Plan of Operations for Geophysical Investigations

Plan of Operations Geophysical Investigation

Midas Gold Idaho, Inc. Stibnite Gold Project

Stibnite, ID

Revised June 2017

Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation TABLE OF CONTENTS

Table of Contents 1 Introduction ...... 1 1.1 General Information ...... 1 1.2 Project Owner/Operator ...... 1 1.3 Land Status ...... 2 1.4 Document Control ...... 2 2 Project Location ...... 3 3 Access and Road Segment Descriptions ...... 7 4 Geotechnical Drilling Sites ...... 13 4.1 Proposed Upper East Fork South Fork Salmon River Drilling (Attachment A, Figure 3) ...... 13 4.2 Proposed Meadow Creek Drilling (Attachment A, Figure 6) ...... 13 4.3 Proposed Middle East Fork South Fork Salmon River and Garnet Creek Drilling (Attachment A, Figure 7 and 8) ...... 13 4.4 Proposed Lower East Fork South Fork Salmon River and Fiddle Creek Drilling (Attachment A, Figure 9) ...... 14 4.5 Proposed West End Creek and Midnight Creek Drilling (Attachment A, Figure 10)14 4.6 Proposed Upper Meadow Creek Drilling (Attachment A, Figures 4 and 5) ...... 15 5 Drilling in Riparian Conservation Areas ...... 17 6 Water Use and Points of Diversion ...... 19 7 Equipment Staging and Operations ...... 21 7.1 Core Drilling ...... 21 7.2 Sonic/auger SPT Drilling ...... 22 7.3 Fuel Haul and Storage ...... 23 7.4 Vehicle Trips ...... 24 8 Groundwater Monitoring ...... 25 9 Best Management Practices/Standard Operating Procedures ...... 27 10 Reclamation Plan ...... 49 10.1 Drill Pad Reclamation ...... 49 10.2 Temporary Road Reclamation ...... 49 10.3 General Reclamation Practices and On-going Activities...... 49 11 Reclamation Performance Bond ...... 51 12 References ...... 53 13 Operating Plan Acceptance ...... 57

hdrinc.com River Quarry at Parkcenter, 412 E. Parkcenter Blvd. Suite 100, Boise, ID 83706-6659 (208) 387-7000 i Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation TABLE OF CONTENTS

List of Figures Figure 1. Location of Proposed Project ...... 5 Figure 2. Overview of Proposed Action Activities Project Area Map ...... 11 List of Tables Table 1. Temporary Road Use Authorization and Previously Authorized Road Use Associated with the Proposed Drilling Sites ...... 8 Table 3. Summary of Proposed Drilling Activities ...... 9 Table 4. Summary of Proposed Drilling Activity – NFS Lands ...... 15 Table 5. Summary of Proposed Drilling Activity – Infrastructure on NFS Lands (Reclamation) ..16 Table 6. Summary of Drilling in RCAs ...... 17 Table 7. Summer Drilling Project Traffic – Post-Landmark/Johnson Creek Road Opening June 2 through November 30 ...... 24 Table 8. Winter Drilling Project Traffic - Pre-Landmark/Johnson Creek Road Opening December 1 through June 1 ...... 24 Table 9. Standard Operating Procedures ...... 28 Table 10. Threatened, Endangered, Sensitive, Candidate, and Proposed Plants Known or Suspected of Occurring on the Forest ...... 47

Attachments Attachment A – Proposed Drilling Site Maps (topographical, aerial, slope maps for each site) • Figure 3: Upper East Fork South Fork Vicinity • Figure 4: Upper Meadow Creek Sheet 1 Vicinity • Figure 5: Upper Meadow Creek Sheet 2 Vicinity • Figure 6: Meadow Creek Vicinity • Figure 7: Middle East Fork South Fork Vicinity • Figure 8: Middle East Fork South Fork and Garnet Creek Vicinity • Figure 9: Lower East Fork South Fork and Fiddle Creek Vicinity • Figure 10: Midnight Creek and West End Vicinity • Figure 11: Hennessy Creek Vicinity • Figure 12: West End Access Vicinity

Attachment B – Photographs of Typical Drilling Operations Attachment C – Photographs of Reclamation Activities Attachment D – Example of BMP Inspection Sheet

River Quarry at Parkcenter, 412 E. Parkcenter Blvd. Suite 100, Boise, ID 83706-6659 hdrinc.com (208) 387-7000 ii Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation ACRONYMS

Acronyms

Acronym Definition ATV all-terrain vehicle BMPs best management practices CFR Code of Federal Regulations DOT U.S. Department of Transportation EFSFSR East Fork of the South Fork of the Salmon River FAA Federal Aviation Administration FC Fiddle Creek FS Forest Service road ft2 square feet GC Garnet Creek IDAPA Idaho Administrative Procedures Act IDEQ Idaho Department of Environmental Quality IDL Idaho Department of Lands IDWR Idaho Department of Water Resources LEFSF Lower East Fork South Fork of the Salmon River LPV Light person vehicles MC Meadow Creek MEFSF Middle East Fork South Fork of the Salmon River MID Midnight Creek MGII Midas Gold Idaho, Inc. NFS National Forest System NOAA fisheries National Marine Fisheries Service fisheries NOAA National Oceanic and Atmospheric Administration OSHA Occupational Safety and Health Administration POD point of diversion POO plan of operations RCA riparian conservation area SPCC spill prevention control and countermeasures SOP standard operating procedure SPT standard penetration testing SWPPP stormwater pollution prevention plan UEFSF Upper East Fork South Fork of the Salmon River UMC Upper Meadow Creek USFS U.S. Forest Service USFWS U.S. Fish and Wildlife Service WE West End Creek

hdrinc.com River Quarry at Parkcenter, 412 E. Parkcenter Blvd. Suite 100, Boise, ID 83706-6659 (208) 387-7000 iii Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation INTRODUCTION

1 Introduction (6/22/2017)

Midas Gold Idaho, Inc. (MGII) holds unpatented and patented mineral claims in the Stibnite- Yellow Pine District in central Idaho. This plan of operations (POO) addresses geotechnical drilling activities planned to initiate in 2018.

1.1 General Information

Name of project: Stibnite Gold Project Type of operation: Geotechnical Drilling Proposed start-up date: January 2018 Expected total duration of this Summer drilling: June 2018 through October 2018 Plan of Operations: Winter drilling: January 2018 through March 2018 November 2018 through December 2018 Expected date of final Winter 2018 completion of all required reclamation:

1.2 Project Owner/Operator Claim Owner: Midas Gold Idaho, Inc. 405 S. 8th Street, Suite 201 Boise, ID 83702

Authorized Field Representative: Kyle Fend Environmental Superintendent 405 S. 8th Street, Suite 201 Boise, ID 83702 Tele: 208.901.3047 [email protected]

Corporate Contact: Laurel Sayer President and CEO, Midas Gold Idaho, Inc. 405 S. 8th Street, Suite 201 Boise, ID 83702 Tele: 208-901-3050 [email protected]

1 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation INTRODUCTION

1.3 Land Status As of November 2011, MGII’s holdings consist of approximately 27,100 acres (10,972 hectares) of unpatented and patented claims, including 1,334 federal unpatented load claims and 46 federal unpatented millsite claims, which provide MGII the rights to mine and explore for minerals on these lands. The property also consists of 65 patented load claims and 30 patented millsite claims. The combined patented claims account for 1,350 acres of private lands.

1.4 Document Control If MGII applies for changes in this POO as result of planned changes to the project, the U.S. Forest Service (USFS) must approve the changes. Furthermore, USFS may direct that changes be made to the POO because of unanticipated changes detected through project monitoring programs.

Each main section of the POO is dated and will be updated to reflect revisions. There will be two official copies of the POO: one at MGII’s environmental office at the project site and the other at the USFS office. A designated MGII official is responsible for updating these two copies, as needed.

2 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation PROJECT LOCATION

2 Project Location (6/22/2017)

The proposed MGII geotechnical drilling areas are located in sections 2, 3, 11, 14, 15, 16, 21, 24, Township 18 North, Range 9 East, Boise Meridian, Valley County, Idaho. These areas fall within the Stibnite, 1:24,000 U.S. Geological Survey (USGS) topographic quadrangle. Figure 1 is a vicinity map showing road access to the project site.

During non-winter conditions (roads clear of snow), project site access from Cascade is by travelling northeast via Warm Lake Road (Forest Service Road 10-579 [FS 10-579]) approximately 37 miles to Landmark, then north approximately 28 miles to Yellow Pine on Johnson Creek Road (FS 10-413), and then approximately 14 miles along Stibnite Road (FS 50-412) to the project staging area (Figure 1). This is the primary route for equipment mobilization and demobilization. However, Valley County does not maintain Johnson Creek Road and Stibnite Road during the winter (no snow removal). The project site can also be accessed from McCall during non-winter conditions by travelling 33 miles east on Lick Creek Road (Forest Highway 48 [FH-48]) to East Fork Road (FS 50-412), then 16 miles to Yellow Pine, and then approximately 14 miles along Stibnite Road (FS 50-412) to the project staging area. During winter, the project site can be accessed only from Cascade by travelling 35 miles northeast via Warm Lake Road (FS 10-579/FH-22) to Knox, then north approximately 32 miles along South Fork Road (FS-474/50674) to the East Fork Road (FS 50412), then 16 miles to Yellow Pine, and then approximately 14 miles along Stibnite Road (FS 50-412) to the project site.

For winter drilling in 2018, MGII will maintain Stibnite Road (county road) between Yellow Pine and the project site in cooperation with Valley County. The goal is for Stibnite Road to remain accessible to four-wheel drive and/or chained vehicles throughout the winter. If snow becomes too deep or dangerous (e.g., avalanche danger) for snow removal activities, or if snow plowing creates too much potential for sediment loss to surface water, MGII will snow-groom Stibnite Road using a snowcat, and access to the site will be via MGII’s enclosed, heated snowcat. MGII will use the services of a professional avalanche forecaster to help assess potential avalanche dangers on access roads and at the drill sites. MGII will coordinate the winter use of Forest Service System roads with Boise National Forest (BOI) and Payette National Forest (PAF) staff to ensure road use is consistent with the current Payette National Forest Road Use Plan, and there are no conflicts with any planned National Forest or county construction, road repair, or road closure activities.

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Data Sources: State of Idaho Geospatial Gateway (INSIDE River on Idaho); Payette National Forest; US Forest Service; BLM: m «¬75 al USGS S Stanley Ü Map Date: October, 2014 Document: Q:\MidasGold\GoldenMeadows\map_docs\BslnFigures_LetterLandscape.mxd Figure 1 Vicinity Map Stibnite Gold Project Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation ACCESS AND ROAD SEGMENT DESCRIPTIONS

3 Access and Road Segment Descriptions (6/22/2017)

Table 2 lists proposed drilling pads by drill pad ID (identified by drainage and a number); these are used throughout this document and their locations are shown on accompanying Attachment A figures. All drill pads are on USFS land. Figure 2 is a map showing the general locations of the geotechnical drill pads.

MGII will access drill pads via helicopter, wheeled vehicles, or tracked vehicles (snowcats). Of the 62 proposed drill pads, MGII will access 7 by helicopter for drilling. All of the summer core hole drilling pads are helicopter-supported with the exception of pads MEFSF-2, LEFSF-4, and LEFSF-5, which are located on or next to roads. The summer sonic or auger/standard penetration testing (SPT) pads are on or next to existing roads. MGII will drill the winter pads when there is sufficient snowpack so that there is minimal disturbance. All of the proposed pads can be accessed by helicopter or existing roads and will not require the construction of new roads.

Five segments of the existing road need temporary road use authorization; Route 412-9000 is in the Meadow Creek area and would use 2,168 feet of existing road and the existing temporary bridge over Meadow Creek to access proposed drill pads; Route 412 is in the Upper Meadow Creek area and would use 1,923 feet of existing road; Route 412-9200 is in the Upper Meadow Creek area and would use 545 feet of existing road; Route 1 is in the Garnet Creek area and would use 185 feet of existing road; Route 1 is also in the West End area and would use 101 feet of existing road; and 1-8800 is in the West End area and would use 355 feet of existing road. In addition to the existing road segments in the Upper Meadow Creek area, MGII proposes to use a temporary winter bridge to access drill pad locations in this area. A temporary bridge will be placed over Meadow Creek so that all equipment and vehicles will not be transported in the active stream channel. The bridge, made of a flatbed rail car, will be removed at the end of the drilling activity. The bridge will be sledded on skids to and from the Meadow Creek crossing site. No earthwork will be required when preparing the temporary bridge location, and the bridge will be placed on top of the snow. Abutments built of clean packed snow will be used when setting the temporary bridge structure. No bridge is required to cross the Meadow Creek tributaries because these will be frozen, covered with snow, and not bearing fish at the time of the activity.

MGII proposes to use these existing roads and bridges as is. No work will be done to upgrade these existing roads, with the exception of temporary dead tree removal. Figure 2, Figures 5 and 6 (Attachment A)) show the location of the proposed drill pads relative to these segments of road. All other roads are public or private or have previously been authorized for use from the project environmental assessment (EA; USFS 201.5). Table 1 shows the road use authorization for use of the routes in Meadow Creek and Upper Meadow Creek, and previously authorized roads.

