January 15, 1999

NWB2BIG9800

Ms. Diane J. Gregory

Lands & Contract Manager

Kennecott Canada Exploration Inc.

354 200 Granville St.

Vancouver, BC

V6C 1S4

Attention: Diane J. Gregory

Re: Water Use Permit No. NWB2BIG9800 (Bignose property)

Dear Ms. Gregory,

The Nunavut Water Board (NWB) acknowledges receipt of your January 7, 1999 letter requesting to cancel Water Use Permit No. NWB2BIG9800 for the Bignose property in the Kitikmeot region. Given that Kennecott proposes to vacate the site prior to expiration the NWB request that the permittee submit to the Nunavut Water Board and to the Inspector, a summary of report of activities, water quality data, abandonment and restoration of the site, and a list of unauthorized spills and follow up action list.

If you require clarifications or assistance please do not hesitate to call myself or Dionne Filiatrault Technical Advisor.

Thank you,

David Porter

Licence Administrator

cc. Paul Smith, Inspector - DIAND