NI43-101Pre-Feasibility Study Report - page 516

Rare Element Resources
Bear Lodge Project
Canadian NI 43-101 Technical Report
October 9
, 2014
10135-200-46 - Rev. 0
A reclamation plan describing the final design standards and layouts for the
permanent closure of mine and plant facilities has been prepared as part of the Plan
of Operations. The reclamation plan also includes a final surface-grading plan
defining post-mining topography and post-operation monitoring and site maintenance.
The amount of the surety bond to cover the cost of reclamation will be determined
according to WDEQ and USFS requirements, and unit costs have been included in
the Plan of Operations.
20.3 NEPA/EIS Record of Decision
The USFS accepted the Plan of Operations as technically complete in May 2013 and
triggered a NEPA review that requires the preparation of an environmental impact
statement with the USFS as the lead agency. Rare Element has entered into a
Memorandum of Understanding (MOU) with the USFS to prepare a Third Party EIS
using an outside contractor (Tetra Tech) with no conflicts of interest. The MOU
defines the roles of the USFS and Rare Element in the preparation of the EIS and
requires a professional services agreement between Rare Element and the Third
Party EIS contractor, a disclosure statement of no conflicts of interest from the EIS
contractor, and a schedule for the completion of the EIS.
The USFS has selected a Project Manager and prime contractor for preparation of
the EIS, published notice in the Federal Register and completed necessary scoping
work. The USFS is currently working on the evaluation of the public comments,
identification of alternatives and preparation of the draft EIS. The US Army Corps of
Engineers (USACE), the National Park Service, and the appropriate state and local
government agencies are involved in the EIS process as cooperating agencies. The
schedule, as distributed by the USFS in its scoping documents, shows the completion
of the draft EIS in the first quarter of 2015 and the final EIS by mid
2015. The
culmination of the EIS process, following other federal agency and public review and
comment, may result in a Record of Decision and subsequent approval of the Plan of
Operations by the USFS which is currently expected in the fourth quarter of 2015.
20.4 US Army Corps of Engineers Permits
Rare Element will submit a Section 404 permit application to the USACE for the
mining activities at the Bull Hill site. The USACE regulates the placement of dredged
and fill material into waters of the United States in accordance with Section 404 of the
Clean Water Act (33 U.S.C 1344).
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