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HomeMy WebLinkAbout20051358.tiff Weld County Planning Department CREEL.FY OFF!CE r;:� � C7nl�_ In:C.. L E`'s '? ii ilk Environmental& Engineering Liu) r:o € 1 Pti 4: 07 tcc X1.6.:1 v February,10,2005 Jl ` E._Li Cansuting Services for; Thomas A. Schreiner • Transportation Environmental Protection Specialist • Division Of Minerals and Geology Land Development 1313 ShermanSt.,Room 215 Denver, Colorado 80202 ' Mining • • industry Re Response to Adequacy Review Comments—File Pit 112 Application, M-2004-047 • Dear Tom: Responses to your comment have been incorporated into revised exhibits and or as indicated in responses below. All changes have been filed with the Weld County Clerks office on 10/11/05. 6.4.3 EXHIBIT C—Pre-Mining and Mining Plan Maps of Affected Lands. 1. Both of these drawings have been edited to include irrigation ditches. All ditches newly added to the drawings are owned by the applicants, Farfrumwurkin LLLP and Kenneth Schell 64.4 EXHIBIT D—Mining Plan. 2. West of WCR 3.25, approximately 120 acres will be disturbed, approximately 60 acres and 6 acres will be reclaimed to ponds and leaving approximately 54 acres of disturbed area to be backfilled topsoiled and re-vegetated. On the east side of WCR 3.25, 10 additional acres will be disturbed and will be backfilled(slopes pushed to 3:1)topsoiled and re-vegetated. 3. In the Agreement For Plug and Abandonment of Oil and Gas Well Texas Tea LLC Nelson #2(see Attachment A), Item 3. includes a provision for moving flow lines. 4. The maximum number of oil and gas structures to be backfilled at any given time will be one. The volume needed for backfilling is approximately 85,000 yd3. Given a maximum of 15-20 acres of open un-reclaimed pit, then a maximum of 3000 linear feet of 0.5:1 unlined slope can occur at any one time. Approximately 32,000 yd3 of topsoil will be needed to reclaim 15-20 acres of open pit. The total water volume of the 60 and 6 acre ponds is approximately 2135 acre-feet. The depression on the east side of WCR 3.25 would hold approximately 98 acre-ft. The mining plan have been updated to reflect this information 6.4.5 EXHIBIT E—Reclamation Plan. 5. The reservoir slopes have been revised to 3:1 in all cases 6. The embankment crest measures approximately 307 ft on the west side, 361 feet on the north side and 283 feet on the east side near the maximum sections. EXHIBIT F Has been annotated with these dimensions. 7. The reclamation drawings including cross sections have been submitted to Mark Haines of the Dam Safety Division of the SEO. Mark has drafted a letter stating that the embankment structure can proceed as designed. Letter is included in Attachment B 8. The reclamation plan has been modified to include topsoil replacement of 12 inches. 9. The reclamation plan has been modified to include tamarix management strategy and herbicide application. 10. The construction of the clay liner will follow those procedures and geometry as defined in M- 2003-90 . DONUT 10395 Colfax Ave.. Suite 350. Lakewood CO 60215 ph 303-436-0951 fax 303-436-0953 "Pct..eZ4 FELY ZO /j/ 2005-1358 L/-SE' 40,0yoe 1 PZ nom- z _n-Cr ne 6.4.7 EXHIBIT E—Reclamation Plan. 11. The well permit and associated Temporary Substitute Supply Plan has been applied for and approved by the SEO. Well permit and SWSP documents have been included in Attachment B. 12. There are no registered groundwater wells within 600 feet of the proposed affected lands. 13. For the purpose of evaluating the pre, during and post mining potential effects of the project on the local surface water and groundwater, a groundwater model has been developed and a separate report included.The Groundwater Modeling Report has been included in Attachment C. 6.4.10 EXHIBIT J—Vegetation Information 14. A habitat suitability study has been conducted.The finding is that the only potential habitat is in the wetland area. The Army Corp of Engineers will determine if a study is needed as part of the 404 permit which will be acquired in the spring of 2005. • 6.4.12 EXHIBIT L—Reclamation Costs 15. Exhibit L has been revised to account for items requested in Item 4. and for installation of the entire liner. 6.4.13 EXHIBIT M—Other permits and Licenses 16. For the purpose of determining if the wetlands located within the proposed area of disturbance are jurisdictional, hydrology monitoring is currently being conducted. A 404.permit will be acquired in the spring of 2005. The applicant will commit to not mining the wetland areas until a 404 permit for the project has been approved. 6.4.19 EXHIBIT S—Permanent Man-Made Structures 17. The applicant has secured agreements regarding setbacks with owners of oil and gas structures within the affected area.Agreements are included in Attachment A. 18. The Boulder Weld County irrigation Canal is shown in EXHIBIT C Sheet-1 and Sheet-2. This structure occurs at a distance of greater than 200 ft from affected lands and is therefore not included in EXHIBIT S. OTHER The applicant is requested that item 13. of the application for be changed to read asphalt and concrete batch plants.A signed notarized request has been included Sincerely, Peter Wayland President ncl. Request to change permit application Item 13.,Attachment A, Attachment B,Attachment C Weiland. Inc. Environmental E Engineering FARFRUMWURKIN, LLLP 11811 Upham Street, #12 Broomfield, CO 80020 . Phone: 303-404-3225 Fax: 303-404-0778 E-Mail: BOWLITZ@aol.com August 27, 2004 Attn. Tom Schreiner Division of Minerals and Geology Dept of Natural Resources 1313 Sherman St. Room 215 Denver, CO 80203 Re: FARFRUMWURKIN, LLLP, File Pit 112, File No. M-2004-047 Dear Tom This letter is in follow up to our conversation today pertaining to our application for a 112 permit. We would like to make a revision to the original application. With regard to Section 13 of our application it states " No Asphalt or concrete plant". We would like amend the paragraph to say "This permit will encompass having the ability to have a portable concrete or asphalt batch plant within the permit area. Also allowing the Importing, processing and exporting material from outside sources. This will be contingent upon obtaining all other necessary governmental permits." csct Si erely c� J P. File Subscribed and sworn to before me this -27M day of 4 ,--, ,-, 200%. Witness my hand and official seal. My commission expires: /-1A--0 - STATE OF COLORADO )) COUNTY OF- ti..,,R c4I Notary P7ublic 6.4.1 Exhibit A — Legal Description 6.4.1.1 INTRODUCTION The proposed mining operation will extract construction materials (sand and gravel) for a variety of roadway construction projects and concrete construction projects in the local area. Material will be hauled offsite as needed and the haul trucks will likely utilize WCR 3 '/< south of the site to SH 52. SH 52 is the most accessible route east, toward 125 or west, toward County Line Road. Haul traffic is expected to be in the range of 75-80 trucks per day. Material extraction is expected to occur over a period of approximately 6 years. Processing will occur onsite and include asphalt and concrete batch plants. Reclamation of the site will be concurrent with the mining operations and the mining pit will be lined with compacted, low permeability soils and used as water storage facility. Other parts of the permitted mine area will be developed for residential housing. 6.4.1.2 LEGAL DESCRIPTION The File Pit 112 is located on portions of sections 31 and 32 in southwestern Weld County. The permitted area of the File Pit 112 is located on approximately 69.2 acres east of the abandoned Burlington Northern Railroad grade in the SE '/. of Section 31, on all 160 acres in the SW IA of Section 32, on 47.3 acres in the N ''A of the SE 'A of Section 32, and on 37.6 acres in the W '/2 of the NW 1/4 of Section 32, Township 2 North, Range 68 West, of the 6th Prime Meridian. The permitted area is divided into two separate areas that combined, total 314.14 acres. The mining permit area west of WCR 3 'A is 185.69 acres. The mining permit area east of WCR 3 '/< is approximately 128 acres. The limits of excavation under this permit total 120 acres. On the west side of WCR 3 'A the limit of excavation is approximately 106 acres while on the east side of WCR 3 'A, the limit of excavation is approximately 10-15 acres. The current access to both the east and west mining pits is located approximately 0.7 miles north of SH 52 on WCR 3 1/4. File Pit 112 DMG Permit Application Rev 1.0 Page 1 of 27 6.4.4 Exhibit D — Mining Plan 6.4.4.1 MINING METHODS All of the mining operation will be "dry" mined. Trenches will be dug around the perimeter of each mining cell for dewatering purposes. Operations will incorporate conventional aggregate mining methods, including the use of scrapers and dozers to strip overburden, scrapers and backhoes to move and load sand and gravel, and haul trucks to move mined-material. The operation will mine and reclaim the land concurrently. 6.4.4.2 EARTHMOVING The north end of the proposed site is currently being mined under the existing 111 Permit M-2003-090. There is currently an area of approximately 10.5 acres that has been disturbed by this mining operation and is open to a depth varying between 5 and 8 feet below the existing ground surface surrounding the excavation. The existing pit, once mined, will be used to accept stockpiled overburden from mine areas in the northern portion of the site, where additional mining under this permit will then follow. Following overburden removal, gravel extraction will occur. Generally, the proposed mining will begin in the previously mined area (Cell A) and proceed sequentially to Cell K as shown in Exhibit C-Mining Plan. Mining will move counterclockwise around the edges of the West Pit. Approximately 15-20 acres of surface area will be mined per year. As overburden or waste material is removed, it will be placed in an existing stockpile area or in an area that was previously mined. Adequate overburden volume will be left to backfill adjacent oil and gas structures. One oil and gas structure area to be backfilled will be open at any one time. The approximate average backfill volume need to backfill adjacent to an oil and gas structure area is 85,000 yd3. As gravel extraction progresses, concurrent reclamation operations will also proceed. Backfilling of waste material adjacent to oil and gas structures will occur no later that two weeks following excavation — as indicated in Exhibit C-Mining Plan. Temporary and permanent offsets around oil and gas structures as well as the roads that serve these structures have been shown in Exhibit C. No mining will occur within these offset areas in order to protect the existing structures. Temporary offsets of 75-feet are provided for each well during mining activities. Once mining is completed in the area of a well, enough overburden will be placed around the well to achieve 150-feet of offset from the well with a 3:1 slope to natural ground and 2:1 slope to the bottom of the pit. Likewise, roadways that access oil and gas wells within the gravel mining operation will be provided with 10-feet of temporary offset during mining activities. When mining activities are completed in the area, enough overburden will be placed to provide 20-feet of offset from the centerline of the road. Mining will not occur closer than 200 feet from any oil and gas structures prior to the execution of agreements allowing mining to occur closer. File Pit 112 DMG Permit Application Rev 1.0 Page 2 of 27 6.4.4 Exhibit D — Mining Plan An area of approximately 106 acres will be mined at the site on the west side of WCR 3 'A. An area of approximately 10-15 acres will be mined on the east side of WCR 3 'A . Mining will occur at the site over the course of approximately 6 years. The mining of the west pit will occur in two separate and distinct areas; in the south portion of the west pit and then in the north portion of the west pit. Mining will begin at the northeast corner of the south portion of the west pit to prepare for the relocation of an Encana gas pipeline that runs through the center of the proposed permitted area. The mining will then proceed north to construct the North Pond. After the north portion of the west pit is completely mined, the operation will move to the southern portion of the west pit. When the southern • portion of the west pit has been mined, operations will move to the remaining 10- 15 acres of the east pit. 6.4.4.3 WATER DIVERSIONS AND IMPOUNDMENTS Dewatering trenches will be dug to facilitate dry mining as shown in Exhibit C — Mining Plan. Groundwater was encountered during soil boring operations at a depth of approximately 7-8 feet. Dewatering trenches will capture groundwater seepage as well as excess precipitation entering the excavation and move it away from working areas. There are no groundwater pumping wells, creeks, or other significant bodies of water in close proximity to the permitted mine area that will be affected by the mining operation. A well permit is currently in place for the existing 111c operation, which will be amended for the entire project. 6.4.4.4 SIZE OF AREA TO BE WORKED AT ONE TIME The largest surface area to be worked on at any one time will be approximately 15-20 acres. The maximum linear distance of an unlined portion of the pit will be 3000 feet. Approximately 32,000 yd3 will be needed to topsoil and reclaim a 15- 20 acre pit area. The largest stockpile of overburden that will occur at any one time will be no more than approximately 100,000 yd3. 6.4.4.5 NATURE OF DEPOSIT Most of the site is overlain with a layer of silty sand (SM). This layer averages between 6 and 7-feet thick but appears in the soil borings in thickness ranging from near zero to approximately 11-feet. Underlying this layer of silty sand is a layer of inorganic clay (CL). This layer averages approximately 4-5-feet thick, but is not found in some areas of the site and in others can be found to be as much as 13-feet thick. The overburden is composed of a thin layer(0.5 ft) of loam underlain by silty and clayey sand to sandy and silty clay. The sand and gravel deposit (GW) occurs at an average thickness of 12.0 ft. File Pit 112 DMG Permit Application Rev 1.0 Page 3 of 27 6.4.4 Exhibit D - Mining Plan 6.4.4.6 UNDERLYING STRATUM Underneath the sand and gravel lies bedrock composed of weathered shale and sandstone (Foxhills) 6.4.4.7 COMMODITIES The primary commodities of the mine are sand and gravel. There are no incidental commodities. 6.4.4.8 EXPLOSIVES No explosives will be used in the mining process. File Pit 112 DMG Permit Application Rev 1.0 Page 4 of 27 6.4.5 Exhibit E — Reclamation Plan 6.4.5.1 RECLAMATION SUMMARY Reclamation of the pits will occur concurrently with mining. The reclamation plan proposes to line a portion of the mining excavation with compacted inorganic clay material to create a relatively impervious layer, preventing seepage through the sides of the excavation. The reclaimed West Pit will then be used as 2 separate water storage areas. The largest of the two water storage areas, the South Reservoir, will encompass roughly 60 acres while the North Pond will be approximately 6 acres in areal extent when finished. Reclamation will follow the sequence outlined below beginning in Area A and finishing with the mining and reclamation of Area K in the West Pit and the west to east mining of the East Pit. Side slopes of the South Reservoir will be graded at 3H:1 V below natural grade leaving the 60-acre pond area occupying the proposed mine pit area. Wide berms extending above the existing ground elevation will be constructed from overburden and will raise the top of pond elevation to 4955. The side slopes of the berm above natural grade will be 3H:1 V. Over-excavation of the bottom of the South Reservoir will be required to extract borrow material used to construct the ponds above existing grade and balance the cut/fill for the project. The top width of the berm varies over its total length from approximately 283-feet on the east side of the reservoir, to 361-feet wide on the north, to roughly 307- feet on the northwest edge of the proposed reservoir, to 30-feet wide at the southeast corner of the reservoir where the berm height tapers to approximately 2 feet. Stockpiled topsoil will be placed on the berm and outer side slopes to a depth of 0.25 to 0.5 ft. The clay-lined portion of the pond will not receive application of topsoil material. The vertical extent of the berm above natural grade will impound more than 100 acre-ft of water in the South Reservoir and therefore could be determined a jurisdictional dam. The State Engineers office has reviewed the embankment design and in a letter dated November 8, 2004, have approved the design as shown in EXHIBIT F Sheets 1-2. The letter has been included in Attachment A. 6.4.5.2 WEST PIT Reclamation will follow the same path as the mining. The outer edges of the pit will be mined first, which will free up these areas for the construction of adequate sideslopes and clay lining. After the outer edge of this pit has been mined, the remaining center block of sand and gravel will be mined. Reclamation of the center block will follow the mining operation in a similar fashion. After the northern portion (North Pond) of the west pit is mined, operations will move to the southern portion (South Reservoir) of the west pit. Overburden stripped from this pit will initially be stockpiled as necessary (never to exceed 100,000 yd3) or will be used to construct the berms for the South Reservoir. File Pit 112 DMG Permit Application Rev 1.0 Page 5 of 27 6.4.5 Exhibit E — Reclamation Plan The general order of reclamation activities are provided in Table 1, Reclamation Sequence Summary on the following page. • • File Pit 112 DMG Permit Application Rev 1.0 Page 6 of 27 6.4.5 Exhibit E — Reclamation Plan Table 1 — Reclamation Sequence Summary Reclamation Activity Mining Sequence Stockpile any remaining waste material During mining of Area A, (area where the from Area A in Area D (existing stockpile Encana Nelson 12-32 and the Texas Tea from work performed under 111 Permit) Nelson 1A gas wells reside and area of 111 Permit work). Backfill east side slope in Area A of the During mining of gravel deposits in Area B West Pit to finished grade. Begin to fill the at far north end of the West Pit. wide flat-topped berm creating the north side of the South Reservoir. Backfill the side slopes of the north pond During mining operations in Area C of the created by excavation of Area B. West Pit. Backfill Area C of the West Pit to final During mining operations in the south grade. Relocate the Encana gasline that portion of Area D in the West Pit. currently runs east/west through the center of the West Pit in Area. Backfill the western edge of the West Pit in During mining of a 500' strip on the west Area D. Bring the South Reservoir berm up edge of the West Pit in Area E. to grade and tie in with the reservoir berm constructed in Area A. Backfill the northwest corner of the West Pit During mining of a 500' strip on the in Area E as well as the west slopes of the southwest corner of the West Pit in Area South Reservoir in this area. F. Backfill the south and west slopes of the During mining of a 500' strip on the south South Reservoir in Area F of the West Pit. edge of the West Pit in Area G. Backfill the south slope and southeast During mining of a 400' strip on the east corner of the South Reservoir berm in Area edge of the West Pit in Area H. G. Backfill the east edge of Area H bringing the During mining of the 400' strip on the east east berm of the South Reservoir to final edge of the West Pit in Area I. grade. Bring all berms surrounding the West Pit During mining of the center portion of the excavation up to final grade (4955). West Pit in Area J. Continue to bring all South Reservoir berms During mining of the center portion of the to final grade as necessary. West Pit in Area K. Line interior slopes and bottom of South During initiation of mining activity in the Reservoir with clay, top soil, seed, and East Pit. (See description on following fertilize exterior side slopes. page). File Pit 112 DMG Permit Application Rev 1.0 Page 7 of 27 6.4.5 Exhibit E — Reclamation Plan 6.4.5.3 EAST PIT The 10-15 acres of the east pit will be mined last. Overburden will be used as necessary for the construction of berms for the south reservoir or removed from the mine area and stockpiled south of the pit. Mining will occur from the west end of the pit and proceed east with concurrent reclamation following the path of the mining activity. 