plan. l|/Eotl RevldloL.2enipn 2.0. of the submittad re&line oopy; t, Figure 68 doed not Mlaw tho same togh as Figure 0A 1,e,, the low*Bt FML elevation above the eump level ia not 1.i-feet above tha dump bottotn (for the |?-lnch diameter aollectisn plpa) as in Figurd 64. Pleaee explain and lustlly thie difforenae,ll, Qn pagd I l, ln two separate pafagraphs numborod land 2, thd eecond and the laat edntenca rcdpdclively, cpntairt a parenthatlcalphaaethat mustbe deleted or adiusted, ao it le lnconect.lll. On paga 14, in tho thir.d oentanca the parenthetical phtead muet be deleted or adl4dtad, as il is lncorrect, lV. Alsp, on Wgp 14, the eecond to laetsentonp lrcm the bottom ottho pagie, heglnntng with, "Each. pumpisequippedwitfi,,.,ura,brtfrod6tghoeo of 2.25faetand*,.inphie, Iff'eoa.Uistgnaos appearto npt Peaffilitiabte tpr tnd hlt48 eump Cnd reopactinB Figure 6Bt Pteaae revtsa thie gqntrlni* and orfigufo, to M frrnectfor Sell 48 as weil,V. 8n page 15, tlte lepf aentenoe'of tha fircrpangrorph on that page muet speclfy what Figuru il refere to,w. 'FiSe ,l7, tha thlr.d:piragnph sfatep,r Condltton tolg etarep thAt...,' howaver, cunent Licene;e OsndltlOn 10.8:daas rtol iErte tfie verblaga lubted aftor thdt sentenca. Plpigsl s61rtt th.ip pa;ragru,ph with fltg prqer refercnogg and verhlagd, as applidable, Vll, B,ggthnlng on pege ln rewrite the eet/rlon of the A&lt Plan tltl#'Call 4A Solalion Frqe@Ard Calealatlon,r including'ttw titte:of that siction. Thiswit! need ta bd done acr,odrirrg,to DtlSAie app,llcation of thi paragraph nutnbercd 2, under the DN(T Plan @mmdnt seotiofl of thle letter. Vlll.Pleaep coffeot miloella dotls e;rroet noted atthe tollawlng loeetions on the eUbtect r.ad-linad oopy of tha Cell 4A and 48 BAT O&M Plan: a. On page 6 , paragnph .2, add a sentancd which desatibee that the non-woven gaotextite materlal ls aleo overlain at the dufiaca by a woven geotextlle fabric, whioh is ballaetad laterully hy sandbags on eadr side of the baakbono gravet berm.b. Tl:e above item also must ba added to paragt€4ih e.2 on page I aN 4.c. On page 6, paragraph e.3, Elso aN a eentdnce which dasaribeg that the non-wovan geotertila mabrtd rb a/$o overlalfi.at the surtace by a woven geotextile fahilc, wltlch ie ballasted by sandhago,d, The ahovd ltem aleo muet bo aNN topangmph o.3 on paga 4.e. Page 2o, antry I I on the Attachmente list neede to he updated, and the sentence ended with*DMT Monitoing Plan,' Denleon Responae: OENIBOJilI,:'f,ilNE5 Letter to Mr. Husty Lu January 12,201 I Page s ondberg l, Figure 68 le correcl. The lowaet FML ahove the sump level le 2.00 feet for Cell 48. ll, Thie phrase hae been deleted from both paragraphs ae requested'lll. The phrase haa been deleted as requested.lV. The iext has been conested to refteot the actual conditione ln Cell 48 as ahown in Figure 68, wtrioh is correct. Figure 5 was relerenoed in the previous version and no conection is reqUlred. The correst verbiage has been added' See reeponse to 3.a.