VCUP deemed appropriate on land owned by U. S. Energy

Lots of details to come before final decision…

The state has determined that property owned by U.S. Energy near the old Keystone Mine site is eligible for a potential Voluntary Cleanup Plan (VCUP). But there are still a lot of details that need to be submitted and reviewed before a final approval is considered.

The Colorado Department of Public Health and Environment is requiring that the mining company provide details of a comprehensive monitoring plan, a comprehensive contingency plan, a detailed bulkhead design for the various mine portals, termination of the company’s intent to explore for minerals filed with the Division of Mining Reclamation and Safety on the property, and a “clarification of issues identified in the application.”
“Once we have received these plans, the bulkhead design, clarifications, and confirmation of NOI [Notice of Intent] termination, we will work with the Department of Natural Resources to review the plans and determine whether we approve your Voluntary Cleanup application,” stated a letter to USE attorney Fred Craft from VCUP program coordinator Fonda Apostolopoulos.
The NOI termination refers to an application made several years ago by USE to use a Keystone mine adit to explore for molybdenum. But it has no connection to the proposed Plan of Operations filed with the Forest Service to begin major molybdenum exploration and mining.
“We’re pleased that it lays out clear guidelines by which the state will review the more detailed yet-to-be-submitted portions of the VCUP, especially relating to water quality,” said Greg Dyson, executive director of High Country Conservation Advocates (HCCA). “We hope to be in a position to be working with U.S. Energy on the VCUP, and the guidelines the state has laid out are in tune with where we would like to see the VCUP headed in order to fully protect our community and water. It’s good we’re all on the same page.”
The Red Lady Coalition is also encouraged with the direction of the process from the state. “The CDPHE letter concerning the VCUP’s subsequent phases is very encouraging,” said Bill Ronai, RLC president. “We are pleased that they appreciate the concerns of the community.”
The CDPHE makes it clear that USE must comply with all federal, state and local regulations and gather all the needed permits before any work is begun. A Crested Butte watershed permit will likely be required from the town if final approval is granted for a VCUP.
Todd Crossett, Crested Butte town manager, said the VCUP process is a continuing process and the first piece of the puzzle to come in is what was anticipated. “The state has ruled on the eligibility of the land and that’s what we expected,” he said. “So now there are some other pieces that are forthcoming. Until we see that, it is probably too preliminary to comment. As everyone is aware, we commenced discussions with U.S. Energy recently and we’ll see where those go. It’s all part of the puzzle. We’ll have the opportunity to see the next pieces come in and we can go from there.”
And just because an approval might be granted, the CDPHE makes it clear that things can change if new issues arise during the actual VCUP work. “If the Department ultimately approves the applications, continuing approval will be conditioned upon no additional degradation of segments 11 and 12 of the Upper Gunnison River Basin (Coal Creek) resulting from activities outlined in the application,” the notification letter states.
Among the “minor issues” identified by the CDPHE that need to be clarified are a discussion of storm water discharge and control measures, how water treated at the waste water treatment plant from existing tailings ponds will continue to be treated, and general water quality standards.
“We are pleased that U.S. Energy Corp’s VCUP application for the Historic Keystone Mine has been deemed eligible for the Voluntary Cleanup Program,” said U.S. Energy President and Chief Operating Officer Mark Larsen. “We believe that this is an important first step in achieving a long term solution for the historic property and we look forward to advancing the effort.”