6.4.5.4 CONCURRENT BACKFILLING ADJACENT TO OIL AND GAS STRUCTURES 'Agreements between owners of oil and gas structures specify that mining can occur as close as 10 feet from the centerline of well access roads that overlay oil and gas pipelines and 75 feet from oil and gas wells as a temporary condition. The mining operation will backfill areas adjacent to oil and gas facilities to a distance of 20 ft from the centerline of roads that overlay oil and gas pipelines and 150 ft from oil and gas wells as shown in Exhibit C — Mining Plan. Backfilling adjacent to oil and gas structures will occur within two weeks following excavation near oil and gas structures. At any given time, pit excavation will occur near one oil and gas well (prior to backfilling said area). Total volume of material needed to backfill the area around the oil and gas structures is approximately 534,400 yd3. Average material to backfill any one oil and gas well area is approximately 85,000 yd3. 6.4.5.5 SLOPE GRADING Both the north and south portions of the west pit will be reclaimed as water • storage ponds. The pit excavation (0.5:1 slopes) will be filled with overburden or • borrow materials to construct the ponds. All pond slopes will be graded no steeper than 3H:1 V. Volumes to reclaim slopes are provided in Table 2 — Reclamation Grading Volume Summary. Table 2 — Reclamation Grading Volume Summary Area [ft) Volume [yds) West Pit Overburden 4,636,600 1,717,300 Berm Construction 4,636,600 2,222,900 Deficit 505,600 'Overexcavation(south pond) 2,183,400 536,200 'Provides borrow material to make up the deficit of fill necessary for reclamation grading. Area [ft) Volume [yds) East Pit Overburden 347,000 128,500 File Pit 112 DMG Permit Application Rev 1.0 Page 8 of 27 6.4.5 Exhibit E — Reclamation Plan Slope Reclamation 347,000 46,300 Excess 82,200 6.4.5.6 TOPSOIL REPLACEMENT Topsoil will be segregated during stripping. Topsoil salvaged from the existing ground surface of the mining excavation will be placed in designated areas replacement during reclamation. Topsoil replacement will occur on the top and exterior slopes of the berm surrounding the pond excavation. Replacement will begin at the northeast corner of the west pit mining operation and continue in a counterclockwise fashion around the pit. Topsoil will be replaced to a depth of 1 foot. Topsoil quantities for both the east and west pits are provided in Table 3 — Topsoil Replacement Volume Summary below. Table 3 —Topsoil Replacement Volume Summary Average Topsoil Depth = 1ft=.33 yd Area [yd2l Volume [yds3l West Pit 261,360 87,120 s.. East Pit 48,400 16,133 TOTAL 2,765,845 51,219 • 103,253 6.4.5.7 SEEDING AND FERTILIZING Currently, agricultural crops including alfalfa, wheat, hay and trees are the dominant vegetation. The proposed seeding areas are shown in Exhibit F — Reclamation Plan. The recommended seeding method is by drill and seeding rates assume this method. The species composition of the seed mixture recommended for reclamation is shown in Table 4 below. Table 4. Recommended Seed Mixture Species (Variety) Rate—pure live Native/ W/C Cost seed(pis) Introduced Season pls/ac Ibs/ac Thickspike wheatgrass 8.0 to 10.0 Native Cool $11.70 (Critana) Sideoats grama (Vaughn) 5.0 to 7.0 Native Warm $7.25 File Pit 112 DMG Permit Application Rev 1.0 Page 9 of 27 6.4.5 Exhibit E — Reclamation Plan Switchgrass (Nebraska-28) 4.0 to 6.0 Native Warm $5.00 Alfalfa (Nomad) 3.0 to 5.0 Introduced NA $1.90 TOTAL 20.0 to 28.0 $28.85 Based on this seed mixture an application rate of approximately 20.0 to 28.0 pls/ac will be used. Topsoil should be disked prior to seeding. It is recommended that fertilizer be utilized for reclamation. A standard application of a fertilizer will be used and applied at a rate of 250 lbs/ac as shown in Table 5. Table 5. Fertilizer Application Fertilizer Standard Costs/Pound Cost/Acre Total Costs rate based on a lbs/acre bulk rate of (for 64 ac) $327.00/ton Diammonium phosphate 250 $0.55 $137.50 $8,800.50 (18-46-0) (46-53% available P2O5with 18- 21% N) Fertilizer will not be used near the edge of the pond, since the possibility of nitrate contamination in the pond water exists. The total area to be seeded is approximately 64 acres. The total area to be fertilized is approximately 64 acres. Seeding and fertilizing will be completed after the overburden and topsoil is replaced, smoothed to conform to the existing topography and disked. Optimal periods of seeding are in the fall (after November 1st) or in the spring from late March up to April 30th. Mulching will not be completed as the quality soils and availability of water should facilitate the rapid establishment of perennial grasses. Following revegetation, weed management strategies will be implemented to facilitate and achieve native grassland. Years 1 thru 5 following revegetation will include an aggressive mowing program to prevent the growth and establishment of weeds, specifically, the eight noxious weeds including: Canada thistle (Cirsium arvense), Dalmation toadflax (Linaria dalmatica), diffuse knapweed (Centaurea diffusa), leafy spurge (Euphorbia esula), musk thistle (Carduus nutans), Russian knapweed (Centaurea repens), spotted knapweed (Centaurea maculosa) and Yellow toadflax (Linaria vulgaris) as mandated by Colorado State Law (35-5.5CRS1990, 1996). If needed, herbicide application will be applied as needed to further control these weeds. Herbicides will also be used to control saltecedar(Tamarix spp.) if it becomes established in the reclaimed area. Table 6 presents recommended herbicides, application rate, and time of application for each of the 9 species. It may be necessary to replant treated areas. File Pit 112 DMG Permit Application Rev 1.0 Page 10 of 27 6.4.5 Exhibit E - Reclamation Plan Table 6. Recommended herbicide application procedures for noxious weeds. Weed Species Herbicide Application Rate Application Time Canada thistle Curtail 2-3 qt/ac October or 1 mo after last mowing Clopyralid 2/3 - 1 pint/ac Spring or fall, during rosette to bud growth stages in spring 2,4-D llb ai/ac Spring prebud to early early bud growth stages • picloram llb ai/ac Spring prebud to early early bud growth stages Dalmation toadflax picloram 0.5 - 1 lb ai/ac Fall picloram + 2,4- D Pre-bloom or fall Diffuse knapweed Tordon 1 pint/ac Spring rosette to early-bolt growth stages BanvelNanqui sh/Clarity + 2,4-D 0.5 + 1 qt/ac Spring rosette to early-bolt growth stages Curtail 2-3 qt/ac Spring rosette to early-bolt growth stages Transline 2/3 - 1 pint/ac Spring rosette to early-bolt growth stages Leafy spurge Tordon 1 qt/ac Fall 1 month after last mowing Tordon + 2,4- D 0.5 - 0.75 + 1 qt/ac Fall 1 month after last mowing Vanquish/Clari ty 1 qt/ac Fall 1 month after last mowing File Pit 112 DMG Permit Application Rev 1.0 Page 11 of 27 > ) ) 6.4.5 Exhibit E — Reclamation Plan Musk thistle Curtail 0.25 lb ai/ac Spring 10-14 days before bolting dicamba 1 lb ai/ac Spring 10-14 days before bolting picloram 0.25 lb ai/ac Fall, apply to rosettes when other plants are dormant Russian knapweed Curtail Fall on dormant plants, need to reseed during following year picloram 1 lb ai/ac Anytime Spotted knapweed picloram 1 lb ai/ac Anytime dicamba or 2,4-D 1 lb ai/ac Yellow picloram or toadflax dicamba 1 lb ai/ac Spring during flowering Saltcedar imazapyr Late summer early fall foliar application imazapyr or triclopyr To resprouted stems imazapyr or triclopyr To perimeters of cut stems immediately after cutting Sources: Colorado Natural Areas Program. 2000. Creating an Integrated Weed Maganement Plan. http://parks.state.co.us/cnap, and Colorado State University Cooperative Extension. No date. • Weed Management for Small Rural Acreages. No. 3.106. http://www.ext.colostate.edu/PUBS/Natres/03106.html File Pit 112 DMG Permit Application Rev 1.0 Page 12 of 27 6.4.5 Exhibit E — Reclamation Plan 6.4.5.8 ALTERNATIVE RECLAMATION PLAN There is no alternative reclamation plan. • File Pit 112 DMG Permit Application Rev 1.0 Page 13 of 27 6.4.7 Exhibit G —Water Information Currently, a well permit is in place for the File Pit II (M-2003-060) 111c that accounts for injury to Boulder Creek for mining of approximately 13.4 acres. Mining has ceased within the File Pit II due to Weld County time limitations and 90% of the gravel remains within this permit area. A well permit and substitute supply plan has been approved for the operation. A groundwater modeling report that provides analysis of the gravel operation on with regard to surface and groundwater impacts has been prepared and is included as Attachment C. • File Pit 112 DMG Permit Application Rev 1.0 Page 14 of 27 6.4.12 Exhibit L— Reclamation Costs A significant amount of the reclamation will occur concurrently with mining and therefore that portion of earthmoving has not been included in calculation of the bond amount. There will be no more than 100,000 yd3 of overburden and topsoil stockpiled at any given time. The costs table shown below is based on the single largest area open DIRECT COSTS Item Task Description Area Volume Hours Cost Extension (acres] [yd31 Mrs] ($4 ($] 1 Backfill &Slope Grade 0.5:1 to 3:1 100,000 75 $119.38 $8,953.50 2 Topsoil Replacement 64.acres @ 12" Depth 103,253 $0.58 $59,886.74 3 Dewatering Pit 2200 acre-ft $65.67 $144,474.00 4 Install East Perimeter Drain 3,400 ft $3.00 $10,200.00 Place compacted clay liner material @ 5 $0.80/cy 56,385 $0.80 $45,108.00 Clay liner moisture conditioning, blending, 6 grading, etc. 56,385 $0.10 $5,638.50 7 Clay liner QA/QC 56,385 $0.03 $1,860.71 8 Revegetate Disturbed Area 64 $236.00 $15,104.00 9 Mobilization/Demobilization $2,000.00 $1,000.00 Total Direct Costs • T $292,225.45 INDIRECT COSTS OVERHEAD AND PROFIT 1 Liability Insurance(1.55% of Direct Costs) $4,529.49 2 Performance Bond (1.05% of Direct Costs) • 2 $3,068.37 3 Job Superintendent Costs 5.5 $33.88 $186.34 4 Profit @10% of Direct Costs $29,222.54 Total Overhead and Profit $37,006.75 Contract Amount(Direct Costs plus Overhead and Profit) $329,232.19 1 Engineering work and/or contract/bid preparation @4.25% of contract $13,992.37 2 Reclamation management and/or administration @5.00% of contract $16,461.61 $67,460.72 TOTAL BOND AMOUNT $396,692.91 File Pit 112 DMG Permit Application Rev 1.0 Page 22 of 27 LARGE MAPS AVAILABLE FOR VIEWING AT THE CLERK TO THE BOARD'S OFFICE, IN THE PUBLIC REVIEW FILE. ATTACHMENT A FROM : Michael L. Blake, P.C. PtOE NO. : 3037907219 Feb. 26 2004 08:25AM PI AGREEMENT FOR PLUGGING AND/ABANDONMENT OF OIL AND GAS WELL THIS AGREEMENT FOR PLUGGING AND ABANDONMENT OF OIL AND GAS WELL is made this _day of February,2004,by and between Texas Tea of Colorado,LLC,a Colorado limited liability company whose address is 601 16th Street PMBC-344,Golden,Colorado 80401 (hereinafter"Texas Teal,and FARFRUMWURKIN,LLLP, a Colorado Limited Liability Limited Partnership whose address is 11811 Upham Street, #12, Broomfield, Colorado 80020 (hereinafter"Owner,. RECITALS WHERE 4S,Texas Tea is the owner of that certain oil and gas well known as the Nelson #2 Well(hereinafter the"Wei)situate in the NW 1/4ISW1/4,Section 32,Township 2 Nonh,Range 68 West,County of Weld,State of Colorado(hereinafter the"Land")and is the Lessee of the oil and gas lease pertaining thereto(hereinafter the"Lease"),all as mote fully described in Exhibit"A", attached hereto and made a part hereoe and WHEREAS,()vner is the surface owner of a portion of the Land and desires to develop its portion of said Land; and WHEREAS,Owner desires to have Texas Tea permanently take the Well out of production and to plug the Well in order to further develop said Land,and Terms Tea agrees to take the Well out of production and to plug the Well; NOW THEREFORE,in consideration of the foregoing premises and the mutual covenants and agreements herein stated,and other good and valuable consideration,the sufficiency of which is hereby acknowledged,the parties hereto agree as follows: 1. Barren of Consideration. Owner shall pay to Texas Tea the stun of Forty Thousand and 00/100 Dollars ($40,000.00) in cash, check or certified funds contemporaneously with the execution of this Agicva ni t. as consideration for the agreements of Texas Tea hereunder. Said funds shall be considered earned monies of Texas Tea upon payment and nonrefundable. 2. P&A of the Wells. Upon sixty(60)days written notice from FARFRUMWURKIN LLLP requesting the same,Texas Tea agrees to permanently plug and abandon the Well under Texas Tea's bonds and/or permits,including but not limited to the following work:plugging and permanent abandonment of the Well;disconnecting,capping off and removing any Bowlines from the Well as necessary following all Colorado On and Gas Conservation Commission("COGCC")and county policies and regulations related to plugging and permanent abandonment of the Well,and removing the equipment to be retained by Texas Tea(collectively the"P&A'work").Texas Tea shall also clean up any environmental damage tamed during the plugging and abandonment of the Well;the site surface reclamation of the Wells,and Bowlines following all Colorado Oil and Gas Conservation Commission("COGCC"Xcollectively the"Site Reclamation").Texas Tea shall obtain all necessary d 1 FROM : Michael L. Blake. P.C. PHONE NO. : 303rda7219 Feb. 26 2004 0B:26RM P2 permits, licenses and approvals for the P&A work and the Site Reclamation. Owner shall pay directly,or immediately reimburse Texas Tea for,all costs of the P&A work. Such costs of the P&A work shall be competitively bid,and the parties hereto shall agree in advance of the P&A work on the contractor to be used for the P&A work Texas Tea shall pay the cost of the Site Reclamation Notwithstanding the foregoing,in no event shall Texas Tea be required to begin the P&A work prior to February 28,2005. 3. Relocation of Facilities. In the event that it is determined by FARFRUMWURKIN's engineers that an oil taxi gas collection line or road needs to be relocated or an oil and gas well needs to be elevated to accommodate FARFRUMWURKIN reservoirs and gravel mine. FARFRUMWURIUN will give Texas Tea not less than one(1)year's written notice of its intention to do so and not less than thirty(30)days written notice of the beginning of any such work. The parties agree to cooperate in scheduling and the scope of any such work. Any such work desired to be performed by FARFRUMWURKIN shall be done at FARFRUMWtJRKIN's sole cost and expense through a qualified contractor selected by FARFRUMWURKIN with Texas Tea's approval, such approval not being unreasonable withheld. Any replacement oil and gas collection line shall be of high strength poly pipe or other material approved by Texas Tea equal to or greater than the diameter and strength of the collection line it replaces. In the event that any roads are relocated, FARFRUMWURICIN shall keep reasonable access open to any of Texas Tea's existing wells,and shall replace any road moved with a road of similar quality to the road replaced. FARFRUMWURKIN shall mote the ground surrounding any elevated wells to their pro-existing condition and replace any corroded or damaged pipes or fittings at the well head with new parts to prevent future failure of any well that is elevated. 4. Reservoirs. Texas Tea agrees to not contest the application of FARFRUMWURKIN for a 112 Mining Permits or other applicable permits as required to construct its reservoirs on the Property. The boundaries of any reservoir constructed by FARFRUMWURICIN shall not be located any closer that a minimum of one hundred-fifty(150)feet from any of Texas Tea's wells or closer than those distances from any of Texas Tea's oil and gas facilities on the Property as allowed by applicable state and federal statutes and/or regulations. 5. Ownership of Pmnerties. The Well,the horse and all equipment at the Well shall remain the sole property of Texas Tea. 6. Operation of the Well Prior to the P&A work. Texas Tea may continue to operate and maintain the Well in a reasonable operator manner and retain all proceeds therefrom until the beginning of the P&A work in accordance with recognized industry standards and in full compliance with applicable lr*mclaws, rules and regulations of appropriate local, state, and federal governmental authorities. Such operation and maintenance of the Well shall not unreasonably interfere with Owner's,or its successors or assigns,use of the surface and subsurface of the Lands, and Owner's use of the surface and subsurface of the Lands shall not unreasonably interfere with Texas Tea's operation and maintenance of the Well. 2 f FROM : Michael L. Blake. P.C. PHONE NO. : 3837907219 Feb. 26 2004 0B:27RM P3 r 7. Permanent Abandonment Upon completion of the P&A work hereunder,Texas Tea agrees that is shall never use or reopen either of the Well or drill another well on the that portion of the Land currently owned by Owner or otherwise use the surface of that portion of the Land currently owned by Owner in the future without the express written consent of Owner. Not withstanding the foregoing,nothing in this Agreement shall be construed expressly or by implication to prevent Texas Tea from drilling an additional well or wells on other portions of lands covered by the Lease or from operating its existing oil and gas wells and related facilities located on those lands covered by the Lease. Additionally, FARFRUMWURKIN shall not interfere with Texas Tea's continued operation of its other oil and gas operations conducted on the Land or under the Lease, including ba not limited to interference with Texas Tea's relationships with governmental agencies. S. lndemnjfication. • a. 'texas Tea agrees to indemnify,defend and hold harmless Owner,its affiliates, members,managers,employees,agents,r presentatives,assigns and successors from and against any and all claims,liabilities,losses,costs and expenses(including,without limitation,court costs and reasonable attorneys'fees)that are attributable to the Well and other assets described herein and that ate based upon acts or omissions which arise prior to the completion of the MA work and the She Reclamation including,without limitation,liability for damage to property,or injury to or the death of any person arising prior to the completion of the P&A'work and Site Reclamation). b. Owner agrees to indemnify,defeat and hold harmless Texas Tea its affiliates, members,managers,employees,agents,representatives,assigns and successors from and against any and all claims,liabilities,losses,costs and expenses(including,without limitation,court costs and reasonable attorneys'fees)that are attributable to the Well and other assets described herein and that are based upon acts or omissions whielfatise after the completion of the P&A work and the Site Reclamation,including bit not limited to damage caused by Owner,it assigns,agents,contractors, successors,or representatives(and including,without limitation liability for damage to property,or • injury to or the death of any person arising after the completion of the P&A work and Site Reclamation). 