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HomeMy WebLinkAboutDRC-2011-007648 - 0901a06880292877DENISO MINES December 2, 2011 Denison Mines (USA) Corp. 105017th Street, Suite 950 Denver, CO 80265 USA Tel: 303 628-7798 Fax: 303 389-4125 www.denisonmines.com VIA E-MAIL AND OVERNIGHT DELIVERY Mr. Rusty Lundberg Utah Department of Environmental Quality 195 North 1950 West P.O. Box 144850 Salt Lake City, UT 84114-4850 Re: White Mesa Mill Revised Contingency Plan as Contemplated by State of Utah Groundwater Discharge Permit UGW370004 Dear Mr. Lundberg: Enclosed please find Revision 4 to Denison Mines (USA) Corp.'s ("Denison's") White Mesa Uranium Mill Contingency Plan. The enclosed revision was developed in response to: 1. redlined edits and comments received from the Utah Division of Radiation Control ("DRG") on November 8, 2011 2. telephone discussions with DRC on November 22, 2011, and 3. a November 22, 2011 email from Russell Topham of DRC documenting the agreements made between DRC and Denison during the telephone discussion. For ease of review we have enclosed both a redlined and a clean copy of the proposed Revision 4. Electronic files in MS Word format have been submitted separately. Please contact me if you have any questions or require any further information. Yours very truly, DENISON MINES (USA) CORP. 9- Jo Ann Tischler Director, Compliance and Permitting cc: David C. Frydenlund Harold R. Roberts David E. Turk K. Weinel White Mesa Mill - Standard Date: 9A012/11 Revision: Operating Procedures DUSA-34 Book #19—Groundwater Page lofl 5 Discharge Permit Plans and Procedures WHITE MESA URANIUM MILL CONTINGENCY PLAN As Contemplated by Part l.G.4(d) of State of Utah Groundwater Discharge Permit No.UGW370004 Prepared by: Denison Mines (USA) Corp. 1050 17"' Street, Suite 950 Denver CO 80265 September 2December 2, 2010 White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA4^ Page 2 of 16 TABLE OF CONTENTS 1.0 INTRODUCTION 3 2.0 PURPOSE 3 3.0 GROUNDWATER CONTAMINATION 3 3.1 Notification 4 4 4 5 4.0 MILL DISCHARGE VIOLATIONS - INCLUDING UNAUTHORIZED DISCHARGE OR RELEASE OF PROHIBITED CONTAMINANTS TO THE TAILING CELLS 6 4.1 Notifications 6 4.2 Field Activities 6 7 5.0 DMT VIOLATIONS 7 5.1 Tailings Cell Wastewater Pool Elevation Above the Maximum Elevations ... ...7 5.2 Excess Head in Tailines Cells 2. 3. 4A. and 4B Slimes Drain Svstefns 8 5.3 Excess Cell 4A Leak Detection Svstem Fluid Head or Daily Leak Rate 5.4 Excess Cell 4B Leak Detection System Fluid Head or Dailv Leak Rate 10 5.5 Excess New Decontamination Pad Leak Detection Svstem Fluid Head 11 5.6 Cracks or Physical Discrepancies on New Decontamination Pad Wash Pad.. . 11 1? 13 13 14 15 5.12 Failure to Complv with Stormwater Management and Spill Control Requirements 15 White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Pemiit Plans and Procedures Date: 9/10-12/11 RevisiCTi: DUSA-4^ Page 3 of 16 WHITE MESA URANIUM MILL CONTINGENCY PLAN State of Utah Groundwater Discharge Permit No. UGW370004 1.0 INTRODUCTION Formatted: Heading 1, No bullets or numbering The State of Utah has granted Ground Water Discharge Permit No. UGW370004 (the "GWDP") for Denison Mines (USA) Corp.'s ("Denison's") White Mesa Uranium Mill (the "Mill"). The GWDP specifies the construction, operation, and monitoring requirements for all facilities at the Mill that have a potential to discharge pollutants directly or indirectly into groundwaterthe underlying aquifer. 2. 2.0 PURPOSE Formatted: Heading 1, No bullets or numbering This Contingency Plan (the "Plan") provides a detailed list of actions Denison will take to regain compliance with GWDP limits and Discharge Minimization Technology Plan ("DMT") and the Best Available Technology Plan ("BAT") requirements defined in Parts I.C, I.D, and I.H.4 of the GWDP. The timely execution of contingency and corrective actions outlined in this Plan will provide Denison with the basis to exercise the Affirmative Action Defense provision in Part I.G.3.c) of the GWDP and thereby avoid noncompliance status and potential enforcement action'. The contingency actions required to regain compliance with GWDP limits and DMT and BAT requirements defined in Parts I.C, I.D, and I.H.4 of the GWDP are described below. 3,0 GROUNDWATER CONTAMINATION Formatted: Heading 1, No bullets or numbering Since there are many different possible scenarios that could potentially give rise to groundwater contamination, and since the development and implementation of a remediation program will normally be specific to each particular scenario, this Plan does not outline a definitive remediation program. Rather, this Plan describes the steps that ' Part I.G.3.C) of the GWDP provides that, in the event a compliance action is initiated against Denison for violation of permit conditions relating to best available technology or DMT, Denison may affirmatively defend against that action by demonstrating that it has made appropriate notifications, that the failure was not intentional or caused by Denison's negligence, that Denison has taken adequate measures to meet permit conditions in a timely manner or has submitted an adequate plan and schedule for meeting permit conditions, and that the provisions of UCA 19-5-107 have not been violated. White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-i^ Page 4 of 16 will be followed by Denison in the event Denison is found to be out of compliance with respect to any constituent in any monitoring well, pursuant to Part I.G.2 of the GWDP. When the concentration of any parameter in a compliance monitoring well is out of compliance, Denison will, subject to specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: 3^3.1 Notification Denison will notify the Executive Secretary of the out of compliance status within 24 hours after detection of that status followed by a written notice within 5 days after detection, as required under Part I.G.4.a) of the GWDP. 3.2 Continuation of Accelerated Monitoring Denison will continue accelerated sampling for the parameter in that compliance monitoring well pursuant to Part I.G.I of the GWDP, unless the Executive Secretary determines that other periodic sampling is appropriate, until the facility is brought into compliance, as required under Part I.G.4.b) of the GWDP. If the accelerated monitoring demonstrates that the Mill-monitoring well has retumed to is no longer out of compliance with respect to a parameter in a well, then, with the written approval ef-from the Executive Secretary, Denison will cease accelerated monitoring for thate parameter, and no further steps will be followed by Denison with respect to such parameter.will continue routine monitoring for that parameter. ^T+T 3.3 Submission of Plan and Timetable Formatted: Heading 2, No bullets or numbering If the accelerated monitoring confirms that the Mill is out of compliance with respect to a parameter in a well, then, within 30 days of such confirmation, Denison will prepare and submit to the Executive Secretary a plan and a time schedule for assessment of the sources, extent and potential dispersion