7 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation ACCESS AND ROAD SEGMENT DESCRIPTIONS

Table 1. Temporary Road Use Authorization and Previously Authorized Road Use Associated with the Proposed Drilling Sites New Road Route Length Temporary Authorization Construction 412-9000 2,168 Needed for road and bridge use No 412 1,923 Needed for road and bridge use No 412-9200 545 Needed for road and bridge use No 1 185 Needed for road use No 1 101 Needed for road use No 1-8800 355 Needed for road use No Subtotal 5277 N/A N/A 1 2,164 Previously authorized* N/A 2 2,861 Previously authorized* N/A 2-6000 138 Previously authorized* N/A 2-7000 189 Previously authorized* N/A 412-8200 355 Previously authorized* N/A 412-8220 263 Previously authorized* N/A Subtotal 5970 N/A N/A Total 11,247 N/A N/A Table 1 note: *Previously authorized for a 3-year period beginning in 2016 by Golden Meadows Environmental Assessment

8 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation ACCESS AND ROAD SEGMENT DESCRIPTIONS

Table 2. Summary of Proposed Drilling Activities

Helicopter Access Located within Pad Sump Depth of RCA Type Disturbed Drill Pad Figure ID No. of Pad Size Diameter of Area in RCA Drill Pad Type Season or track Purpose to Drill Roadless Sumps Dimension Dimension Slope Hole Latitude Longitude (wetland, Area ID (Attchmnt A) Holes (feet2) Hole (inches) (acres) supported Pad Areas (feet) (feet) (feet) stream, both) (feet)

FC-1 Figure 9 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 9.601 <250 4 to 6 44.9201351 -115.3342867 Stream 0.0143 625 FC-2 Figure 9 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 0.828 <250 4 to 6 44.920067 -115.3330114 Stream 0.0143 625 GC-2 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 4.901 <250 4 to 6 44.9076574 -115.3253099 N/A N/A 0 GC-3 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 9.311 <250 4 to 6 44.9079629 -115.3246526 N/A N/A 0 Geotechnical, GC-4 Figure 8 Core Hole Summer Helicopter Heli N/A 2 1 500 20 X 25 6 X 12 7.053 <1,000 2.5 to 1.874 44.9080724 -115.3245337 N/A N/A 572 Exploration GC-5 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 6.682 <250 4 to 6 44.9082929 -115.3248114 N/A N/A 0 Geotechnical, GC-6 Figure 8 Core Hole Summer Helicopter Heli N/A 2 1 500 20 X 25 6 X 12 3.203 <1,000 2.5 to 1.874 44.9087492 -115.3244733 Wetland 0.0131 572 Exploration GC-7 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 5.933 <250 4 to 6 44.9087786 -115.3245191 Wetland 0.0143 0 GC-8 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 2.79 <250 4 to 6 44.9086258 -115.3257361 N/A N/A 0 GC-9 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 7.52 <250 4 to 6 44.9090207 -115.3260254 N/A N/A 0 GC-10 Figure 8 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 8.954 <250 4 to 6 44.9096681 -115.327765 N/A N/A 625 LEFSF-1 Figure 9 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 17.05 <250 4 to 6 44.917326 -115.3285059 Both 0.0143 0 LEFSF-2 Figure 9 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 2.179 <250 4 to 6 44.9177351 -115.3299323 Stream 0.0143 0 LEFSF-3 Figure 9 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 14.31 <250 4 to 6 44.9229151 -115.334733 N/A N/A 625 LEFSF-4 Figure 9 Core Hole Summer Track Geotechnical V, FT N/A 2 1 625 25 x 25 16 X 8 12.41 <1,000 2.5 to 1.874 44.9230321 -115.3347211 N/A N/A 753 LEFSF-5 Figure 9 Core Hole Summer Track Exploration V, FT N/A 2 1 625 25 x 25 16 X 8 13.27 <1,000 2.5 to 1.874 44.9235233 -115.335543 N/A N/A 753 MC-1 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 11.15 <250 4 to 6 44.8931345 -115.3410769 Stream 0.0143 0 MC-2 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 5.23 <250 4 to 6 44.8925018 -115.3401499 Stream 0.0143 0 MC-3 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 3.337 <250 4 to 6 44.8936886 -115.339717 Stream 0.0143 0 MC-4 Figure 6 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 11.74 <250 4 to 6 44.8924811 -115.3379372 N/A N/A 625 MC-5 Figure 6 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 7.871 <250 4 to 6 44.8938783 -115.3379887 Stream 0.0143 625 MC-6 Figure 6 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 4.097 <250 4 to 6 44.8947747 -115.3379823 Both 0.0143 625 MC-7 Figure 6 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 18.8 <250 4 to 6 44.8929594 -115.3359035 N/A N/A 625 MC-8 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 9.305 <250 4 to 6 44.8946483 -115.3364947 N/A N/A 0 MC-9 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 7.409 <250 4 to 6 44.8953743 -115.3361048 Both 0.0143 0 MC-10 Figure 6 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 8.17 <250 4 to 6 44.896126 -115.3337785 Both 0.0143 0 MEFSF-1 Figure 7 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 2.882 <250 4 to 6 44.9030541 -115.3261974 N/A N/A 625 MEFSF-2 Figure 7 Core Hole Summer Track Exploration V, FT N/A 2 1 625 25 x 25 16 X 8 2.588 <1,000 2.5 to 1.874 44.9030693 -115.3262465 N/A N/A 753 MEFSF-3 Figure 7 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 1.855 <250 4 to 6 44.9041243 -115.3270044 N/A N/A 625 MEFSF-4 Figure 8 Core Hole Summer Helicopter Exploration Heli N/A 2 1 500 20 X 25 6 X 12 22.85 <1,000 2.5 to 1.874 44.9099728 -115.3238902 N/A N/A 572 MEFSF-5 Figure 8 Core Hole Summer Helicopter Exploration Heli N/A 2 1 500 20 X 25 6 X 12 15.76 <1,000 2.5 to 1.874 44.9107606 -115.3240253 N/A N/A 572 MEFSF-7 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 10.52 <250 4 to 6 44.9116377 -115.3268326 N/A N/A 0 MEFSF-8 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 4.767 <250 4 to 6 44.911835 -115.3287864 N/A N/A 0 MEFSF-9 Figure 8 Core Hole Summer Helicopter Geotechnical Heli N/A 2 1 500 20 X 25 6 X 12 8.481 <1,000 2.5 to 1.874 44.9124586 -115.3270115 N/A N/A 572 MEFSF-10 Figure 8 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 13.05 <250 4 to 6 44.9133781 -115.3268501 N/A N/A 0 MID-1 Figure 10 Core Hole Summer Helicopter Geotechnical Heli N/A 2 1 500 20 X 25 6 X 12 8.245 <1,000 2.5 to 1.874 44.9253818 -115.3198218 N/A N/A 572 UEFSF-1 Figure 3 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 4.103 <250 4 to 6 44.888455 -115.2968337 Stream 0.0143 0 UEFSF-2 Figure 3 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 3.818 <250 4 to 6 44.8885958 -115.2990973 N/A N/A 0 UEFSF-3 Figure 3 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 3.843 <250 4 to 6 44.8893328 -115.3001866 N/A N/A 0

9 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation ACCESS AND ROAD SEGMENT DESCRIPTIONS

UEFSF-4 Figure 3 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 3.122 <250 4 to 6 44.8899406 -115.3003911 N/A N/A 0 UMC-17-11 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 15.06 <250 4 to 6 44.8918322 -115.353912 Wetland 0.0143 0 UMC-17-14 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 6.372 <250 4 to 6 44.8891602 -115.3535918 Both 0.0143 0 UMC-17-15 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 5.996 <250 4 to 6 44.8912552 -115.355028 Wetland 0.0143 0 UMC-17-16 Figure 5 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 2.823 <250 4 to 6 44.8906956 -115.3554301 Both 0.0143 625 UMC-17-17 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 8.128 <250 4 to 6 44.8892295 -115.3545026 Both 0.0143 0 UMC-17-18 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 7.587 <250 4 to 6 44.8909942 -115.3565756 N/A NA 0 UMC-17-19 Figure 5 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 1.526 <250 4 to 6 44.8905106 -115.3563317 Both 0.0143 625 UMC-17-20 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 5.725 <250 4 to 6 44.8888588 -115.3562696 Both 0.0143 0 UMC-17-21 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 7.407 <250 4 to 6 44.8908707 -115.3578262 N/A N/A 0 UMC-17-22 Figure 5 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 3.07 <250 4 to 6 44.8901413 -115.3575134 Both 0.0143 625 UMC-17-23 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 5.551 <250 4 to 6 44.8887414 -115.3580386 N/A N/A 0 UMC-17-24 Figure 5 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 6.346 <250 4 to 6 44.8899945 -115.3601367 Both 0.0143 625 UMC-17-25 Figure 5 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 7.409 <250 4 to 6 44.8884249 -115.3600793 N/A N/A 0 UMC-17-26 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 9.528 <250 4 to 6 44.8893552 -115.362217 Stream 0.0143 0 UMC-17-27 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 11.97 <250 4 to 6 44.8879542 -115.3621552 Stream 0.0143 0 UMC-17-28 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 21.29 <250 4 to 6 44.888625 -115.365027 N/A N/A 0 UMC-17-29 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 4.426 <250 4 to 6 44.8879129 -115.365967 N/A N/A 0 UMC-17-30 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV Yes 1 N/A 625 25 X 25 N/A 3.006 <250 4 to 6 44.8868818 -115.3646312 Both 0.0143 0 UMC-17-31 Figure 4 Sonic/auger SPT Winter Track Geotechnical SC, TV N/A 1 N/A 625 25 X 25 N/A 14.71 <250 4 to 6 44.8865237 -115.3690402 Wetland 0.0143 0 WE-1 Figure 10 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 4.80 <250 4 to 6 44.9280691 -115.3124940 N/A N/A 625 WE-2 Figure 10 Core Hole Summer Helicopter Geotechnical V, FT N/A 2 1 625 25 X 25 16 X 8 4.481 <1,000 2.5 to 1.874 44.9297398 -115.3129671 N/A N/A 753 WE-3 Figure 10 Sonic/auger SPT Summer Track Geotechnical V, FT N/A 1 N/A 625 25 X 25 N/A 0.995 <250 4 to 6 44.9289465 -115.314079 N/A N/A 625 Total RCA N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 0.386 -- Footprint Total USFS 16,444 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A Land (0.38 Disturbance acres) Table 2 notes: 1 Typical helicopter-supported drill pad is 20 feet wide by 25 feet long (500 square feet). Steep slope pads are 16 feet wide by 18 feet long (288 square feet). Actual disturbance is smaller as typically only the upslope side requires digging to level timbers. Track rig pads are typically 25 feet wide by 25 feet long (625 square feet). Helicopter-supported drill pad sumps are typically 6 feet wide by 12 feet long by 3 feet deep (216 cubic feet) with an area of 72 square feet. Track drill rig sumps are 8 feet wide by 16 feet long by 8 feet deep (1,024 cubic feet) and an area of 128 square feet. FC = Fiddle Creek; GC = Garnet Creek; LEFSF = Lower East Fork South Fork; MC = Meadow Creek; MEFSF = Middle East Fork South Fork; MID = Midnight Creek; UEFSF = Upper East Fork South Fork; UMC = Upper Meadow Creek; WE = West End; feet2 = square feet; ac = acres; SPT = standard penetration testing; V = vehicle; TV = tracked vehicle; SC = snowcat; Heli = helicopter; RCA = riparian conservation area

10 Legend

r th e Proposed Geotechnical Drilling Locations u iv Thunder Mountain Rd So R Sample Type and Season k n F or o S 375 t F lm Cinnabar Creek s Sa .! Core Hole Summer Ea k or F #0 Sonic or Auger / SPT Summer UEFSF-1 #I Sonic or Auger / SPT Winter M

7 e a Proposed Temporary Road Use

o 7 w of Existing Road

C 7

7 UEFSF-2 re F e Proposed Temporary Bridge Use S k L 1 S o (Summer) 8 u o 8 g UEFSF-3 k 3 o a u Proposed Temporary Bridge Use r UEFSF-4 F t C S R r d e ab 1 (Winter) e R bi 2 k t 9 k e Cr 0 re ee Road Authorized for Use WE-1 t C k S WE-2 h u Golden Meadows Exploration Project

g g 7 i

a ! n 7 d r ! i C M GC-5 Environmental Assessment r ! e 7 ! e GC-4 !!!!!!

k ! ! GC-7 Existing Road on Private Land R ! t

d ! MID-1 GC-6

! WE-3! n

! Perennial Stream !

! r e

! 7 MEFSF-4 MEFSF-2 ! ! ! ! a e ! ! !

! ! r ! ! G !

C Road d !! !

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r ! MEFSF-1 Private Land W C 7 7 ! 7

! MEFSF-9

GC-2 7

! 7

7 7

! MEFSF-10

! Abbreviations 7 MEFSF-3

LEFSF-1 GC-8 FS 375

! 7 7

! LEFSF-2 GC-9 !

! 7 MC-8 FC Fiddle Creek

! 41

! ! !

! S 2

! F

! GC-10 !

! !

! GC Garnet Creek !

7 7 ! !

! ! MC-10 ! LEFSF-4 ! ! 7 MEFSF-7 7 !

! 7 7 MC-7 !

! 7 MC Meadow Creek

! ! ! MEFSF-8 !

! LEFSF-5 7 7

! MC-9 ! FC-2 7 ! MC-4

nite Rd 7 7 Eas Fork Meadow Cr

Stib FC-1 MC-6 t e UMC Upper Meadow Creek

7 ek

2 7 S 41 7 F MC-5 MC-2 MID Midnight Creek H LEFSF-3 e MC-3 MC-1 S h n WE West End Creek a ut n l o e t S er s C v s East For k i y Lower East Fork South Fork r R e on C LEFSF e Fork S alm re Salmon River k e k

Middle East Fork South Fork

7 MEFSF

UMC-17-11 t UMC-17-14 Salmon River i 7 7

7 n UMC-17-17

UMC-17-15 7 i 7 t Upper East Fork South Fork

7 7 e

R 7 UMC-17-20 UEFSF 7

7 Salmon River UMC-17-16 d Pepper Creek UMC-17-18 7 UMC-17-23

UMC-17-19 7 SPT Standard Penetration Testing 7 UMC-17-25

UMC-17-21 UMC-17-27 7

UMC-17-22 7 N

7 UMC-17-30 re

d UMC-17-24 w C ek

R ado F e e 7 M it UMC-17-26 n i UMC-17-31 b d 0 3,000 6,000 i t d 2 le UMC-17-28 S 1 C UMC-17-29 4 re Feet e S k F

Imagery: 2015 NAIP I meter resolution Source: NRCS/USDA Digital Gateway Topograpy: National Elevation Dataset (NED), 10 meter resolution; Source: USGS Other Data Sources: State of Idaho Geospatial Gateway (INSIDE Idaho); Payette National Forest; Boise National Forest; Salmon-Challis National Forest

Map Date: May 2017

Document: Q:\MidasGold\GoldenMeadows\map_docs\BslnVicinity_LedgerPortraitRotatedDrilling.mxd Figure 2 Drilling Program Project Area Map Midas Gold Idaho, Inc., Stibnite Gold Project Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation GEOTECHNICAL DRILLING SITES

4 Geotechnical Drilling Sites (6/22/2017)

There are 62 proposed geotechnical or exploration drilling pads within the project area. Of these, 37 are winter sonic/auger SPT pads, 15 are summer sonic/auger SPT pads, and 10 are summer core hole pads. Four of the drill pads will be for exploration, two for both exploration and geotechnical drilling, and 56 are geotechnical holes. The exploration drill pads are core holes. Most of the pads (56) will be track-supported, while six of the summer core hole pads will be helicopter-supported. None of the pads requires steep slope drill pads. The 62 proposed pads are located in the vicinities of the following water bodies: Upper East Fork South Fork Salmon River (UEFSF), Meadow Creek (MC), Middle East Fork South Fork Salmon River (MEFSF), Lower East Fork South Fork Salmon River (LEFSF), Upper Meadow Creek (UMC), and West End Creek (WE). All of these pads are on USFS land. Table 3 and Table 4 summarize the proposed drilling activities.

4.1 Proposed Upper East Fork South Fork Salmon River Drilling (Attachment A, Figure 3) MGII proposes four geotechnical drill pads in the Upper East Fork South Fork Salmon River vicinity. These proposed pads are UEFSF-1 through UEFSF-4 and are all winter sonic/auger SPT pads. MGII proposes to drill four holes, one on each drill pad, using a tracked auger or sonic drill rig with SPT capabilities. No sumps are required for these pads and disturbance will be minimal due to winter drilling. Access to the drill locations will be by snowcat or other tracked vehicle when sufficient snowpack is present. No USFS-managed land will be disturbed in the Upper East Fork South Fork Salmon River vicinity due to winter drilling.