9. Entire Agreement. This Agreement and exhibits thereto constitutes the entire understanding between the parties with respect to the subject matter hereof and all prior agreements, whether written or oral, are merged herein. This Agreement shell not be amended except upon agreement in writing duly executed by both parties. 10. Waiver. The failure of either patty to this Agreement to insist upon the performance of any of the terms and conditions of this Agreement,or the waiver of any breach of any of the terms and conditions of this Agreement,shall not be construed as thereafter waiving any such terms and conditions,but the same shall continue and remain in full force and effect as if no such forbearance or waiver had occurred. 3 n /, FROM : Ml ckael L. Blake. P.C. PNONE MO. : 3037907219 Feb. 26 2004 00127PM P4 11. Force Majeure. a. If, because of force majeure, either party is unable to carry out its non- financial obligations under this Agreement,and if the party affected by the force majeure promptly gives to the other party written notice of the force majeure,the obligation of the party giving the notice shall be suspended to the extent made necessary by the force majeure and during its continuance, provided the effect of the force majeure is eliminated insofar as possible with all dispatch. b. The term"force majeure" shall mean any cause or causes which materially prevent the performance of the obligations arising under this Agreement and which are not reasonably within the control of and are without the fault or negligence of the non-performing party, and shall include,without limitation by enumeration,acts of God,acts of public enemy,blockades, • irmmuctions,riots,disorders,civil disturbances,fires,explosions,storms,lightning,wind,perils of the sea,floods,landslides,boycotts,sabotage,embargoes,acts of military authorities,acts of local, state of federal agencies or legislative and regulatory bodies,court actions,attests or restraints. c. The parties shall use all reasonable means of avoiding the occurrence of any of the foregoing items of force majeure. Nothing contained herein shall be construed so as to require a party to settle any strike or labor dispute in which it may be involved. 12. Notice,. Any notice provided for or concerning this Agreement shall be in writing and be deemed sufficiently given when sent by certified or registered mail if sent to the t cafl five address of each party as set forth herein above. 13. Attorney Fees. Ia the event that any action is filed or an arbitration is held in relation to this Agreement,the successful patty in the action or arbitration shall be entitled to its reasonable attorneys fees and costs related to such action. 14. ltelatioyship of the Parties. The relationship of the parties to this Agreement is limited to the purposes and transactions contained herein in accordance with the terms of this Agreement. Nothing contained herein shall be construed to create a general partnership,a limited partnership,a joint venture,or any other similar relationship between the parties. 15. Headings. Paragraph headings are used solely for convenience of reference only and shall not affect the construction of any provision of this Agreement. 16. Seveaa¢jlgy. Should any provision of this Agreement or the Assignments he held to be void or unenforceable,the remaining provisions shall remain in full force and effect,to he read and construed as if the void or unenforceable provisions were deleted. 17. Gunning Law. This Agreement shall be governed by the laws of the State of Colorado. 4 / / / FROM : Michael L. Blake. P.C. Pt-CNE NO. : 3037907219 Feb. 26 2004 06:20RM P5 ''.--• and twa[!>nt that ihey are m good 18. Sa�f[Y 7be -a°d eat of treny tquexrt saandir,g and duly qualified to coodtax bslamess a the slat of Coksado and their tespeCuvc tepresmnti:ves execttng this Agrcetnmt below tic fully empowered m do`°:the caccation umd pe=fornmce of this Ag.t fl and+he Is a. tWt ooSmlptated barby have beta duly and validly a Mtnzed and crostitute bedbtg obligatiaa5 of the patties 19. Sveceswrs amt assi tn' Co and amdto s °°f bind end inure to the benefit of the parties hereto and their respective srraesots aid assigns• 20. Recvwd1n ,n. The putts hereto attree that a nicanorandunt of this Agreement suitable for recording may be recorded by Owner at the office of the Cdak and Recorder for the County of Weld won execution of this Agee�ar by the parties. 21. Facsimt►e Signature-P._ Facsimile signatures of this Agreement shall have the same force and effect as original signatures- IN WITNZ& WHEREOF, the pastres hereto have cstssed this Agreement to be duly. executed in multiple cu ntetpats,when taken mother,shall constitute a single instilment,by their impactive representatives tberramm duly authorized,as of the day and year fast written above. TEXAS TEA OF COLORADO,LLC FARFRUMVVURICIN,LLLP Robert Parker.Manager Title: M-=^----7.--1 / t op�€r 7 gibekeit Did hereby appear and subscribed and sworn to before me this .?..5- day of 7)1_44 ____.,c4— 2004 _4=041414• . t..y hand and official seal. My commission expires: /-.2/-aO S 0 - ' .kt,r.•X • •sy II jTt:t;hb0J i t pS IthtO•F•ookl :: ,Q .F �e Did hereby appear and subscribed and sworn to before me this o2Stle day of /// .2004 5 s hand and official seal.My commission expires: /- a /-02470 5" _ : • dTRxC7Y MED ) (!JS 1�Y6 r�1�T1-> 0� f• • ury Public My Commission Expires 01/21r8pc FROM : Michael L. Blake, P.C. PHONE NO. : 3037907219 Feb. 26 2004 08:2e1 P6 EXHIBIT"A" LEASE AND PROPERTY DESCRIPTIONS Attached to and Made a Part of that certain Option Agreement for Sale and Purchase of Oil and Gas Leases and Well by and between Texas Tea,LLC, and FARFRUM W URJCTN,LLLP dated February ,2004. WELD COUNTY.STATE OF COLORADO TOWNSHIP 2 NORT1 RANGE 68 WEST WELD COUNTY.COLORADO WELL NAMES: Nelson#1,#I A,#2,#3,#4,&#5 J.FASE INFORMATION: LESSOR: Ray L Nelson& Margaret E.Nelson.busband&wife LESSEE: Martin J.Freedman LEASE DATED: May 6, 1976 RECORDED Book:766 Page: 1688170 DESCRIPTION: Township 2 North Range 68 West,6th P.M, Section 31.: E/2NE/4 lying south and east of the railroad right-of-way, containing 2 acres,more or less. Tow nshin 2 North.Range 68 West.6th P.M, Section 32:W/2NW/4,SW/4,N/2SE/4 except beginning at E. 1/4 corner of section,then W.along the centerline of section 1484.5', then S.25' 46' E. 1460.8',then N. 89° 22'E. 866.4',thence N. 0° 45'W. 1306.0' to point of • beginning. Limited in depth from surface of the earth to the base of the Shannon formation. Rancho Partnership,Ltd.,expressly reserved all right,title and interest in and to the wells and spacing units far the Nelson"E"Unit #1 & #2 wells in that certain Agreement,Assignment and Bill of Sale between itself and Robert D. Reed dated December 20, 1995 and recorded February 7, 1996, at Reception No.2475427, B-1531, P-281, Weld County, Colorado, Clerk and Recorder and in that certain Agreement,Assignment and Bill of Sate between itself and Cheyenne Oil Properties dated August 3, 1995 and recorded August 29, 1995, at Reception No.2453244,B-1508,P-797,Weld County,Colorado,Clerk and Recorder. 6 f� i AMENDMENT AGREEMENT THIS Agreement ("Agreement") is made this 27th day of February, 2004, by and between FARFRUMWURKIN, LLLP (FFW) a Colorado Limited Liability Limited Partnership, whose address is 11811 Upham Street, Unit #12, Broomfield, CO 80020, hereinafter referred to as "Surface Owner" and TEXAS TEA OF COLORADO, a Colorado Limited Liability Company, whose address is 601 16"' Street, PMBC-344, Golden, CO 80401, hereinafter referred to as "Lessee". For in consideration of $10,000.00, the receipt of which is hereby acknowledged, the parties hereto stipulate and agree as follows: This agreement is made and becomes a part of that certain agreement dated 2/27/04 "Agreement for PIj ging and Abandonment of Oil and Gas Well" (PA). Everything in said PA agreement will remain the same except for the closing date of said PA, in exchange for a non-refundable deposit of $10,000.00. Both parties agree that the closing date shall be extended to 3/28/04, at which time FARFRUMWURKIN,U LLLP shall pay the remaining $30,000.00 balance and the agreement shall be final. �l� FJ' t > K//J ��< � f/ , Au-4,t-c.a-,,,.. 3c-)/4 -,..c,:, ej�l. 0t-"'`-'�-r . / n 3 7,,,,,,„..J- , TEXAS TEA OF COLORA O, LLC FAREJEUMWURKIN, LLLP By: �f��� By:\NS.c. e -if_i Robert Parker, Manager Jon P. File, Managing Partner AGREEMENT TO MINE WITHIN 200 FEET OF A PERMANENT MAN-MADE STRUCTURE THIS AGREEMENT dated and made effective this 1st day of November 2004 is made between Farfrumwurking LLP,with an address of 1163 Oakhurst Drive,Broomfield,CO,herein called "OWNER"and Kerr-McGee Gathering LLC,with an address of 1999 Broadway,Suite 3600,Denver,CO 80202,herein called"KMG"; WHEREAS,OWNER represents that it is the surface owner and are in possession of an interest in part or all of the surface estate for the following described lands in Weld County,Colorado to wit: Township 2 North,Range 68 West,6"'PM Section 31:SE/4 Section 32: SW/4 Weld County,Colorado WHEREAS,KMG owns an eight inch(8')natural gas pipeline,known as the"292-8"(the "PIPELINE"),on said property;and WHEREAS,OWNER has submitted an application to the Colorado Mining Land Reclamation Board to mine gravel on said property. NOW THEREFORE, I. KMG agrees to allow OWNER to mine within 25 ft of the existing PIPELINE 2. Owner will not encroach upon KMG's PIPELINE and related easement rights,as stated in OWNER's letter to KMG,dated October 1,2004 3. OWNER agrees to abide by the Guidelines for Design and Construction Activities on or near Kerr-McGee Gathering,LLC and Kerr-McGee Rocky Mountain Corporation Pipelines and Related Facilities,attached hereto as Exhibit A. 4. OWNER agrees to compensate KMG for the actual cost to repair any damages to the PIPELINE and any related facilities caused by mining activities undertaken by OWNER or OWNER's contractors. IN WITNESS WHEREOF,The Grantors have executed this agreement on the date set forth above. 7MflUt7LP cGEE GA ERING LLCal LE,Manager David Howell,Wattenberg Asset Manager for Kerr-McGee Rocky Mountain Corporation, Manager of Kerr-McGee Gathering LLC ACKNOWLEDGEMENTS STATE OF COLORADO ) • )ss. COUNTY OF \01\ The foregoing instrument was acknowledged before me this day of November, : :""•,, JOHN FILE as General Partner of Farfrumwurking LLP,on behalf of said company. AtyTA<<I. ttt Witness my hand and official seal OU My Commission expires: Notary f•,•0 G ;'O: STATE OF COLORADO ) �" ss. M1Q...wsat 5pYes03I2 2O08 COUNTY OF The foregoing instrument was acknowledged before me this D'k'� day of November,212, David Howell as Wattenberg Asset Manager for Kerr-McGee Rocky Mountain as manager;T.i'. L/Qyttt OO:- TA• ii McGee Gathering LLC,on behalf of said corporation. .� R y:., n' I Witness my hand and official seal ' ptu.k tL\ ri 1 i • My Commission expires: Notary Public ttN1'••A( G✓OO , ' 4: 9L,, p, � ( COL = W r. Lan c•1•••..,,,,.....M. Exhibit A • S-J`�` Ali-Madtoandmadea peen anAgeemrnttcnd eWihin200FxeringPL mmrnl Man-Made$Iructure made between Farfivmssvrkin LLP and Kerr-McGee Gathering LI.C,dared November tat,2004 General Guidelines for Design and Construction Activities On or Near Kerr- McGee Gathering LLC and Kerr- McGee Rocky Mountain Corporation Pipelines and Related Facilities This list of design, construction and contractor requirements, including but not limited to the following,is for the design and installation of foreign utilities or improvements on Kerr McGee Gathering LLC (KMG) right-of-way (ROW). These are not intended to, nor do they waive or modify any rights KMG may have under existing easements or ROW agreements. For information regarding KMG's rights and requirements as they pertain to the existing easements, please reference existing easements and amendments documents.This list of requirements is applicable for KMG facilities on easements and in road rights of ways only. Encroachments on fee property should be referred to the Land 8 ROW Department.My reference to KMG in the below requirements is meant to include and apply to any Kerr McGee entity. Design • KMG shall be provided sufficient prior notice of planned activities involving excavation,blasting,or any type of construction on KMG's ROW or near its facilities.This is to determine and resolve any location,grade or encroachment problems and allow for the protection of KMG's facilities and the general public.This prior notification is to be made before the actual work is to take place. • The encroaching entity shall provide KMG with a set of drawings for review and a set of final construction drawings showing all aspects of the proposed facilities in the vicinity of KMG's ROW. The encroaching entity shall also provide a set of'as-built drawings"and submit to KMG,showing the facilities in the vicinity of KMG's ROW upon completion of the work. • Only facilities shown on drawings reviewed by KMG will be approved for installation on KMG's ROW. All drawing revisions that affect facilities proposed to be placed on KMG's ROW must be approved by KMG in writing. • KMG shall approve the design of all permanent road crossings. • Any repair to surface facilities following future pipeline maintenance or repair work by KMG on it's"prior rights"ROW will be at the expense of the developer or landowner. In addition, any repair to surface facilities following future pipeline maintenance or repair work by KMG on replacement ROW granted to relocate KMG facilities will also be done at the expense of the developer or landowner unless expressly addressed in surface use agreements and approved in writing by KMG. • • The depth of cover over the KMG pipelines shall not be increased or reduced nor surface modified for drainage without !� KMG's written approval. • Construction of any permanent structure within KMG pipeline easement is not permitted without written approval by KMG. • Planting of shrubs and trees is not permitted on KMG pipeline easement without written approval by KMG. • Irrigation equipment i.e.backfiow prevent devices,meters,valves,valve boxes,etc.shall not be located on KMG easement without written approval by KMG. • Foreign utility installations,IE,distribution gas,oil and gas gathering,water,electric,telephone,cable and sewer lines,etc., may cross perpendicular to KMG's pipeline within the ROW,provided that a minimum of eighteen inches(18")of vertical clearance is maintained between KMG pipeline(s)and the foreign utility.Any installation by a foreign utility with less than 18"of vertical separation is not allowed without written approval by KMG.In no case will vertical separation be less than 12"whether written or not.Constant line elevations must be maintained across KMG's entire ROW width,gravity drain lines are the only exception and must be approved in writing. Foreign line crossings below the KMG pipeline must be evaluated by KMG to ensure that a significant length of the KMG line is not exposed and unsupported during construction. Foreign line crossings above the KMG pipeline with less than 18"of clearance must be evaluated by KMG to ensure that additional support is not necessary to prevent settling on top of the KMG natural gas pipeline.A KMG representative must be on site during any crossing activities to verify clearance depths and to assure the integrity and support of the KMG facility.All installations of foreign crossings done by boring and or jacking require the KMG facility to be exposed to verify clearances. • Foreign utilities shall not run parallel to KMG pipelines within the KMG easement without written permission by KMG.A minimum of 10.0 feel of horizontal separation must be maintained in parallel installations whether the foreign utility is placed within the KMG easement or adjacent to the KMG easement.Any deviation from the 10.0'horizontal requirement must be approved in writing by KMG and an'as built survey"provided to KMG after installation. • The foreign utility should be advised that KMG maintains cathodic protection on its pipelines and facilities. The foreign utility must coordinate their cathodic protection system with KMG's. At the request of KMG,foreign utilities shall install(or allow to be installed)cathodic protection test leads at all crossings for the purposes of monitoring cathodic protection interference. The KMG CP technician and the foreign utility CP technician shall perform post construction CP interference testing. Interference issues shall be resolved by mutual agreement between foreign utility and KMG. All costs associated with the correction of cathodic protection interference issues on KMG pipelines as a result of the foreign utility crossing shall be borne by the foreign utility for a period of one year from date the foreign utility is put in service. • The developer shall understand that KMG whether specifically required per federal law,or by company standard,will mark the routing of it's underground facilities with aboveground pipeline markers and test leads and maintain those markers and test leads. Markers will be installed at every point the pipeline route changes direction and adequate markers will be r. installed on straight sections of pipeline to insure,in the sole opinion of KMG,the safety of the public,contractor,KMG personnel and KMG facilities. • On all foreign utility crossings and/or encroachments,metallic foreign lines shall be coated with a suitable pipe coating for a distance of at least 10 feet on either side of the crossing. Page 1 of 3 Revision 3/01/2004 CT!)N General Guidelines for Design and Construction Activities On or Near Kerr- McGee Gathering LLC and Kerr- McGee Rocky Mountain Corporation Pipelines and Related Facilities • AC Electrical lines must be installed in conduit and properly insulated. • On all foreign pipelines,DOT approved pipeline markers shall be installed so as to indicate the route of the foreign pipeline across the KMG ROW. • No power poles,light standards,etc.shall be installed in the KMG easement without written approval by KMG. • KMG installs above ground appurtenances at various locations that are used in the operation of its facilities.Kerr McGee will install protective enclosures at the above ground appurtenances to protect them from outside damage.The design and placement of these above ground appurtenances and protective enclosures is done at KMG's sole discretion,and may exceed any regulatory requirements. • Construction • If KMG will be relocating KMG facilities for any entity,grading in the new KMG ROW shall be+/-6 inches before KMG will mobilize to complete the relocation.Final cover after the completion of the project will not be less than 48'nor more than 72".All cover that exceeds 72'or less than 48'will be approved in writing by KMG.Cover during all construction activities will NEVER be less than 36' unless approved in writing and a KMG representative is on site during the time cover is reduced. • The entity requesting relocation shall survey top of pipe after installation but before backfill to determine proper final elevation of KMG facilities. The