of the contamination, and an evaluation of potential remedial action to restore and maintain ground water quality to ensure that permit limits will not be exceeded at the compliance monitoring point and that DMT or BAT will be reestablished, as required under part I.G.4.c) of the GWDP. This plan will normally include, but is not limited to: a) The requirement for Denison to prepare a detailed and comprehensive operational history of the facility and surrounding areas which explores all activities that may have contributed to the contamination; White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA43 Page 5 of 16 b) A requirement for Denison to complete an evaluation, which may include geochemical and hydrogeological analyses, to determine whether or not the contamination was caused by Mill activities or was caused by natural forces or offsite activities; c) If it is concluded that the contamination is the result of current or past activities at the Mill, Denison will prepare a Characterization Report, which characterizes the physical, chemical, and radiological extent of the ground water contamination. This will normally include a description of any additional wells to be used or installed to characterize the plume and the hydrogeologic characteristics of the affected zone, the analytical parameters to be obtained, the; samples of ground water to be taken, and any other means to measure and characterize the affected ground water and contamination zone; and d) If it is concluded that the contamination is the result of current or past activities at the Mill, Denison will evaluate potential remedial actions, including actions to restore and maintain groundwater quality to ensure that permit limits will not be exceeded at the compliance monitoring point and that DMT and BAT will be reestablished, as well as actions that merely allow natural attenuation to operate and actions that involve applying for Altemate Concentration Limits ("ACLs"). ACLs require approval of the Water Qualitv Board prior to becoming effective. If groundwater remediation is required, Denison will prepare and submit te thefor Executive Secretary approval a Ground Water Remediation Plan, as described in Section 3.4 below. 5T2T 3.4 Groundwater Remediation Plan Formatted: Heading 2, No bullets or numbering If the Executive Secretary determines that ground water remediation is needed, Denison will submit a Ground Water Remediation Plan to the Executive Secretary within the time frame requested by the Executive Secretary. The Ground Water Remediation Plan will normally include, but is not limited to: a) A description and schedule of how Denison will implement a corrective action - program that prevents contaminants from exceeding the ground water protection levels or ACLs at the compliance monitoring point(s) or other locations approved by the Executive Secretary, by removing the contaminants, treating them in place, or by other means as approved by the Executive Secretary; b) A description of the remediation monitoring program to demonstrate the effectiveness of the plan; and Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" c) Descriptions of how corrective action will apply to each source of the pollution. White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-4^ Page 6 of 16 Denison will implement the Ground Water Remediation Plan in accordance with a schedule to be submitted by Denison and approved by the Executive Secretary. 4. 4,0 MILL DISCHARGE VIOLATIONS-INCLUDING UNAUTHORIZED DISCHARGE OR RELEASE OF PROHIBITED CONTAMINANTS TO THE TAILING CELLS Part I.C.2. ofthe GWDP provides that only 1 le.(2) by-product material authorized by the Mill's State of Utah Radioactive Materials License No. UT-2300478 (the "Radioactive Materials License") shall be discharged to or disposed of in the Mill's taihngs cells. Part I.C.3 ofthe GWDP provides that discharge of other compounds into the Mill's tailings cells, such as paints, used oil, antifreeze, pesticides, or any other contaminant not defined as 1 le.(2) material is prohibited. In the event of any unauthorized disposal of contaminants or wastes (the "Unauthorized Materials") to the Mill's tailings cells, Denison will, subject to any specific requirements ofthe Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: Formatted: Heading 1, No bullets or numbering I Formatted: Keep with next AAr 4.1 Notifications Formatted: Heading 2, No bullets or numbering a) Upon discovery, the Mill Manager or RSO will be notified immediately; and b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery. Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" 4^ 4.2 Field Activities Formatted: Heading 2, No bullets or numbering a) Upon discovery, Mill persoimel will immediately cease placement of " Unauthorized Materials into the Mill's tailings cells; b) To the extent reasonably practicable and in a manner that can be accomplished safely. Mill personnel will attempt to segregate the Unauthorized Materials from other tailings materials and mark or record the location of the Unauthorized Materials in the tailings cells. If it is not reasonably practicable to safely segregate the Unauthorized Material from other tailings materials. Mill personnel will nevertheless mark or record the location of the Unauthorized Materials in the tailings cells; Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA4* Page 7 of 16 c) To the extent reasonably practicable and in a manner that can be accomplished safely. Mill personnel will attempt to remove the Unauthorized Material from the tailings cells; and d) Denison will dispose of the removed Unauthorized Material under applicable State and Federal regulations with the approval of the Executive Secretary. 4.3 .Request for Approvals and/or Waivers Formatted: Heading 2, No bullets or numbering If it is not reasonably practicable to safely remove the Unauthorized Materials from the tailings cells, then Denison will, in accordance with a schedule to be approved by the Executive Secretary: a) Submit a written report to the Executive Secretary analyzing the health, safety and environmental impacts, if any, associated with the permanent disposal of the Unauthorized Material in the Mill's tailings cells; b) Apply to the Executive Secretary for any amendments that may be required to the GWDP and the Radioactive Materials License to properly accommodate the permanent disposal of the Unauthorized Material in the Mill's tailings cells in a manner that is protective of health, safety and the environment; and c) Make all applications required under the United States Nuclear Regulatory Commission's ("NRC's") Non-1 le.(2) Disposal Policy (NRC Regulatory Issue Summary 2000-23 (November 200O),Jnterim Guidance on Disposal o fNon- Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" -j Formatted: Font: Italic Atomic Energy Act of1954, Section lle.(2) Byproduct Material in Tailings Impoundments), including obtaining approval of the Department of Energy as the long term custodian of the Mill's tailings, in order to obtain approval to permanently dispose of the Unauthorized Material in the Mill's tailings cells. 