4.2 Proposed Meadow Creek Drilling (Attachment A, Figure 6) MGII proposes 10 geotechnical drill pads in the Meadow Creek vicinity. These proposed pads are MC-1 through MC-10 and consist of four summer and six winter sonic/auger SPT pads. Summer drill pads will be located within the footprint of existing roads. MGII proposes to drill 10 holes, one on each drill pad, using a tracked auger or sonic drill rig with SPT capabilities. No sumps are required for these pads and disturbance will be minimal for the six winter drill pads. Personnel access to the drill pads will be by vehicle or by foot during the summer and by snowcat or other tracked vehicle when sufficient snowpack is present. A total of 2,500 square feet (0.06 acres) of USFS-managed land will potentially be disturbed in the Meadow Creek vicinity.

4.3 Proposed Middle East Fork South Fork Salmon River and Garnet Creek Drilling (Attachment A, Figure 7 and 8) MGII proposes 18 geotechnical or exploration drill pads in the Middle East Fork South Fork Salmon River and Garnet Creek vicinity. These proposed pads are MEFSF-1 through MEFSF-5, MEFSF-7 through MEFSF-10, and GC-2 through GC-10, the latter of which are identified by

13 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation GEOTECHNICAL DRILLING SITES

their proximity to Garnet Creek (GC). These pads consist of 6 summer core hole pads, 10 winter sonic/auger SPT pads, and 2 summer sonic/auger SPT pads. All summer core hole pads in this area are exploration drill pads except for GC-4, GC-6, and MEFSF-9. GC-4 and GC-6 are both exploration and geotechnical drill pads and MEFSF-9 is geotechnical only. The summer sonic/auger SPT pads will be located next to or on existing roadbeds. MGII proposes to drill up to 12 holes on the 6 summer core hole pads (2 for each pad) and 12 holes on the summer and winter sonic/auger SPT pads (1 hole per pad). The summer core hole pads will be helicopter- supported, have drill pad sumps, and will use a heli-portable LF-90 drill rig or equivalent (except for MEFSF-2, which will be track/truck-supported as it is next to a road). The summer and winter sonic/auger SPT pads will use an auger/sonic rig with SPT capabilities and do not need sumps. Access to these pads will be via helicopter (for five of the core hole pads) and by foot or vehicle (snowcat or other tracked vehicle during winter months) on existing roads for the sonic/auger SPT pads. Disturbance at winter drilling pads will be minimal. A total of 5,488 square feet (0.13 acres) of USFS-managed land will potentially be disturbed in the Middle East Fork South Fork Salmon River vicinity.

4.4 Proposed Lower East Fork South Fork Salmon River and Fiddle Creek Drilling (Attachment A, Figure 9) MGII proposes six geotechnical drill pads and one exploration drill pad in the Lower East Fork South Fork Salmon River and Fiddle Creek vicinity. These proposed pads are LEFSF-1 through LEFSF-5, and FC-1 through FC-2, the latter of which are identified by their proximity to Fiddle Creek (FC). Of these, three are summer sonic/auger SPT pads, two are winter sonic/auger SPT pads, and two are summer core hole pads. Of the two core hole pads, LEFSF-5 is an exploration drill pad. The summer drill pads are located on existing roads or next to existing roads in already disturbed areas. MGII proposes to drill up to nine holes (2 each on the summer core hole pads and 1 on each of the sonic/auger SPT pads), using a tracked LF-90 drill rig or equivalent for core drilling and a sonic/auger rig with SPT capabilities for the others. The two summer core hole pads will have track or truck-supported drill pads. Portable sump tanks will be used in these locations due to proximity to public access roads, the exact locations for which will be determined in the field. Access to these pads will be by foot or vehicle in the summer and by snowcat or other tracked vehicle when sufficient snowpack is present. Disturbance of winter drilling pads will be minimal. A total of 3,381 square feet (0.08 acres) of USFS-managed land will potentially be disturbed in the Lower East Fork South Fork Salmon River vicinity.

4.5 Proposed West End Creek and Midnight Creek Drilling (Attachment A, Figure 10 and 12) MGII proposes four geotechnical drill pads in the West End Creek and Middle Creek vicinity. These proposed pads are WE-1 through WE-3, and MID-1, the latter of which is identified by its proximity to Midnight Creek (MID). Of these, two are summer core hole pads and two are summer sonic/auger SPT pads. The summer sonic/auger SPT pads will be located on existing roads or adjacent to them. MGII proposes to drill up to six holes (up to two on each summer core hole pad and one on sonic/auger SPT pads), using heli-portable LF-90 for both of the core hole pads (WE-2 and MID-1) or a sonic/auger rig with SPT capabilities for the sonic/auger SPT

14 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation GEOTECHNICAL DRILLING SITES

pads. WE-2 and MID-1 will be a helicopter-supported drill pad, the exact locations for which will be determined in the field. Access to the sonic/auger SPT pads will be by foot or by vehicle on existing roads. A total of 2,575 square feet (0.06 acres) of USFS-managed land will potentially be disturbed in the West End Creek vicinity. Access to WE-2 and MID-1 will be via helicopter.

4.6 Proposed Upper Meadow Creek Drilling (Attachment A, Figures 4 and 5) MGII proposes 19 geotechnical drill pads in the Upper Meadow Creek vicinity. These proposed pads are UMC-17-11 and UMC-17-14 through UMC-17-31. Of these, four are summer sonic/auger SPT pads while the rest are winter sonic/auger SPT pads. The four summer sonic/auger SPT pads will be located on existing roads. MGII will drill the remaining 15 holes (one on each pad) using a sonic/auger rig with SPT capabilities during the winter. Access to these drill pads will be by vehicle or foot in the summer and by snowcat or other tracked vehicle when sufficient snowpack is present. A total of 2,500 square feet (0.06 acres) of USFS managed land will potentially be disturbed in the Upper Meadow Creek vicinity. Eight of the drill pads are in designated Roadless Areas (see Table 2).

Table 3. Summary of Proposed Drilling Activity – NFS Lands Activity Description Drill area access Snow-free period: Access to 19 drill pad sites by vehicle. Access to 7 drill sites by helicopter. Winter period: Access to 37 drill pad sites by snowcat or other tracked vehicle with sufficient snowpack. Drill pads 62 drill pads; 56 are geotechnical, 4 are exploration, 2 are geotechnical and exploration Drill pad type 56 track-pads and 6 helicopter-supported drill pads. Drill holes 37 winter sonic/auger standard penetration testing (SPT) drill holes, 15 summer sonic/auger SPT drill holes, and 20 summer core holes (2 per pad).

Drill sumps 10 sumps (only at core hole pads) Construction of temporary No temporary roads needed. All road use will be on existing roads as they are now. roads One road segment and bridge in Meadow Creek need temporary use authorization; two roads segments and one temporary winter snow bridge in Upper Meadow Creek need temporary use authorization; two road segments in the West End, and one road segment in Garnet Creek need temporary use authorization. Roads with temporary use authorization will be used as is. Drill water supply Yellow Pine pit, Hennessy Creek (water right 77-7293 and temporary water right), Gestrin Well (water right 77-7285), or hauled into site (West End pads). Total Disturbance 16,444 square feet (0.378 acres) Designated Roadless Area Eight sites are located within designated Roadless Areas.

15 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation GEOTECHNICAL DRILLING SITES

Table 4. Summary of Proposed Drilling Activity – Infrastructure on NFS Lands (Reclamation) Activity Description Drill areas All drill pads and sumps would be backfilled, recontoured, and reseeded when drill activities are concluded using standard reclamation practices and sediment and stormwater control best management practices (BMPs). Fuel management on NFS Snow-free (roughly June 10 through October 20, may vary depending upon weather lands conditions): Fuel convoy on Johnson Creek Road (FS 413) route. One to four fuel trucks per convoy (4,000 gallons per truck). Fuel haul would not occur when saturated road standard operating procedures (SOPs) apply.

16 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation DRILLING IN RIPARIAN CONSERVATION AREAS

5 Drilling in Riparian Conservation Areas (4/10/17)

Twenty-seven proposed drill pads are located in riparian conservation areas (RCAs). Table 5 summarizes those sites within RCAs.

Table 5. Summary of Drilling in RCAs Drill Pad Footprint Drill Pad ID Figure ID Season Drill Pad Type Type of RCA in RCA (ft2) UEFSF-1 Figure 3 Winter Sonic/auger SPT Stream 625 (0.0143 acres) LEFSF-1 Figure 9 Winter Sonic/auger SPT Wetland and stream 625 (0.0143 acres) LEFSF-2 Figure 9 Winter Sonic/auger SPT Stream 625 (0.0143 acres) MC-1 Figure 6 Winter Sonic/auger SPT Stream 625 (0.0143 acres) MC-2 Figure 6 Winter Sonic/auger SPT Stream 625 (0.0143 acres) MC-3 Figure 6 Winter Sonic/auger SPT Stream 625 (0.0143 acres) MC-9 Figure 6 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) MC-10 Figure 6 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) GC-7 Figure 8 Winter Sonic/auger SPT Wetland 625 (0.0143 acres) UMC-17-11 Figure 5 Winter Sonic/auger SPT Wetland 625 (0.0143 acres) UMC-17-14 Figure 5 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-15 Figure 5 Winter Sonic/auger SPT Wetland 625 (0.0143 acres) UMC-17-17 Figure 5 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-20 Figure 5 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-26 Figure 4 Winter Sonic/auger SPT Stream 625 (0.0143 acres) UMC-17-27 Figure 4 Winter Sonic/auger SPT Stream 625 (0.0143 acres) UMC-17-30 Figure 4 Winter Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-31 Figure 4 Winter Sonic/auger SPT Wetland 625 (0.0143 acres) MC-5 Figure 6 Summer Sonic/auger SPT Stream 625 (0.0143 acres) MC-6 Figure 6 Summer Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) GC-6 Figure 8 Summer Core Hole Wetland 572 (0.0131 acres) FC-1 Figure 9 Summer Sonic/auger SPT Stream 625 (0.0143 acres) FC-2 Figure 9 Summer Sonic/auger SPT Stream 625 (0.0143 acres) UMC-17-16 Figure 5 Summer Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-19 Figure 5 Summer Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-22 Figure 5 Summer Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) UMC-17-24 Figure 5 Summer Sonic/auger SPT Wetland and Stream 625 (0.0143 acres) N/A N/A N/A N/A Total RCA Footprint 16,822 ft2 (0.386 acres)

Of the 27 drill pads in RCAs, five are located in wetland RCAs, 10 are located in stream RCAs, and 12 are located in both stream and wetland RCAs. None of the drill pads are located within wetlands. Of the nine summer drill pads, one (GC-6) is a core hole pad, and eight are sonic/auger SPT pads that are either on existing roads or next to roads. Of the summer sites, all are located on existing roads with the exception of GC-6 and FC-2. GC-6 will be accessed by helicopter to minimize disturbance and FC-2 is located next to a road in an already disturbed

17 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation DRILLING IN RIPARIAN CONSERVATION AREAS

area. Drill pads within RCA boundaries will be located more than 100 feet away from the streams associated with the RCA. Of the winter pads, all 18 will be drilled when there is sufficient snowpack and will cause minimal disturbance.

Unless no reasonable alternative exists, MGII will locate drill pads outside of RCAs to avoid removing large trees or brush and will place pads on old road beds. For those pads located within RCAs, MGII will install silt fencing, place and stake straw bales around the pad to keep sediment movement to a minimum, and install cross drains to ensure positive drainage away from the RCA and associated stream. MGII will leave any trees that need to be felled in the RCA and will keep vegetation removal to a minimum. Sumps for pads within RCAs will either be small, lined sumps located next to the drill casing or portable tanks. MGII will locate unlined sumps outside of the RCA. An environmental technician will regularly monitor the slopes below the drill rig and stream channel to look for surface leakage caused by drilling activities. For additional information on standard operating procedures (SOPs) with regards to RCAs, see Section 9.

18 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation WATER USE AND POINTS OF DIVERSION

6 Water Use and Points of Diversion (5/12/2017)

MGII will use two active water rights and two temporary water rights yet to be applied for to supply water to the drill pads. The two temporary water rights will be for the Yellow Pine pit and for Hennessy Creek. The Yellow Pine pit has a rate of diversion of 0.33 cubic feet per second (cfs). Water will be pulled from the same located as past activities and water rights. Aside from the temporary water right yet to be applied for at Hennessy Creek, there is an active Hennessy Creek water right (77-7293) that has a rate of diversion of 10% of the flow (EA; USFS 2015). The Hennessy Creek point of diversion (POD) is above the main access road and is not accessible by fish from the East Fork South Fork Salmon River. The temporary water right for Hennessy Creek will be at this POD. This POD is shown in Attachment A (Figure 11). Gestrin Well (water right 77-7285) has a rate of diversion of 0.5 cfs (IDWR 2017). Water for the drill pads in the West End vicinity will be hauled into site.

19 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation EQUIPMENT STAGING AND OPERATIONS

7 Equipment Staging and Operations (4/10/17)

MGII will mobilize drill rods, casing, drill rigs, and non-perishable supplies to the site staging area adjacent to MGII’s core shack on private property via a flatbed truck or short-bed, high- clearance, low-boy trailer. Generally, MGII transports equipment in mid-May or early June once load limits are lifted and road conditions permit. Some equipment is already on site from previously-permitted exploration activities.

MGII will obtain road permits as required and off-load equipment adjacent to MGII’s core shop building. For activities proposed in this POO, it is expected that approximately 10 truckloads to the site along Stibnite Road will be required to mobilize the drill rigs, drill rods, and ancillary equipment. MGII will use the same procedures to demobilize at the end of the program after final reclamation is complete. For winter operations, equipment mobilization (if needed, as most equipment will already be on site) will likely take place in late November or early December. If snow removal ceases on Stibnite Road in late winter (see Section 2), MGII will transport equipment to the site via helicopter or snowcat.

MGII will stockpile vegetative matter produced during any brushing, and topsoil, where present, and use it later in reclamation. The drill rig, drill rods, stock tanks for mud mixing, and ancillary tools and equipment will be set up on the drill pad using the helicopter, or with a truck or forklift, or carried and stored on the track-mounted drill rig and support vehicle. Personnel will access the drill pad sites by helicopter, on foot, ATV, snowcat, or pickup truck (where existing roads exist) (see Section 4 for description of access to each site).

MGII will monitor drill sites and other reclaimed drill areas during spring runoff to ensure that BMPs are in place and working so that soil erosion is minimized.

The drill rig assembly will consist of LF-90 or equivalent track-mounted core rigs, truck/track- mounted sonic/auger rigs with SPT capabilities, helicopter portable drill rigs, casing, drill rods, drill bases, water line, water pumps, tools, and ancillary equipment. These drill rigs vary in size, but are roughly 8 to 10 feet wide and 12 to 16 feet long fully assembled. Supplies will include drilling mud, bentonite (clay) hole plug material, cement for casing and capping holes, and small amounts of lubricants (rod grease). Attachment B presents photographs of drill rigs and also of typical pad setup and operations.

7.1 Core Drilling MGII will use the LF-90 or equivalent core drilling rigs to drill up to 20 core holes from 10 core hole pads. Hole diameters will range from standard tube size HQ (2.5 inches) to NQ (1.874 inches) and holes will be drilled to less than 1,000 feet deep.