entity requesting relocation is solely responsible for the final depth of cover over the relocated KMG facility.Any deviation from cover requirements as outlined above will be corrected at the sole expense of the entity requesting relocation. • Contractors shall be advised of KMG's requirements and be contractually obligated to comply. • The continued integrity of KMG's pipelines and the safety of all individuals in the area of proposed work near KMG's facilities are of the utmost importance. Therefore,contractor must meet with KMG representatives prior to construction to provide and receive notification listings for appropriate area operations and emergency personnel. KMG's on-site representative will require discontinuation of any work that, in his or her opinion, endangers the operations or safety of personnel,pipelines or facilities. • The Contractor must expose all KMG pipelines prior to crossing to determine the exact alignment and depth of the lines. A KMG representative must be present • The use of probing rods for pipeline locating shall be performed by KMG representatives only, to prevent unnecessary damage to the pipeline coating. A KMG representative shall do all line locating. • Notification shall be given to KMG at least 72 hours before start of construction. A schedule of activities for the duration of the project must be made available at that time to facilitate the scheduling of KMG's work site representative. Any Contractor schedule changes shall be provided to KMG immediately. • Heavy equipment will not be allowed to operate directly over KMG pipelines or in KMG ROW unless written approval is obtained from KMG. Heavy equipment shall only be allowed to cross KMG pipelines at locations designated by KMG.Haul roads will be constructed at all crossings.The haul roads will be constructed using lightweight equipment. The existing depth of cover over the pipeline must be verified.Cover will be added such that a total of 8'of fill exists over the pipeline and extends a minimum of 10' on each side of the pipeline. Depth of cover will then taper as required for equipment access.Steel plates may be used for load dissipation only if approved in writing by KMG. • Contractor shall comply with all precautionary measures required by KMG,at it's sole discretion to protect its pipelines. When inclement weather exists,provisions must be made to compensate for soil displacement due to subsidence of tires. • Excavating or grading which might result in erosion or which could render the KMG ROW inaccessible shall not be permitted unless the contractor agrees to restore the area to its original condition and provide protection to KMG's facility. At no time will cover he reduced to less than 36"without written approval by KMG and a KMG representative on site. • A KMG representative shall be on-site to monitor any construction activities within twenty-five(25)feet of a KMG pipeline or aboveground appurtenance. The contractor shall not work within this distance without a KMG representative being on site. Contractor shall use extreme caution and take any appropriate measures to protect KMG facilities. • Ripping is only allowed when the position of the pipe is known and not within ten(10)feet of KMG facility. KMG personnel must be present. - • Temporary support of any exposed KMG pipeline by Contractor may be necessary if required by KMG's on-site representative. Backfill below the exposed lines and 12"above the lines shall be replaced with sand or other selected material as approved by KMG's on-site representative and thoroughly compacted in 12"lifts to 95%of standard proctor dry density minimum or as approved by KMG.'s on-site representative. This is to adequately protect against stresses that may be caused by the settling of the pipeline. • No blasting shall be allowed within 1000 feet of KMG's facilities unless blasting notification is given to KMG Including complete Blasting Plan Data. A pre-blast meeting shall be conducted by the organization responsible for blasting. KMG shall be indemnified and held harmless from any loss,cost of liability for personal injuries received,death caused or property damage suffered or sustained by any person resulting from any blasting operations undertaken within 500 feet of • Page 2 of 3 Revision 3/01/2004 General Guidelines for Design and Construction Activities On or Near Kerr- McGee Gathering LLC and Kerr- McGee Rocky Mountain Corporation Pipelines-and Related Facilities its facilities. The organization responsible for blasting shall be liable for any and all damages caused to KMG's facilities as a result of their activities whether or not KMG representatives are present. KMG shall have a signed and executed Blasting Indemnification Agreement before authorized permission to blast can be given, No blasting shall be allowed within 200 feel of KMG's facilities unless blasting notification is given to KMG a minimum of one week before blasting. The organization responsible for blasting must complete Blasting Plan Data. KMG shall review and analyze the blasting methods. A written blasting plan shall be provided by the organization responsible for blasting and agreed to in writing by KMG. A written emergency plan shall be provided by the organization responsible for blasting. KMG shall have a signed and executed Blasting Indemnification Agreement before authorized permission to blast can be given. A pre-blast meeting shall be conducted by theorganization responsible for blasting. • Any contact with any KMG facility,pipeline,valve set,etc.shall be reported immediately to KMG. If repairs to the pipe are necessary,they will be made and inspected before the section is re-coated and the line is back-filled. • KMG personnel shall install all test leads on KMG facilities. Local Kerr-McGee Gathering LLC Representation: Manager of Construction&Facilities Engineering: Kevin R.Osif,P.E. Phone: 303 655-4307 Facilities Engineer: Joseph E.Sanchez,P.E. Phone: 303 655-4319 Foreman 1: James Phillips Phone: 303 655-4343 Foreman l: Rick Noffsinger Phone: 303-655-4326 Emergency Contacts: On call supervisor Phone: 303-559-4001 Kerr McGee 24 hour emergency number Phone: 303-659-5922 One Call Emergency Phone: 800-922-1987 • • • Page 3 of 3 Revision 3/01/2004 M NING AGREEMENT ,,,,1 THIS AGREEMENT, effe.aive this 5th day of November, 2004 is made and entered into by and between the undersigned, FARFRUMWURKIN LLLP whose address is 11811 Upham St#12 Broomfield,Colorado 80020, hereinafter referred to as "MINE OPERATOR"and PATIN,t OIL&GAS CORPORATION whose address is 1625 Broadway,Suite 2000 Denver.Colorado 80202,herein referred to as"PATINA"; WHEREAS, MINE OPEIATOR represents that, subject to approval of a mining plan and permit from t State of Colorado, Weld County, and other governmental bodies having jurisdiction in such matters, they shall he granted the right to mine the gravel underlying the surface of the land in part of the following described property to wit: Township 2 North Range 68 West,6th P.M. • Section.31: E'/z of i he SE 1/4 Weld County,Colorado Hereinafter referred to as(the"LANDS") WHEREAS, MINE OPER ATOR also represents that it has the express written consent from the Surface Owner's. Kenneth L. and Judith Ann Schell to conduct such mining operations. WHEREAS, PATINA rel resents that it owns certain leasehold interests in the oil and gas mineral estate in and tit der the LANDS. WHEREAS, MINE OPERATOR desires to develop the gravel minerals on portions of the LANDS. AND WHEREAS,PATH,A'S leasehold interest may establishes rights to explore, drill,produce,operate, maintain and access the well(s) and related production facilities that may he located on the LANDS, NOW,THEREFORE, in consideration of the sum of Ten Dollars ($10.00) anti other good and valuable conside.ation; the receipt and sufficiency of which is hereby acknowledged,the parties agree a'.follows: 1. • The MINE OPERATOR agrees not to excavate or mine the areas known as the `Drilling Windows" allowed by the State of Colorado Oil and Gas C mservation Commission pursuant to Rule 318A.a.(1). The two (2)drilling windows on the Lands measure 400 feet by 400 feet centered in the NE/4SE/4 and SE/4SE/4 of Section 31, Township 2 N rrth,Range 68 West,6th P.M. 2. Subject to PATINA's approval from Schell, The MINE OPERATOR tgrees to provide a minimum forty (40') wide access or right-of—w.ty corridor from the nearest public road to each Drilling Window for future access road(s) and pipeline(s) that may, ^I sr` c.., be constructer and installed by PATINA. 4 t The MINE OPERATOR shall clearly indicate and label the specific f ygr location and l oundaries of the Drilling Windows, or rights-of-way *u1••' . on the minis; plats and plans prior to their being presented f&,•'N o T H y'• �' pU9NoP• o consideration :md approval of the appropriate •-iH governing bodies aril ; _,•,,,,,_ 'tsttT••••••C°� prior to recc rding in the State of Colorado and Weld Coun%u,• pUuLs", re of Colorado rest rds. %9p•• This agreement shall ht binding upon and inure to the benefit of the heirs, - successors and assigns of the parties. IN WITNESS WHEREOF,The parties have accepted and executed this Agreement on the date set forth above. • FARFRUMWURKIN LLLP r J n P.File,Manager PATINA OIL&GAS CORPO RATION By: , David WL pile,Vice President • A KNOWLEDGEMENTS STATE OF COLORADO s. COUNTY OF (DOA _ CC-i- The foregoing instrument was acknowle.iged before me this J day of November,2004,by Witness my hand and official seal My commission expires: S • �� ����LF. •49 Notary ic • It NOf RRy;Oa a sA..PUBLIC:og , STATE OF COLORADO ) ",9r COL,...' ) ss. CITY AND COUNTY OF DENVER ) The foregoing instrument was acknowh dged before me this Y• uay of November,20(4,by Witness my hand and official seal My commission expires: 714 w= mss.=qqM Po • , Notary Pu lie `;•r�jARyG, • • C7 C` ' ENCANA TM October 29, 2004 Jon File Farfrumwurkin, LLLP 11811 Upham Street, #12 Broomfield, Colorado 80020 Re; Gravel Pit T2N-R68W Section 32: W'/2W% Dear Jon, • We have received your recent request to relocate EnCana's pipeline in approximately two years after the proposed gravel pit has been completed and the lands restored and reclaimed, to the approximate proposed route, in the sketch map you have provided (a copy of which is attached hereto). It is EnCana's policy to modify and reroute our pipelines to allow for the surface development as long as the modifications and reroute do not interfere with the ability of EnCana to flow natural gas through the pipeline in question. We also require that the developer/owner of the lands pay, in advance, for all costs associated with the requested modification and relocation of the pipeline, including a 15%administration and overhead charge. We would require an exact survey of the proposed route, subject to approval by EnCana, prior to construction, complete with surface staking of the centerline and off- . sets, with fills, cuts, utility line crossings, and road crossings all plainly indicated. Any agreement is subject to final approval and acceptance of the management of EnCana and neither the proposals of EnCana or counterproposals of Farfrumwurkin shall be construed to be offers or acceptances nor shall the parties be deemed to have entered into an agreement with respect to the subject matter hereof until a definitive written agreement is executed by all parties. Should you have any questions, please feel free to call me at any time or you may call Dale Hayhurst directly at 720-685-8513. Thank you. Sincerely, EnCana Energy Resources Inc II Dena Lund DJ Basin Field Superintendent Attachment: Proposed relocation route sketch map r EnCana Energy Resources Inc. 1313 Denser Avenue. Fort Lupton. Colorado X11621 3113-659-7749 Fay 3113-X57-I259 Discription of new pipeline location. Beginning at a point 25' West of the West line of Weld County Rd. 3 "14 and 50' South of the 1/2 Section line where the existing pipeline is now located, thence traveling North along 3 1/4 Rd 865', thence West to a point 25' East of the East line of the abandon Railroad thence Southwes: following a course parrell to the Railroad to a point approximately 5' North of the 1/2 Section line where the existing pipeline now stands. West II of Section 32 oaa Qa ca os P // Y X oil well X Proposed new location 865'North of the 12 Section lure n Q 1/2 Section line 32?N\68W Existing P11•ellne location ENCANA,. EnCana Energy Resources Inc. 950 17th Street um: 1303)623-2300 September 11, 2003 Suite 2600 tat (303)623-2400 Denver CO USA 80202 Mr. Jon File www.encana.com Managing Partner FARFRUMWURKIN, LLP 1 181 1 Upham Street, #I2 Broomfield, CO 80020 • RE: Federal NOAA 11-32J Oil and Gas Well T2N, R68 W • Sec. 32:NWNW Ray Nelson 12-32J Oil and Gas Well T2N, R68W Sec. 32: SWNW Weld County, Colorado Dear Mr. File: This Letter Agreement dated September 11, 2003 is made by and between the undersigned, FARFRUMWURKIN, LLLP, a Colorado Limited Liability Partnership, whose address is 11811 Upham Street,#I2, Broomfield, CO 80020, herein called"OWNER", and EnCana Energy Resources Inc., 950-17th Street, Suite 2600, Denver, Colorado 80202, herein called "EnCana"; This Letter Agreement has been prepared to be executed by both parties to indicate that both Parties have agreed to the placement of the gas flowlines for the above described wells. EnCana agrees to restore said surface as near as practical to its original contour, indicate said flowline route with markers,and will locate said flowlines for OWNER upon request. EnCana agrees to provide an"as-built survey completed and provided to OWNER. OWNER agrees that the placement of the flowlines is in accordance with OWNER'S requested locations. This Letter Agreement shall be binding upon and inure to the benefit of the heirs, successors and assigns of the parties, and may be executed in counter parts. ra x S, f iPe2v L ow, /1-32. is Loco,-rd o # OWNER: Leewyed /KJ Thy S w eci /14.4 1/y Sec- 3? -2 AJ `S u.¢s9— � Pt- RUMWURKIN, LLLP Jo i e, Manage Partner NA E GY OURCES INC. A+fo - —F—_f ?\ Tram-Mack el EnCana Qrooraual Use°uncle Icense. L NW. COR. OF THE it NW. i/4 OF SEC. 33, N 856'42" W S 89'56'27 E S 89'50'31' E 2689.56' iI 9_ T. 2 N., R. 68 W., 6TH M. 1333.50' 1333.64' < .___�` END. 2 1/7' PIPE WITH NW. COR. OF THE i NE. COR. OF THE 3 1/4" BRASS CAP E. 1/2 OF THEEcT STAMPED: '8LM 1952' Flowline - . . NW 1/4 OF SEC. 33, NE. 1/4 OF SEC. 33, 0.7" ABOVE SURFACE 1F . N., R. 68 W.,WITH H P.M. cT C Fed NO' � T. 2 N., R. 68 W. 6TF� P.M. FND #6 REBAR WITH NOD. P .8BAR 4F 'ILINE h 2 1/2" ALUMINUM CAPI NO CAP 0,8' BELOW SURFACE �� x' I C: STAMPED: PLS 11434 !994. ATTACHED 3 1/4" ALUMINUM o CV y i 0.5' BELOW SURFACE IV CAP LS 13155 o C N A RANGE BOX p NW. COR. OF THE o. NE. 1/4 OF SEC. 33, 3 " • , ' TANK BATTERY 1" T. 2 N., R. 68 W., 6TH P.M. `�" I �• _ EXISTING �' FNO. 6 REBAR WITH ITT 0 1 �, ;� C WELL 2 1/2" ALUMINUM CAP' OT A. STAMPED: "PLS 11434 1994" w z � _,, o Ra_ Nelson o FLUSH WITH SURFACE IN, WELL NO.y 10 CULTIVATED o 12-32R z LOT 'A" o, o 4 LAND LOT .B. LE)89:40 s , , SEC. 32 S 89'45'21' E 2688.37_ _ SW. COR, OF THE 1340'60 NW: 1/4 OF SEC. 33, SW. COR. OF THE NW, COR. F THE, • NE, 1/4 OF SEC. 33, SW. 1/4 0 SEC. 33, T. 2 N„ R. 68 W., 6TH P.M. T, 2 N., R. 68 W„ 6TH P. L 2 N., R. W., 6TH;I P.M. i-, END. 2 1/2" PIPE WITH D. j5 REBAR WITH D. 2' PIPE 3 1/4' BRASS CAP STAMPED: 'BEM 1952" 1 ALUMINUM CAP ;/2' Big P 0.4' BELOW GROUND 1 1992" F "PLS 20673 S BELOW ED: 'BEM 1952' 1992" FLUSH WITH SURFACE 1. GRO ND e SW. COR. OF THE (-,4i E. 1/2 OF THE AG NW 1/4 OF SEC. 33, - `" T. 2 N., R. 68 W., 6TH P.M. RID. 7.0' WITNESS COR. ! #6 REBAR WITH -"' 2 1/2" ALUMINUM CAP I ` STAMPED: 'PL523500 J000" FLUSH WITH SURFACE 1 I zl _ t___ _ _ - - -4 0 250 500 1000 2000 Ian I 1 Inch a 100D ft. M RRICK PRCUECf NO. aUERr PROJECT NO. NOAA & NELSON GAS LINE EXHIBIT REVSION OESCRIFMON DRAWN ,an IDUE 10-10-03 'SCALE 1'=1000' TREE NOAA & NELSON GAS LINE EXHIBIT OD: MERRICK NW 1 /4,SEC 32,7. 2 N.,R. 68 W.,6TH P.M. "&Vial earns® RETRSIOtt auWWIO NO. �a5o sum; Peoria Street. Aurorn. Cclornm 90014 - I - GAS EXHIBIT.DWG ISNFFT NO. OF 1 flfk-21-2003 RI 01:29 PM PAN CANADIAN ENERGY FAX NO. 3038571259 P. 02 672 111111111111111111111111111111111111111111111111111111 3069672 06/05/2003 11:08A Weld County, CO 1 of 3 R 16.00 D 0.00 Steve Moreno Clerk&Recorder AGREEMENT TO AMEND LAND DESCRIPTION OF RIGHT-OF-WAY CONTRACT State of Colorado ) 3 County of Weld Grantor: Farfrumwurkin LLLP,by its Manager,Jon File("Farfrumwurkin") Grantee: EnCana Gathering Services(USA)Inc. ("EnCana") • 950 l7h Street,Suite 2600 Denver,Colorado 80202 Date Executed: March a 2003 On September I3, 1983,the original Grantor,Ray L.Nelson&Co.,executed and delivered to Vessels Gas Processing,Ltd.,a Right-of-Way Contract("Right-of-Way"),which was recorded on September 30, 1983, at Book 1009, Folio 0373, with the Clerk and Recorder of the County of Weld, State of Colorado. The Right-of-Way covers the lands described as being Section 32: "The South fifty feet (50') of the SW/4NW/4"and the South fifty feet(50')of the SE/4SEJ4NE/4 of Section 3I, lying South and East of the Burlington Northern Railroad R-O-W,Township 2 North, Range 68 West of the 6°P.M., Weld County, Colorado. The Right-of-Way and all rights under the said Right-of-Way are now owned by EnCana. At the present time Ferfrttmwiakin intends to develop a gravel pit in a portion of the SW/414W/4 of Section 32,Township 2 North,Range 68 West of the 6a P.M. The gravel pit may extend into the lands described . as the South fifty feet ab(50')of the SW/4NW/4, which lands are now coveredche ove Wescrtbe:right of "Y way. It appears as though the actual location of the pipeline may or may not be within the South fifty feet (50')of the SW/4NW/4 as described above. The edge of'the gravel pit when constructed will be outside of the easement, as amended herein, of the pipeline as it was consnuctta'�w and now crosses those lands t)_l`rh' described as the SW/4NW/4 and the NW/4SW/4 of said Section 32 as described above.The activities of the gravel pit construction as proposed will have no negative impact on the pipeline as now constructed. In order to allow for the development of the gravel pit and to clarify the description of the pipeline Right of Way,it is the desire of Farfrumwurkin and EnCana to amend the description of the lands. For adequate consideration,Farfrumwurkin agrees with EnCana that the description of the Lands is hereby amended so that the lands(the"Amended Lands")to be covered by the Right-of-Way shall be as follows: The lands deseriptioa shall not be described as the South fifty feet of the SW/4 of the NW/4 of Section 32 and the South fifty feet of the SE/4SEANE/4 of Section 31 but shall be described as being Fifty feet in width being 25 fret on either side of the centerline of the pipeline as it was constructed and now crosses those lands being described as the SW/4NW/4 and the NW/4SW/4 of Section 32,and the SE/4SE/4NE/4, lying south and east of the Burlington Northern Railroad Right-of-way of Section 31 of Township 2 North, Range 68 West of the 6a P. M.See Exhibit"A" being attached hereto for a more particular representation of the route of the pipeline as constructed across said lands. In all other respects, Farfrumwurkin adopts, ratifies and confirms the terms of the Right-of-Way, as amended by this Agreement, and hereby grants, demises and lets all of the Amended Lands to EnCana subject to the terms and provisions of the Right-of-Way. Page I of 3 Pages mix-ei-i!uud rttl U1:3U PN PAN CANADIAN ENERGY FAX NC. 3038571259 p 03 H11111 11111 111 II111 III" 1111111 III 11111 Ill 3069672 06/05/2003 11:08A Weld County, CO 2 of 3 R 16.00 D 0.00 Steve Moreno Clerk A Recorder The parties agree that this Agreement and the benefits hereunder shall be binding upon and inure to the benefit of the parties hereto and their heirs,successors and assigns. This Agreement and all of the covenants in it shall be covenants running with the land and shall be binding on all parties who succeed to any interest which Farfrumwurkin has in the described premises. Any subsequent sale of the described land shall be subject to the terms of this agreement. Farfrunjwvrkin agrees to provide notice to any and all builders, homeowners or other buyers of the described premises, as successors in interest to Farfrumwurkin, that they win be acquiring all of Farfrumwtrkin's rights under this agreement and assuming those obligations undertaken by Farfrumwurkin pursuant to this agreement. • IN WITNESS WFIF.REOF, the parties have executed this Agreement as of the day and year first above written. • F m urkin Lap En Gatherieiees(USA)Inc. By: -J File,Manager '_ By:James J.Benner,Vice President ACKNOWLEG14fENT • i^ ) § State of Colorado ) County of Weld The foregoing instrument was acknowledge before me on this 2 • Jon File,Manager of Farfrumwurkin LLLI. day of March 2003,by - Witness my hand and official seal. AGO L„�VgT'u r r . OTA C 4-2-(-,MY Commission Expires `"� �-�U'-'�1Q�2.