5.0 DMT VIOLATIONS Formatted: Heading 1, No bullets or numbering &^ 5.1 _Tailings Cell Wastewater Pool Elevation Above the Maximum Elevations Formatted: Heading 2, No bullets or numbering Part I.D.2 and Part I.D.6.d) of the GWDP provide that authorized operation and maximum disposal capacity in each of the existing tailings cells shall not exceed the levels authorized by the Radioactive Materials License and that under no circumstances shall the freeboard be less than three feet, as measured from the top of the flexible membrane liner ("FML"). White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-4^ Page 8 of 16 In the event that tailings cell wastewater pool elevation in any tailings cell exceeds the maximum elevations mandated by Part 1.D.2 and Part I.D.6.d) of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) Upon discovery. Mill personnel will cease to discharge any further tailings to the subject tailings cell, until such time as adequate freeboard capacity exists in the subject tailings cell for the disposal of the tailings; d) To the extent reasonably practicable, without causing a violation of the freeboard limit in any other tailings cell. Mill personnel will promptly pump fiuids from the subject tailings cell to another tailings cell until such time as the freeboard limit for the subject tailings cell is in compliance. If there is no room available in another tailings cell, without violating the freeboard limit of such other cell, then, as soon as reasonably practicable. Mill personnel will cease to discharge any further tailings to any tailings cell until such time as adequate freeboard capacity exists in all tailings cells; e) If it is not reasonably practicable to pump sufficient solutions from the subject tailings cell to another tailings cell, then the solution levels in the subject tailings cell will be reduced through natural evaporation; and f) Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligndl at: 0.31" + Tab after: 0.61" + Indent at: 0.61" ^5.2 Excess Head in Tailings Cells 2, 3^ 4A, and 4BA Slimes Drain Systems Part I.D.3.b)l) of the GWDP provides that Denison shall at all times maintain the average wastewater head in the slimes drain access pipe in Cell 2 to be as low as reasonably achievable, in accordance with the Mill's currently approved DMT Monitoring Plan , and that for Cell 3, this requirement shall apply only after initiation of de-watering operations. Similarly, Part I.D.6.c) of the GWDP provides that after Denison initiates pumping conditions in the slimes drain layer in Cell 4A, Denison will provide: 1) continuous declining fluid heads in the slimes drain layer, in a manner equivalent to the requirements '{ Formatted: No underiine Formatted: Heading 2, No bullets or numbering White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-4^ Page 9 of 16 found in Part I.D.3.b); and 2) a maximum head of I.O feet in the tailings (as measured from the lowest point of the upper FML) in 6.4 years or less. In the event that the average wastewater head in the slimes drain access pipe for Cell 2 or, after initiation of de-watering activities. Cell 3 or initiation of pumping conditions in the slimes drain layer in Cell 4A exceeds the levels specified in the DMT Monitoring Plan, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; " b) Mill personnel will promptly pump the excess fluid into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary; c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" d) If the cause of the exceedance is not rectified within 24 hours, Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; and e) If not due to an identified equipment failure, Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. ^T^T 5.3 Excess Cell 4A Leak Detection System Fluid Head or Daily Leak Rate Formatted: Heading 2, No bullets or numbering Part I.D.6.a) provides that the fluid head in the Leak Detection System ("LDS") for Cell 4A shall not exceed 1 foot above the lowest point in the lower membrane liner, and Part l.D.6.b) ofthe GWDP provides that the maximum allowable daily leak rate measured in the LDS for Cell 4A shall not exceed 24,160 gallons/day. hi the event that the fluid head in the LDS for Cell 4A exceeds 1 foot above the lowest point in the lower membrane layer or the daily leak rate measured in the Cell 4A LDS exceeds 24,160 gallons/day, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Mill personnel will promptly pump the excess fiuid into an active tailings cell, cell, or other appropriate containment or evaporation facility approved by the Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,.;. + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-45 Page 10 of 16 Executive Secretary, until such time as the cause of exceedance is rectified or until such time as otherwise directed by the Executive Secretary; c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; d) If the cause of the exceedance is not rectified within 24 hours, Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; and e) If not due to an identified equipment failure, Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. 5.4 Excess Cell 4B Leak Detection System Fluid Head or Daily Leak Rate Formatted: Heading 2, No bullets or numbering Part I.D. 13.a) provides that the fluid head in the Leak Detection System ("LPS") for Cell 4B shall not exceed 1 foot above the lowest point in the lower membrane liner, and Part I.D.13.b') of the GWDP provides that the maximum allowable daily leak rate measured in the LDS for Cell 4B shall not exceed 26.145 gallons/day. In the event that the fluid head in the LDS for Cell 4B exceeds 1 foot above the lowest point in the lower membrane layer or the daily leak rate measured in the Cell 4B LDS exceeds 26,145 gallons/day, Denison will, subiect to any specific requirements ofthe Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately: b) Mill personnel will promptly pump the excess fluid into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary, until such time as the cause of exceedance is rectified or until such time as otherwise directed by the Executive Secretary; c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; If the cause of the exceedance is not rectified within 24 hours, Dertison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five davs; and Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-45 Page 11 of 16 If not due to an identified equipment failure, Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. 