A typical helicopter-supported drill pad, comprised of a wood deck, drill rig, lubricant containment tray, mixer and mud pump, fly fuel tank, and water storage tank, is approximately 500 square feet in footprint area. Supplies include drilling mud, bentonite (clay) hole plug material, cement for casing and capping holes, and small amounts of lubricants (rod grease). A

21 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation EQUIPMENT STAGING AND OPERATIONS

track-rig pad is generally larger than the helicopter-supported drill pad (larger drill rig), and is typically 625 square feet in footprint area.

MGII will construct track-drill rig platforms using hand tools or possibly a small, wheeled backhoe or tracked dozer (Caterpillar D-3 or D-4 or equivalent). Minor brush clearing, but only minimal tree cutting may be required to clear areas for the drill platforms and to provide a safety zone around the drill rig and ancillary equipment. MGII will install silt fences, weed-free waddles, and other sediment and water management control procedures as outlined in Section 9 and described in Best Management Practices for Mining in Idaho.

MGII will construct drill pads for helicopter rigs (6 of the 62 sites, Table 2), and dig sumps with hand tools and/or a small heli-portable “Digger” or “Can-Dig” type spider hoe weighing around 2,000 pounds. MGII will construct the platforms for the pads with timber flown to the site to minimize ground disturbance from the rig while drilling. Minor brush clearing, but only minimal tree cutting may be required to clear areas for the drill platforms and to provide a safety zone around the drill rig and ancillary equipment. MGII will install silt fences, weed-free waddles, and other sediment and water management control procedures as outlined in Section 9 and as described in the State of Idaho’s Best Management Practices for Mining in Idaho (IDL 1992).

MGII will dig mud collection sumps using a helicopter-transportable backhoe capable of digging a sump or using portable sump tanks. Sumps will be located on road areas where possible and practical to minimize disturbance. MGII will place cuttings directly into the sump or in a heated conex set up with mud collection tanks and a clarifier. After completing each hole, MGII will bury the cuttings and mud in the sump.

A helicopter-supported drill pad sump is typically 6 feet wide by 12 feet long and 3 feet deep (216 cubic feet) or covers an area of 72 square feet. A track-supported drill pad sump is typically 8 feet wide by 16 feet long and 8 feet deep (1,024 cubic feet) or covers an area of 128 square feet. Where possible, MGII will use common sumps (one sump for multiple pads) and put all mud cuttings and water into a single sump setup.

Once drilling is complete, MGII will do the following: • bury cuttings and mud in the sumps; • backfill the drill pads and sumps; • remove the timber platforms; • re-contour and grade the pads back to their original contours using either hand tools or the mini-heli-portable spider hoe; and • mulch and certified weed-free seed will be placed on the re-contoured sites.

7.2 Sonic/auger SPT Drilling MGII will use both sonic and auger drilling to conduct the SPT test work. Sonic drill holes will be approximately four to six inches in diameter and use a conventional rotary drill rig with a high frequency vibratory drill head. This method will use little to no water. The auger drilling uses a

22 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation EQUIPMENT STAGING AND OPERATIONS

drill bit with a rotating helical screw blade (a flighting) to remove material. The SPT testing will consist of driving a thick-walled sampling tube approximately 18 inches into the bottom of a borehole using a slide hammer. The in-situ density of the material is determined by the number of blows used to drive the sampler into the soil.

For winter drilling, MGII will develop drill pads by setting them up directly on thick snowpack. For winter drilling, MGII will pump water in insulated water lines with water line heaters staged periodically along the lines from water sources. Pumps with heaters will be contained in the skid-mounted conex. Excess water will be re-circulated where possible and practical, otherwise the water will be pumped to the sump.

7.3 Fuel Haul and Storage Where existing roads are available, MGII will bring fuel to the drill site (approximately 50 to 80 gallons per day) in a pickup truck-mounted fuel tank or in sealed 55-gallon drums in an all- terrain vehicle (ATV)-trailer. There will be no creek crossings for fuel delivery by pickup or ATV. MGII will employ standard fuel handling best management practices (BMPs) and spill prevention control and countermeasures (SPCC) practices. MGII has implemented an SPCC plan for the site that addresses management of site petroleum products including lubricants, waste oil, and disposal of these materials and their containers. MGII will transport all petroleum products in accordance with state and federal Department of Transportation (DOT) regulations, and handle and store them per applicable state and federal petroleum product storage and handling laws and regulations (see Section 9). MGII will conduct access across National Forest System (NFS) lands in accordance with 36 Code of Federal Regulations (CFR) 228.12.

Fuel will be transported to site along Johnson Creek Road during daylight hours in the summer in acceptable weather. For this program, there will be 20 tanker trips carrying fuel to site (approximately 4 trips per month). There will be no transport of fuel along Johnson Creek Road on the weekends due to high traffic of recreationalists. Signs will be posted at the Landmark and Yellow Pine sides of Johnson Creek Road when fuel transport is occurring to inform the public to use caution. In addition, there will be two or more spill containment/response caches placed along fuel delivery routes. Prior to winter, MGII will fill all on-site fuel storage tanks (total of approximately 61,500 gallons). For helicopter-supported drill pads, a helicopter will transport fuel to the drill rig in double-walled reinforced fly tanks.

More information on protocols for fuel haul and storage can be found in Section 9 and in Appendix D of the 2015 Golden Meadows Final Environmental Assessment.

23 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation EQUIPMENT STAGING AND OPERATIONS

7.4 Vehicle Trips Travel into the project area will be along Johnson Creek during the summer and the South Fork Road during the winter. During winter, MGII will maintain Stibnite Road between Yellow Pine and Stibnite to be accessible to four-wheel drive and chained vehicles in cooperation with Valley County. If snow becomes too deep or dangerous, MGII will groom Stibnite Road by snowcat under their road use agreement with Valley County and access to site would be via enclosed, heated snowcat. Table 6 and Table 7 summarize vehicle trips for summer and winter drilling.

Table 6. Summer Drilling Project Traffic – Post-Landmark/Johnson Creek Road Opening June 2 through November 30 NA LPV1 Pickup with Trailer Fuel Tanker Driller Traffic # Trips per 50 8 4 120 Month Total 300 48 20 480 Route Johnson Creek Johnson Creek Johnson Creek Yellow Pine to Stibnite Table 6 note: 1LPV = Light Person Vehicles

Table 7. Winter Drilling Project Traffic - Pre-Landmark/Johnson Creek Road Opening December 1 through June 1 NA LPV1 Pickup with Trailer Plow Truck Driller Traffic # Trips per 50 8 30 60 Month Total 300 48 180 120 Route Johnson Creek Johnson Creek Johnson Creek Yellow Pine to Stibnite Table 7 note: 1LPV = Light Person Vehicles

24 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation GROUNDWATER MONITORING

8 Groundwater Monitoring (5/16/2017)

MGII will regularly monitor existing seeps near the proposed 10 core hole pads to identify areas where drilling fluid could potentially discharge at the ground surface. Of the 10 proposed core hole pads, the only two that have been determined to possibly discharge drilling fluid at the ground surface are MID-1 and WE-2. These two sites are of concern based on past circulation issues at drill sites near these locations and due to abundant geologic fault structures throughout the area that may cause circulation issues at depth.

Three factors were evaluated for the sites of concern: 1) overburden depth, 2) mapped faults and fractures, and 3) historic workings. Of these three, mapped faults and fractures are the main factors that may cause concern for discharge of drilling fluid at the ground surface for MID- 1 and WE-2. Discharge of drilling fluid at the ground surface at MID-1 would not impact any live water bodies as there are none in the immediate area around these drill pads. None of the other core hole pads have been identified as having issues with possible drilling fluid reaching the surface. See Section 9 for SOPs concerning drilling fluid reaching the ground surface. Implementation of these SOPS reduces the risk of drilling fluid reaching the surface and subsequently reaching live water.

25 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

9 Best Management Practices/Standard Operating Procedures (5/16/2017)

This section defines the SOPs for the proposed project that MGII will follow during and after completion of Proposed Action activities to avoid or minimize adverse impacts on the human and natural environment (Table 8).

As part of project SOPs, MGII will implement BMPs outlined in the Best Management Practices for Mining in Idaho (IDL 1992), where appropriate and applicable, for operations to minimize site disturbance from drilling activities and to ensure operations are in compliance with all applicable local, state, and federal regulations. An example BMP inspection sheet is included in Attachment D. Project SOPs also include components of the Payette National Forest’s Land and Resource Management Plan (Forest Plan; USFS 2003) standards and guidelines that are designed to reduce or prevent undesirable impacts resulting from proposed management activities in the PAF.

The SOPs listed in Table 8 were developed as BMPs for the MGII Stibnite Gold Project to address site-specific environmental concerns as evaluated in the August 2015 USFS Environmental Assessment. Each SOP identifies the objective, an effectiveness rating, and the basis for that rating. Effectiveness is rated as follows:

High—The mitigation is highly effective (estimated at greater than 90 percent probability) at meeting the objective, and one or more of the following types of documentation are available.

• Research or literature: should be applicable to the project area. • Administrative studies: should be applicable to the project area. • Experience: past experience and/or professional judgment of an expert.

Moderate—The mitigation is moderately effective (estimated at 60–90 percent probability), and its effectiveness is supported either by past experience or professional judgment. Implementation of this mitigation needs to be monitored, and the mitigation may be modified if needed to achieve its objective.

Low—The mitigation is at least somewhat effective (estimated at less than 60 percent probability), but its effectiveness is not supported by substantial evidence, or past experience and/or professional judgment suggests limited success in implementing or meeting objectives. Implementation of this mitigation needs to be monitored, and the mitigation may be modified if necessary to achieve its objective.

SOPs with low or moderate ratings in any given category in Table 8 are intended to be used in combination or in tandem, and progressively, to collectively attain relatively high total effectiveness in addressing the environmental objective toward which each is directed.

27 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Consistent with the adaptive management and mitigation approach, monitoring listed as an SOP in Table 8 will be used to adjust and increase the effectiveness of operational SOPs as warranted based on monitoring results.

Numerals shown in the right hand “Effectiveness Rating” column in Table 8 are references to research and other literature support for the effectiveness of the SOP.

Table 8. Standard Operating Procedures Effectiveness Standard Operating Procedures Objective Rating Any soil disturbance will be completed with hand tools or the smallest Enhance reclamation Moderate a/b equipment needed. Any areas leveled for drill pads and platforms will be potential re-contoured as per Idaho Administrative Procedures Act (IDAPA) 20.03.02.060.06(a), after holes are plugged and the platforms are removed. Winter drill pads would be established directly on thick (>2 feet) snowpack Protect soil and Moderate or by removing snow and possibly performing light earthwork to prepare a minimize erosion. Experience leveled area if site conditions allow and there is low risk of runoff or erosion. Snow removal and earthwork would be done by hand tools or a heli-portable backhoe. During extremely cold weather, a heated mud circulation system could be used if road access is available. This would consist of a heated, skid-mounted shipping container equipped with mud- collection tanks and a clarifier. Insulated lines with heaters staged periodically along the lines would be used to move mud between the container and the drilling rig. Topsoil and any brush removed would be stockpiled separate from fill material and used in reclamation. Topsoil and any brush removed will be stockpiled separate from fill Stockpile limited topsoil Moderate material and used in reclamation. material for reclamation a/c/d Hand tools or a heli-portable backhoe will be used for sump construction Protect local surface Moderate at helicopter-supported drill pads. water quality a/b To reduce the potential of slope failure associated with saturated sump pits Protect local surface Moderate/High on steep slopes, a remote sump or portable recirculation tank would be water quality e/a/b used if stability considerations warrant it. On slopes greater than 35%, the selected locations would be reviewed and approved by U.S. Forest Service (USFS) specialists. To minimize sediment runoff from the temporary roads and roadbeds, Reduce suspended High water bars, silt fencing, certified weed-free wattles, and/or weed-free solids f/g/h/i/j/k straw bales will be installed in strategic downslope areas and in riparian discharge conservation areas (RCAs). Road rutting from traffic would be minimized by construction and Reduce sedimentation Moderate maintenance of surface drainage structures, application of surfacing f/g/l/i/j material and by restricting road use when conditions are unacceptable due to moisture that is leading to the onset of rutting and concentrated turbid flow. Drill sites and other reclaimed drill areas will be monitored during spring Minimize soil erosion in Moderate runoff to ensure that best management practices (BMPs) are in place stormwater runoff e/f and working so that soil erosion is minimized. Drill pads would be sited to avoid high landslide prone areas. To Reduce mass failure Moderate minimize the potential of slope failure associated with drill pads and potential a/b sumps on moderate landslide potential areas, the selected locations would be reviewed and approved by USFS personnel.

28 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Proper BMPs will be used to prevent sediment from escaping sump Minimize soil erosion Moderate locations. Activities will include, but are not limited to, the following: Drill a/b pads and sumps will be constructed to minimize erosion. Erosion of the pad fillslopes will be minimized by directing pad surface drainage either to the sump or to a small sediment trap located on a corner of the pad where it meets the existing slope. Upon completion of use, prior to expected water runoff, or prior to Reduce erosion and Moderate seasonal shutdown, water management features will be constructed, sedimentation in runoff f/l/h/j/k installed, and/or maintained on authorized temporary roads. Activities and features include, but are not limited to, waterbars, rolling dips, seeding, grading, slump removal, barriers/berms, distribution of slash, and culvert/ditch cleaning. MGII monitors stormwater runoff and stormwater BMPs as per the Control stormwater High stormwater pollution prevention plan (SWPPP) that falls under the 2008 runoff f/d Multi-Sector General Permit (MSGP) for Industrial Activity (Sector G – Metal Mining for exploration activities). Drilling fluid will be mostly water, with various drilling additives to increase Protect local surface Moderate viscosity or reduce fluid loss. These additives will consist of the following and ground water e/f trade-named products or their equivalents: Benseal, Holeplug, Quikgel, quality Benseal, Cal Seal, IDP-399, N Seal, Quik Mud, and Quik Trol Gold. All products are to be NSF/ANSI-60 Certified Water for drilling will be recycled, to the extent possible and practical, to Protect local surface Moderate minimize the need for active water withdrawals, by routing drill return and ground water a/b water to a drill sump below the rig platform, a remote sump, or a portable quality recirculation tank. Water for drilling would be recycled through a “closed loop” drilling fluid Protect local surface Moderate system to minimize the need for active water withdrawals, by routing drill and ground water a/b return water to a sump or portable recirculation tank. quality, aquatic organisms and local fisheries The drilling fluid make-up water would contain metals concentrations Protect local surface Moderate equal to or lower than the concentrations expected in groundwater that and ground water a/b could be encountered in a borehole. quality Withdrawals of water from streams or groundwater wells for geotechnical Protect aquatic Moderate and exploration activities would be in accordance with water rights (both organisms and local a/b temporary and permanent) and the Biological Assessment. For water fisheries withdrawals from streams, a 3/32-inch diameter screen would be placed on water pump intake hoses for drill water withdrawals to reduce risk to aquatic species that might be present by entrapment in the suction hose as per recommendations from the National Marine Fisheries Service (NOAA FISHERIES) aquatics biologist. Pumps would use velocity- reducing devices to eliminate the risk of entrapment of aquatic species. Surface water withdrawal intake hoses will be situated so as to prevent Reduce total suspended Moderate generation of turbidity in bottom sediments during pumping. solids a/b Pumps will be turned off when not in use and water conservation Conserve available Moderate practices will be implemented. water resources a/b Intake pumps will not be situated within the active stream/ditch channel Produce an Moderate and will be placed within containment vessels capable of holding 120 environmentally safe a/b percent of the pump engine’s fuel, engine oil and hydraulic fluid. The water supply smallest practical pump and intake hose will be used. Following large storm events, the intake pumps will be inspected to Reduce the potential for Moderate determine if stream flow has encroached into the pump area and if the oil substances to be a/b/m pump needs to be moved so it remains above flowing water. discharged to waters of the U.S.