� I t:; j N t f r Notary Public `• !O i 7 . O State of Colorado utt,F.`.VBL\e.-- O cwt.._ L City and ) s F` Apri26,2006 County of Denver ) § i_ *Corarnimian E�ies The foregoing instrument was acknowledge before me on this i /L daY of James.). Gathering Services(USA)Inc. Benner,Vice President of EnCana '003,by nc. band and official seal. _— , - t;GOJyp . .n ..fires _ �/ ✓ otary Public i tn. p iI A'' '�UBLIG v III O,r CoL-- Page 2 or 3 Paps — yy Camtmiai Fares X2/1006 mix-zl-2003 hRl 01 :30 PM PAN CANADIAN ENERGY FAX MD. 3038571259 P. 04 1111111 11111 1111111 11111 11111 1111111111111 11111111 3)69672 06/05/2003 11:08A Weld County, CO 3 0l 3 R 16.00 D 0.00 Steve Moreno Clerk d Recorder Exhibit"A" Exhibit A being attached to and being a part of that certain AGREEMENT TO AMEND LAND DESCRIPTION OF RIGHT-OF-WAY CONTRACT,dated the_day of March 2003,by and between Farfrtunwurkin LLLP and EnCana Energy Resources Inc.,as Successors in interest,covering the following described pipeline right-of--way mute: The binds description shall not be described as the South fifty feet of the SW/4 of the NW/4 of Section 32 and the South fifty feet of the SEASPJ4NE/4 of Section 31 but shall be described as being Fifty feet in width being 25 feet on either side of the centerline of the pipeline as it was constructed and now crosses those lands being described as the SW/4NW/4 and the NW/4SW/4 of Section 32,and the SE14SEJ4NE/4, lying south and east of the Burlington Northern Railroad Right-of-Way of Section 31 of Township 2 North, Range 68 West of the 6e P.M. . SKETCH MAP West line of Line indicating the cast line of Section 32 the SW/4NW/4 and the east line 12N-R68 W of the NW/43W14 Approximate mute of Burlington Northern f Railroad R-O-W • • • •. ^ / Crossing west line Crossing east line of an estimated 20 NW/4SW/4 an estimated ♦ • • feet north of W 114 50 feet south of NE / r corner of NW/4SW/4 • • •' — Centerline of • Section 32 ___ ____ __ 2N-R6RW Sect 1 cower of Section 31 and the West 1/4 • center of Section 32 T2N-R68W approximated route of pipeline as constructed • • NOT TO SCALE Tie lame theta sap is a mat a Inn and I.a gaealiaafua of IS.area and tae pipeline centerline as eaatratted sad new ewer sae lands bcfMd. Page 3 of 3 Pages MINING AGREEMENT THIS AGREEMENT,dated effectively this 15th day of November 2004 is made by and between the undersigned,PARERUMWURKIN LLLP whose address is 11811 Upham St #12 Broomfield CO 80020,hereinafter referred to as"OWNER"and Texas Tea of Colorado, LLC 601 16"'St.,C-344,Golden,CO 80401,herein called"TEXAS TEA"; WHEREAS,OWNER represents that they are the surface owners and in possession of an interest in part or all of the surface estate for the following described lands in Weld County,Colorado,said land herein called"LANDS",to wit: Township 2 North Range 68 West,6th P.M. Section 32:SW'/a,W1 of the NW'/a and the N'/of the SE'A WHEREAS,Texas Tea has acquire certain leasehold interests in the oil and gas mineral estate in the LANDS;and WHEREAS,OWNER wishes to develop the gravel minerals on said property. NOW,THEREFORE,in consideration of ten dollars and other valuable consideration, the sufficiency of which is hereby acknowledged,the parties agree as follows: I.The OWNER agrees not to mine any closer than 15' from any flow line: 2.The OWNER agrees to repair any permanent man made facility owned by TEXAS TEA,damaged directly by OWNER mining operations, 3.Per that agreement dated 3/24/04-,OWNER has the right to elevate the Nelson#1A and the Nelson#5 well.OWNER will mine up to 30%of the gravel surrounding each well at one time,replacing that material as they go so that no more than 30%of the ground is disturb at any given time,staying at least 75 feet away from the same.Once the surrounding ground is compacted,the wells may be elevated and the surrounding ground filled in to final grade.The reservoir upon completion,will be located at least 150'away from each well. IN WITNESS WHEREOF,The Grantors have executed this Agreement on the date set forth above. 11 File File Cenral t'attner FA FRUM WURKIN LLLP • STATE OF COLORADO ) ss. COUNTY OF The tOregoing"instrument .i . wledged before me this day of I!U'. .2004,by Witness my hand an ..-.µ sthl p�` ,I • My commission e ;rQ\'•'•� ••'S'I(t‘11 r • a. aoTAR/. i i Notary Puc ' PUBLIC. .'• i IN W �'a; HERE = e Grantors have executed this Agreement on the date set forth above. 1,`s\O ayr � CO's— By: ' 'r. Bob Parker hir TEXAS TEA of Colorado LLC STATE OF COLORADO s ss COUNTY OF The foregoing instrument was acknowledged before me this/5-day of, ,2004,by Witness my hand and official seal ;T. p,',.13 '� Notary Public/ i' � u"S•. PUBUG Pg/ lilttOF`O, My Convn'r1.....r ATTACHMENT B STATE OF COLORADO OFFICE OF THE STATE ENGINEER oe•coo, Division of Water Resources ,p .^'Department of Natural Resources tit �., i 313 Sherman Street, Room 818 rrnsii Denver, Colorado 80203 November 8, 2004 •/876. Phone(303) 866-3581 -- FAX (303)866-3589 Bill Owens www.water.state.co.us Governor Russell George Executive Director Hal D.Simpson,RE. Mr. William C. Klawitter, P.E. State Engineer Weiland, Inc. 10395 Colfax Avenue, Suite 350 Lakewood, CO 80215 When replying, please refer to: GRAVEL PIT 112 Water Division 1, Water District 06 Subject: Acceptance of the Design for Construction of Embankment Fills Dear Mr. Klawitter: Thank you for submitting your request for a ruling on the jurisdictional status of the reclamation of Gravel Pit 112 located in Weld County north of Erie. It is our understanding the gravel pit is situated in Section 32, Township 2 North, and Range 68 West. Your request was in a letter dated September 26, 2003, and received in this office on August 25, 2004. Information contained in Exhibit F attached to your request letter shows that it is planned to construct embankment fills around the perimeter of the gravel pit above the natural ground surface. Exhibit F also shows that it is planned to store water in the gravel pit after it has been reclaimed. Information and data contained in Exhibit F provides sufficient documentation for this office to accept the design of these embankment fills and to allow the owner to proceed with the construction of these embankments. Our acceptance of the proposed embankment construction is effective as of the date of this letter and contingent on the following items: • The embankments should be constructed to the dimensions and elevations as shown in Exhibit F. Any decrease in the top width of the embankments or increase in the height of the embankments will require the approval of this office. • It is recommended that the embankments be constructed of suitable materials and the materials be placed and compacted in a controlled manner. As shown on Exhibit F, the reclamation of these gravel pits is proposed to have a compacted clay liner. This clay liner is required to meet the criteria set forth in the "State Engineer Guidelines for Lining Criteria for Gravel Pits", dated August, 1999. Please contact David Nettles of our Greeley Office, at (970) 352-8712 to get more information on this issue. In accordance with state statutes, the owner of this facility is liable for the safety of the structure and for any loss of life and/or property damages caused by the failure of the embankments or any associated appurtenant structure. Acceptance of this design for the embankment construction does not relieve the owner from this liability or from any other statutory obligations. Therefore, it is in the owner's best interest to construct, operate, and maintain this facility in a manner such that the safety of the facility and general public is not jeopardized. Mr. William C. Klawitter, P.E. November 8, 2004 Page 2 If you have any questions concerning this matter, please do not hesitate to contact Mark Haynes in our Denver Office at (303) 866-3585, ext. 8276. Please keep Mr. Haynes informed of the status of the construction this facility. We appreciate your efforts in contacting this office to request a ruling on this issue. Sincerely, >Th Jack G. Byers, P.E. Deputy State Engineer xc: Jim Hall, Division Engineer • David Nettles, Assistant Division Engineer Greg Hammer, Dam Safety Field Engineer Mark Haynes, Design Review Engineer Bob Carlson, Water Commissioner for Water District 6 Larry Oehler, Colorado Division of Minerals and Geology JGB/MRH/gld:c:word/damsafety/Gravel Pit 112 Jurisdictional Ruling 11-04.doc • • ICU • s VJ ua- Lua r me r r UT r s YC, LLr aua-Yu?-u ( 10 p- C Form No. OFFICE OF THE STATE ENGINEER GWS-25 COLORADO DIVISION OF WATER RESOURCES 818 Centennial Bldg., 1313 Sherman St.,Denver,Colorado 80203 (303)866-3581 / Ci WELL PERMIT NUMBER 62145 -F APPLICANT DIV. 1 WD6 DES. BASIN MD APPROVED WELL LOCATION WELD COUNTY 1/4 NW 1/4 Section 32 FARFRUMWURKIN LLLP Township 2 N Range 68 W Sixth P.M. 11811 UPHAM STREET#12 DISTANCES FROM SECTION LINES BROOMFIELD, CO 80020- FL from Section Line Ft.from Section Line (303)404-3225 UTM COORDINATES (NAD83) PERMIT TO EXPOSE WATER IN A PIT Easting: Northing: ISSUANCE OF THIS PERMIT DOES NOT CONFER A WATER RIGHT CONDITIONS OF APPROVAL 1) This well shall be used in such a way as to cause no material injury to existing water rights. The issuance of this permit does not ensure that no injury will occur to another vested water right or preclude another owner of a vested water right from seeking relief in a civil court action. 2) The construction of this well shall be in compliance with the Water Well Construction Rules 2 CCR 402-2,unless approval of a variance has been granted by the State Board of Examiners of Water Well Construction and Pump Installation Contractors in accordance with Rule 18. 3) Approved pursuant to CRS 37-90-137(2)and(11)for the construction and operation of a well(gravel pit ground water pond)in accordance with the temporary substitute water supply plan approved by the State Engineer on December 10,2004 and amended on December 17.2004, for the File Pit II,Division and Minerals and Geology Permit No.M-2004-047. The well(pond)shall not be operated unless it is Included in a • substitute water supply plan approved by the State Engineer or a plan for augmentation approved by the Water Court. The water supply plan for this pit is currently valid through December 31,2005 and if it is not extended or If a court decree is not entered for a plan for augmentation,this well permit is null and void and diversion of ground wa This well is subject to administration by the Division Engineer in accordance with applicable decrees,statutes,rules,and regulations. 5) The total surface area of the gravel pit ground water pond is limited to 1.5 acres(in the dewatering trenches and a sediment pond)exposed after January 1,1981.No additional water surface shall be exposed unless a permit therefor is approved. 6) The use of ground water in addition to dewatering is limited to 3.66 acre-feet of evaporative loss,14.72 acre-feet of water lost with the mined product(based on 500.000 tons of aggregate),and 1.00 acre-foot of water used for dust suppression.No other use of water is allowed unless a permit therefor is approved. 7) The owner shall mark the well In a conspicuous place with well permit number(s)and court case number(s)as appropriate. The owner shall take necessary means and precautions to preserve these markings. 8) Pursuant to Policy 2000-4(as emended October 1,2002)of the State Board of Examiners of Water Well Construction and Pump Installation Contractors(Board),the minimum construction standards in Rule 10 of the Water Well Construction Rules shall be waived for gravel pit ground water ponds except compliance with Rule 10.1 and its subsections 10.1.2.10.1.4,10.1.6 and Rule 10.2 and its subsection 10.2.1 is required. The owner of the gravel pit shall take necessary means and precautions to prevent contaminants from entering the gravel pit ground water pond. 9) Pursuant to Policy 2000-4(as amended October 1,2002)of the Board, the disinfection standards of Rule 15 of the Water Well Construction Rules shall be waived and the water well construction report requirement of Rule 17 shall be waived,except compliance with Rules 17.1.4. 17.3 and 17.4 is required. 10) The boundaries of the gravel pit ground water pond shall be more than 600 feet from any existing well constructed In the same source,that is not owned by the applicant,except for the well for which a 600-foot spacing waiver statement was obtained on June 17, 1999. 11) Pursuant to Policy 2000-4(as amended October 1,2002)of the Board,no pumping equipment shall be installed in the gravel pit ground water pond to withdraw water for any beneficial use,unless a separate written request for a variance has been approved by the Board.This well shall be maintained in accordance with variance no.2004-204A grantee by the Board on December 22,2004. NOTE:Permit no.60421-F(canceled)was previously Issued for this gravel pit. Of Ma 805- / •c, f • APPROVED z • ,c ��_�� y �a I State Engineer . �iZ--- I,Receipt No.0531888A DATE ISSUED 01-10-2005 E I TION DATE 01-10-2006 Feb 11 O5 ❑S: 2Oa PARTY of FIVE, LLP 3O3-4O4-O778 p. 1 Form No. GWS-2 6/2004 "STATE OF COLORADO NON-EXEMPT DIVISION OF WATER RESOURCES OFFICE OF THE STATE ENGINEER 821 Centennial Bldg., 1313 Sherman St, Denver, Colorado 80203 (303)866-3581 Fax(303) 866-3589 - - WELL PERMIT INFORMATION, PERMITS APPROVED PURSUANT TO CRS 37-90-137(2) Carefully read the conditions of approval on your well permit .The conditions and the Information on this Information sheet must be complied within-orderforthe—OMR-h 'amain Valid. THE ISSUANCE OF THIS PERMIT DOES NOT CONFER WATER RIGHT The well permit number Is located in the upper right comer of the e located in the Towel=right dirtier. _g rtDit,and thaw date is - THE WELL •PERMIT EXPIRATION DATE IS:ONE YEAR FROM THE DATE ISSUED. Evidence of well construction and pump Installation must be received on appropriate forms PRIOR TO THE EXPIRATION DATE OF THE PERMIT. The required forms are the Well Construdtion and Test Report (Form No. GWS-31}, and-the Pump Installation and Test Report (Forn:No. GWS-32). There are- penalties if evidence of well p construction and pump installation is not received prior to the expiration date.-The licensed contractor or well owner (under the private driller or pump installer statutes and rules) performing the work is responsible for completing the appropriate form(s)and submitting it to the Division of Water Resources. - The expiration date of the permit may be extended one time only for a period'not to exceed one • good cause shown,at the discretion of the State Engineer. If an extension or time is necessary to year for. . well and/or install um in ui menu the owner must file a en. st.a the filin fee: The request and fee must be received by the St st for the eextension.on.along-with.a 200 must state..why the well has not been constructed and/or pumping equipment installed, and must ndude an estimate of time required to construct the well.and/or install pumping equipment • `-Water well construction and pump installation contractors are licensedIn Colorado to perform these ,leclalized tasks. It is Illegal for Individuals who do not:hold these licenses to construct.wells and install pumping equipment In or on wells. The well must be constructed and pumping equipment • Installed by contractors with current license(s) issued by the State of Colorado unless exempted as described on the reverse side. Additional information. regarding well construction, pump installation, require d testing and well plugging and seating regulations are found on the reverse side of this sheet You-have-been providedwitfi a₹It one copy of the well permit Keep a copy for one copy has been sent to the well driller if you indicated.a driller license number n the your application.records. At u least make additional copies for the well driller if you select one different from the one indicated n your application. 'You may The original permit is on file in our Denver office Records Section. Copies may be obtained for fee of 56 cents per page. Statutes require that any change of mailing address or ownership be reported to the State Engineer. Use Form No.GWS-11. There is no filing fee. If you have questions,.contact the Denver Office, or the Division Office in the area where your well is located. Division 1 Division 2 810 9°i St,Ste:200 310 E.Abderido Ave Ste H Division 3 Division 4 Greeley,CO-80631 Puebla,CO 81004. - 301 Murphy Delve 1871 East Main St (970)352-8712 (719)542.3368 (719)Alam 5 a, CO 81101 Montrose,CO 81402 Fax 970 391-1816 Fax 19 544-0800 (718)589-6683 (970)249-6622 Fax 19 589-6685 Fax 970 249.8728 Division 5 •Diviaian 6 Direct mail m Sox 306 Direct mall to Box 773450 - Division 7 Denver Office Glenwood Spgs CO 61602 505 Anglers Dr.Suite 101 • 701 Camino Del Rio 1313 Sherman St Rm.X81 fl 50633 U.S.Hwy 6&24 Steamboat Spas,CO 80477 Ste.205 Denver,CO 80203 lenwood Spas.,CO 81801 • (070)679-0272 Durango,CO 81301 1)945.5665 .Fax-(970)879 1070 _ (970 247-n45- (303)866-3581 . 