(2) above. Iteme aihrough e have been coneoted or amended ae requeeted, Please contaot the undereigned if pU have any questlona or requlre any further information. Yourr verytruly, Deurson llneg (U$A) Conp, Jo Ann Tiachler Director, Complianoe and Permitting so; David C, Frydenlund Harold Fl, Bobertg David E, Turk K Weinel Centralfilee V. vl. vtl. vilt. OEMgOJil/ ,vltNE3. " ' ' , Depnrtmont of Environmental Quality AmEnde Srnl0t Wdfl4//N. ANW| uwubn or nADrAtIoN coFrBoL'Rurty l+nOorf. Dtuaor l,IdAIL '. It{s.,Jo Arm Ttschlar Uirector lgrnp{iance rnd Pormitting Deulsm Miilas (USA) Corp (DU$A) . l050,l7n gtrroq, Sutte 950' uLnvcr.'G$',80265:. i: :. . "DEor,lds'Tirchleft ..Aftpr Eviow of ttur plEa, .ue ha-vi no firrtts comrpotc, Tharcfor, dE'DDilT Ptin rt Uttdd lsrie{rrtF. i,":' tlT:AlI RADIATION CONTROL'BOARD DA&dr : , Cs:', IfuaIdR. Robcils,DUSA. etrUltrp qqlGr DRC HSUS,*\ QlfDFq,olllDMT Phr lllBlcflD[fT Plm ContApplp],rl 0l-*2ol l.de' i .., l95.Norli'194;Wrtt . Sg Irfo gV, Uf '' MBiliu Ailtur; R,Q"Eor l,llEt0r8rll l.l]ptrty, Ut t4lta48r0 TEEprrfir t80l) re{-ilZrg,r h.r (80t) ttt4v, . T.D,D (tol) 536.44t4. rtuu,*4trlrA\tay .. , .Prlilldoe lfll* rurpldPq* ao Tab D Cell l and Cell 3 LDS Monitorlng lnformatlon - Second Quarter 2011 April2011 Cell Date Measurement in inches from transducer at the bottum ofthe LD$ sump. Cell Date Measurement in lnches from transducer at the bottum ofthe LDS sump. Celll 4ltlz0LL 4 Cell3 4lLl?OLt Dry 4l8l20tL 4 418120L7 Dry 4lLslaoLL Dry 4lt5l20L7 Dry 4l22l20LL Dry 4l22l20Lr Dry 4l2sl20LL Dry 4l2el20tt Dry May 2011 Cel!Date Measurement in lnches from tran$ducer at the hottum ofthe tDS 8ulnp, Cell Date Measurement ln lnches from transducer at the bottum ofthe LDS sumlr. Celll sl6/2OLL Dry Cell3 sl6lZOLL Dry 5lL3lzoLL Dry slLs(ZOLL Dry 5l70laOLL Dry slz0l20Ll Dry 5127/2O1t Dry sl?u20L7 Dry June ?011 Cell Date Measurement ln inches from transducer at the bottum ofthe t OS 5UmD. Cell Date Measurement in lnches from transducer at the bottum ofthe LDS sump, Celll 613/20tL DTV Cell3 613l20tt Dry 6lL0/20L1 Dry 6lLA(aOLL Dry 6lLVlzoLL Dry 6117l?oLL Dry 6l24(ZOLL 0,7 6lZ4lZ0LL Drv Cells X. end 3 LDS systems put into service on July 13, 2011 per 9/8/11 letter oENrsohl)dd MINES 0onhon illnar (U$A) Gorp. 10t0 17lh Streot Sulto 060 Denvor, CO 80f00 UOA Trl :303 02t.7708 Frx : 303 t8M12! www.donbsnmlnoo.oom August 18, 2010 VIA E.MAIL AND OVERNIGHT DETIVERY Rusty Lundborg, Co-Hxecutive Seorotary Utah Water Quality Board Utah Department of Environmontal Quallty 195 North 1950 West P.O. Box 144810 $alt Lake City, UT 84114-4820 Re: Stato of Utah Ground Water Dischargo Permit ('GWDP') No, UGW370004 Whito Mssa Uranium Mill- Plan and Schedule for Cell 1 lnspoctlon and Repairs Doar Mr, Lundberg: Rsforonce ls made to Denison Mines (USA) Corp's ("Doni$ofi's") notice letter of Juno 7, 2010 and tolophono conforenoe with Utah Departmont of Environmontal Quality ("UDHQ') personnol on August 12,2010, Doniaon's Juno 7, 2010 lottor provided a notice to the Executlvs $ocretary regarding tho discovery of fluid ln tho Leak Doteetion System ('LDS') of the White Mesa Mill's (the "Mill's') Cell 1. This letter responds to Denison's commitment ln tho June 7, 2010 letter and tho August 12,2010 phono call ln which Denison agreed to provide UDEO a written plan and echedule for: r dotsrmination of tho root causo,o identification of tho extsrrt of damage, and. oxecution and reporting of repairs to the Cell 1 llnor system. Background and Design of Csll { Tailings Cell 1 serves as the Mlll'o primary liquid evaporation basin. Coll 1 consists of the following rnajor dosign elements: Cross-valley Dike and East Dlke - constructed on tho south sido of the pond of native granular rnaterials with a 3:1 slope, a Z0-foot crest width, and a crost olevation of about 5,620 ft above mean soa lovol (amsl). A dike of eimilar dosign was constructocl on the east margln of tho pond, which