29 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating A spill prevention and clean-up kit would be placed at the intake pump Prevent fuel spill related Moderate site and would consist of absorbent pads and/or boom (which would be impacts to local water a/b/m sufficient length for a worst case scenario), drip pan, a shovel, and a fire resources extinguisher Spare fuel for the water intake pump will be stored in approved [29 Code Reduce potential for Moderate of Federal Regulations (CFR) 1926.152(a)(1)] fuel storage containers fuel spills onto public a/b/m placed into a secondary containment vessel capable of holding at least and private lands 120 percent of the volume of the fuel in the fuel container. Bulk fuel tanks (storage vessels greater than 55-gallons) will be stored Reduce the potential for Moderate on private property. fuel spills to public lands m Intake pumps, fuel storage, and containments will be inspected at each Reduce the potential for Moderate refueling and periodically between refueling) fuel spills m Any on-site portable toilets will be located away from any surface water Protect local surface Moderate bodies and will be serviced by a state licensed sewerage waste disposal and ground water e/b contractor. resources Petroleum products used to support drilling activities would be transported Reduce the potential for Moderate in accordance with Idaho and U.S. Department of Transportation (DOT) fuel spills m regulations, and handled and stored as required by state and federal petroleum product storage and handling laws and regulations. Petroleum products would be kept in containment and spill prevention Reduce the potential for Moderate kits would be available on site. fuel spills m Boreholes are promptly abandoned as required by the Idaho Rules Protect ground water Moderate Governing Exploration, Surface Mining, and Closure of Cyanidation resources e/b Facilities (IDAPA 20.03.02) after reaching their total planned depth. Borehole abandonment will generally take place within hours of borehole completion to avoid the need to bring the drilling rig back to the site later. If the annular space of the casing has been sealed with cement (as is the case with boreholes expected to encounter artesian conditions), the casing is left in place. If the annular seal is bentonite, the temporary surface casing is removed before abandonment. When drilling is terminated, abandonment procedures will be initiated. The Protect local ground Moderate drill hole will be surveyed with a gyroscopic device, camera, or other down water resources e/b hole instrument to accurately determine the borehole’s location in three- dimensional space. Information will be recorded at various depths from the bottom of the hole to the collar and recorded in the drill hole log. Borehole abandonment will employ a low-permeability bentonite-based Protect local ground High grout (Benseal®) to plug drill holes from bottom to top to which seal off all water resources e/b water transmission. In order to ensure a continuous seal throughout the hole, the grout will be pumped down the hollow drill string starting at the bottom of the hole. As the hole is filled the drill string will be withdrawn, but never pulled above the surface of the ascending column of grout, as this could produce voids. After the grout has risen to within approximately 3 feet of the ground surface and has set up, the remainder of the hole will be plugged with cement. In the case of abandonment of a flowing artesian drill hole, neat cement grout will be used to seal the entire borehole instead of bentonite grout. Each drill hole will be abandoned from the bottom to the collar by filling Protect local ground Moderate the hole with a thickened grout mixture. water resources e/b During drill hole abandonment, sufficient grout will be added to maintain a Protect local ground High steady supply of grout as the hole is plugged. The driller will monitor the water and prevent e/b filling of the hole by noting the pressure gages indicating the grout has aquifer inter-exchange saturated the voids. If a significant aquifer is encountered, an inflatable or or cross flow mechanical packer device may be used in addition to the grout materials to provide additional aquifer protection.

30 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Once the drill hole is completely sealed the project geologist or drilling Protect local ground High manager will approve the hole-plugging operation prior to the rig being water resources and e/b moved off site to ensure integrity of the hole plugging process. The timing enhance final for initiating and completing borehole abandonment is as soon as reclamation and closure practicable after the geologic information has been interpreted. Abandonment of each borehole will be properly documented. Geotechnical and exploration drilling will not occur when saturated roads Reduce sediment Moderate standard operating procedures (SOPs) apply. impacts e/b/n/o On drilling sites where sumps are necessary but impractical due to slope Maintain local surface Moderate or soil conditions, a casing diverter and a hose will be used to divert water quality e/a/m drilling water to a sump located in an adjacent and appropriate site. Any on-site portable toilets would be located away from any surface water bodies and would be serviced by a state licensed sewerage waste disposal contractor. A portable toilet would be set-up adjacent to select drill sites or at the Manage domestic Moderate closest feasible location, serviced by a licensed contractor, and removed wastewater e/a/m upon completion of drilling at each site. Drill holes will be cased to bedrock. Protect ground water High quality e/a

31 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating The following SOPs are designed to minimize the risk of drilling mud Minimize potential for High discharging at the ground surface: surface water delivery Experience • Drill pads would not be located within 100 feet of streams. of drilling fluids • Drill pad locations within RCAs would require USFS concurrence that no reasonable alternative location exists. • Drillers would be informed of these locations and would exercise increased vigilance for instances of lost circulation at shallow depths. • The casing would be advanced simultaneously behind the core drill through the alluvial section of all drill holes as described in Section 2.1.1. • Areas would be identified in advance where there is an increased chance of the surface expression of drilling fluids. The process of identifying areas of increased risk would utilize the following criteria: o Relation of the drill pad to historic mining activity including: . Blast fractured rock . Backfilled pit benches . Waste rock stockpiles . Anticipated depth to bedrock (how much overburden) . Composition of overburden material . Angle and orientation of the drill hole . Proximity to natural, heavily fractured, bedrock zones (i.e., Meadow Creek fault) . Natural overburden material anticipated thickness . Proximity of drill pad and projected drill hole to surface water bodies and wetlands If drilling fluid should discharge at the ground surface despite the above preventative SOPs, the following new response SOPs have been developed to minimize the risk of drilling fluid subsequently reaching live water. • Adjacent slopes below the drill rig and stream channels (if drilling in RCAs) in these areas would be regularly monitored during drilling by environmental technicians for any evidence of surface leakage. • Silt fence, straw wattles, portable sumps, pumps, and hoses would be pre-staged for emergency use. These materials and tools would be used to quickly construct temporary sumps to capture drilling fluid and return it to the drill rig. • For locations that are deemed to be of sufficient risk to warrant the pre-staging of response materials, a USFS representative would verify that such measures are in place on the ground prior to drilling. For drill pads within 300 feet, but no less than 100 feet of streams, pad Protect local surface Moderate construction during the snow-free season will occur in old roadbeds or water quality e/a other previously disturbed areas. Drilling activities will comply with Well Construction Standards Rule Protect local ground Moderate (IDAPA 37.03.09) water resources e Section 6 of the Idaho Department of Land’s (IDL) Best Management Protect surface and Moderate Practices for Mining in Idaho, would be observed, including if water is ground water quality e/a/b encountered in exploration holes; it would be sealed off during abandonment to prevent crossflow. If artesian conditions or geothermal waters are encountered, holes would Reduce the potential for Moderate be plugged as specified in the Idaho Department of Water Resources aquifer cross-flow e/a/b (IDWR) guidelines and regulations. IDL and IDWR would be notified for record keeping purposes.

32 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating All activities would be conducted in accordance with Idaho environmental Protect local surface Moderate anti-degradation policies, including Idaho Department of Environmental waters a/b/f/d Quality (IDEQ) water quality regulations at IDAPA 58.01.02 and applicable federal regulations. Stormwater monitoring, inspections, and reporting would be conducted in Manage stormwater High accordance with the National Pollutant Discharge Elimination System discharges and protect a/f (NPDES) MSGP and the SWPPP. waters of the U.S. MGII would implement additional surface water quality baseline turbidity Protect local surface High monitoring (daily during break-up, not to exceed a period of 3 weeks), water quality e/a/b provided the sampling sites are safely accessible. Monitoring would include: 1) one station upstream in Meadow Creek above the SODA; 2) one downstream in Blowout Creek above the confluence with Meadow Creek; and 3) one above and below the confluence of Meadow Creek and EFSFSR. Valley County will install a gate within 300 feet upstream of the bridge just Protect water quality by High east of the Profile Gap Road (Forest Service Road 340 [FS 340]) and reducing erosion. USDA Stibnite Road (FS 412) intersection. The gate would be located and Protect road from Professional designed to prevent access to full-sized motor vehicles. The gate would be damage. Judgment/ used to regulate traffic during the snow plowing season with the principal Experience focus during the spring break-up period. During the snow plowing season the gate would be closed when Valley County is regulating access to avoid road damage, such as rutting, which can lead to excessive erosion and deterioration of the road overall. During times when the gate is closed, administrative access for landowners, law enforcement, and County, State and Federal administrative personnel may be permitted by Valley County following criteria for use designed to avoid road damage and erosion. Valley County would coordinate installation location with the USFS to avoid damaging infrastructure such as road counters located near the intersection. To minimize the risk of noxious weed infestations or spread of weed Prevent noxious weed Moderate seeds, equipment would be inspected and cleaned prior to mobilizing onto infestations a/b/f the Forest. All access routes, platforms, locations and sump construction sites would also be inspected prior to project-related activities and if they are found to be weed-infested, then the weed infestation would be treated by manually removing infestations using hand tools prior to ground disturbing activity. Herbicide use, where prescribed, would be in accordance with the South Fork Salmon River Sub Basin Noxious and Invasive Weed Management Program (USFS 2007). Infestations within 100’ of live water would be controlled by hand pulling. Disposal of weeds would also be in accordance with the above plan. Prior to drilling in areas with known populations of bentflowered milkvetch, Prevent noxious weed Moderate the USFS botanist will be notified so avoidance and mitigation can be infestations a/b/f monitored. Removal or heavy trimming/pruning of whitebark pine will be avoided. Avoid threatened and Moderate endangered (T&E) a/b candidate species If surveys or tracking of noxious weeds and/or rare plants occurs, this Prevent noxious weed Moderate information will follow USFS protocol and be submitted to the USFS infestation a/b botanist and Weed coordinator.

33 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Whenever possible, all disturbance to individual bentflowered milkvetch Protect local T&E plant Moderate plants would be avoided. If they cannot be avoided, the plant would be dug species; enhance a/b up and set aside with the topsoil until it can be used in reclamation. Avoid natural re-colonization the casual trampling of bentflowered milkvetch. The plants would be replaced at their original site if possible before the end of the field season or as soon as possible to avoid desiccation. In drill areas where this plant is documented or there is potential habitat for it, no seeding or mulching would be conducted and duff would be raked onto the disturbed area with minimal application of large woody material. A noxious weed plan has been created for the project area that identifies Prevent noxious and Moderate noxious weeds for reference by staff. Staff would also receive training to infestive weed invasion a/b identify noxious weeds in the area. Disturbed areas would be monitored for noxious weeds for three years following the activity. Reclamation seeding would be done with native seed mixtures appropriate Enhance revegetation Moderate for the elevation and habitat. Prior to installation, types, locations, and a/b amounts of seed would be approved by the USFS. During any planned activities, should any other of threatened, Protect local TESPC Moderate endangered, sensitive, candidate and proposed (TESPC) plant species plant species with a/b listed in Table 9 be observed in the project area, the Forest botanist will particular emphasis on (Applies to all be notified and the potential impacts evaluated. the species listed in species) Table 9 Drill pads will not be located within wetlands unless on snow cover Protect inventoried Moderate sufficient to avoid impacts. wetland resources e/a/b/ Experience Drill pads will not be located within 100 feet of streams. Protect surface water Moderate e/a/b/p/ Experience In the event MGII proposes to locate a drill pad in in an RCA, the Protect riparian Moderate/High following procedures will be followed: functions e/a/b • MGII stakes or flags the perimeter of the proposed drill pad and submits a written or email request to the USFS minerals administrator (MA) explaining why there is no reasonable alternative to siting the pad in an RCA. The request should include a map with the location and GPS coordinates. A minimum of 2 weeks’ notice is required. • The MA will review the request along with the district or forest fisheries biologist. • If the request is approved, MGII will construct the pad and install appropriate BMPs. • MGII will notify the MA when construction is complete. • Move-on may not begin until the pad is reviewed and approved by the MA. Limited drilling in RCAs will occur in the winter on frozen snow-pack Protect riparian Moderate e/a/b/ ground. resources Experience For drill areas in RCAs: Manage drilling Moderate • Pads will be sited to avoid removing any large trees. activities within RCAs e/a/d/h/i/j/k/ • Any tree that is felled will be left in the RCA. Experience • Silt fencing will be placed around pads and straw bales placed and staked. • When applicable, cross drains will be installed within the pad area to ensure drainage away from the RCA and stream.