970 9454741 Call First : Fax(970)259-0944 - Fax(303)866-3589 -• Feb 11 05 09: 21a PARTY of FIVE, LLP 303-404-0778 p. 3 ORDER OF THE STATE ENGINEER IN THE MATTER OF WELL PERMIT NO. 60421-F LOCATION: NW %, SECTION 32, TOWNSHIP 2 NORTH, RANGE 68 WEST, 61H P.M. APPLICANT: FARFRUMWURKIN LLLP, FILE PIT II THE STATE ENGINEER FINDS: The permit to expose ground water in a gravel pit (File Pit, M03-090) was issued on • November 10, 2003 and had an expiration date of November 10, 2004. On November 10, 2004, the applicant submitted a new application (receipt no. 531886A) for the above gravel pit for additional uses of the ground water pond under a new DMG Permit No.M04-047. Therefore the well permit 60421-F is hereby canceled and is of no further force or effect. Dated this 10th day of January 2005. Att. It . Loa Hal D. Simpson State Engineer • al'eq@ By. loana Comaniciu Water Resource Engineer Prepared by: IDC cc: Division 1 Applicant Feb 11 05 09: 21a PARTY of FIVE, LLP 303-404-0778 p. 4 WELL CONSTRUCTION AND PUMP INSTALLATION BY THE WELL OWNER You may construct the well and/or install pumping equipment yourself if the well is for your own use,is on property you own, and is constructed or pumping equipment is installed with equipment owned and operated by you, and provided you have passed a required examination as prescribed by the State Board of Examiners of Water Well Construction and Pump Installation Contractors ("Board") It is your responsibility to complete and submit the Well Construction and Test Report (Form No. GWS-31) and/or the Pump Installation and Test Report (Form No. GWS-32). These forms are available from our website at the following link: http://www.water.state.co.us/pubsMellforms.aso, or from any Division of Water Resources office. The well must be constructed and the pumping equipment installed in accordance with the well construction standards of the Board. The WATER WELL CONSTRUCTION RULES and BOARD OF EXAMINERS RULES can be obtained from our website at the following link: http://www.water.state.co.us/Dubs/rule reu.aso or purchased from any Division of Water Resources office for a small fee. These Rules cover the minimum requirements for well corisfuctibn, pump installation, disirifection, plugging and sealing and contractor licensing regulations. • If you are constructing your own well or installing pumping equipment, it is recommended that you obtain a copy of these Rules for reference. • • The well construction and.pump installation reports including testing of well yields and pumping systems must be submitted to the office.of the State Engineer by the respective Contractors within sixty(60)days of _ completion of the work or pronto the expiration date of the permit ybichever is earlier. Your contractor(s) • must provide you with a copy of the Work report(s)filed with-the State Engineer. - -RULE 12 WELL TESTING - 12.1 General--.The'provisions of this rule establish minimum Standards for the testing of water wells. Every well constructed for the purpose of producing ground watersliall be tested to determine: • • a. a stabilized yield for the well; and' tr. • the production rate of the equipment installed when-the well is placed into service. - .12.2 Wall Yield Test-The yield of a well shall be detemiined.as a stabilized production rate where the • withdrawal rate and the drawdown do not change.by more than 10 % during the last hour of the test The test shall demonstrate that eater. ' , .•,; - a. ' the well Is capable of producing the permitted punning rate for the well; or b. that the maximum yield of the well is less than the permitted production rate. 12.3 Responsibility for Well Yield Test Well construction contractors are responsible for performing the well yield test and submitting the test data to the State Engineer.- .If the construction • contractor also installs the production equipment, the well yield test may be combined with the production -equipment-test,-provided-that--the-test-tmeets=the—equirements-of-Rule-1-23:--Tite-construction-contractor-- -- - may forgo the well yield test if he can show that a licensed pump installer will perform the well yield test with the permanent production equipment within thirty(30)days of completion of construction of the weft If the pump Installation contractor performs the well yield test, he/she shall submit the test information on the Pump Installation and Test Report. 12.4 Production Equipment Test - The production equipment Installed in wells shall be tested to ensure it is functioning as designed. The test shall demonstrate the production capacity of the equipment as actually installed in the well.•It is the responsibility of the person installing the pumping system to ensure' that the production from the well complies with the conditions of the permit 12.5 Responsibility for Production Equipment Test-Pump installation contractors are responsible for testing the production equipment installed in a well upon completion of their work If the well construction contractor -determined the well yield and submitted a report,the pump installer need not perform another well yield test If the pump installer does not perform a well yield test with the permanent production equipment, he shall perform a production equipment test and report the data (results) to the State Engineer on the Pump Installation and Test Report Wells to be plugged and sealed must be plugged in accordance with of the Water Well Construction Rules. A Well Abandonment Report, Form No. GWS-9 must be submitted to confirm plugging and sealing of the well. This form is available from our website at the following link: http://www•water.state.co.us/pubs/weliforms.asp, or from any Division of Water Resources office. The specific rules for plugging and sealing wells are found on the reverse side of the Well Abandonment Report form, or under Rule 16 of the Water Well Construction Rules. STATE OF COLORADO OFFICE OF THE STATE ENGINEER "stlivision of Water Resources (4S4; v apartment of Natural Resources r,Q 1313 Sherman Street, Room 818 "� Denver, Colorado 80203 1876"...- Phone(303)866-3581 FAX(3031 866-3589 Bill Owens www.water.state.co.us December 10, 2004 Governor Russell George Executive Director Hal D.Simpson,P.E. Mr. Peter Wayland State gineer Weiland, Inc. 10395 West Colfax, Suite 350 Lakewood Co 80215 Re: Substitute Water Supply Plan, Farfrumwurkin, LLLP, File Pit II-M2004-047 Sections 31 & 32, T2N, R68W, 6th P.M. Water Division 1, Water District 6, Weld County Dear Mr. Wayland: The State Engineer's Office has completed a review of your November 10,2004 request for renewal and amendment of the substitute water supply plan for the Farfrumwurkin, LLLP, File Pit II. The original plan was approved on November 10, 2003. The purpose for the amendment is to account for changes in depletions at the site. The required fee of $217 for the renewal substitute water supply plan has been submitted.According to the information provided,the File Pit II site was designated as 111c special permit that identified a pit area of approximately 13.4 acres.The site is being expanded under a new 112 permit, from 13.4 acres to approximately 106 acres. The anticipated net depletion for this plan is 19.38 acre-feet per year. Mining at the site is proposed to begin in January of 2005. There will be approximately 1.5 acres of water surface exposed after December 31, 1980 in the dewatering trenches and a sediment pond (0.5 acres in the dewatering trenches and 1-acre sediment pond). Dewatering trenches will be placed around the pit and pumped to facilitate dry mining. Any lagged stream depletions to Boulder Creek resulting from pumping of the dewatering trenches will be offset by placing the water collected from dewatering directly into a recharge well located approximately the same distance from the river as the dewatering trenches.The recharge well will utilize an existing well, located northeast of the proposed excavation. The existing well to be used for recharge must be permitted in accordance with Section § 37-92-602, C.R.S. as a monitoring well. Water may be discharged into this well only after obtaining all discharge permits and approvals as required by the Colorado Department of Public Health and Environment, and the Environmental Protection Agency. According to the information submitted, no water surface was exposed within the reclamation permit boundary prior to January 1, 1981. You have provided a monthly breakdown of the annual depletions at this site.There are 3.66 acre- feet of evaporative loss, 14.72 acre-feet of water lost with the mined product associated with the mining of up to 500,000 tons of aggregate and 1.00 acre-foot of water used for dust control. No phreatophyte credit has been applied to this plan. The proposed source of replacement for this pit is 22.28 acre-feet of fully consumable water leased from the City of Louisville and made available at its wastewater treatment plant. A 15 percent river transit loss is included in this amount. The monthly depletions and replacement requirements are found on the attached Table I. Mr. Peter Wayland Page 2 M2004-047-File Pit II December 10, 2004 I hereby approve the proposed substitute water supply plan in accordance with §37-90-137(11), C.R.S., subject to the following conditions: 1. This plan shall be valid through January 28,2005 unless otherwise revoked or modified.This plan will be extended until December 31, 2005, if a lease for a minimum of 22.28 acre-feet of fully consumable replacement water from the City of Louisville for the remainder of 2005 is provided to the State Engineer's Office by January 28, 2005. 2. Subject to the requirement of condition 1 above, if this plan is extended until December 31, 2005 and will not be made absolute by a water court action by the plan's expiration date, a renewal request must be•submitted to this office with the statutory fee (currently $217) no later than November 15, 2005. 3. A well permit must be obtained for the gravel pit in accordance with §37-90-137(2) and (11), C.R.S. in conjunction with this plan. A well permit application was submitted to this office under receipt no. 531886-A, and this application is pending evaluation by this office. The provisions of Colorado Revised Statute§ 37-90-137(2) prohibit the issuance of a permit for a well to be located within 600 feet of any existing well, unless the state engineer finds that circumstances so warrant after a hearing held in accordance with the procedural rules in 2CCR402-5. This hearing may be waived if you are able to obtain statements from the owners of all wells within 600 feet, verifying that they have no objection to your use of the.proposed well. Should a new well permit be denied for reasons of 600 foot spacing, or any other legitimate reason, approval of this substitute supply plan will be cancelled. 4. A monitoring and observation well permit must be obtained for the well to be used for recharge of the water produced from the dewatering operation in accordance with §37-92-602, C.R.S. Water may be discharged into this well only after obtaining all discharge permits and approvals as required by the Colorado Department of Public Health and Environment, and the Environmental Protection Agency. 5. The total surface area of the groundwater exposed at the File Pit II site after December 31, 1980 must not exceed 1.5 acres resulting in 3.66 acre-feet per year of evaporative loss. 6. The annual water used for dust control at the File Pit II site shall not exceed 1.00 acre-foot,and the total product mined at the File Pit II site shall not exceed 500,000 tons resulting in 14.72 acre-feet of water lost with product. 7. Total consumption at the pit(s) must not exceed these aforementioned amounts unless an amendment is made to this plan. 8. The existing lease of the replacement water is evidenced by an agreement with the City of Louisville dated December 8, 2004. A copy of the agreement has been furnished to this office on December 9, 2004. The agreement is valid until January 28,2005.A City Council approved water lease for 2005 will supercede this existing lease. A copy of the 2005 water lease must be submitted to this office by January 28, 2005. All replacement water must be concurrent with depletions in quantity, timing and location. 9. Approval of this plan is for the purposes as stated herein. This office must first approve any additional uses for which the water may be used. Any future additional historic consumptive use credit given (e.g., agricultural water transfer)for this site must consider all previous credits given. Mr. Peter Wayland Page 3 M2004-047-File Pit II December 10, 2004 10. All pumping for dust control shall be measured in a manner acceptable to the division engineer. 11. The replacement water that is the subject of this plan cannot be sold or leased to any other entity. As a condition of subsequent renewals of this substitute water supply plan,the replacement water must be appurtenant to this site until a plan for augmentation is obtained. A copy of this approval letter should be recorded with the County Clerk and Recorder. All replacement water must be concurrent with depletions in quantity, timing, and locations. 12. Adequate accounting of depletions and replacement must be provided to the division engineer in Greeley and the water commissioner on a monthly basis or other interval acceptable to both of them. The accounting form provided with your application is subject to modification and approval by the division engineer. All amounts shall be in acre-feet. 13. The name, address, and phone number of a contact person who will be responsible for the operation and accounting of this plan must be provided on the accounting forms to the division engineer and water commissioner. 14. If reclamation of the mine site produces a permanent water surface exposing groundwater to evaporation, an application for a plan for augmentation must be filed with the Division 1 Water Court at least three years prior to the completion of mining to include, but not be limited to, long- term evaporative losses. If a lined pond results after reclamation, replacement of lagged depletions shall continue until there is no longer an effect on stream flow. 15. Dewatering at this site will produce delayed depletions to the stream system. Any lagged stream depletions to Boulder Creek resulting from pumping of the dewatering trenches is to be offset by placing the water collected from dewatering directly into a recharge well located approximately the same distance from the river as the dewatering trenches. 16. It the dewatering of this site is discontinued, the pit would fill creating additional depletions to the stream system due to increased evaporation.To assure that additional depletions to the river does not occur,a bond for$119,634.through DMG for lining or backfilling of the lake has been obtained. Therefore, if the dewatering is discontinued this bond can finance the completion of the lining of this pit or the backfilling, thus preventing depletions to the stream system. 17. Applicant shall continue to replace all lagged depletions to the stream system in time,location,and amount. Applicant must have adequate accounting and demonstrate to the water commissioner and the division engineer that all lagged depletions are being replaced. 18. This substitute water supply plan may be revoked or modified at any time should it be determined that injury to other vested water rights has or will occur as a result of this plan. 19. Should this substitute water supply plan expire without renewal or be revoked prior to adjudication of a permanent plan for augmentation, all excavation of product from below the water table and all other use of water at the pit must cease immediately. 20. In accordance with amendments to §25-8-202(7), C.R.S., and Senate Bill 89-181 Rules and �— Regulations adopted on February 4, 1992, the State Engineer shall determine if the substitute supply is of a quality to meet requirements of use to which the senior appropriation receiving the substituted supply has normally been put. As such, water quality data or analyses may be requested at any time to determine if the requirements of use of the senior appropriator are met. Mr. Peter Wayland Page 4 M2004-047-File Pit II December 10, 2004 21. The decision of the state engineer shall have no precedential or evidentiary force,shall not create any presumptions, shift the burden of proof, or serve as a defense in any pending water court case or any other legal action that may be initiated concerning this plan. This decision shall not bind the state engineer to act in a similar manner in any other applications involving other plans, or in any proposed renewal of this plan, and shall not imply concurrence with any findings of fact or conclusions of law contained herein,or with the engineering methodologies used by the Applicant. Please contact loana Comaniciu in Denver at(303)866-3581,or Dave Nettles in Greeley at(970) 352-8712, if you have any questions concerning this approval. • • Sincce{erely, Jeff Deatherage P.E. Water Resource Engineer cc: Dave Nettles,Assistant Division Engineer(810 9th Street,2nd Floor,Greeley, Colorado 80631,970- 352-8712) Bob Carlson,Water Commissioner District 6 (P.O. Box 380, Erie, Colorado 80516,303-438-9303) Division of Minerals and Geology Jacqueline Hatch, Weld County Planning Department Mr. Peter Wayland Page 5 M2004-047-File Pit II December 10, 2004 Table I Farfrumwurkin LLLP-File Pit II-M-2004-047 MONTHLY DISTRIBUTION FOR DEPLETION AND REPLACEMENT REQUIREMENTS (All values in Acre-Feet) Total City of Louisville Evaporative Water Lost withWaterLostforDustOperational Leased Water Month De letions Mined Product Su (includes 15% P ppression Depletions transit loss) (Lagged) January 0.11 0.49 0.08 1.68 1.93 February 0.14 0.49 0.08 1.61 1.86 March 0.17 1.23 0.08 1.55 1.78 April 0.29 1.23 0.08 1.50 1.72 May 0.37 1.23 0.08 1.49 1.71 June 0.55 1.96 0.08 1.50 1.72 July 0.63 1.96 0.08 1.53 1.76 August 0.55 • 1.96 0.08 1.60 1.85 September 0.38 1.23 0.08 1.68 1.94 October 0.22 1.23 0.08 1.74 2.00 November 0.14 1.23 0.08 1.75 2.01 December 0.11 0.49 0.08 1.74 2.00 • [Total 13.66 114.72 11.00 119.38 122.28 Notes: Transit loss is 15 percent from the City of Louisville wastewater treatment plant to the site based on the information received from the water commissioner. DEG-1T-04 16:40 FROM-DIVISION OF WATER RESOURCES 3036662223 T-224 P.02/04 F-214 STATE OF COLORADO • OFFICE OF THE STATE ENGINEER oc Coto r41"--'on of Water Resourc ¢/ . nmenr„f Natural Rra.,urcas .I w=< 4r o 131 s Shc rman YTFm, Room 818 December 17, 2004 •�wY • Denver, Colorado 8020i ••.,ie_ze-:° Phone(303)e66-3581 — FAX(303)Btt-3589 Hill uwen. wvwr.w3ter.aL14 CO.tis Clive.nor hux II Cxnsge txecutive Drrcu.r Mr. Peter Wayland rid G vmp.or P.I. Weiland, Inc. sate Enginccr 10395 West Colfax, Suite 350 Lakewood Co 80215 Re: Substitute Water Supply Plan, Farfrumwurkin, LLLP, File Pit II-M2004-047 . Sections 31 & 32,T2N, R68W, 6th P.M. Water Division 1, Water District 6, Weld County • Dear Mr. Wayland: We have received your letter of December 15,2004,requesting amendment to our approval of December 10,2004 of the above referenced substitute water supply plan.This amendment will change the source of the replacement water used to cover the 2005 depletions at the File Pit II. The new source of replacement water for this pit is 22.28 acre-feet of fully consumable water leased from the City of Lafayette(Lafayette)and made available at its wastewater treatment plant for delivery to Coal Creek as described in the referenced lease. The fully consumable and reusable water can be r, provided from Lafayette's decreed water rights that contain fully consumable and reusable credits. The A 15 percent river transit loss is included in this amount. The monthly depletions and replacement requirements are found on the attached Table I. All conditions listed in the original substitute water supply plan approved for the File Pit II on December 10, 2004 remain in effect except as modified below_ A copy of the original approval is attached for your reference. 1. Unless otherwise revoKed or modified,this plan shall be valid through December31,2005. If this plan will not be made absolute by a water court action by the plan's expiration date, a renewal request must be submitted to this office with the statutory fee (currently $217) no later than November 15, 2005. 2. The existing lease of the replacement water is evidenced by an agreement with the City of Lafayette dated December 15. 2004. A copy of the agreement has been furnished to this office on December 15, 2004. The new replacement water lease agreement is valid from January 1, 2005 though December 31, 2005. This new water lease agreement will supercede the previous replacement water lease agreement with the City of Louisville. All replacement water must be concurrent with depletions in quantity, timing and location. 