forms a continuous earthon structuro with the south dike. The romainlng interior slopo* aro cut-slopes at 3:1 grado. Liner Systom - including a single 30 nril PVC flexible membrans llner (FML) constructod of solvent welded ssamc on a propared sub-base. Tho top elevation of tho FML liner was 5,618.5 ft amsl on both the south diko and tho north cut-slopo, A protective soil covor layer was constructed immodlately over tho FML with a thicknoss of 12-inches on ths cellfloor and 1B-inchos on tho interior sideslopo, 1) 2) Lettor to Rusty Lunclberg fdt 1 Ropair Flan August 18, 2010 Pago 2 3) Crushed Sandstono Undorlay " immediately below the FML a nominal 6-lnch thick layor of crushed sandstone was proparecl and rolled smooth as an FML sub-baso layer. Bonoath thls underlay, natlvo sandstono and other foundation matorials were gradod to drain to a single low point noar tho upstream too of the south cross-vallely diks, lnsido this layer, an oast-west oriented plpe was installod to gathor fluids at the upstroam toe of tho croos-valley dike, As mentioned in item 2, abovo, Coll 1's FML is overlain by a protoctivo soil layor. As a result, tho FML, and any toars or damago to seams or linor surfaces, are not roadily visible. Thorough and completo lnspection and ropair wlll roquire systematio romoval of the soil covor by section, and stepwiso inopoction and repair of uncovered FML sections in a phasod approach, as discussod further ln the propoood repair plan and sohedulo below. Regulatory Framework Condition 11.3 of the Mill's Stato of Utah Radioactivo Matorials License No. UT190047S (ths "Licon$e") requires that the licensoo lmplomont a leak detection monitoring system for each of the taillngs colls. According to condition 11.3: (l) The licensee shall moasure and recorcl the "depth to fluid" in oach of the tailings disposal coll standpipea on a woekly basis, lf sufficient fluld is present in the leak detection systom (LD$) of any cell, the licensoo shall pump fluid from tho LDS, to the extent reasonably possible, and record lho volumo of fluid recovered. Any fluid pumped from an LDS shall bo returned to a disposalcell. (ii) lf fluid is pumpod from an LDS, tho liconsee shall calculats tho flow rato by dlvlding the recordod volume of fluid recovsred by the elapsed tlme slnco fluid wae last pumped or lncreagos ln the LD$ fluid levele were recorded, whichover is tho more recent, The llcenseo shall document the rosults of this calculation. (iii) Upon tho initial pumping of fluld from an LDS, the liconsoo shall colloct a fluid sample and analyze the fluid for pH and the parameters llsted in paragraph A of this llcense condltion, The licensee shall dotermins whether the LDS fluid originated frorn the constituonts listed in paragraph A of thie licsnse condition or has a pH lovel less than S.0. lf oithor olevated constituent levols or a pl-l less than 5.0 is obsorved, the licensee shall assumo that tho dlsposal coll is tho orlgin of the fluid. Condition 11.3 furthor requlros the ongoing weekly moasuroment of depth to fluid if the calculatocl flow rate is less than 1 gpm, ancl additional notifloation and mltigation requirements if tho rato is greater than 1 gpm. Tho above requirement$ havo boon lncorporated into the Diechargo Minimization 'Iochnology Plan in $ection 3,1 of the Mill's Environmontal Protoctlon Manual, Part 1,8.7(f) of the Mill's GWDP roqulros that the Permitteo ohall lnspect the liner systom at