5.5 Excess New Decontamination Pad Leak Detection System Fluid Head Formatted: Heading 2, No bullets or numbering In order to ensure that the primary containment of the New Decontamination Pad water collection system has not been compromised, and to provide an inspection capability to detect leakage from the primary containment in each of the three settling tanks, a vertical inspection portal has been installed between the primary and secondary containment of each settling tank. Section 3.1(e) of the Mill's DMT Monitoring Plan provides that the fluid head in the LDS for the New Decontamination Pad shall not exceed 0.10 feet above the concrete floor in any of the three standpipes. Compliance is defined in Part I.D. 14 a) of the GWDP as a depth to standing water present in any of the LDS access pipes of more than or equal to 6.2 feet as measured from the water measuring point (top of access pipe). In the event that the fluid head in the standpipe for a settling tank exceeds 0.10 feet above the concrete floor in the standpipe, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; Formatted: Outline numbered + Level: 4 + Numbering Style: a, b,.c,... +.Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" c) Mill personnel will promptly pump the fluid from the settling tank's LDS as well as the fluids in the settling tank into another settling tank or into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary, until such time as the cause of the exceedance is rectified or until such time as otherwise directed by the Executive Secretary; and d) Denison will perform a root cause analysis of the exceedance and, if appropriate, will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. Pad. 5.6 Cracks or Physical Discrepancies on the-New Decontamination Pad Wash Formatted: Heading 2, No bullets or numbering White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-45 Page 12 of 16 Soil and debris will be removed form the wash pad of the NDP in accordance with the currently approved DMT Monitoring Plan. In the event that cracks of greater than 1/8 inch (width) ei^^tber physical discrepmeies-are observed on the concrete wash pad, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) The NEDP shall be taken out of service and the cracks or deficiencies will be repaired utilizing industry standard materials and procedures appropriate for the defect within five working days of discovery. Following recommended cure times, the cracks or deficiencies will be re-inspected and, if acceptable, the NEDP will be placed back into service. c) A record of the repairs will be maintained as a part of the inspection records at the White Mesa Mill. Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" &S: 5.7 Excess Elevation For Tailings Solids Formatted: Heading 2, No bullets or numbering Part 1.D.3.C) of the GWDP provides that upon closure of any tailings cell, Denison shall ensure that the maximum elevation of the tailings waste solids does not exceed the top of the FML. In the event that, upon closure of any tailings cell, the maximum elevation of the tailings waste solids exceeds the top of the FML, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) To the extent reasonably practicable, without causing a violation of the freeboard limit in any other tailings cell. Mill personnel will promptly remove tailings solids fi-om the subject tailings cell to another tailings cell, or other location approved by the Executive Secretary, until such time as the maximum elevation of the tailings waste solids in the subject tailings cell does not exceed the top of the FML; and Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-4^ Page 13 of 16 d) Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. 5.8 Roberts Pond Wastewater Elevation Formatted: Heading 2, No bullets or numbering Part I.D.3.e) of the GWDP provides that the Permittee shall operate Roberts Pond so as to provide a minimum 2-foot freeboard at all times and that under no circumstances shall the water level in Roberts Pond exceed an elevation of 5,624 feet above mean sea level. In the event that the wastewater elevation exceeds this maximum level, Denison shall remove the excess wastewater and place it into containment in Tailings Cell 1 within 72 hours of discovery, as specified in Part I.D.3.e) of the GWDP. In the event that, Denison fails to-se remove any suchthe excess wastewater within 72 hours of discovery. Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; and b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification and proposed corrective actions within five days of discovery. 5v87 5.9 Feedstock Storage Area Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" Formatted: Heading 2, No bullets or numbering Part l.D.3.f) and Part I.D.I I of the GWDP provide that open-air or bulk storage of all feedstock materials at the Mill facility awaiting Mill processing shall be limited to the eastem portion of the Mill site area described in Table 4 of the GWDP, and that storage of feedstock materials at the facility outside that area shall be performed in accordance with the provisions of Part I.D.I 1 ofthe GWDP. In the event that, storage of any feedstock at the Mill is not in compliance with the requirements specified in Part I.D.3.f) and Part I.D.I 1 of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA4^ Page 14 of 16 b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) Mill personnel will: (i) move any open-air or bulk stored feedstock materials to the portion ofthe Mill site area described in Table 4 of the GWDP; (ii) ensure that any feedstock materials that are stored outside ofthe area described in Table 4 of the GWDP are stored and maintained in accordance with the provisions of Part I.D.I 1 of the GWDP; and (iii) to the extent that any such containers are observed to be leaking, such leaking containers will be placed into watertight over-pack containers or otherwise dealt with in accordance with the provisions of Part I.D.I 1 of the GWDP, and any impacted soils will be removed and will be deposited into the Mill's active tailings cell; and d) Denison will perform a root cause analysis of the non-compliant activity and will implement new procedures or change existing procedures to minimize the chance of a recurrence. 5.10 Mill Site Chemical Reagent Storage Formatted: Heading 2, No bullets or numbering Part l.D.3.g) of the GWDP provides that for all chemical reagents stored at existing storage facilities, Denison shall provide secondary containment to capture and contain all volumes of reagent(s) that might be released at any individual storage area, and that for any new construction of reagent storage facilities, the secondary containment and control shall prevent any contact of the spilled reagent with the ground surface. In the event that Denison does notfails to provide the required secondary containment required under Part l.D.3.g) of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; and c) Denison will promptly remediate any spilled re-agent resulting from the failure failure to provide the required secondary containment under Part I.D.3.g) ofthe Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: W40-12/11 Revision: DUSA-4^ Page 15 of 16 GWDP, by removal of the contaminated soil and disposal in the active tailings cell. 5.10. 