----- Original Message -----

From: Halim, Ramli A.

To: 'Ms. Dionne Filiatrault'

Cc: 'tech2@nwb.nunavut.ca'

Sent: Friday, November 07, 2003 8:50 AM

Subject: Lupin - 2003 geotech Inspection

Hi Dionne :

I am currently reviewing the 2003 Inspection report for the Lupin Mine, and would like to get some more information about the following

Background
This year's inspection by BGC also included inspection on two tailings dump pond dikes, and two sewage containment dikes. In the past years, this was not part of the annual inspection report. I assume that Part D item 6(g) only deals with the tailings dikes only. I was going to check the license, but the pdf file from your ftp site could not be downloaded (or could not be configured when downloaded). The License only requires the Geotec inspection for the engineered facilities at the TCA.  Duing the inspections that Mr. Cassie has performed, he has previously included the internal dykes at the TCA, but not the dump ponds nor for the sewage.  The comments on the internal structures were only distributed on site to the env and general manager for review.  There were previously no inspections done by Mr. Cassie on the dump ponds or sewage.  These were requested internally and were associated with a corporate env. audit/risk assessment completed in June of 2003.  In other words, this information should not have been forwarded within the License geotech inspection report.

In their report, BGC indicated that no design info was available for the above four dikes. It was not known whether the dike has a geosynthetic liner on the inside of the pond.   See above, no liners used.  TCA perimeter dams and internal Kdam were the only structures with liners.

Perhaps, as per Part D item 6(g), these four dikes are not relevant and consequently Lupin Mine did not take any actions on some recommendations requested by BGC (or perhaps they did, but not reported under the Part D item 6(g) requirements. Again, not a requirement and should not have been reported within the annual Geo report.

Lupin, however, has carried out all other remedial work related to the tailings dikes.

Some of my questions related to these four dikes are as follows:

- Are there any mining activities occurring at Lupin now?  (mining/production has been suspended since August '03) Will the dump ponds be used from now on? (I believe the line has been used for transfer of mine water but was to be shut down in Sept/Oct? until further needed, mine water to be kept underground) Have all of the tailings been transported to the TCA and tailings pipes dismantled? Everything is still in place, pending further production decisions. Will dump ponds still be used temporarily during clean up of the tailings pipes (for washing and flushing, etc). Yes

- A similar question for the sewage treatment lagoons and the two dikes. Is the lagoon still being used now? There is still a skeleton crew on site for maintenance purposes and will be until further notice.

- I assume that the reclamation of the dump ponds and the sewage lagoons are addressed in the Closure and Reclamation plan for Lupin. So, is it a fair assumption that they will do what are required to clean up and restore these areas as part of the mine closure at Lupin? I believe they are and will be cleaned up at mine closure.

- BGC only briefly discussed about the interior dikes (J,K,L and M). No inspection sheets, and no photos. Lupin did not indicate in their letter that remedial work was carried out in 2003 as suggested by BGC. There are others that were not mentioned at all (dikes N, 3D,3C and 3E). Perhaps these dikes are not critical (ie. if fail , there won't be risk or potential breaching of water). I never see these dikes, and there are no photos available. Perhaps these dikes are just separator dikes. Now that the mining ceased its operation, they may not be important at all. I assume that Lupin will carry out the final reclamation and restoration for the whole TCA. I wonder if David agrees with this. Perhaps I should just indicate in the review that stabilization of all dikes will be carried out as part of the final reclamation activities in the TCA area. Please comment. Fair to assume, 3C and 3E are essentially non-existent, were simply divider dikes for solids retention cells.K and M separate solids cells from Pond 2, L separates C3 and C4 solids cells, J divides P1 and P2 and will be dropped in elevation for closure.

I am not familiar with the closure and reclamation plan at Lupin, and whether the reclamation for the dump ponds and sewage lagoons are addressed. Perhaps David can provide comments and more information.  I believe the sewage ponds are address, not 100% sure on the dump ponds.

I am preparing the review report (which must be in by Nov 12), and wonder whether I should bring this issue in the review, or just cursory indicate that Lupin should deal with it as part of their site reclamation. The TCA facilities are the items to be concerned with under the geotec inspection. The sewage ponds are most likely not included and the dump ponds are open to interpretation...

Back about the Lupin license. Could you ask Phyllis to check if the pdf file in the NWB ftp site can be opened,downloaded and read. I could not open it from our ends (unsupported or corrupt file). You are right, there is something wrong with the file or how it was saved to the ftp site. others including myself could not open it...Phyllis had replaced the file last week as it was an older version of the license and had some errors (within the document).

The ftp is now available at http://ftp.nunavut.ca/nwb  

ftp:\\ftp.nunavut.ca\nwb\ nwb approved licenses\nwb1 mining\
I also tried to open the pdf file as MSword  document (perhaps it was renamed .pdf by mistake, instead of .doc) and it did not work.

In case you are not available, I forward a copy of this e-mail to David too.

Nanisivik...
I noticed that Breakwater has submitted the revised HHERA report. Some of the SQRO values are lower. Hope that this would be the final conclusion and everybody is happy. How was Patrick's meeting with the local community on Nov 5?  I hope that it went well.

If you have any questions, give me a call or send me an e-mail. I try to send the Lupin review report early next week (before 12^th Nov). Hope to get your or David's response asap.

Regards
Ramli

R. Halim  (Acres International Limited)
Toll Free 1 888 824 0441
(204) 786 8751   Fax: (204) 786 2242     rhalim@acres.com