Taillng Oells 1, 2, and 3 on a daily basis pursuant to the requirements of Sections 2.1 and 2.2 of tho currontly approvod DMT Monitoring Plan. ln the ovont that any liner defect or damage is identifiod during a linor systom inspoction, tho Pormittoo shall immediatoly: 1) report pr.rrsuant to Part 1.G.3,2) ropalr said defect or damago by implornontation of the cunently approved Llnor Maintenance Provisiorrs, and 3) ropc;rt all repairs mado pursuant to Part 1,F,2. ,)ltNl$ohtry,'f{$iMlhr[$ Letter to Ruaty r-undUai Qell 1 Repalr Plan Auguet 18, 2010 Page 3 Seotlon 1.e.3 af tho GWDP requlrsa that ln the dvent that ho Permlttes falle to malntaln DMT or BAT u otherwlgs fulle to moot DMT or BAT etandarda as requlred by tre Permlt, the Pennlttee ahall guhmlt to the Exeoutlve Eeoetary a notlfloatlon and deocrlptlon of tho failure Eocordlng to RS17,6.6,16(CX1). Notlfloatlon ahall be $lven orally wlthh 24-hours of the Permlttee's dlscovgry of the fallure of DMT or BAT, and shall be followed up by w{tten notlfloatlon, lncludlng the lnformatlon n€ceEsary to make s determlnEtlon under R817* 6.16(CX2), wltfiln flve oalendar days of the Permltteo'e dlecovoy d thE fallure of beet avallable tefinology. UDEQ hae not ooreld*ed the Cell I llner eyetem tp meet BAT mqulrementg and hm oxaludod ltfipm BAT and DMT regul!'emontg ln the Mille OtA/Pp, Hence, DMT repoflng r€qulrsmEnte do not Ep€clflrally qpply to the GellI LDg, HorBver, Denlson choee to notlfy the Ex€cutlve $eorehry vvlthh 24 houra of the hiilal onset, WtdEplnne oall on June S, 2010, benEuse the fluldg ln th€ Cdl I LDS wBrB ageumed to rcpree6nt a potenilal lher dd€at that requtriog notlcs under Part 1,E,7(0 of dre GWDP. The Hxeoutlve Seoietary repbtveO wrlttsr nottfloAtlon wlttrln E daye of the lnltla! lnqldent on Junp 7,2010, Penlson also provlded E fulour-up verhal notlfloatlon wlthln 24 houre d the recurence by phorre oall orr Auguet 8, 2010, lnttlal ldentlficatlon s, Nesd ior Repalrr and Reeponre Aptlonr to Date During the routlne talllngg lnspedlon poriormed at epgoxlmately 2;80pm on June 2, 2010, the Cell 1 LDS sterilplpp waa observgd to have acoumulatod approxlmatalV 7 fest 6 lrtohas of llquld oompared to tha prevhue dqy, The preoadlng day'e recorded obqerv,Eflon lndloatsd frrEt ths LD$ standptpe was *diy' (E meapured tevd of 60 feet 4 lnchee). Sufflctant fluld hed aoanmulated by 8:Z6am Thursday, June O h permlt oollpctlsn of samplea and lnltlal pH taatlng to.aeoqrtain whsth€r flre fluld orlglnatod ffem th6 oell. The tnltlal pH teetlng ln at 8:46am on June 3, ehowfd H Fl-l of I to 3, lndhatlng that ttre ilq-utd orlglnarcd fiom ths eoll, lnltlht noUsd lf tnn ?AwrflUlaflon of llgttld ln frre LP$ rlme glven by hlaphqne io the Unrtr peparUtrgnt d Hnvlronmontgl Ouallty Exeduthrs Boffot0ry at 3i48pm or Thurtdsy June g, 2010 (wlthln E4 houre of the dleoovery and wlthln 7 hours of determinathn of the orlgln of theflutd), Upoo ttc€lpt of tfrp Inttlel hspepUon mtult, the Mlll's Envhonmenial Ooordln€tff notffled the Mlll Manager Et 3;00prn that day, The Mllt hok the fdlowttrg BtsFB, h q@ddrp6 wtth Lioenae oondltlon 11,s, the Mlll's Lln6r MElntonance Provlrlons, and Seotlon 0.1of fire Milfs EnvlronmeRtalftotocthn Manual, Tha Mil cdhdod eamplee and dupllcateg on Juns 0 for analyula at EnerBy Lsboraterleg and AmerhE West 4nal$lcat LabofEtofleg for the full eulE of gloundumtar pplnt of compllanoe anslytos and pammeterc. CharaoterlzaUon reeulE oortflrrned that