5.11 Failure to Construct as per Approval Formatted: Heading 2, No bullets or numbering Part 1.D.4 ofthe GWDP provides that any construction, modification, or operation of new waste or wastewater disposal, treatment, or storage facilities shall require submittal of engineering design plans and specifications, and prior Executive Secretary review and approval, and that a Construction Permit may be issued. In the event that, any new waste or wastewater disposal, treatment, or storage facilities are constructed at the Mill facility without obtaining prior Executive Secretary review and approval, or any such facilities are not constructed in accordance with the provisions ofany applicable Construction Permit, Denison will, subject to any specific requirements ofthe Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; and b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification and proposed corrective actions within five days of discovery. Formatted: Outline.numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" + Indent at: 0.61" 5.11. 5.12 Failure to Comply with Stormwater Management and Spill Control Requirements Part I.D. 10 ofthe GWDP provides that Denison will manage all contact and non-contact stormwater and control contaminant spills at the Mill facility in accordance with the currently approved Stormwater Best Management Practices Plan. In the event that any contact or non-contact stormwater or contaminant spills are not managed in accordance with the Mill's approved Stormwater Best Management Practices Plan, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: Formatted: Heading 2, No bullets or numbering a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification and proposed corrective actions within five days of discovery; and Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0^61" + Indent at: 0,61" White Mesa Mill - Standard Operating Procedures Book #19- Groundwater Discharge Permit Plans and Procedures Date: 9/40-12/11 Revision: DUSA-43 Page 16 of 16 c) To the extent still practicable at the time of discovery, Denison will manage any such contaminant spill in accordance with the Mill's approved Stormwater Best Management Practices Plan. To the extent it is no longer practicable to so manage any such spill, Denison will agree with the Executive Secretary on appropriate clean up and other measures. Formatted: Outline numbered + Level: 4 + Numbering Style: a, b, c,... + Start at: 1 + Alignment: Left + Aligned at: 0.31" + Tab after: 0.61" .+Indent at: 0.61" White Mesa Mill - Standard Date: 12/11 Revision: DUS A-4 Operating Procedures Book # 19—Groundwater Page 1 of 15 Discharge Permit Plans and Procedures WHITE MESA URANIUM MILL CONTINGENCY PLAN As Contemplated by Part LG.4(d) of State of Utah Groundwater Discharge Permit No.UGW370004 Prepared by: Denison Mines (USA) Corp. 1050 17"" Street, Suite 950 Denver CO 80265 December 2, 2010 White Mesa Mill - Standard Date: 12/11 Revision: DUS A-4 Operating Procedures Book # 19 - Groundwater Page 2 of 15 Discharge Pennit Plans and Procedures TABLE OF CONTENTS 1.0 INTRODUCTION 3 2.0 PURPOSE 3 3.0 GROUNDWATER CONTAMINATION 3 3.1 Notification 4 3.2 Continuation of Accelerated Monitoring 4 3.3 Submission of Plan and Timetable 4 3.4 Groundwater Remediation Plan 5 4.0 MILL DISCHARGE VIOLATIONS - INCLUDING UNAUTHORIZED DISCHARGE OR RELEASE OF PROHIBITED CONTAMINANTS TO THE TAILING CELLS 6 4.1 Notifications 6 4.2 Field Activities 6 4.3 Request for Approvals and/or Waivers 7 5.0 DMT VIOLATIONS 7 5.1 Tailings Cell Wastewater Pool Elevation Above the Maximum Elevations 7 5.2 Excess Head in Tailings Cells 2, 3, 4A, and 4B Slimes Drain Systems 8 5.3 Excess Cell 4A Leak Detection System Fluid Head or Daily Leak Rate 9 5.4 Excess Cell 4B Leak Detection System Fluid Head or Daily Leak Rate 10 5.5 Excess New Decontamination Pad Leak Detection System Fluid Head 11 5.6 Cracks or Physical Discrepancies on New Decontamination Pad Wash Pad.... 11 5.7 Excess Elevation For Tailings Solids 12 5.8 Roberts Pond Wastewater Elevation 13 5.9 Feedstock Storage Area 13 5.10 Mill Site Chemical Reagent Storage 14 5.11 Failure to Construct as per Approval 15 5.12 Failure to Comply with Stormwater Management and Spill Control Requirements 15 White Mesa Mill - Standard Date: 12/11 Revision: DUS A-4 Operating Procedures Book # 19 - Groundwater Page 3 of 15 Discharge Pennit Plans and Procedures WHITE MESA URANIUM MILL CONTINGENCY PLAN State of Utah Groundwater Discharge Permit No. UGW370004 1.0 INTRODUCTION The State of Utah has granted Ground Water Discharge Permit No. UGW370004 (the "GWDP") for Denison Mines (USA) Corp.'s ("Denison's") White Mesa Uranium Mill (the "Mill"). The GWDP specifies the construction, operation, and monitoring requirements for all facilities at the Mill that have a potential to discharge pollutants directly or indirectly into the underlying aquifer. 2.0 PURPOSE This Contingency Plan (the "Plan") provides a detailed list of actions Denison will take to regain compliance with GWDP limits and Discharge Minimization Technology Plan ("DMT") and the Best Available Technology Plan ("BAT") requirements defined in Parts I.C, I.D, and LH.4 of the GWDP. The timely execution of contingency and corrective actions outlined in this Plan will provide Denison with the basis to exercise the Affirmative Action Defense provision in Part I.G.3.c) of the GWDP and thereby avoid noncompliance status and potential enforcement action^ The contingency actions required to regain compliance with GWDP limits and DMT and BAT requirements defined in Parts I.C, I.D, and I.H.4 of the GWDP are described below. 3.0 GROUNDWATER CONTAMINATION Since there are many different possible scenarios that could potentially give rise to groundwater contamination, and since the development and implementation of a remediation program will normally be specific to each particular scenario, this Plan does not outline a definitive remediation program. Rather, this Plan describes the steps that ' Part I.G.3.C) ofthe GWDP provides that, in the event a compliance action is initiated against Denison for violation of pennit conditions relating to best available technology or DMT, Denison may affirmatively defend against that action by demonstrating that it has made appropriate notifications, that the failure was not intentional or caused by Denison's negligence, that Denison has taken adequate measures to meet pemiit conditions in a timely manner or has submitted an adequate plan and schedule for meeting permit conditions, and that the provisions of UCA 19-5-107 have not been violated. White Mesa Mill - Standard Date: 12/11 Revision: DUSA-4 Operating Procedures Book #19- Groundwater Page 4 of 15 Discharge Permit Plans and Procedures will be followed by Denison in the event Denison is found to be out of compliance with respect to any constituent in any monitoring well, pursuant to Part I.G.2 of the GWDP. When the concentration of any parameter in a compliance monitoring well is out of compliance, Denison will, subject to specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: 3.1 Notification Denison will notify the Executive Secretary of the out of compliance status within 24 hours afl:er detection of that status followed by a written notice within 5 days after detecfion, as required under Part I.G.4.a) of the GWDP. 3.2 Continuation of Accelerated Monitoring Denison will continue accelerated sampling for the parameter in that compliance monitoring well pursuant to Part I.G. 1 of the GWDP, unless the Executive Secretary determines that other periodic sampling is appropriate, until the facility is brought into compliance, as required under Part I.G.4.b) of the GWDP. If the accelerated monitoring demonstrates that the monitoring well has retumed to compliance with respect to a parameter in a well, then, with written approval from the Executive Secretary, Denison will cease accelerated monitoring for that parameter, and will continue routine monitoring for that parameter. 