34 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Buildings, equipment and drill rigs will have limited external lighting and Limit noise and lighting Moderate will employ noise-minimizing practices. impacts on local wildlife. e • Construction equipment engines would be equipped with Reduce noise and air Moderate adequate mufflers, intake silencers, and engine enclosures when emissions e/a/b feasible. Mitigate noise impacts High • When practicable, pumps, generators, and engines would be Mitigate noise impacts e/a/b turned off when not in use. Mitigate noise impacts High • A temporary wooden structure would be erected around portions of Mitigate noise impacts the drill, pumps and heaters, but so as not to create worker safety Mitigate noise/lighting e/a/b issues related to exhaust vapor build-up. The drill engine would be impacts Moderate inside the structure, and acoustic absorbent panels would be placed Mitigate lighting impacts e/a/b on the inside walls of the structure to absorb noise. Moderate • Drill contractor would install mufflers or similarly effective sound e/a/b control devices on all engines at the drill rig. Moderate • Whenever feasible, different noisy activities would be scheduled at the e/a/b same time (e.g., drill site installations using helicopter and alternate Moderate site drilling), since additional sources of noise generally do not add a significant amount of noise. e/a/b • Noise reduction effectiveness of typical control measures would be monitored by MGII at the beginning of each drilling year after installation of the system. This monitoring would be done to document the efficiency of control measures employed at the site. • Whisper Quiet light plants would be used to mitigate visual impacts from night exploration operations. • Light shields would be placed over outside lights, confining light to the immediate area in order to further limit visual impacts. To the extent practicable, trees found to contain nesting cavities will not Protect local bird Moderate be disturbed or cut. No trees with active nests will be cut. populations e The USFS wildlife biologist will be notified of any occupied sensitive Protect sensitive bird Moderate species nests or dens encountered during implementation that may be and amphibian e associated with listed or sensitive species. If necessary to maintain key resources features of nesting/denning habitat or to avoid disruption of nesting/denning activities, prescribed activities will be modified. Potential water sources will be surveyed for Columbia spotted frog egg masses and other amphibians after ice melt and avoid disturbing any water sources with identified egg masses or other species. Personnel and contractors traveling in vehicles will be encouraged to Protect local wildlife Moderate observe posted speed limits or state secondary road speed limits and to resources e drive at speeds appropriate to reduce the possibility of vehicle-wildlife accidents. Any adverse wildlife encounters will be reported to appropriate state and Protect local wildlife Moderate federal wildlife managers. resources e Mud sumps used for drilling operations will have perimeter fencing to Protect local wildlife Moderate keep wildlife from accidently falling into the excavation. resources e Sightings of listed or sensitive wildlife species will be reported to Protect local wildlife Moderate USFS. resources e Cutting of trees for Proposed Action activities and removal of snags will Protect local wildlife Moderate avoid avian tree nests, where feasible. resources e

35 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Northern Goshawk: Restrict activities within a 30 acre (average 650 foot Protect local wildlife High USDA radius) area surrounding an active goshawk nest tree to avoid disturbance resources 2014 and retain vegetative structure around the nest site (Reynolds et al 1992). Amended BE for In addition, no drill pad construction, drilling operations, helicopter flights or R4 Sensitive roadwork activities would occur within a 1,500-foot buffer (Jones 1979) and MIS around active goshawk nest tree(s) from April 1 to August 15 to avoid Species. disrupting nesting activities. Exact distance for which restrictions apply Jones 1979 would be determined by a wildlife biologist based upon topography and vegetative screening on a site-specific basis. Timing restrictions would only be required for active nest sites. Timing restrictions would not restrict planned road use patterns, public access or fuel hauling. Because goshawks commonly move to alternate nest sites within a territory, the nest site location would be re-identified annually. Great Gray Owl: Restrict activities between March 1 and August 1 Protect local wildlife High USDA occurring up to 1,500 from nest site* to avoid disrupting nesting activities. resources 2014 Exact distance for which restrictions apply would be determined by wildlife Amended BE for biologist based upon topography and vegetation screening on a site- R4 Sensitive specific basis. Maintain a 150-foot no-activity buffer around identified active and MIS nests to maintain site-level microhabitat conditions Species. Boreal Owl: Restrict activities between March 1 and July 15 occurring up Protect local wildlife High Amended to 1,500 from nest site* to avoid disrupting nesting activities. Exact resources BE for R4 distance for which restrictions apply would be determined by wildlife Sensitive and biologist based upon topography and vegetation screening on a site- MIS Species. specific basis. Maintain a 150-foot no-activity buffer around identified active nests to maintain site-level microhabitat conditions. *Timing restrictions would not restrict planned road use patterns, public access, or hauling operations. If necessary to maintain key features of nesting/denning habitat or to Protect local wildlife Moderate avoid disruption of nesting/denning activities, prescribed activities will be resources e modified in coordination with USFS. If fawning/calving activity is encountered during drilling activities, activity Protect local wildlife Moderate will cease and/or be modified in coordination with USFS. resources e Potential drill pad sites adjacent to any open mine workings or natural Protect sensitive wildlife Moderate caves should be observed for the presence of bats. If necessary to species e maintain key features of habitat or to avoid disruption, activities will be modified in coordination with USFS. Employees and staff will receive training and direction to avoid spawning Protect threatened, High adult Chinook salmon, bull trout and steelhead. endangered, proposed, e/a/b and candidate (TEPC) species

36 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating For drilling activities during winter, the following SOPs will be followed: Protect important RCAs Moderate e/a/b/ • On National Forest System (NFS) lands, travel and drilling (Used in tandem-all Experience operations off designated routes will only occur when there is apply) adequate snow depth or frozen soil to prevent rutting and puddling. • Fish-bearing streams will be crossed via existing roads and bridges only. • When crossing non-fish bearing stream channels to access drilling pads on NFS lands, snow or ice bridges will be constructed where necessary to prevent damage to streambanks. Snow fill used to construct bridges will be clean of soil and other debris. • On NFS lands, clearing of vegetation for drilling operations in RCAs, or construction of snow bridges, will require USFS approval prior to conducting the activity. If USFS administration of this project identifies unanticipated impacts to Protect important High fish or fish habitat, the surface activity will be suspended by the Krassel fisheries resources b District Ranger until corrections can be made and the Level 1 Team will be informed or consultation will be reinitiated. If there is any increase in the water withdrawal amount and rate Protect minimum Moderate described below, consultation will be reinitiated. Instream flows b/q/r Project Water Rights • Source: Yellow Pine pit (EFSFSR); Approved diversion rate: 0.33 cfs • Source: Hennessy Creek; Approved diversion rate: 10% of the flow Dust abatement chemicals will be used in accordance with applicable Protect local surface Moderate road maintenance BA. Apply dust-abatement additives and stabilization water quality d/s/Experience chemicals (typically MgCl2, CaCl2, or lignin sulphonates) to avoid run-off of applied dust abatement solutions to streams. Spill containment equipment would be available during chemical dust abatement application. Where the road surface is within 25 feet (slope distance) of surface water, dust abatement would only be applied to a 10-foot swath down the centerline of the road. The rate and quantity of application would be regulated to insure all of the chemical is absorbed before leaving the road surface. For those drill pads within RCAs of stream channels, visual turbidity Protect local water High monitoring would occur immediately upstream and downstream of active quality e/f/d/t drilling operations. An annual report would be provided to the Level 1 that documents the results of visual observations. If operations are shown to be generating visible turbidity in a stream channel downstream of drilling, that is greater than upstream levels, operations would cease until the source of sediment can be identified and mitigated. While actions are taken to stop the turbidity plume, the visual observations of upstream and downstream turbidity would be measured with a turbidity meter at 15 minute intervals until the downstream plume subsides. If a turbidity plume occurs due to drilling, the Level 1 Team will be promptly provided with a report that includes an account of the event, measures taken to stop the plume, and turbidity data. NOAA FISHERIES

37 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating In addition to decommissioning activities described elsewhere, Protect T&E species at Moderate consultation with the U.S. Fish and Wildlife Service (USFWS) and NOAA the site (used in tandem e/a/b/d/k fishery resulted in the following mandatory measures on each temporary – all apply) road: Unless a request was made to reauthorize road use, all temporary roads on Federal System lands will be decommissioned immediately after use to a condition better than or equal to (e.g., a previously reclaimed roadbed) that prior to use. Decommissioning will include: • Reestablishing former drainage patterns, stabilizing slopes, and restoring vegetation. • Reestablishing drainage, removing unstable fills, pulling back road shoulders, and scattering slash on the roadbed. • Completely eliminating the roadbed by restoring natural contours and slopes. The operator will immediately report any fuel, oil, or chemical discharges Reduce the potential for Moderate or spills greater than 25 gallons on land, or any spill directly in a stream to catastrophic spills a/b/m IDEQ, USFS, USFWS, and NOAA FISHERIES as required by applicable federal and state regulations by phone and/or fax (or as soon as possible after on-site containment efforts are implemented as per the spill prevention control and countermeasures plan (SPCC), and initiate emergency consultation. If additional water rights are applied for, the USFS will be informed to Protect instream flows Moderate determine if additional analysis or consultations is necessary prior to use. for fisheries Requested by NOAA and USFWS a/b Concurrent reclamation will be conducted where possible and practical to Reclaim disturbed areas Moderate offset potential erosion or sediment release. a/b/f/d/k The diversion rate will not exceed 10 percent of the total creek flow for Maintain adequate Moderate the source stream. stream flow b/q/r Annually report fuel consumption, haul times, and incident report to Reporting requirement Moderate USFS, who will then distribute to NOAA and USFWS. Requested by NOAA and USFWS Road maintenance would be conducted along Stibnite Road accessing Provide ongoing safe Moderate the project site from Yellow Pine. Under a cooperative agreement with access and road d/g/v/u/s/j Valley County, maintenance measures would be performed to repair maintenance. Minimize segments that have deteriorated over time. These measures would road surface erosion include cleaning roadside ditches and improving drainage, reducing potential rock fall, improving and regrading roadway surfaces, replacing soft roadway materials, and adding surface coat aggregate with appropriate gradation and durability characteristics followed by application of dust abatement and binding products to the road bed surface in selected areas. GRAIP modeled sediment delivery points with greater than 0.1 tons per year would be followed up with field validation and would be used to prioritize application of surface aggregate. With field validation to access current need, road segments identified for graveling in the 1995 biological opinion reasonable and prudent alternatives (RPAs) that remain unsurfaced would also receive high priority for surface aggregate. These areas include Tamarack Creek, Mile Marker 8, and “Lake Louise”. Treatment will occur during the first summer of project implementation.

38 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating To provide protection to the EFSFSR, snow removal for Stibnite Road Generally used in Experience will be accomplished in accordance with the following standards of combination or in Moderate performance: tandem - progressively e/a/b Protect local surface • Except snow and ice, all debris that is removed from the road Moderate surface and ditches will be deposited away from stream channels at water quality by e/a/b approved locations. mitigating Moderate • During snow removal operations, banks will not be undercut and gravel sedimentation e/a/b or other surfacing material will not be bladed off the roadway surface. Same as above Moderate • Ditches and culverts will be kept functioning during and following Same as above e/a/b plowing. Berms left on the shoulder of the road will be removed and/or Same as above Moderate drainage openings will be created and maintained. Drainage openings Same as above e/a/b will be spaced to maintain satisfactory surface drainage without discharge on erodible fills. Same as above Moderate • Dozers will be used on an as-needed basis for plowing snow. The Same as above e/a/b dozer operator will maintain an adequate snow floor over the gravel Same as above Moderate road surface. Same as above e/a/b • Snow must not be totally removed to the gravel road surface. Low Appropriate snow floor depth will be maintained to protect the e/a/b roadway. Moderate • Damage of roads from, or as a result of snow removal will be e/a/b repaired in a timely manner. o Culverts and stream crossings will be clearly marked before snow removal begins to avoid placing berm openings in locations that will allow runoff to enter drainages directly at the culverts or stream crossings. Excessive snow will not be plowed into locations that will impact operation of the culverts or prevent positive drainage from drainage areas. Some snow is necessary around culvert openings and in the bar ditches as this will insulate the ditch and culvert and will prevent the water in the ditch and culvert from freezing. o No chemicals will be used on roads. o Traction material will be 3/8-inch diameter gravel or greater. If previously undiscovered cultural resources (historic or prehistoric Mitigate potential Moderate objects, artifacts, or sites) are exposed on NFS land as a result of project impacts on cultural a/b operations, those operations will not proceed until notification is received resources from the USFS that the proponent has complied with provisions for mitigating unforeseen impacts as required by 36 CFR 228.4(e) and 36 CFR 800. All USFS, county and state speed limits, road restrictions and load limits Mitigate potential Moderate will be observed during travel. If appropriate, during equipment mobilization impacts on local a/m/s and demobilization, pilot cars will be used to ensure there are no conflicts transportation and or incidents along the narrow access roads leading into the project area. infrastructure MGII will coordinate with the USFS on current and planned air (flight) Protect worker safety Low operations. a/b To minimize risks to the public, and to comply with Occupational Safety Protect workers and Moderate and Health Administration (OSHA) regulations in accordance with 36 CFR public safety a/b 228.9, appropriate signs would be posted near the drilling area to inform and warn visitors as appropriate. Signs would include, but are not limited to warning signs requiring use of hardhats, ear protection, eye protection, and foot protection near the drill rig and ancillary equipment. A site-wide health and safety plan would be developed and provided to Protect health and Moderate the USFS. safety of workers and a/b the public

39 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating As part of the Health and Safety Plan, medical, fire, and weather Protect health and Moderate emergency response procedures would be developed, and all employees safety of workers and a/b and contractors would be familiar with these procedures. the public Appropriate signs would be posted near the drilling area to minimize risks Protect health and Moderate to members of the public, and to comply with OSHA regulations in safety of workers and a/b accordance with 36 CFR 228.9. the public Existing NFS roads in the project area will remain open during normal Maintain appropriate Low operations. public access to NF a/b lands No USFS recreation amenities in the vicinity of the project will be impacted Maintain recreational Low or inhibited during normal operations. Anglers may experience some access a/b increases in traffic along Stibnite Road (FS 412) and the South Fork of the Salmon River, although staff will follow recommended speed limits and roads will be treated for dust abatement. Thunder Mountain Road (FS 375) will remain open during normal Maintain local public Moderate operations. access a/b Foot or horseback travel through the project area will be possible during Maintain local public Low normal project operations, although recreationists will need to avoid access a/b active exploration activities for safety reasons. Big-game hunting on NFS land open to hunters in accordance with Idaho Maintain local Moderate and federal regulations in the project area will be possible during normal sportsmen access a/b operations, although hunters will need to avoid active exploration activities for safety reasons. Biodegradable flagging will be used and unneeded survey flagging will Reduce visual impacts Low be removed upon cessation of drilling activities. a/b Light shields will be placed over outside lights, confining light to the Meet Payette National Moderate immediate area in order to further limit visual impacts. Forest (PAF) visual e/a/b quality objective (VQO) Staff and contractors will follow speed limits. If significant dust generation Reduce dust emissions High is produced, vehicles will be requested to slow down to speeds necessary from vehicle travel a/b to minimize the fugitive dust generation or the route watered. Construction equipment engines will be equipped with adequate mufflers, Reduce engine noise High intake silencers, and engine enclosures when feasible. and associated impacts e/a/b When practicable, pumps, generators, and engines will be turned off Reduce noise and air Moderate when not in use. emissions e/a/b A temporary wooden structure will be erected around portions of the drill, Mitigate noise impacts High pumps and heaters, but so as not to create worker safety issues related to e/a/b exhaust vapor build-up. The drill engine will be inside the structure, and acoustic absorbent panels will be placed on the inside walls of the structure to absorb noise. Drill contractor will install mufflers or similarly effective sound control Mitigate noise impacts High devices on all engines at the drill rig. e/a/b Whenever feasible, different noisy activities will be scheduled at the Mitigate noise impacts Moderate same time (e.g., drill site installations using helicopter and alternate site e/a/b drilling), since additional sources of noise generally do not add a significant amount of noise. Noise reduction effectiveness of typical control measures will be monitored Mitigate noise impacts Moderate at the beginning of each drilling year after installation of the system. This e/a/b monitoring will be done to document the efficiency of control measures employed at the site.