the Bource d the flulde ln the LD$ H talllngr eolutlbne, Follodng the eempllng on Juns 3, the Mlll pumpod the LDB to dryneeE, arrd begnn msnltorlng the levelfiange wlth tlmo to ettlmate aolutlon accumulatlon rats. The calculated ratsa esUmated from thls procBEB lndhated that the solutlon accumulatlon rate dld not exoeed 1 gpm, and rargnd ffom approxlmataly 0.0$ to 0,5 gpm. At the tlme the LDS level was noted on June 3, th€ Call 1 sdutlon levelwBB approxlmately Afi14,67 fuet amsl, The Ml[ lorrered the Cell 1 eolutlon level durlng the month d June ln order to reidUoe or ellmlnats the fhv, hh the LDS, and to alloriu Inepectlon and repElr d damage to th6 C€ll 1 FML. Tho C6ll I level wnE dropped to a lorvof 6013.40 feet amsl dullng thls perlod, Malntenancq ldentlfisd eome FML damago and performed rgmhg during the p€rlod when thC level wss lowsdt. FollowlnU th6 r6p6lrg, the Cell 1 llquld levd war atlorrdd h gradually r€tum to lte June 0 level, and the LDB rcmalned dry untll a reourronce of the LDS llquld levsl rame ldentlfled on Auguat 7, The Mlll expoflonced perlodlo tmavy ralne ln lateJulyand earlyAugust. Durlng theAuWat 1,2010 tailngr lnepectlon, the Cell llguld level had reached 6814,22 f€ot amsl. At that tlme, the Envhonmental Technlolan oEryreftPl/ftil.,3 Lettor to Ruoty LunOUergCell 1 Repalr Flan August 18,2010 Page 4 ldpnflflEd thqt ths LD$ had an obsenrahH llquld level, Llquld samplm und dupllcalea'were once egnln colleded and ahipped for onalyeb, srtd pumplng end estlmsdon of the to$ flll rdto wee'rssumed, At thlE tlme, Itflll mansgpment took a mof6 eggreselve apprqaoh to lovrerlng the Cell 1 Eolutlon lsve!. Cell 1 waa pumped at rfisxlmum sanefer pump rete lntq Qell 4A, beglnnlng appoxlrnaFly August 8, At the tlme pf thls wrltln$ Gell tl'o aoltltlofl levd has heen rcduced to 6610,9,l fedt amsl and the Mlll opnunuea h pump and monftor tho rouovry ldvel ln the LDS. The MIII elBo conunu8Blp eetlmeto the flow rqts hfq the LD$ bptweon pumphg, shoa the AuguetS detieotlonr the fldt'v rete lrtto Uro LES haa nst Exceeded 1, gprfl,and. hae rengod frorn 0.01 b 0,02 gph, or approxltnately oRO tenth to one tuantFth of the r6tB durlng the Juns det6c0on, [furlng ptpne d]gouseishb wlth UPEO Farsonnelon Auguet 12, 2010, UDEQ agreed wlth Denleon that both the Juns and Auguet ldsntlf,oatlone sf LD$ soluthne were all part of one eveht, At thlE tlrns, DenEon haE corpluded thah r Ths lnqpeotlon ahd repEks performed on th€ Cdll FML ln June and July wsre sppgrently not suaaoBsful ln ldsntlfylng all of the damsge lyhhh rbgdlrsd rcpah. r The tsttporery oeeeqthn of flottr lnto he tDS uefwsen the June and August Cetl t Los fluld dotpdlona may havo resulted frqm the lorcr{ng of the eolutlon levEl tp E point'below ilre remahlng tostr or damEgp h the FML. F,lounver, flB tho poluflon level ln Cell 1 roee, lt rusohed hp deveHsn d.one sr morq femdtilfl$ d0Jods ln he llrrer,. Addltlongl Byfrtsmafic lnoprotlon qnd npah of the FML wlll ttrrorul,o' be narirrli'ed : Phn Denlbon propos€s th6follpwirry plan dac'tlon tsr r ldentlff f,hd eonflrm tne mot ueuqa of ttp obsorv,od Eoluilons ln the Gell il LDS,r Lao€fd'the epoolflc gr€aq of thg FML rgqulrlng repeln,r Goodt{g,t H Ey,StcmAtF snd,oruody rsHHlr Brooeds, hat d@E not qfierfltg further darnegs to thu FMLI oorlilrffi u16t tlta I'Fpe[q hHyts rftdunud,ot ellrnlneted the fl6w mto thd LDs. DooUment thp flhdln&, root:cgt{Bcr,and Gupmse aotlqne. Thls plEn provldee a phHsed appluach