3.3 Submission of Plan and Timetable If the accelerated monitoring confirms that the Mill is out of compliance with respect to a parameter in a well, then, within 30 days of such confirmation, Denison will prepare and submit to the Executive Secretary a plan and a time schedule for assessment of the sources, extent and potential dispersion of the contamination, and an evaluation of potential remedial action to restore and maintain ground water quality to ensure that permit limits will not be exceeded at the compliance monitoring point and that DMT or BAT will be reestablished, as required under part I.G.4.c) of the GWDP. This plan will normally include, but is not limited to: a) The requirement for Denison to prepare a detailed and comprehensive operational history of the facility and surrounding areas which explores all activities that may have contributed to the contamination; White Mesa Mill - Standard Date: 12/11 Revision: DUSA-4 Operating Procedures Book # 19 - Groundwater Page 5 of 15 Discharge Pennit Plans and Procedures b) A requirement for Denison to complete an evaluation, which may include geochemical and hydrogeological analyses, to determine whether or not the contamination was caused by Mill activities or was caused by natural forces or offsite activities; c) If it is concluded that the contamination is the result of current or past activities at the Mill, Denison will prepare a Characterization Report, which characterizes the physical, chemical, and radiological extent of the ground water contamination. This will normally include a description of any additional wells to be used or installed to characterize the plume and the hydrogeologic characteristics of the affected zone, the analytical parameters to be obtained, the samples of ground water to be taken, and any other means to measure and characterize the affected ground water and contamination zone; and d) If it is concluded that the contamination is the result of current or past activities at the Mill, Denison will evaluate potential remedial actions, including actions to restore and maintain groundwater quality to ensure that permit limits will not be exceeded at the compliance monitoring point and that DMT and BAT will be reestablished, as well as actions that merely allow natural attenuation to operate and actions that involve applying for Altemate Concentration Limits ("ACLs"). ACLs require approval of the Water Quality Board prior to becoming effective. If groundwater remediation is required, Denison will prepare and submit for Executive Secretary approval a Ground Water Remediation Plan, as described in Section 3.4 below. 3.4 Groundwater Remediation Plan If the Executive Secretary determines that ground water remediation is needed, Denison will submit a Ground Water Remediation Plan to the Executive Secretary within the time fi-ame requested by the Executive Secretary. The Ground Water Remediation Plan will normally include, but is not limited to: a) A description and schedule of how Denison will implement a corrective action program that prevents contaminants fi'om exceeding the ground water protection levels or ACLs at the compliance monitoring point(s) or other locations approved by the Executive Secretary, by removing the contaminants, treating them in place, or by other means as approved by the Executive Secretary; b) A description of the remediation monitoring program to demonstrate the effectiveness of the plan; and c) Descriptions of how corrective action will apply to each source of the pollution. White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 6 of 15 Denison will implement the Ground Water Remediation Plan in accordance with a schedule to be submitted by Denison and approved by the Executive Secretary. 4.0 MILL DISCHARGE VIOLATIONS - INCLUDING UNAUTHORIZED DISCHARGE OR RELEASE OF PROHIBITED CONTAMINANTS TO THE TAILING CELLS Part I.C.2. of the GWDP provides that only 1 le.(2) by-product material authorized by the Mill's State of Utah Radioacfive Materials License No. UT-2300478 (the "Radioactive Materials License") shall be discharged to or disposed of in the Mill's tailings cells. Part I.C.3 of the GWDP provides that discharge of other compounds into the Mill's tailings cells, such as paints, used oil, antifi-eeze, pesticides, or any other contaminant not defined as 11 e.(2) material is prohibited. In the event of any unauthorized disposal of contaminants or wastes (the "Unauthorized Materials") to the Mill's tailings cells, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: 4.1 Notifications a) Upon discovery, the Mill Manager or RSO will be notified immediately; and b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery. 4.2 Field Activities a) Upon discovery. Mill personnel will immediately cease placement of Unauthorized Materials into the Mill's tailings cells; b) To the extent reasonably practicable and in a manner that can be accomplished safely. Mill personnel will attempt to segregate the Unauthorized Materials from other tailings materials and mark or record the location of the Unauthorized Materials in the tailings cells. If it is not reasonably practicable to safely segregate the Unauthorized Material firom other tailings materials, Mill personnel will nevertheless mark or record the location of the Unauthorized Materials in the tailings cells; White Mesa Mill - Standard Date: 12/11 Revision: DUSA-4 Operating Procedures Book # 19 - Groundwater Page 7 of 15 Discharge Pennit Plans and Procedures c) To the extent reasonably practicable and in a manner that can be accomplished safely. Mill personnel will attempt to remove the Unauthorized Material from the tailings cells; and d) Denison will dispose of the removed Unauthorized Material under applicable State and Federal regulations with the approval of the Executive Secretary. 4.3 Request for Approvals and/or Waivers If it is not reasonably practicable to safely remove the Unauthorized Materials from the tailings cells, then Denison will, in accordance with a schedule to be approved by the Executive Secretary: a) Submit a written report to the Executive Secretary analyzing the health, safety and environmental impacts, if any, associated with the permanent disposal ofthe Unauthorized Material in the Mill's tailings cells; b) Apply to the Executive Secretary for any amendments that may be required to the GWDP and the Radioactive Materials License to properly accommodate the permanent disposal of the Unauthorized Material in the Mill's tailings cells in a manner that is protective of health, safety and the environment; and c) Make all applications required under the United States Nuclear Regulatory Commission's ("NRC's") Non-1 le.