40 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating Garbage and trash will be removed regularly and disposed of in an Manage project- High IDEQ-approved waste disposal facility. Food and garbage will be stored generated solid wastes a/b either indoors, in vehicles, or if outside, in bear-proof containers. No garbage will be burned. At project completion, all equipment, supplies and refuse will be removed Manage project-related Moderate from the project site and disposed of according to established solid and hazardous wastes a/b/m liquid waste management practices and applicable local, state and federal laws and regulations. Project activities will not generate materials regulated as “hazardous” or “toxic” waste with the exception of the handling of fuel-related products. Johnson Creek Road will be used for fuel transport to the site. DOT Safety transport fuel to Moderate regulations will be followed for the transport of fuel to the project site. the project site a/b/n/m/u/w/ See Fuel Transport Management SOPs below for more detail. Experience A standard marine-type fuel containment boom (which would be sufficient Safety transport and High length for a worst case scenario), spill prevention kit and fire kit will be store fuel a/b/n/m/s stored at the re-fueling site and will be readily available during off- loading of fuel from the fuel truck or during re-fueling operations. A spill prevention and cleanup kit consisting of absorbent pads, Safety transport and High absorbent booms (which would be sufficient length for a worst case store fuel a/b/n/m/s scenario), shovels and a fire extinguisher will be placed at the fuel storage site (private property), at the core shack (private property), and drill sites or any other areas where fuel and/or petroleum products are present. After completing operations, all empty fuel and lubricant containers will Safety transport to High be removed from the operations area and, transported and disposed in empty fuel containers a/b/n/m accordance with local, state, and federal requirements. No toxic or hazardous substances will be used on site, except for Manage hazardous High standard petroleum fuel and lubricant products (diesel, gasoline, grease wastes on site a/b/n/m and hydraulic oils), and “over-the- counter” retail products. Use of all chemicals will be in accordance with manufacturer label. Annual spill awareness/response training will be required for on-site Maintain spill ready Moderate personnel and suppliers/providers. status n/m/s Two or more stored spill containment/response caches will be placed Be prepared for Moderate along each of the fuel delivery routes. accidental spill events n/m/s Fuel would be stored on private property in sealed 55-gallon steel drums, Maintain safe fuel High approved double-walled fuel tanks, or in approved single-walled tanks storage facilities n/m/s within secondary containment. Fuel would be managed, tanks would be inspected, and any oil release would be responded to in accordance with the SPCC plan. Typically, fuel would be delivered to the drill rig in a 100-gallon doubled- Promote safe fuel Moderate wall tank mounted to a pick-up truck, tracked vehicle, or by helicopter. handling n/m/s All fuel containers would be marked with contents, owner’s name and Promote safe fuel Moderate contact information. handling n/m/s Fuel containment sites, engines and other equipment with fuel or Reduce potential for Moderate lubricants would be periodically checked for leakage or spillage and in fuel leakage or spillage n/m/s accordance with the SPCC plan. The SPCC plan would be kept at the core shack or office trailer. Staff Promote safe fuel High handling fuel or petroleum products would be trained to successfully storage and handling n/m/s implement the SPCC plan. Inspections of fuel storage and handling areas would be conducted as specified in the SPCC plan. Appropriate warning signs would be placed around fuel storage facilities.

41 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating All contractors and company staff involved in handling oil and other Promote safe fuel High chemicals would be made aware of the site SPCC plan, spill kit locations, storage and handling n/m/s and appropriate emergency response procedures, and would be required to abide by all applicable federal, state and local laws and regulations pertaining to their respective operations. Should any oil or chemical discharges or spills occur, the release would be Promote safe fuel High reported to IDEQ and other appropriate agencies as required by applicable storage and handling; n/m/s federal and state regulations by phone and/or fax immediately (or as soon and timely, trained spill as possible after on-site containment efforts are implemented as per the response SPCC plan). Spill response would be in accordance with the SPCC plan, which includes a trained on-site emergency response team. Spills or discharges would be documented in writing. Drilling mud and hole plug products would conform to American Protect local ground Moderate Petroleum Institute (API) guidelines for ensuring groundwater integrity. water resources e/m Material Safety and Data Sheets (MSDS) for all products would be posted and available on site with the SPCC plan. Equipment that could potentially come into contact with dry vegetation Provide adequate fire Moderate would be required to have functional spark arrestors. In addition, drill prevention and a pads would be equipped with fire suppression equipment including protection shovels, axes, and fire extinguishers. An emergency fire response plan, including emergency notification Provide adequate fire Moderate contacts would be posted on site and staff would be trained in emergency response a emergency response procedures. All activities would be conducted in accordance with State of Idaho fire Provide adequate fire Moderate protection procedures (as outlined in IDAPA 20.04.01), local Valley protection and a County Fire District regulations, and USFS rules and regulations and 36 emergency response CFR 228.11. Several fire-response kits would be spaced strategically around the Provide adequate fire Moderate project area and at the camp in case of fire. response a On-site staff would monitor local and on-site fire conditions and maintain Ensure adequate fire Moderate contact with local area fire officials to ensure appropriate fire protection a management procedures are followed in the event of implementation of fire restrictions or woodland use restrictions (e.g., “Red Flag Warnings”). A fuel management plan has been created for the project that analyzes Promote High measures for minimizing the potential for fuel spills along the main routes environmentally safe n/s/Experience into the activity area. The fuel management plan also outlines the times of fuel haul, storage and year and the routes that would be used to deliver fuel into the project area. management The fuel plan would be followed for all activities associated with fuel delivery.

42 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating The day of the convoy: Ensure safe fuel High • Prior to the convoy leaving Cascade a health and safety meeting transport n/s/Experience would be conducted with the convoy staff. Topics to be discussed at a (used in tandem); minimum: applies to all SOPs o Anticipated road conditions and weather forecast. o Roles and responsibilities of all participants. o Communication plan protocols (including truck to truck radios, satellite phones, site communication when the convoy reaches Yellow Pine, and notification protocol in event of accident or fuel release). o Emergency response procedure and available equipment. Goals of on-site first responders, safety issues, and protocols. o Emergency numbers and call order. o SPOT™ GPS Messenger (or equivalent**) operation (provides satellite tracking of convoy location and has emergency notification capabilities). o Discussion of proper pace (speed), separation distance, driver fatigue, scheduled, and unscheduled stops. In the unlikely event of a helicopter crash into water, MGII emergency Protect local surface High responders would be notified by radio. One group would immediately waters from accidental a/n respond to the crash site, to render assistance, medical aid, and employ fuel spills environmental precautions including stabilization of the site, deploying booms, and absorbent pads, and pumping off excess fuel from the helicopter. A second MGII emergency response team would also mobilize and head to the outlet areas of the Glory Hole, or to the junction with Sugar Creek, to deploy secondary absorbent booms across the river. MGII also maintains a section of “sea curtain” boom on site, which is designed for use in the relatively quiet water of the Glory Hole. The Emergency response team leader would notify senior MGII personnel, and emergency medical or fire responders, as appropriate. Helicopter flight times would be minimized over area waterways, especially Limit helicopter flights Moderate flights over Meadow Creek, EFSFSR, and the Glory Hole, in accordance over local surface a/n with Federal Aviation Administration (FAA) regulations, to the greatest waters extent possible. Stream corridors would not be used as routine helicopter flyways. Drivers would be experienced in fuel truck hauling on NFS roads and Provide safe fuel Moderate would be familiar with the travel routes, including locations of steep transport a/n/w/s slopes that require downshifting (for vehicles with manual transmission) Tire chains would be required on NFS roads for snow or ice road Provide safe fuel Low conditions. transport a/n/w/s Overall emphasis on timing of convoy trips would be during snow-free Maintain safe transport Moderate conditions in an effort to limited trips during snow/ice conditions. of fuel a/n/w/s/ Experience Valley County Road Maintenance Supervisor, the Payette National Ensure a safe fuel haul Moderate Forest District, and the Nez Perce Tribe (NPT) tribal fisheries contact) a/n/w/s would be notified 24 hours in advance of the convoy leaving Cascade, Idaho. Fuel haul would be during daylight hours and in acceptable weather. Ensure a safe fuel haul Moderate “Acceptable weather” would be determined jointly by MGII, the USFS, a/n/w/s and the Valley County Road Department on a case-by-case basis. Prior to the fuel haul, Valley County Road Maintenance would be Ensure a safe fuel haul Moderate contacted to ensure the roads are clear. a/n/w/s

43 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating There would be no limitation to travel numbers and other restrictions for Ensure adequate Experience environmental response and environmental monitoring vehicles. The environmental High table below describes the vehicles in the convoy and responsibility of emergency response is n/w each. available (all SOPs High Transportation Mitigation Measures used in combination) Same as above n/w • Vehicle: One 4-wheel drive (WD) pilot truck; Personnel: One Same as above Same High experienced driver; Special equipment: Radios to communicate with as above Same as n/w all convoy vehicles; Responsibility: N/A above High • Vehicle: Two to four fuel trucks with maximum capacity per tuck at n/w 4,000 gallons; : One experienced driver per truck; Personnel Special High equipment: Standard fueling equipment; Responsibility: Safe transportation and delivery of fuel from Cascade to Stibnite n/w • Vehicle: One 4WD emergency response truck; Personnel: Minimum of three 40-hour hazardous waste emergency response (HAZWOPER) trained personnel; Special equipment: Spill response materials, including sorbent booms, pads, shovels, stakes, and personal protective equipment (PPE), including respirators; Responsibility: First responder to spill or accident • Vehicle: One 4WD truck; Personnel: Driver; Special equipment: Satellite phone to communicate with all convoy vehicles, SPOT GPS, weed free straw, additional spill response materials; Responsibility: N/A • Vehicle: One 4WD road monitor; Personnel: One MGII employee per truck; Special equipment: Satellite phone; Responsibility: N/A Drivers would be DOT-licensed and adhere to driver log and driving time Enhance driver’s Moderate restrictions as set by DOT. Helicopter pilots would be licensed and adhere awareness n/w to Federal Aviation Administration requirements as appropriate. **NOTE: See Tables 1 and 2, Fuel Transportation Standard Operating N/A N/A Procedure, July 2, 2014, MGII Environmental Department ESOP-004, for full listing of Stibnite SOPs. All fuel transport drivers would be required to have spill response, safety, Ensure that adequately Moderate and resource awareness training. In this program, drivers would be trained and supplied n/w informed of the Idaho State Emergency Medical Service (EMS), first personnel are a key hazardous materials responder actions, and the importance of component of the anadromous fisheries that must be protected. In addition, each driver transportation would participate in a safe-driver training course that is specific for the management/spill MGII fuel convoy. The course would cover the SOP as well as discuss response team (used in causes of accidents and how to minimize risk. tandem) Pilot and emergency response vehicles would carry appropriate Ensure that adequately Moderate containment and first aid equipment. Each convoy (between the two trained and supplied n/w vehicles) would carry at least one gallon of dry plug-n-dike; three oil personnel are a key sorbent booms (which would be sufficient length for a worst case component of the scenario); one bundle of sorbent pads; shovels; 96-inch by 96-inch piece transportation of plastic sheeting; a bucket; a 55-gallon drum; and a small trash pump (or management/spill equivalent) and generator. response team (used in tandem) The spill response team would carry sufficient containment equipment for Ensure that adequately Moderate one full tanker. This may include 4,000 gallons of empty storage capacity trained and supplied n/w on standby at Cascade. If necessary, a second vehicle carrying additional personnel are a key spill response equipment would be added. component of the transportation management/spill response team (used in tandem)

44 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating No weekend use of Johnson Creek Road for fuel haul, to minimize Ensure transport and Moderate disruption to the traveling public, no fuel convoys would be permitted into public safety n/w the project area after 9:00 a.m. on Fridays, and no transport on Saturdays or Sundays, unless permitted under special request by the USFS. Documented annual inspections of commercial transport vehicles are Promote driver safety Moderate required in 49 CFR 396.17-23. Inspections would be conducted by a n/w qualified DOT inspector. Commercial transport vehicles would also be inspected at Knox or Landmark by the driver prior to accessing Johnson Creek. Transport companies are required to document DOT annual inspections and Landmark vehicle inspections. Drivers would be experienced in fuel truck hauling on NFS roads and Encourage driver Moderate would be familiar with the travel routes including locations of steep slopes awareness n/w that require downshifting (for vehicles with manual transmissions). Tire chains would be required for snow or ice road conditions. The need Promote driver safety Moderate for chains would be determined by the convoy lead. All trucks would be n/w equipped with properly sized chains for both steering and drive tires. Helicopter flights would be discouraged during heavy snow or icy Promote helicopter Moderate conditions. Helicopters would be temporarily grounded if visibility is poor. safety n For non-winter conditions, the Johnson Creek Road route would be used Enhance safe transport Moderate as follows: of fuel n/w/s • From City of Cascade: Warm Lake Road (FS 579) for 37 miles to Landmark, then north on Johnson Creek Road (FS 413) for 28 miles to Yellow Pine, and 14 miles on Stibnite Road (FS 412) to the project sites. Adequate support personnel would be scheduled, including a minimum Ensure safe transport of Moderate of three 40-hour hazardous waste operations and emergency response fuel. n/w/s (HAZWOPER)-trained spill responders. Road clearing and maintenance activities would be coordinated with Ensure adequate road Moderate Valley County as necessary. maintenance n/w/s/h/j The USFS project administrator and Valley County Sheriff Dispatch would Ensure adequate road Moderate be notified a minimum of 48 hours in advance of the fuel convoy. maintenance n/w/s During winter, when Johnson Creek Road is closed, the route from Ensure safe worker Moderate Cascade to Yellow Pine and Stibnite using the South Fork Road would transportation l n/w/s be used for non-fuel haul project access as follows: • From City of Cascade: Warm Lake Road (FS 579) for 35 miles to Knox, then north on South Fork Road (FS 474/674) for 32 miles to East Fork Road (FS 412), 16 miles east on East Fork Road (FS 412) to Yellow Pine, and 14 miles on Stibnite Road (FS 412) to the project site. The day of the convoy: Ensure safe fuel Experience 1. Convoys would occur only when road conditions are deemed transport Ensure safe High passable and safe. Weather forecast would be evaluated and fuel transport Ensure n/w incorporated into travel “go/no go” decisions. safe fuel transport Ensure safe fuel High 2. Convoys would not occur if there are flooding conditions on roads n/w or the imminent threat of a flood. transport Ensure safe fuel transport High 3. A scheduled convoy would be delayed if driving visibility is poor. n/w 4. Setup and confirmation of caches for spill response equipment would occur along portions of Johnson Creek Road and Stibnite Road. High 5. Road signs would be established at both the Landmark and the n/w Yellow pine ends of Johnson Creek Road indicating to the public that High a fuel convoy is in progress and to use caution. n/w

45 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Effectiveness Standard Operating Procedures Objective Rating During the convoy: Ensure safe fuel Experience 1. A safe speed of travel would be maintained. Speed would be transport (use all SOPs High determined by the convoy leader, would not exceed posted speed in combination) n/w limits and would be based on road conditions. Ensure safe fuel High transport (use all SOPs 2. A two-axle four-wheel drive vehicle equipped with an operating CB n/w radio, 40-watt or 5-watt VHF radio, a satellite phone, a SPOT™ GPS in combination) Messenger (or equivalent) system, a flashing cab light, and a "pilot Ensure safe fuel High vehicle” sign attached to the front of the vehicle would be required for transport (use all SOPs n/w each convoy. Letter size for pilot vehicle signs would be at least 6 in combination) High inches in height. Ensure safe fuel n/w 3. For both the pilot and emergency response vehicles, a qualified driver transport (use all SOPs High (or passenger) trained in spill response, safety, and first aid would in combination) n/w participate in each convoy. The pilot vehicle would travel in advance Ensure safe fuel High of the fuel trucks at a distance not greater than 1 mile and not less transport (use all SOPs n/w than 1/4 mile. The pilot vehicle would advise oncoming traffic to park in combination) High until the convoy passes and would regulate the speed of the Ensure safe fuel transporting vehicle so that it does not exceed posted speed limits transport (use all SOPs n/w and safety conditions inherent to the road. The emergency response in combination) High vehicle would follow in between or behind fuel trucks offering road n/w use controls and quick breakdown or accident response Ensure safe fuel transport (use all SOPs High 4. Convoy trucks would maintain safe distances between trucks in combination) based on speed, road conditions, and stopping distances. n/w Ensure safe fuel High 5. Vehicles in the convoy would have maps and mileages of transport (use all SOPs n/w important landmarks such as, hazards and turnouts. in combination) High 6. Driving would be during daylight hours. Ensure safe fuel 7. Rest stops would occur during the convoy as needed or transport (use all SOPs n/w requested by drivers. in combination) High 8. Radio communication would be used to warn drivers of upcoming Ensure safe fuel n/w steep grades and also of any oncoming traffic that may require transport (use all SOPs High trucks to slow down or stop. in combination) n/w 9. The convoy pilot truck would warn oncoming traffic of the convoy and Ensure safe fuel request that oncoming traffic pull aside (or wait) for the convoy. The transport (use all SOPs convoy would be made aware of any oncoming traffic through radio in combination) communication with the pilot truck. Radio communication would be Ensure safe fuel maintained between trucks and pilot vehicle. transport (use all SOPs 10. During the convoy, the pilot truck would be responsible for in combination) communicating to the fuel trucks locations of road hazards and if Ensure safe fuel necessary placing flagging around the hazards. transport (use all SOPs 11. Communication with management would occur by using the in combination) SPOT™GPS Messenger (or equivalent) – signal check-in/OK at least hourly, and signal arrival (custom message) upon reaching the site camp, and upon safely returning to Cascade. The USFS project administrator would be notified upon safe return to Cascade. 12. A SPOT™ GPS Messenger (or equivalent) button would be used in an emergency to alert emergency responders. 13. Site security would clear all oncoming traffic before proceeding up or down Stibnite Road between the Yellow Pine guard station and the site. Convoy progress would be radioed to security according to established protocols. Table 8 notes: a HDR Engineering, Inc. 2012 b HDR Engineering, Inc. 2013 c Colorado State Forest Service 2010 d USDA- USFS 2012 e Midas Gold, Inc. 2013 f MWH Americas, Inc. 2014.