to H6ntlfloetlOn and fapalr of the deJe0t6 in the Cplf I llner. lt lg hf,eed on the n€sd for a etepwlee achedrrle to syutemafimlly unoovpr and lnepeet all potentlally dama@ arsao, baglnnlng wlth those aress wlth the hlgheat potrenUalfor weer and reoulting damage, and to pErfurrn he repalre tvlthotJt lnourrin0 further darnage b th6 FMt durhg the rarnwal of the pfotaotlve aoll oovsr. Denlson doer r-rot want to dhHrb sny mor6 of the edl aover, and expoue.motB of the FML to thg envlronment, fian la necessary ln order to mlnlmlze the rlelt 0f furthor daEgB ta 0!e FML, ln addltlon, tlxg toostlon of the rspalrs neqr the tslllngs solutlon wlll rcqulra cpeCIlal affity precatrtione whloi add ts tho tlmo rcqulrpd for repalrs. Furthmi the ablllty to perforrn ahy ropalrE durlng tho wlnter monthd wll be limlted due to enor ooverage and sllppery condltlons, The kBy etepa ln he lhspeotlon arrd repalr prooess will he ae lollowe, ,,Htf,ffJDl/ Lsuor h Rusty l-rnope0 Cdl 1 Repelr Ptan August 18, ?0:10 Page 5 Phare I Plan and Soheduts Reduce tho Cell 'l aolutlon levolapproxlmetely to tho lavel lt reaohed durlng the June repaka. EduthnE from Cell 1 alu ourrently bohg pumped ftom Csll 1 to olth€{ C6ll 3 or Cell4A. Tho aoluthn lEwlshould be donn to fie June elevatlon by approxlrnetely August 3lx, Iderilry areaa ln Cell 1 wlth hlghent potontlal for damage (lvfmro plpes enter and ofi he oell, gtc,), The moot obvlous Eeotlons ang ln the aoutheagt oorrpr d Cetl 1 and ln the aouth cont al arpA 0f Fell I w,tere tha ptrmp barge le Igoated. Theae srgas are eoilmated tro be appmxlmately 200 feet of the Oell I bank, $yatamatlcelly lnspegt and repair the FML 6reee wi0r the hlghegt lll<ellhood 0f damage flrst, The 200 feet d he hlgheet rlak areee wlll bo unoovered arrd repa[d aE ng@srary. lt lE ostlmatod fiat thgte repalrs wllltske appnoxlmately 10 weke, untllOc'toher 01, 2010. Allq{,v the lsvel ln hE oell to rpoovar and cqnfirm that aoluHsns do not reappeer ln the LD$. Solutlon fnom the Mlll prooeaa or front C6ll 0 or Cell 4A wtll be pumped tnto tha odl end ths LDB aurnp wlll be monltored, lt lE estlrnstgd that thle etep w{ll take apFoxlmatdly 4 w6eka, untll Nsvember 00, ?010. lf, afier the pr0qoBe ln et$ps 1 thtpUgh 4 hag heon comil€tod, solutlong resppeer ln the LD$, the solution level ln Cell 1 wlll agaln ba rcduoed ln ordor to sohl€vE drynorg ln tha LQS. lt le expeded tlmt It wllt take Bome tlthe ftr tho Oell 1 pofld solutlon b hF rsdused to the level rieoeeoary to H$leva dryneer ln thg [Hs, Hnd &I lhe LP$ to bs vurfld to bsdry. Hawwff, thfu ptrsddure le erpsnub to Fe eaoDmp[thed, by Dqoemherr$'i,,80t0. A@ Ute solutlon level in Cdl 1 lE lowared, the next hlghestarca of oonoein (likelleat arqa for damage) wlll he uhmvered, inapeot?d, qnd rapdl'cd. Follevrtng the roFf,ln, thp Gsll 1 aolutlon lgtrof sdl bH dllfirl,od to gradudlly ttcev6r, ThE qcheduls hr oortrplAtion of ilrls gt$p wltl dapend 0n ilnkr @ndluurF 7, f, qlior the prooees ln $tspd S and 6 haa bepn oqmplEtd, rclullqn8 reqppeor ln the Ld8, tho eo,lutlon fpvel ln Cell 1 wlll qgaln bB reduoed ln ortlar to aohisve drypaea ln the L[IS. The ofile d Etops 1 and 2 wll! be rgpgstodi ag nsogssary, untll all ttre nBaes8gry rEp€H hsv,g b66n msde to acnFve drynes8 tn h€ LDg, The Eohedule of euheequent cydee of eteps 6 and 6 wlll he develqpod wlth the qonguruflco of tho Exgcutive SeoretAry. Reporilng The Llner Malntensnoa PnrvlslonE appendlx of the Mlll'a DMT Plan desorlhea th6 typos of flspalrs that wlll he lmplemented lbllowlng ldentlflcatlon of solutlorle ln the LDS, as r*ell aa requlremente for a repaF report deeolb{ngthe nsture of ths damage and.the repalra. As requlred by ttre Llner Maintenance Prwlslons, a repalr rdpurt wl!! b0 eubmltted to the ExecutlVe Seoretary fdlowlng lSvn'plstbfl of repatrs to the cell 1 ltner. The rupalr repoft wlll oontaln, ln addlthn to a root cauoe analysls, he f0lloi,lng elemenB: 1. 