(2) Disposal Policy (NRC Regulatory Issue Summary 2000-23 (November 2000), Interim Guidance on Disposal of Non- Atomic Energy Act of1954, Section lie. (2) Byproduct Material in Tailings Impoundments), including obtaining approval of the Department of Energy as the long term custodian of the Mill's tailings, in order to obtain approval to permanently dispose of the Unauthorized Material in the Mill's tailings cells. 5.0 DMT VIOLATIONS 5.1 Tailings Cell Wastewater Pool Elevation Above the Maximum Elevations Part I.D.2 and Part I.D.6.d) of the GWDP provide that authorized operation and maximum disposal capacity in each of the existing tailings cells shall not exceed the levels authorized by the Radioactive Materials License and that under no circumstances shall the freeboard be less than three feet, as measured from the top ofthe flexible membrane liner ("FML"). White Mesa Mill - Standard Date: 12/11 Revision: DUSA-4 Operating Procedures Book #19- Groundwater Page 8 of 15 Discharge Permit Plans and Procedures In the event that tailings cell wastewater pool elevation in any tailings cell exceeds the maximum elevations mandated by Part I.D.2 and Part I.D.6.d) of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be nofified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) Upon discovery. Mill personnel will cease to discharge any ftirther tailings to the subject tailings cell, until such time as adequate freeboard capacity exists in the subject tailings cell for the disposal of the tailings; d) To the extent reasonably practicable, without causing a violation of the freeboard limit in any other tailings cell. Mill personnel will promptly pump fluids from the subject tailings cell to another tailings cell until such time as the freeboard limit for the subject tailings cell is in compliance. If there is no room available in another tailings cell, without violating the freeboard limit of such other cell, then, as soon as reasonably practicable. Mill personnel will cease to discharge any further tailings to any tailings cell until such time as adequate freeboard capacity exists in all tailings cells; e) If it is not reasonably practicable to pump sufficient solutions from the subject tailings cell to another tailings cell, then the solution levels in the subject tailings cell will be reduced through natural evaporation; and f) Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. 5.2 Excess Head in Tailings Cells 2, 3, 4A, and 4B Slimes Drain Svstems Part I.D.3.b)l) of the GWDP provides that Denison shall at all times maintain the average wastewater head in the slimes drain access pipe in Cell 2 to be as low as reasonably achievable, in accordance with the Mill's currently approved DMT Monitoring Plan , and that for Cell 3, this requirement shall apply only after initiation of de-watering operations. Similarly, Part I.D.6.c) of the GWDP provides that after Denison initiates pumping conditions in the slimes drain layer in Cell 4A, Denison will provide: 1) continuous declining fluid heads in the slimes drain layer, in a manner equivalent to the requirements found in Part I.D.3.b); and 2) a maximum head of 1.0 feet in the tailings (as measured from the lowest point of the upper FML) in 6.4 years or less. White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 9 of 15 In the event that the average wastewater head in the slimes drain access pipe for Cell 2 or, after initiation of de-watering activities, Cell 3 or initiation of pumping conditions in the slimes drain layer in Cell 4A exceeds the levels specified in the DMT Monitoring Plan, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Mill personnel will promptly pump the excess fluid into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary; c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; d) If the cause of the exceedance is not rectified within 24 hours, Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; and e) If not due to an identified equipment failure, Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. 5.3 Excess Cell 4A Leak Detection System Fluid Head or Daily Leak Rate Part I.D.6.a) provides that the fluid head in the Leak Detection System ("LDS") for Cell 4A shall not exceed 1 foot above the lowest point in the lower membrane liner, and Part I.D.6.b) of the GWDP provides that the maximum allowable daily leak rate measured in the LDS for Cell 4A shall not exceed 24,160 gallons/day. In the event that the fluid head in the LDS for Cell 4A exceeds 1 foot above the lowest point in the lower membrane layer or the daily leak rate measured in the Cell 4A LDS exceeds 24,160 gallons/day, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Mill personnel will promptly pump the excess fluid into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary, until such time as the cause of exceedance is rectified or until such time as otherwise directed by the Executive Secretary; White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 10 of 15 c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; d) If the cause of the exceedance is not rectified within 24 hours, Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; and e) If not due to an identified equipment failure, Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. 5.4 Excess Cell 4B Leak Detection System Fluid Head or Daily Leak Rate Part I.D. 13.a) provides that the fluid head in the Leak Detection System ("LDS") for Cell 4B shall not exceed 1 foot above the lowest point in the lower membrane liner, and Part I.D.13.b) of the GWDP provides that the maximum allowable daily leak rate measured in the LDS for Cell 4B shall not exceed 26,145 gallons/day. In the event that the fluid head in the LDS for Cell 4B exceeds 1 foot above the lowest point in the lower membrane layer or the daily leak rate measured in the Cell 4B LDS exceeds 26,145 gallons/day, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Mill personnel will promptly pump the excess fluid into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary, until such time as the cause of exceedance is rectified or until such time as otherwise directed by the Executive Secretary; c) If the exceedance is the result of equipment failure. Mill personnel will attempt to repair or replace the equipment; d) If the cause of the exceedance is not rectified within 24 hours, Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; and If not due to an identified equipment failure, Denison will perform a root cause analysis ofthe exceedance and will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 11 of 15 5.5 Excess New Decontamination Pad Leak Detection System Fluid Head In order to ensure that the primary containment of the New Decontamination Pad water collection system has not been compromised, and to provide an inspection capability to detect leakage from the primary containment in each of the three settling tanks, a vertical inspection portal has been installed