3. Adequate accounting of depletions and replacement must be provided to the division engineer in Greeley and the water commissioner on a monthly basis or other interval acceptable to both of them. The accounting form provided with your application is subject to modification and approval by the division engineer and the water commissioner. The accounting form provided to the division engineer and the water commissioner must identify the source of the fully consumable water available each month from the City of Lafayette and the decree that applies to that fully consumable water. All amounts shall be in acre-feet. DEC-17-04 16:40 FROM-DIVISION OF WATER RESOURCES 3038662223 T-224 P.03/04 F-214 Mr- Peter Wayland Page 2 M2004-047-File Pit II December 17, 2004 Please contact loans Comaniciu in Denver at(303)866-3581,or Dave Nettles in Greeley at (970) 352-8712, if you have any questions concerning this approval. Sincerely, Jeff Deatherage P.E. Water Resource Engineer • Attachments: Table I • cc: Dave Nettles, Assistant. Division Engineer (810 9`" Street, 2"° Floor, Greeley, Colorado 80631, 970-352-8712) Bob Carlson,Water Commissioner District 6(P.O. Box 380,Erie,Colorado 80516,303-438- 9303) Division of Minerals and Geology Jacqueline Hatch, Weld County Planning Department DEC-17-04 16:40 FROM-DIVISION OF WATER RESOURCES 3038662223 T-224 P.04/04 F-214 Mr. Peter Wayland Page 3 M2004-047-File Pit II December 17.2004 Table I Farfrumwurkin LLLP-File Pit II-M-2004-047 MONTHLY DISTRIBUTION FOR DEPLETION AND REPLACEMENT REQUIREMENTS (All values in Acre-Feet) City of Lafayette Total Leased Water Evaporative Water Lost with Water Lost for Operationat Month Depletions Mined Product Dust Suppression Depletions _ (includes transit loss)1s) (Lagged) L January 0.11 0.49 _ 0.08 1.68 _ 1.93 February 0.14 0.49 0.08 1.61 1.86 March 0.17 1.23 0.08 1.55 1.78 April 0.29 1.23 0.08 1.50 1.72 May 0.37 1.23 0.08 1.49 1.71 June 0.55 1.96 0.08 1.50 1.72 July 0.63 1.96 0.08 1.53 1.76 August 0.55 1.96 ' 0.08 1.60 1.85 --- September 0.38 1.23 0.08 1.68 1.94 October 0.22 1.23 0.08 1.74 2.00 November 0.14 1.23 0.08 1.75 2.01 December 0.11 0.49 0.08 _ 1.74 2.00 Total 3.66 14.72 1.00 19.38 22.28 1 a Notes: Transit loss is 15 percent from the City of Lafayette wastewater treatment plant to the site based on the information received from the water commissioner. ATTACHMENT C FILE PIT 112 GROUNDWATER MODELING REPORT WELD COUNTY Prepared for: Farfrumwurkin, LLLP Prepared by: Weiland, Inc. 10395 W. Colfax, Suite 350 Lakewood, CO 80215 January 2005 Wri Weiland. Inc. Environmental fr Engineering FILE PIT 112 GROUNDWATER MODELING REPORT WELD COUNTY Prepared for Farfrumwurkin, LLLP Prepared by: Weiland, Inc. 10395 W. Colfax, Suite 350 Lakewood, CO 80215 January 2005 Weiland. Inc. Environmental& Engineering 1.0 GROUNDWATER MODEL r-- 1.1. INTRODUCTION This study has been developed to address the potential effects of the File Pit 112 mining operation on the local surface and groundwater. The File Pit 112 will mine gravel below the natural water table. The operation will utilize dry mining techniques and will trench the perimeter of the pit and pump from the trenches to dewater the gravel within the pit area. Dry mined pits typically create a cone of depression locally during operation. The reclamation plan will line the excavations with compacted clay of low permeability (0.03 ft/day). This study utilizes the digital program MODFLOW, which is a three dimensional digital finite difference approximation to the governing equation of groundwater flow. MODFLOW is used as a predictive tool to approximate the potential influence the dewatering operation and the reclamation land configuration may have on the local water table. Formatted MODFLOW input files are available upon request. 1.2. MODEL DISCRITIZATION AND METHODS The finite difference grid measures 5000 ft in the X direction and 4500 ft in the Y direction. The grid is oriented Northwesterly with rotation of 28 degrees west of north. The Grid cell size is set to 50ft. The model consists of three hydro- stratigraphic units consisting of a lower unit of sand and gravel, a middle unit of low permeability clay and an upper unit of silty sand. Top and bottom elevations are based on test hole data and resultant TINs developed in Autodesk Land Desktop Development 3. The TINs were sampled at node centers and exported to MODFLOW via the pre-processor Argus One utilizing the MODFLOW GUI developed by the USGS. 1.3. HYDRO-STRATIGRAPHIC UNITS The general physiographic setting can be described as an alluvial valley that generally trends northeast. The project site occurs on the south eastern side of the valley where the flat alluvial terrace meets the steeper flank of the valley. The principal aquifer in the valley is composed of alluvial gravel with an average thickness of 10 ft. Sheet-1 shows a typical cross section and the layering of water bearing units. The section line for Sheet-1 is shown in Sheet-2 1.3.1. Upper Sandy Silt Laver The upper silty sand layer(SH-SM) is 5 to 10 ft thick in the area of the proposed pit. The layer is 6 to 10 ft thick under the area where the Boulder-Weld Canal File Pit 112 Groundwater Modeling Report 1 of 6 occurs. In this area, the southern flank of the model, there is no unit 2 or 3 underlying the sandy silt. The unit lies directly on low permeability bedrock of the Laramie-Fox Hills formation (see Sheet-1). The Boulder-Weld County Canal (BWCC) runs through the upper layer approximately 300 to 500 ft south of the south edge of the proposed pit at an elevation of approximately 4970 ft. At one time, water leaking from the BWCC would daylight in groundwater seeps down the hill slope just north of the ditch (see Sheet 1). A 6" drain was constructed parallel to the ditch about fifty feet down-slope. It appears that the drain is effective and that water from the BWCC seeps do not reach the proposed gravel pit in the upper layer because the upper soils were not saturated at the time of observation well drilling (July). The drain conducts the seepage water to a location outside the gravel pit model area. Water in this layer is unconfined (surface at atmospheric pressure) 1.3.2. Middle Clay Aquitard The middle unit is composed of very low permeability clay (CL). It acts as a confining layer on top of the lower gravel unit. It varies in thickness from 3 to 15 feet thick. 1.3.3. Lower Gravel Aquifer The,lower unit is composed of gravel (GW) and ranges from 2 to15 feet thick in the area. Local groundwater flows from the south through the gravel and discharges to Boulder Creek. The groundwater in the gravel is under confined conditions and has a peizometric or pressure head of about 2-3 feet above the top of the unit. • File Pit 112 Groundwater Modeling Report 2 of 6 1.4. INPUT PARAMETERS 1.4.1. Hydraulic Conductivities Hydraulic conductivity for the lower gravel layer was set to 600 ft/day (Sy=0.2). The value has been accepted by the Colorado Office of the State Engineer as a representative value for gravel deposits on Boulder Creek. The upper unit was set to 100 ft/day (Sy=0.1). This value was determined by consulting Freeze and Cherry - Table 2.2 for a range of hydraulic conductivities for sandy silt and picking a value near the upper range. Using a higher conductivity for this unit would predict a greater influence of pumping on ditch flow. 1.4.2. Boulder-Weld Canal The Boulder-Weld Canal occurs approximately 400 ft south of the southern edge of the proposed gravel pit at an elevation of 4970 feet. It is approximately 40 ft higher in elevation than the pit bottom at the southern edge. The canal was simulated through application if the RIVER package in MODFLOW. The average width of the ditch is 4 ft. the high water mark occurs approximately 2 ft above the bottom. The model stage was therefore set to 2 ft above the ditch bottom. Ditch bottom conductance calculation assumed a hydraulic conductivity of 0.5 ft/day with a thickness of 1 ft. The ditch bottom conductance was calculated to be 100 sq ft/day (50*4*.5/1). 1.4.3. Canal Seepage Drain Some time ago a drain was installed downslope and parallel to the canal to capture seepage and conduct it away from the area. The drain was simulated using the DRAIN package of MODFLOW. The drain was modeled with a bottom elevation of 4961 feet, 50 feet north of the canal. The drain conductance was calculated to be 30,000 sq ft/day (k=600 ft/day,L=50 ft, W=1 ft, M=1ft) 1.4.4. Pit Dewatering/Pumpinq Pit dewatering is simulated by pumping wells on the periphery of the pit using the WELL package in MODFLOW. Mining will ultimately result in the pit fully excavated with dewatering trenches surrounding the toe of pit excavation. Total pumping from all wells was set to 1,970 gpm to dewater the entire pit. 1.4.5. Reclamation and Perimeter Drain The reclamation plan will backfill the pits as shown in Sheet-4. Slopes will be lined with a low conductivity compacted clay. A drain along the west perimeter of the former pit will be installed for the purpose of preventing water table mounding that could result from placement of the lower permeability fill in the former pit. The drain is placed in the model at the top of the lower gravel and runs north File Pit 112 Groundwater Modeling Report 3 of 6 along the east wall of the pit. The drain conductance value is the same as the drain modeled above - 30,000 sq ft/day. 1.5. MODEL CALIBRATION The model was calibrated to within 10% of measured heads in the area of the proposed pit (see Sheet 1). The calibration was performed by varying the constant head boundaries until the water levels from the model output matched the measured head to within 10%. 1.6. MODEL OUTPUT Model output was contoured and is shown in Sheets 2-4. Sheet 1 shows existing water levels. Proposed pumping water table elevations were subtracted from existing water levels to show relative drawdown due to pumping conditions (Sheet 3). Sheet 4 shows the water table after reclamation. 1.6.1. Existing Water Level Conditions The first model run was developed to simulate existing water elevations. The model output for the existing Water Level simulation following calibration is shown in Sheet-2. The model output of cell by cell flow budgets under existing conditions showed a ditch loss of 24,000 cu ft/day (125 gpm) for the length of the canal in the model, approximately one mile. The canal seepage drain was inflowing 29,753 cu ft/day (155 gpm) 1.6.2. Pumping Conditions 1,970 qpm The pumping simulation was performed setting the total pumping flow rate at 1,970 gpm. At the toe of the pit wall, the water table was drawn down to approximately 3-4 ft above the pit bottom, which is consistent with observations of seepage faces for other similar gravel pits in the area. The simulated pumping water table elevations were subtracted from the simulated existing water table elevations to yield drawdown. The drawdown contours for pumping conditions are shown on Sheet-2. During pumping conditions the canal seepage drain picked up slightly less water, 29,356 cu ft/day (153 gpm), than it did under the existing model conditions. The canal seepage remained the same in both cases at 125 gpm. 1.6.3. Reclamation The reclamation model output water table elevation contours are shown on Sheet-4. Comparison of Sheet-4 to Sheet-2 shows that mounding is not occurring on the upstream face of the former pit (east wall). The model did show that mounding would happen without the perimeter drain. The addition of the perimeter drain to the model removed the mound. The MODFLOW output budget for the perimeter drain calculates a total flow of 450 gpm (90,300 cu ft/day). File Pit 112 Groundwater Modeling Report 4 of 6 Comparison of Sheets 2 and 4 also shows that there is a depression or shadow in the water level on the northwest side of the reclaimed pit. The water levels in this vicinity are 4 to 5 feet lower than at existing conditions • File Pit 112 Groundwater Modeling Report 5 of 6 2.0 STUDY CONCLUSIONS 2.1. PUMPING CONDITIONS Pumping conditions will lower the local water table in the lower gravel aquifer during the life of the mining operation as shown in Sheet -3. The are no permitted wells in the area influenced by the cone of depression. 2.2. RECLAMATION The reclamation perimeter drain was designed to minimize the potential for any increase in groundwater table elevations. Depression of the water table is expected to occur down-gradient of the lined pit on the order of 4-5 ft locally. There are no permitted wells in this area. 2.3. SEEPAGE FROM BOULDER-WELD CANAL As discussed above, the canal seepage is captured by a drain just north of the proposed pit. Pumping conditions had no appreciable impact on the canal seepage or drain flows. The gravel operation is therefore predicted to have no effect on canal seepage, on canal flow or water table elevations in the upper aquifer (upper sandy silt layer). • File Pit 112 Groundwater Modeling Report 6of6 LARGE MAPS AVAILABLE FOR VIEWING AT THE CLERK TO THE BOARD'S OFFICE, IN THE PUBLIC REVIEW FILE. • Weld County Plarn;n Department CREE.LFf OFFICE WS/ Weiland, Inc. MAR i look, Environmental & Engineering REC EFTI February 24, 2005 EnviranrrjSAtai Sunnort roe, Thomas A.Schreiner • (JI'ran2rtatipti Environmental Protection Specialist Division Of Minerals and Geology • Land*veiooment 1313 Sherman St., Room 215 Denver,Colorado 80202 • Mining •• • Industry Re: Response to 2ND Adequacy Review Comments—File Pit 112 Application, M-2004-047 Dear Tom: Responses to your comment have been incorporated into revised exhibits and or as indicated in responses below. All changes have been filed with the Weld County Clerks office on 02/25/2005. 6.4.5 EXHIBIT E—Reclamation Plan. 6. The berm crest measures approximately 307 ft on the west side, 361 feet on the north side and 283 feet on the east side near the maximum sections. The height of the berm above existing ground varies from 15 ft in the north and tapers to 0 ft in the south EXHIBIT F SHEET- 2 shows cross sections of the berm and also shows existing ground elevations. It is calculated that approximately 85,000 yd3 will be required to construct,the portion of berm that may be needed at any one time during the operation of a 10-15 acre working (un-reclaimed) pit cell. Reclamation,which includes construction of the berm,will occur concurrently with mining. The cost for building this portion of the berm is included in the updated EXHIBIT-L— Reclamation Costs. • 9. FARFRUMWURKIN LLLP will commit to implementing weed control methods as described on an as-needed basis ' 10. The clay liner cross section is shown in EXHIBIT F SHEET-2. The text in EXHIBIT E — Reclamation Plan has also been updated to include some discussion of Liner Construction. 6.4.7 EXHIBIT G—Water Information 13. There are no known surface or groundwater users in the surrounding area that will be adversely affected by dewatering operations. FARFRUMWURKIN LLLP will commit to installation of the drain as described in the groundwater modeling report. The drain will be constructed in sections following completion of mining and prior to concurrent backfilling of each mining cell. EXHIBIT E — RECLAMATION PLAN has been updated to include this information. 6.4.12 EXHIBIT L—Reclamation Costs 15. The reclamation Cost table has been updated to include $550.00/acre for re-vegetation and weed control and $63,750 has been included as a line item to construct a section of berm based on approximately 7.5 acres (half of 15 acre cell) and an average of 7.5 feet high = • 85,000 yd3. Additionally, another $2,400.00 was included for construction of an impermeable clay barrier as shown in Addendum A (attached). Additionally, a mistake was found on the previous cost for dewatering. The previous cost was based on a reservoir capacity of 2200 acre-ft. In fact the groundwater table elevation is considerably lower than the proposed normal pool of the reservoir resulting in a dewatering volume of 938 acre-ft. //�/// . _ 526 3rd Avenue. Suite 211. Longmont. CO BOSDI S. 1 ph 303-532-0951 tax 303-532-0993 3_a -es ee: Pt Ait) • Page 2 . 6.4.13 EXHIBIT M—Other Permits and Licenses 16. FARFRUMWURKIN LLLP will commit to incorporating the details of the 404 permit into the mining and reclamation plan. It is understood that this may require a technical revision. Other 19. It is estimated that approximately 10,000 yd3 of non-saleable asphalt and or non-saleable concrete will be on-site at any one time. The cost to reclaim this material is included in the revised Exhibit L — Reclamation Costs. This material will be reclaimed by backfilling onsite followed by covering with overburden backfill (minimum 5 ft), topsoiled (minimum 1-2 ft) and finally re-vegetated. Sincerely, V.:atilt\INI),40\AA4 Peter Wayland President End. Revised Exhibit E—Reclamation Plan, Revised Exhibit L—Reclamation Costs Wci --.. Weiland. Inc. Environmental a Engineering ADDENDUM A M-2004-047 FILE PIT 112 DITCH SEEPAGE OBSERVATION PROGRAM AND PROPOSED MITIGATION STRATEGY FOR THE BOULDER-WELD COUNTY DITCH WELD COUNTY Prepared for FARFRUMWURKIN LLLP 1163 Oakhurst Drive Broomfield, CO 80020 Prepared By: Weiland, Inc. 525 3`d Avenue, Suite 211 Longmont, CO 80501 January 2005 1.0 OBSERVATION PROGRAM 1.1.INTRODUCTION The program has been developed in response to concerns raised by the Boulder Weld County Ditch (Ditch) Company's legal representation regarding potential increased seepage due to dewatering activities associated with the File Pit 112. This plan has been prepared for the purpose of establishing existing baseline seepage conditions and evaluating potential future changes in seepage due to mine dewatering. The plan also includes a strategy to mitigate any increase in seepage due to pit dewatering. A groundwater modeling report was previously prepared by Weiland, Inc. and submitted as part of the requirements of the Colorado Division of Minerals and Geology Regular 112 permit Application materials. This study concluded that ditch seepage due to mine dewatering was negligible. The existing 6" drain installed in the 1940's that occurs directly below the ditch and approximately 250 ft south of the mining area, was found to capture most all of the ditch seepage in this area and is predicted to continue to remove the same amount of seepage during mine dewatering. Modeled ditch seepage flow values were compared between pre-pumping and pumping conditions and no change was found. Model results are not absolute and as an added assurance of to the Ditch, FARFRUMWURKIN LLLP has agreed to implement this observation program as defined herein: This document will be attached as Addendum A to the Colorado Division of Minerals and Geology Regular 112 Permit Application materials (M- 2004-047). The plan proposes to install 7 new observation wells (OW-A to OW-G) as part of a program to monitor baseline and development groundwater levels in the shallow sandy silt down slope from the Ditch. 1.2.OBSERVATION WELLS 6 observation wells are to be installed down-gradient from the canal and another observation well above the canal. The approximate locations are shown on Sheet 1 in Plan View and Sheet 2 in Cross Section View. Water level observations are to be made and recorded monthly prior to dewatering activities begin in the south area of the proposed mine (approximately 1-3 years following the start of mining) 1.3.EXISTING DITCH STAGE MEASUREMENT The ditch stage will be measured at the wingwall of the culvert under CR3.25. Ditch stage and water level elevations on the hillslope will be plotted for the purpose of evaluating a correlation. 