46 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

g Washington State Department of Ecology 1999 h Foltz, R.B. 2007 i Grace, J. M.2002 j Burroughs Jr., E.R. and J.G. King. 1989 k U.S. Department of Agriculture, USFS. 1992-1994, 1998 -1999, 2002, 2010, 2012-2013 l Moll, M. (Lehigh University) 2001 m MWH Americas, Inc. 2014 n Midas Gold, Inc. 2014 Fuel Transport Standard Operating Procedure o Luce, C.H. et al. 2001 p Belt, G.H., J. O’Laughlin, and T. Merrill. 1992 q Orth, D.J. and R.J. White. 1993 r Tennant, D.L. 1976 s Midas Gold, Inc. 2014. Technical Memorandum: Fuel Transportation Standard Operating Procedures and Sedimentation Control Best Management Practices t Ice, George, PhD et al. 1998 u Megahan, W.F. et al. 2001 v GeoSyntec Consultants and University of Oregon 2002 w Midas Gold, Inc. 2014. Technical Memorandum: Fuel Use and Fuel Convoy Information 2012 through 2013, Estimated Needs for New Exploration

Table 9. Threatened, Endangered, Sensitive, Candidate, and Proposed Plants Known or Suspected of Occurring on the Forest Species Name Common Name Botrychium lineare Slender moonwort Howellia aquatilus Water howellia Silene spaldingii Spalding’s silene Spiranthes diluvialis Ute Ladies’-tresses Allium madidum Swamp onion Allium tolmiei var. persimile Tolmie's onion Allium validum Tall swamp onion Allotropa virgata Candystick Arabis sparsiflora var. atrorubens Sicklepad rockcress Astragalus paysonii Payson's milkvetch Astragalus vexilliflexus var. nubilus Bentflowered milkvetch Botrychium lanceolatum Lance-leaved moonwort Botrychium simplex Least moonwort Buxbaumia viridis Green bug moss Calamagrostis tweedyi Cascade reedgrass Camassia cusickii Cusick camas Carex aboriginum Indian Valley sedge Carex buxbaumii Buxbaum's sedge Ceanothus prostratus ssp. prostratus Mahala-mat ceanothus Chrysothamnus nauseosus spp. nanus Dwarf grey rabbitbrush Crepis bakeri ssp. idahoensis Idaho hawksbeard Douglasia idahoensis Idaho Douglasia Draba incerta Yellowstone draba Eatonella nivea White eatonella Epilobium palustre Swamp willow weed Epipactis gigantea Giant helleborine orchid Hackelia davisii Davis' stickseed Halimolobos perplexa var. perplexa Puzzling halimolobos

47 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation BEST MANAGEMENT PRACTICES/STANDARD OPERATING PROCEDURES

Species Name Common Name Haplopappus radiates Pyrrocoma radiata Snake River golden weed Helodium blandowii Blandow's helodium Hierochloe odorata Sweetgrass Howellia aquatilus Water howellia Leptodactylon pungens ssp. hazeliae Hazel's prickly phlox Lewisia sacajaweana Sacajawea’s bitteroot Lobaria scrobiculata Pored lungwort Mimulus clivicola Bank monkeyflower Mirabilis macfarlanei MacFarlane’s four-o-clock Peraphyllium ramosissimum Squaw apple Pilophorus acicularis Nail lichen Pinus albicaulis Whitebark pine Polystichum kruckebergii Kruckeberg’s swordfern Ribes wolfii Wolf’s current Rubus bartonianus Bartonberry Salix glauca Gray willow Sanicula graveolens Sierra sanicle Saxifraga bryophora var. tobiasiae Tobias' saxifrage Schistostega pennata Luminous moss Sedum borschii Borch's stonecrop Triantha occidentalis ssp. brevistyla Short-style tofieldia Trifolium douglasii Douglas clover

The enforcement mechanism for each of the SOPs is the Stibnite Gold Project Final Plan of Operations. Monitoring of the plan will be completed as defined in the final plan of operations and the Stibnite Gold Project Decision Notice and Finding of No Significant Impact (DN/FONSI).

Best professional judgment (BPJ) was used in combination with literature reviews and common site practices to determine effectiveness rating.

48 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation RECLAMATION PLAN

10 Reclamation Plan (4/10/17)

MGII will remove all drilling-related structures, trash, debris, equipment, and other related materials from each drill site once drilling is completed. They will take photographs of all drill areas prior to activities, during operations, and after operations to provide to PAF district ranger and the Idaho Department of Land (IDL) for record keeping at the end of the project.

10.1 Drill Pad Reclamation Upon completion of each core hole, MGII will backfill the drill hole with a mixture of drill slimes collected in the mud sump and bentonite hole plug from the bottom of the hole to within 3 feet of the ground surface. MGII will set a concrete cap from the top of the plug to within a few inches of the ground surface and monument the hole with a steel chain for survey purposes in accordance with its policies and specifications outlined by the Idaho Department of Water Resources (IDWR) and in accordance with Idaho Administrative Procedures Act (IDAPA) 20.03.02.060.06(c). Native material will be mounded on top of the concrete cap during final reclamation. If artesian water or geothermal waters are encountered in a drill hole, MGII will seal the water flow with cement grout, or quick-setting bentonite, thereby preventing cross-flow and/or mixing of groundwater aquifers. MGII will mix any remaining cuttings with fill material and backfill into the sump excavation so that growth of natural grasses and foliage will not be impaired. They will backfill and re-contour mud pits per IDAPA 20.03.02.060.06(b). MGII will mulch sites by applying certified weed-free hay mulch. They will re-plant sites, where possible and practical, with certified weed-free seed mixes and native plant species suitable for each site’s elevation, moisture and climatic setting as per IDAPA 20.03.02.060.06 (a) and (b) and in accordance with 36 CFR 228.10.

10.2 Temporary Road Reclamation There will be no construction of temporary roads for this geotechnical drilling project. All existing roads used for the duration of the POO will be maintained to their current condition during use. MGII will maintain roads with hand tools (shovels and rakes and brush axes) and maintenance will involve water-bar stabilization and installing weed-free waddles and weed-free hay bales for sediment control. Examples of reclamation activities MGII conducted for previous exploration drilling activities are presented in Attachment C.

10.3 General Reclamation Practices and On-going Activities Site reclamation generally includes spreading straw, wood straw and topsoil over the area, spreading a native seed mix including grasses and legumes, and planting lodge pole pine seedlings. Since 2011, MGII has planted over 40,000 trees in the project area at locations associated with drill exploration activities, but also in areas of historic mining activities. Based on reclamation experience from 2009 through 2016, MGII developed a modified hydroseeding machine. The unit fits in the bed of a pickup truck, which allows the unit to be transported to many of the remote drill pads.

Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation RECLAMATION PERFORMANCE BOND

11 Reclamation Performance Bond (4/10/17)

MGII understands a Reclamation Performance Bond may be required by the State of Idaho (IDAPA 20.03.02.01.120) and/or USFS (36 CFR 228.13) to cover reclamation of all disturbances connected with proposed drilling operations.

A performance bond is a performance guarantee to ensure activities are conducted in accordance with the terms and conditions described in this document with the reclamation requirements agreed upon in this IDL Notice of Intent/ USFS POO. This performance bond also extends to and includes any unauthorized activities conducted in connection with this operation. The bond amount is based on a calculation worksheet that is attached to and incorporated to this document by reference. The bond amount may be adjusted during the term of this proposed POO in response to changes in the operations or to changes in the economy.

A bond will be negotiated as part of the plan review process. MGII will provide financial assurance.

51 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation REFERENCES

12 References (5/16/2017)

Belt, G.H., J. O’Laughlin, and T. Merrill. 1992. Design of forest riparian buffer strips for the protection of water quality: Analysis of Scientific Literature. Report No. 8, Idaho Forest, Wildlife, and Range Policy Analysis Group.

Burroughs Jr., E.R. and J.G. King. 1989. Reduction of soil erosion on forest roads. USDA USFS General Technical Report INT-264. Intermountain Forest and Range Experiment Station. Ogden, UT.

Colorado State Forest Service, 2010, Forestry Best Management Practices to Protect Water Quality in Colorado

Foltz, R.B. 2007. Wood strands, wood shreds, and straw on obliterated roads. Interim Report. USDA USFS, Rocky Mountain Research Station, Moscow Forestry Sciences Laboratory, Moscow, Idaho, USA.

GeoSyntec Consultants and University of Oregon, 2002. BMP Effectiveness/Efficiency Monitoring Annotated Bibliography

Grace, J. M.2002. Effectiveness of Vegetation in Erosion Control from Forest Road Sidelopes. American Society of Agricultural Engineers ISSN 0001–2351.

HDR Engineering, Inc. 2012. Amended Plan of Operations for Exploration Drilling Midas Gold, Inc. Golden Meadows Stibnite, Idaho (USDA- USFS)

HDR Engineering, Inc. 2013. Revised Environmental Assessment Golden Meadows Exploration Project (USDA- USFS)

Ice, George, PhD et al., 1998. Alternatives for Evaluating Water Quality BMP Effectiveness at Watershed Scale

Idaho Department of Lands [IDL], 1992. Best Management Practices for Mining in Idaho, Idaho Mining Advisory Committee, November 16, 1992.

Idaho Department of Water Resources (IDWR), 2017. Water Right Report: Water Right No. 77- 7285.

Jones, S., 1979. Habitat management series for unique or endangered species. Rep. no. 17. The accipiters: goshawk, Cooper's hawk, sharp-shinned hawk. U.S. Dep. Inter., Bur. Land Manage., Tech. Note 335. 55pp.Jones & Stokes Associates

Luce, C.H. et al. 2001. Effects of Traffic and Ditch Maintenance on Forests Road Sediment Production

Megahan, W.F. et al. 2001. Sediment Production from Granitic Pet cat slopes on Roads in Idaho, USA. Earth Surface Processes and Landform, 26, in press.

53 Midas Gold Idaho, Inc. | Plan of Operations for Geotechnical Drilling REFERENCES

Midas Gold, Inc. 2013. Supplemental Information to USFS Attachment A: Measures to Protect Surface and Ground Water and Riparian Conservation Areas at Golden Meadows Exploration Project (2012 through 2014)

Midas Gold, Inc. 2014. Fuel Transport Standard Operating Procedure

Midas Gold, Inc. 2014. Technical Memorandum: Fuel Transportation Standard Operating Procedures and Sedimentation Control Best Management Practices

Midas Gold, Inc. 2014. Technical Memorandum: Fuel Use and Fuel Convoy Information 2012 through 2013, Estimated Needs for New Exploration

Moll, M. (Lehigh University), 2001. Analysis of Storm Water Management Utilizing Best Management Practices (BMPs)

MWH Americas, Inc. 2014. Midas Gold, Inc. Golden Meadows Spill Prevention, Control and Countermeasures Plan (SPCC) Amendments 1-6, 2013/2014

MWH Americas, Inc. 2014. Storm Water Pollution Prevention Plan (SWPPP) Revisions 1&2 for Midas Gold, Inc. Golden Meadows Exploration Project, Stibnite, Idaho, 2013/2014

Orth, D.J. and R.J. White. 1993. Stream Habitat Management. Pages 215-218 in C.C. Kohler and W. A. Hubert, editors. Inland fisheries management in North America. American Fisheries Society, Bethesda, Maryland.

Reynolds, R. T., R. T. Graham, M. H. Reiser, R. L. Bassett, P. L. Kennedy, D. A. Boyce, G. Goodwin, R. Smith, and E. L. Fisher, 1992. Management recommendations for the Northern Goshawk in the Southwestern United States. General Technical Report RM-217, 90 pp. USDA USFS, Rocky Mountain Forest and Range Experiment Station, Fort Collins, CO, USA.

Sykes et al., 2007, Timber Harvest Operations (USDA- USFS)

Tennant, D.L. 1976. Instream flow regimens for fish, wildlife, recreation and related environmental resources. Fisheries (Bethesda) 1(4):6-10.

U.S. Department of Agriculture, U.S. Forest Service (USFS). 1992-1994, 1998 -1999, 2002, 2010, 2012- 2013. Payette National Forest Soil, Water and Fisheries Monitoring Results. Unpublished Reports on File. McCall, ID.

U.S. Department of Agriculture, USFS. 2015. Final Environmental Assessment, Golden Meadows Exploration Project.

2003 Land and Resource Management Plan (Forest Plan). Payette National Forest. Amended 2010. http://www.fs.usda.gov/detail/payette/landmanagement/planning/?cid=stelprdb5035589

54 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation REFERENCES

2007 South Fork Salmon River Sub Basin Noxious and Invasive Weed Management Program (USDA, 2007).

55 Midas Gold Idaho, Inc. | Plan of Operations for Geophysical Investigation OPERATING PLAN ACCEPTANCE

13 Operating Plan Acceptance (4/10/17)

We have reviewed and agree to comply with all conditions in this plan of operations, including the required changes, modifications, special mitigation, and reclamation requirements and agree to comply with other applicable federal, state or local laws, rules, and regulations. We understand that any bond required must be posted prior to implementation of ground disturbing activities and that the bond will not be released until the Authorized Officer in charge gives written approval. We understand that approval of this plan does not constitute certification of ownership to any person named herein and/or recognition of the validity of any mining claim named herein.

Authorized Representative (Date) (mm/dd/yy)

Operating Plan Approval

(Name) (Title)

(Authorized Officer) (Date) (mm/dd/yy)