4. 6, PhrtellPhn and Bchedule and udll be developed wlth th6 opnoulrsios of the Exogrtitq Sesnetary, Repolr nanstMe descrlhlng the nature of the damage and the repalr work oompleted to repair the damage, Repalr matErlaltype ueed to complete the repalr t a ,,$iffiiHDll Letter to Rusty LundbsrgOetf 1 Ropair Plan August 18,2010 Pago 6 o Repair material dosorlptlonr Pogt repairs test speoificatlonsr Test Methods (ASTM or othor)r Daily reports during tho ropalr worko Repair test resultsr QualltyAssurancolQualityOontrol lnformation Data colloctod durlng tho dlagnostlc steps, including solution accumulation rate erstimatlons and analytical rosults from charaoterizatlon of LD$ solutlon samplos wlll also bo inclucled in the ropair report. Fleaso contaot the undersigned if you havo any quostlons cr require any further information, Yours very truly, DeNrcor,r MrNE$ (USA) GoRP, 0a6l^^ -"-{-o.*-frir-*-//" Jo Ann Tischler Director, Compliance and Permitting cc: Rich E. Bartlett David C, Frydenlund Ron F. Hochstsin Ryan Palrner Harold R, Roberts David E, Turk psNr$or$lddd MINES Tab E Calculation of Maximum Daily Allowable LDS Flow Volurue for Varytug Hond Condittone ln Celts 4A and4B Tho oquation for thp calpulation of mailimum daily allowahlo flow volump in Celle 4A, and 48 is ae follows; Step l) Wherc: Stop 2) Steps) $tep 4) Elevation l-Elevetion 2 = Head (ft.) Blovetion I is the maximunr eleyEtion in feet nressrffod during the reporting psriod. Elevuion 2 is tho FML elevation in fect. Detcrmine CaloulatedAction lrakage Rars from Table lA (for Cell4A) or Tablp 18 (for qeII 4B) using tlte hend calpulated in $tnp I abovp, ffthe trpad onloulntcd in stnp t ahqvg ftIls hetweps two v&luw tq fUs llsad Atovs Ltuor $y,rtour (feet) cplwm[, thenthBddgqr of thFqe twq vqh+c*wCllte,uned'te dufertnire'thu ' Caloulntnd Aetioil l*ukqEe H*te; Calculste the $p{E$ of Eflfnge ceJl flutOs h'$eU m thp qron ofthq bass,uf rhq s6lli Aption I*alrrage Rafe (ftom Table 1A or 1B) X Aarcs of Tailhrge Cell Fluids = MEEimt'n Daily Allstiyable Flow V(4qir.rfi Max head on Cell4A FML [trlaxlmum Head on Cell 4A FML was not calculated durirtg second quarter 2011. A letter from the Executive Secretary dated January 27,201,t which approved the use of Cell 48, and a subsequent letter dated March L5,?;oLL, stated approval of the OMT and Cell +a operatlons and Malntenance ('O&M") Plans effectiveV ellmlnated the former freeboard elevation requirements for tailings Cell4A, Pursuant to the recelpt of the March 15, 2011 letter, freeboard llmits in Cell 4A were no longer requlred. Denisorr corporete staff rnisintErpreted this waiver as meaning that the weekly elevations no longer needed to be conducted. As a result, these mea$urements were not collected during the perlod. Max heid on Cell48 FML Mex elvation (ft,} FML elevatlon (ft.) Head (ft,1 From BAT O&M Table 18 Assume acres of fluid based on maximum level(acres) Max allowable flow rate (gal/day) 48 - q2 ?011 5s8X.59 5557.5 24.09 475,6 33 15694.8