between the primary and secondary containment of each settling tank. Section 3.1(e) of the Mill's DMT Monitoring Plan provides that the fluid head in the LDS for the New Decontamination Pad shall not exceed 0.10 feet above the concrete floor in any of the three standpipes. Compliance is defined in Part I.D. 14 a) of the GWDP as a depth to standing water present in any of the LDS access pipes of more than or equal to 6.2 feet as measured from the water measuring point (top of access pipe). In the event that the fluid head in the standpipe for a settling tank exceeds 0.10 feet above the concrete floor in the standpipe, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within the ensuing 24 hours followed by a written notification within five days; c) Mill personnel will promptly pump the fluid from the settiing tank's LDS as well as the fluids in the settling tank into another settling tank or into an active tailings cell, or other appropriate containment or evaporation facility approved by the Executive Secretary, until such time as the cause of the exceedance is rectified or until such time as otherwise directed by the Executive Secretary; and d) Denison will perform a root cause analysis of the exceedance and, if appropriate, will implement new procedures or change existing procedures to remediate the exceedance and to minimize the chance of a recurrence. 5.6 Cracks or Physical Discrepancies on New Decontamination Pad Wash Pad. Soil and debris will be removed form the wash pad of the NDP in accordance with the currentlv approved DMT Monitoring Plan. In the event that cracks of greater than 1/8 inch (width) are observed on the concrete wash pad, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 12 of 15 a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) The NDP shall be taken out of service and the cracks will be repaired utilizing industry standard materials and procedures appropriate for the defect within five working days of discovery. Following recommended cure times, the cracks or deficiencies will be re-inspected and, if acceptable, the NDP will be placed back into service. c) A record of the repairs will be maintained as a part of the inspection records at the White Mesa Mill. 5.7 Excess Elevation For Tailings Solids Part I.D.3.C) of the GWDP provides that upon closure of any tailings cell, Denison shall ensure that the maximum elevation of the tailings waste solids does not exceed the top of the FML. In the event that, upon closure of any tailings cell, the maximum elevation of the tailings waste solids exceeds the top of the FML, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) To the extent reasonably practicable, without causing a violation of the freeboard limit in any other tailings cell, Mill personnel will promptly remove tailings solids from the subject tailings cell to another tailings cell, or other location approved by the Executive Secretary, until such time as the maximum elevation ofthe tailings waste solids in the subject tailings cell does not exceed the top of the FML; and d) Denison will perform a root cause analysis of the exceedance and will implement new procedures or change existing procedures to minimize the chance of a recurrence. White Mesa Mill - Standard Date: 12/11 Revision: DUSA-4 Operating Procedures Book #19- Groundwater Page 13 of 15 Discharge Permit Plans and Procedures 5.8 Roberts Pond Wastewater Elevation Part I.D.3.e) of the GWDP provides that the Permittee shall operate Roberts Pond so as to provide a minimum 2-foot freeboard at all times and that under no circumstances shall the water level in Roberts Pond exceed an elevation of 5,624 feet above mean sea level. In the event that the wastewater elevation exceeds this maximum level, Denison shall remove the excess wastewater and place it into containment in Tailings Cell 1 within 72 hours of discovery, as specified in Part I.D.3.e) of the GWDP. In the event that, Denison fails to remove the excess wastewater within 72 hours of discovery, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; and b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification and proposed corrective actions within five days of discovery. 5.9 Feedstock Storage Area Part I.D.3.f) and Part I.D.I 1 of the GWDP provide that open-air or bulk storage of all feedstock materials at the Mill facility awaiting Mill processing shall be limited to the eastem portion of the Mill site area described in Table 4 of the GWDP, and that storage of feedstock materials at the facility outside that area shall be performed in accordance with the provisions of Part I.D.I 1 ofthe GWDP. In the event that, storage of any feedstock at the Mill is not in compliance with the requirements specified in Part I.D.3.f) and Part I.D.l 1 of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; c) Mill personnel will: White Mesa Mill - Standard Operating Procedures Book # 19 - Groundwater Discharge Permit Plans and Procedures Date: 12/11 Revision: DUSA-4 Page 14 of 15 (i) move any open-air or bulk stored feedstock materials to the portion ofthe Mill site area described in Table 4 of the GWDP; (ii) ensure that any feedstock materials that are stored outside ofthe area described in Table 4 of the GWDP are stored and maintained in accordance with the provisions of Part I.D.l 1 of the GWDP; and (iii) to the extent that any such containers are observed to be leaking, such leaking containers will be placed into watertight over-pack containers or otherwise dealt with in accordance with the provisions of Part I.D.l 1 of the GWDP, and any impacted soils will be removed and will be deposited into the Mill's active tailings cell; and d) Denison will perform a root cause analysis of the non-compliant activity and will implement new procedures or change existing procedures to minimize the chance of a recurrence. 5.10 Mill Site Chemical Reagent Storage Part I.D.3.g) of the GWDP provides that for all chemical reagents stored at existing storage facilities, Denison shall provide secondary containment to capture and contain all volumes of reagent(s) that might be released at any individual storage area, and that for any new constmction of reagent storage facilities, the secondary containment and control shall prevent any contact of the spilled reagent with the ground surface. In the event that Denison fails to provide the required secondary containment required under Part I.D.3.g) of the GWDP, Denison will, subject to any specific requirements of the Executive Secretary as set forth in any notice, order, remediation plan or the equivalent, implement the following process: a) Upon discovery, the Mill Manager or RSO will be notified immediately; b) Denison will provide verbal notification to the Executive Secretary within 24 hours of discovery followed by a written notification within five days of discovery; and c) Denison will promptly remediate any spilled re-agent resulting from the failure to provide the required secondary containment under Part LD.3.g) ofthe GWDP, by removal of the contaminated soil and disposal in the active tailings cell.