1.4.MONITORING DURING GRAVEL MINING The eight monitoring wells and the drain will be observed and recorded monthly prior to dewatering in the southern portion of the pit as indicated above. Upon commencement of dewatering along the southern portion of the pit, weekly observations will be made, recorded and compared to baseline conditions. If evidence is found that water table elevations have decreased less thanl0% for a corresponding ditch stage, than pumping will immediately cease and the mitigation strategy given in the next section will be implemented. 2.0 MITIGATION STRATEGY 2.1.SEEPAGE BARRIER CUTOFF WALL If mitigation is required as indicated above, FARFRUMWURKIN LLLP proposes to install a seepage barrier between the gravel pit and the Ditch. The seepage barrier will isolate the drop in the water table at the pit from the hillslope, due to dewatering. The approximate location of the seepage barrier is shown on Sheets 1 and 2. The actual location of this barrier may vary depending on the observed drawdown. The seepage barrier will be constructed by trenching through the upper • hydrologic unit (sandy silt layer) down to bedrock shale, approximately 6 to 8 feet deep. The trench will be filled with low permeability clay or other impermeable materials such as geo-membrane and compacted to form a hydrologic barrier. Compaction of the clay barrier, if chosen as the impermeable barrier material, will occur to within 90 % maximum dry density and within 3% optimum moisture content. The seepage barrier will cause the water table to mound between the barrier and the ditch thereby decreasing the water table gradient and reduce canal seepage rates to historic or less. 6.4.5 Exhibit E -Reclamation Plan 6.4.5.1 RECLAMATION SUMMARY Reclamation of the pits will occur concurrently with mining. The reclamation plan proposes to line a portion of the mining excavation with compacted inorganic clay material to create a relatively impervious layer, preventing seepage through the sides of the excavation. The reclaimed West Pit will then be used as 2 separate water storage areas. The largest of the two water storage areas, the South Reservoir, will encompass roughly 60 acres while the North Pond will be approximately 6 acres in aerial extent when finished. Reclamation will follow the sequence outlined below beginning in Area A and finishing with the mining and reclamation of Area K in the West Pit and the west to east mining of the East Pit. Side slopes of the South Reservoir will be graded,at 3H:1V below natural grade leaving the 60-acre pond area occupying the proposed mine pit area. Wide berms extending above the existing ground elevation will be constructed from overburden and will raise the top of pond elevation to 4955. The side slopes of the berm above natural grade will be 3H:1V. Over-excavation of the bottom of the South Reservoir will be required to extract borrow material used to construct the ponds above existing grade and balance the cut/fill for the project. The top width of the berm varies over its total length from approximately 283-feet on the east side of the reservoir, to 361-feet wide on the north, to roughly 307- feet on the northwest edge of the proposed reservoir, to 30-feet wide at the southeast corner of the reservoir where the berm height tapers to approximately 2 feet. Stockpiled topsoil will be placed on the berm and outer side slopes to a depth of 0.25 to 0.5 ft. The clay-lined portion of the pond will not receive application of topsoil material. The vertical extent of the berm above natural grade will impound more than 100 acre-ft of water in the South Reservoir and therefore could be determined a jurisdictional dam. The State Engineers office has reviewed the embankment design and in a letter dated November 8, 2004, have approved the design as shown in EXHIBIT F Sheets 1-2. The letter has been included in Attachment A. 6.4.5.2 WEST PIT Reclamation will follow the same path as the mining. The outer edges of the pit will be mined first, which will free up these areas for the construction of adequate sideslopes and clay lining. After the outer edge of this pit has been mined, the remaining center block of sand and gravel will be mined. Reclamation of the center block will follow the mining operation in a similar fashion. A perimeter drain extending along the east boundary of the pits will be installed to mitigate groundwater mounding caused by placement of the clay liner. This drain will be installed in sections along the toe area of the pit slope prior to backfilling those areas as concurrent reclamation proceeds. File Pit 112 DMG Permit Application Rev 2.0 Page 5 of 27 6.4.5 Exhibit E — Reclamation Plan After the northern portion (North Pond) of the west pit is mined, operations will move to the southern portion (South Reservoir) of the west pit. Overburden stripped from this pit will initially be stockpiled as necessary (never to exceed 100,000 yd3) or will be used to construct the berms for the South Reservoir. The general order of reclamation activities are provided in Table 1, Reclamation Sequence Summary on the following page. • File Pit 112 DMG Permit Application Rev 2.0 Page 6 of 27 6.4.5 Exhibit E — Reclamation Plan Table 1 — Reclamation Sequence Summary Reclamation Activity Mining Sequence Stockpile any remaining waste material During mining of Area A, (area where the from Area A in Area D (existing stockpile Encana Nelson 12-32 and the Texas Tea from work performed under 111 Permit) Nelson 1A gas wells reside and area of 111 Permit work). Backfill east side slope in Area A of the During mining of gravel deposits in Area B West Pit to finished grade. Begin to fill the at far north end of the West Pit. wide flat-topped berm creating the north side of the South Reservoir. Backfill the side slopes of the north pond During mining operations in Area C of the created by excavation of Area B. West Pit. Backfill Area C of the West Pit to final During mining operations in the south grade. Relocate the Encana gasline that portion of Area D in the West Pit. currently runs east/west through the center of the West Pit in Area. Backfill the western edge of the West Pit in During mining of a 500' strip on the west Area D. Bring the South Reservoir berm up edge of the West Pit in Area E. to grade and tie in with the reservoir berm constructed in Area A. Backfill the northwest corner of the West Pit During mining of a 500' strip on the in Area E as well as the west slopes of the southwest corner of the West Pit in Area South Reservoir in this area. F. Backfill the south and west slopes of the During mining of a 500' strip on the south South Reservoir in Area F of the West Pit. edge of the West Pit in Area G. Backfill the south slope and southeast During mining of a 400' strip on the east corner of the South Reservoir berm in Area edge of the West Pit in Area H. G. Backfill the east edge of Area H bringing the During mining of the 400' strip on the east east berm of the South Reservoir to final edge of the West Pit in Area I. grade. Bring all berms surrounding the West Pit During mining of the center portion of the excavation up to final grade (4955). West Pit in Area J. Continue to bring all South Reservoir berms During mining of the center portion of the to final grade as necessary. West Pit in Area K. Line interior slopes and bottom of South During initiation of mining activity in the Reservoir with clay, top soil, seed, and East Pit. (See description on following fertilize exterior side slopes. page). r-- File Pit 112 DMG Permit Application Rev 2.0 Page 7 of 27 6.4.5 Exhibit E — Reclamation Plan 6.4.5.3 EAST PIT The 10-15 acres of the east pit will be mined last. Overburden will be used as necessary for the construction of berms for the south reservoir or removed from the mine area and stockpiled south of the pit. Mining will occur from the west end of the pit and proceed east with concurrent reclamation following the path of the mining activity. 6.4.5.4 CONCURRENT BACKFILLING ADJACENT TO OIL AND GAS STRUCTURES Agreements between owners of oil and gas structures specify that mining can occur as close as 10 feet from the centerline of well access roads that overlay oil and gas pipelines and 75 feet from oil and gas wells as a temporary condition. The mining operation will backfill areas adjacent to oil and gas facilities to a distance of 20 ft from the centerline of roads that overlay oil and gas pipelines and 150 ft from oil and gas wells as shown in Exhibit C — Mining Plan. Backfilling adjacent to oil and gas structures will occur within two weeks following excavation near oil and gas structures. At any given time, pit excavation will occur near one oil and gas well (prior to backfilling said area). Total volume of material needed to backfill the area around the oil and gas structures is approximately 534,400 yd3. Average material to backfill any one oil and gas well area is approximately 85,000 yd3. 6.4.5.5 SLOPE GRADING Both the north and south portions of the west pit will be reclaimed as water storage ponds. The'pit excavation (0.5:1 slopes) will be filled with overburden or borrow materials to construct the ponds. All pond slopes will be graded no steeper than 3H:1 V. Volumes to reclaim slopes are provided in Table 2 — Reclamation Grading Volume Summary. Table 2— Reclamation Grading Volume Summary Area [ft2] Volume[yds3] West Pit Overburden 4,636,600 1,717,300 Berm Construction 4,636,600 2,222,900 Deficit 505,600 'Overexcavation (south pond) 2,183,400 536,200 'Provides borrow material to make up the deficit of fill necessary for reclamation grading. Area [ft2] Volume[yds3] East Pit Overburden 347,000 128,500 File Pit 112 DMG Permit Application Rev 2.0 Page 8 of 27 6.4.5 Exhibit E — Reclamation Plan Slope Reclamation 347,000 46,300 Excess 82,200 6.4.5.6 COMPACTED CLAY LINER The compacted clay liner will be constructed of native clay materials to be constructed at a thickness of 4 ft. The placement of the liner is shown in EXHIBIT F — SHEET-2. The liner will be constructed following slope grading and 6.4.5.7 TOPSOIL REPLACEMENT • Topsoil will be segregated during stripping. Topsoil salvaged from the existing ground surface of the mining excavation will be placed in designated areas replacement during reclamation. Topsoil replacement will occur on the top and exterior slopes of the berm surrounding the pond excavation. Replacement will begin at the northeast corner of the west pit mining operation and continue in a counterclockwise fashion around the pit. Topsoil will be replaced to a depth of 1 foot. Topsoil quantities for both the east and west pits are provided in Table 3 — Topsoil Replacement Volume Summary below. • Table 3 — Topsoil Replacement Volume Summary • Average Topsoil Depth = lft=.33 yd Area Fvd21 Volume Ivds33j West Pit 261,360 87,120 East Pit 48,400 16,133 TOTAL 2,765,845 51,219 103,253 6.4.5.8 SEEDING AND FERTILIZING Currently, agricultural crops including alfalfa, wheat, hay and trees are the dominant vegetation. The proposed seeding areas are shown in Exhibit F — Reclamation Plan. The recommended seeding method is by drill and seeding rates assume this method. The species composition of the seed mixture recommended for reclamation is shown in Table 4 below. File Pit 112 DMG Permit Application Rev 2.0 Page 9 of 27 6.4.5 Exhibit E — Reclamation Plan Table 4. Recommended Seed Mixture Species (Variety) Rate-pure live Native/ W/C Cost seed(pis) Introduced Season pls/ac lbs/ac Thickspike wheatgrass 8.0 to 10.0 Native Cool $11.70 (Critana) Sideoats grama (Vaughn) 5.0 to 7.0 Native Warm $7.25 Switchgrass (Nebraska-28) 4.0 to 6.0 Native Warm $5.00 Alfalfa (Nomad) 3.0 to 5.0 Introduced NA $1.90 TOTAL 20.0 to 28.0 $28.85 Based on this seed mixture an application rate of approximately 20.0 to 28.0 pls/ac will be used. Topsoil should be disked prior to seeding. It is recommended that fertilizer be utilized for reclamation. A standard application of a fertilizer will be used and applied at a rate of 250 lbs/ac as shown in Table 5. Table 5. Fertilizer Application Fertilizer Standard Costs/Pound Cost/Acre Total Costs rate based on a lbs/acre bulk rate of (for 64 ac) • $327.00/ton Diammonium phosphate 250 $0.55 $137.50 $8,800.50 (18-46-0) (46-53% available P2O5with 18- 21% N) Fertilizer will not be used near the edge of the pond, since the possibility of nitrate contamination in the pond water exists. The total area to be seeded is approximately 64 acres. The total area to be fertilized is approximately 64 acres. Seeding and fertilizing will be completed after the overburden and topsoil is replaced, smoothed to conform to the existing topography and disked. Optimal periods of seeding are in the fall (after November 1st) or in the spring from late March up to April 30th. Mulching will not be completed as the quality soils and availability of water should facilitate the rapid establishment of perennial grasses. Following revegetation, weed management strategies will be implemented to facilitate and achieve native grassland. Years 1 thru 5 following revegetation will include an aggressive mowing program to prevent the growth and establishment of weeds, specifically, the eight noxious weeds including: Canada thistle (Cirsium arvense), Dalmation toadflax (Linaria dalmatica), diffuse knapweed (Centaurea diffuse), leafy spurge (Euphorbia esula), musk thistle (Carduus nutans), Russian knapweed (Centaurea repens), spotted knapweed (Centaurea maculosa) and Yellow toadflax (Linaria vulgaris) as mandated by Colorado State File Pit 112 DMG Permit Application Rev 2.0 Page 10 of 27 6.4.5 Exhibit E — Reclamation Plan Law (35-5.5CRS1990, 1996). If needed, herbicide application will be applied as needed to further control these weeds. Herbicides will also be used to control saltecedar(Tamarix spp.) if it becomes established in the reclaimed area. Table 6 presents recommended herbicides, application rate, and time of application for each of the 9 species. It may be necessary to replant treated areas. • File Pit 112 DMG Permit Application Rev 2.0 Page 11 of 27 • • 6.4.5 Exhibit E — Reclamation Plan Table 6. Recommended herbicide application procedures for noxious weeds. Weed Species Herbicide Application Rate Application Time Canada thistle Curtail 2-3 qt/ac October or 1 mo after last mowing Clopyralid 2/3 - 1 pint/ac Spring or fall, during rosette to bud growth stages in spring 2,4-D 1lb ai/ac Spring prebud to early early bud growth stages picloram llb ai/ac Spring prebud to early early bud growth stages Dalmation toadflax picloram 0.5 - 1 lb ai/ac Fall picloram + 2,4- D Pre-bloom or fall Diffuse knapweed Tordon 1 pint/ac Spring rosette to early-bolt growth stages Banvel/Vanqui sh/Clarity + 2,4-D 0.5 + 1 qt/ac Spring rosette to early-bolt growth stages Curtail 2-3 qt/ac Spring rosette to early-bolt growth stages Transline 2/3 - 1 pint/ac Spring rosette to early-bolt growth stages Leafy spurge Tordon 1 qt/ac Fall 1 month after last mowing Tordon + 2,4- D 0.5 - 0.75 + 1 qt/ac Fall 1 month after last mowing Vanquish/Clari ty 1 qt/ac Fall 1 month after last mowing File Pit 112 DMG Permit Application Rev 2.0 Page 12 of 27 6.4.5 Exhibit E — Reclamation Plan Musk thistle Curtail 0.25 lb ai/ac Spring 10-14 days before bolting dicamba 1 lb ai/ac Spring 10-14 days before bolting picloram 0.25 lb ai/ac Fall, apply to rosettes when other plants are dormant Russian knapweed Curtail Fall on dormant plants, need to reseed during following year picloram 1 lb ai/ac Anytime Spotted knapweed picloram 1 lb ai/ac Anytime dicamba or 2,4-D 1 lb ai/ac Yellow picloram or toadflax dicamba 1 lb ai/ac Spring during flowering Saltcedar imazapyr Late summer early fall foliar application imazapyr or triclopyr To resprouted stems imazapyr or triclopyr To perimeters of cut stems immediately after cutting Sources: Colorado Natural Areas Program. 2000. Creating an Integrated Weed Maganement Plan. http://parks.state.co.us/cnap, and Colorado State University Cooperative Extension. No date. Weed Management for Small Rural Acreages. No. 3.106. http://www.ext.colostate.edu/PUBS/Natres/03106.html File Pit 112 DMG Permit Application Rev 2.0 Page 13 of 27 6.4.5 Exhibit E — Reclamation Plan 6.4.5.9 ALTERNATIVE RECLAMATION PLAN There is no alternative reclamation plan. • • File Pit 112 DMG Permit Application Rev 2.0 Page 14 of 27 • 6.4.12 Exhibit L— Reclamation Costs A significant amount of the reclamation will occur concurrently with mining and therefore that portion of earthmoving has not been included in calculation of the bond amount. There will be no more than 100,000 yd3 of overburden and topsoil stockpiled at any given time. The costs table shown below is based on the single largest area open EXHIBIT L- RECLAMATION COSTS DIRECT COSTS Item Task Description Area Volume Hours Cost Extension 1 Backfill &Slope Grade 0.5:1 to 3:1 100,000 75 $119.38 $8,953.50 • 2 Topsoil Replacement 64 acres @ 12" Depth 103,253 $0.58 $59,886.74 3 Build Berm for one 10-15 acre cell 85,000 $0.75 $63,750.00 4 Dewatering Pit 923 acre-ft 923 $65.67 $60,613.41 5 Install East Perimeter Drain 3,400 ft $3.00 $10,200.00 Place compacted clay liner material @ 6 $0.80/cy 56,385 $0.80 $45,108.00 Clay liner moisture conditioning, blending, 7 grading, etc. 56,385 $0.10 $5,638.50 8 Clay liner QA/QC 56,385 $0.03 $1,860.71 9 Re-vegetate Disturbed Area 64 $550.00 $35,200.00 10 Mobilization/Demobilization $2,000.00 $1,000.00 Place compacted clay hydraulic barrier if 11 needed (3228 ft) 3,000 $0.80 $2,400.00 Backfill 10,000 cy of non-saleable concrete of 12 asphalt 10,000 $0.58 $5,800.00 Total Direct Costs $300,410.86 INDIRECT COSTS OVERHEAD AND PROFIT 1 Liability Insurance (1.55% of Direct Costs) $4,656.37 2 Performance Bond (1.05% of Direct Costs) $3,154.31 3 Job Superintendent Costs 5.5 $33.88 $186.34 4 Profit @10% of Direct Costs $30,041.09 Total Overhead and Profit $38,038.11 Contract Amount(Direct Costs plus Overhead and Profit) $338,448.96 1 Engineering work and/or contract/bid preparation @4.25% of contract $14,384.08 2 Reclamation management and/or administration @5.00% of contract $16,922.45 $69,344.64 TOTAL BOND AMOUNT $407,793.60 File Pit 112 DMG Permit Application Rev 2.0 Page 23 of 27 • \ 14+00- \ t /Ill . " / / fi I 13+00 011/%`s) _ __ '\1/ / •/ / • /� 11+00- / / / _ • / • ' --)r w 10+00- \\ / / t \ • / / • /+ / X 9+00 — _\ / t "\ II • X` J�1- — %/HYDRAULIC BARRIER TRENCH 4 / ,+oo .- • • • • ' ' o HYDRAULIC BARRIER TRENCH / 9+00 — 4 �� ........ 04, 0'KC' o 0 6" SUBSURFACE DRAIN T BOULDER WELD COUNTY DITCH l •• % w ••••• 0 � \ 4 �... / _ 3+00 - \ M J / \\ ��.. \, 2+00 - V �.. / LOWER BOULDER DITCH / 6) �6 \x ` // \ \ 0+00 / - cl y-X A i. ��+�. ��� I > / ....#. w ���� \ +� �- � � // / c, 41 lit) \ \ _\ \V �' - - V 300 4W 500 Ear � \. /� �� /6)�� 5GLE'. 1'. 2047 �-�\<\. / REVISIONS FILE PIT 112 DITCH SEEPAGE OBSERVATION PROGRAM . .. peac..re REGULAR 112 PERMIT APPLICATION SHEET 1 �`..:W.Czarme s WELD COUNTY e 0.1=100' SHEET 1.D1hG a•�-/s�l Ww�•„ 'r �� FARFRUMWURKIN LLLP o"."". PFW „.��� KS d.,.02/23/09 MET OF2 __. COUNTY DITCH 1 I LAYER 1 AQUIFER 1 BOULDER APPROXIMATE LOCATION OF r 4990 + I 5000 SANDY SILT (SM)II ! OW-D ! OW- PROPOSED HYDRAULIC BARRIER TRENCH 1 I 0W-0 XISG OPOI I f(E 1 '} ) (4 FT WIDTH COMPACED C Y DEPENDING ON L j AC 1 I , - } OBSERVED LODRAWDOWN R 4980 ! - - �� I t �D I CTION MAY A 1I 1 If 1 I f I r 4970 _ OW-B - I -1- _ t- ' NORTH EDGE , - I I t I - r // 4960 - r - _ _ r ! 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