Project Update September/ october 2011

August’s Word of Water Management: the Month Winner Karen Lidster Understanding one of the Congratulations to Karen Region’s most Important Resources Lidster, who guessed closest to the correct amount of times (23) the word “mine” was referenced in last Water is one of the most valuable month’s newsletter. and important resources in the Yukon Kuskokwim (YK) region. Monthly Word Game Streams and rivers provide a habitat for salmon, transportation Win A Prize! for residents and nourishment to Join Donlin’s word game by wildlife. The YK region also has a finding out how many times plentiful source of fresh surface the Word of the Month was water, with about 20 inches of referenced in the newsletter. Each correct answer will be precipitation annually at Donlin. entered in a prize drawing. Throughout the history of the project, Donlin Gold has made it a priority September’s Word to study the quality and quantity of of the Month: water in the area, in order to design a Gold project that will minimize impacts on the environment. All of the water that Please submit your answer by comes into contact with the proposed November 4, by email at mine facilities would need to be [email protected] or mail Danny Twitchell, Environmental Specialist, it to the address listed on the managed to ensure that any discharge collecting water samples. back of this newsletter. would meet permitted standards. Donlin has been gathering surface water quality data since 1995, and has collected surface and groundwater quality data quarterly since 2003. Currently, the Donlin Environmental Department routinely collects water quality samples from about 20 surface water stations, and about 25 groundwater wells. Other environmental baseline studies are conducted in the area’s streams and rivers as well. Aquatic biologists have conducted salmon and resident fish surveys since 2004 to document fish species, run timing, and aquatic habitat. A fish weir has been installed seasonally since 2008 to provide more definitive numbers of fish entering the Crooked Creek watershed.

Continued Inside: “Water Management” Face to Face with Stan Foo

Fall is my favorite time of year, but always how eager and anxious many people are to seems like a short season in , going prepare for the job opportunities that our from long summer days to long crisp project will provide. nights. We begin to change our routines and plan for freeze up, while we enjoy Moving Forward being outside in the fall colors and the As we move to the next phase of the cooler weather. Things are no different at project, we want residents and stakeholders the Donlin Gold project. to continue to communicate with us about Public input is a very their concerns and needs. We strive to important part of our Time of Transition produce a project built on the strength of planning process, and we Fall signals the end to our field season at open communication between Donlin and would like to hear from you. Donlin Gold. Staff wrap up projects that residents in the Yukon Kuskokwim region, need to completed before winter and and can accomplish this by sharing ideas Send mail to: make sure the camp is winterized. Fish and information with each other. Donlin Donlin Gold surveys and other environmental baseline will continue to create opportunities for 4720 Business Park studies are winding down for the year and gatherings, dialogue and partnerships. We Blvd., Suite G-25 crews are bringing back their equipment to hope residents will continue to provide Anchorage, AK 99503 be stored. Plans for environmental surveys us with feedback utilizing the various that will be conducted through the winter communication outlets –phone, mail, email, Phone: are being made. visiting our village offices, or attending our project update meetings. (907) 273-0200 The Donlin Gold project will also be (888) 225-7590 toll free transitioning in an important way as we I hope everyone has a safe and successful For more project complete our updated feasibility and hunting season, and I look forward to information visit us online engineering studies and continue to hearing your ideas and sharing ours. at www.DonlinGold.com prepare to begin the permitting process early next year. We expect permitting To voice concerns or to take at least three years to complete, complaints about the and possibly longer. Through the many project contact us at meetings and tours we have held for people Stan Foo [email protected] from the villages this year, we have listened General Manager or (855) 279-0382 and learned about the concerns people Donlin Gold have about protecting the environment, the Kuskokwim River and subsistence resources in the region. We have also heard

Timeline

NEPA Process - 3+ years Construction Operation Mine Ongoing Mine 16 Years of Exploration and Regional and Tribal Consultation with State closure and Site and Water and Federal Regulatory Agencies Up to 3,000 jobs Up to 1,000 jobs Environmental Studies 3-4 Years 27+ years reclamation Monitoring National Environmental Policy Act will require an Environmental Impact Statement. Up to 22 jobs Up to 5 jobs The proposed Natural Gas Feasibility There will be opportunities for formal public comment project is defined Pipeline Studies Studies are during the NEPA process. by Donlin Gold. are conducted. conducted. Agencies define The findings of The final NEPA the scope of the NEPA processes findings are Continuing NEPA process. are drafted. submitted. exploration Donlin is here Permit applications Submitted Permit Decision Continued from front cover Water Management Along the Kuskokwim River, from Georgetown to Bethel, Danny has a personal connection with the Kuskokwim Bay, river use surveys have been conducted Kuskokwim River. “It has given me a great respect for the to document how and when people use the river for watershed,” Danny said. “It has provided fishing, hunting, subsistence, recreational, and commercial activities in transportation, and recreation and most of my fondest order to help Donlin plan a project that minimizes any memories growing up had to do with spending quality impacts on resident’s river use and subsistence activities. time with family and friends on the Kuskokwim River.” Donlin Gold will continue to conduct water quality In addition to environmental compliance activities, monitoring throughout the life of the project and long Danny commits the time and patience to follow data after the mine is closed. Donlin anticipates moving collection protocol to efficiently conduct quarterly forward into the permitting process during 2012. As water quality baseline studies, support the air quality part of the permitting process, the agencies will conduct monitoring program, and participate in aquatic surveys. an Environmental Impact Statement of the proposed “I’m honored to be a member of an environmental project, including its potential impacts on local water team that works very hard to ensure our lands and our resources. During that time there will be opportunities Kuskokwim River are protected for future generations,” for the public to comment on Donlin’s proposed water Danny said. management plans. Tisha Woolley, who was born and raised in Bethel and Meet Donlin’s Environmental Team whose grandfather is Joe Lomack, joined Donlin in Over the past several years, three environmental 2005 as a geologist. A year later, she joined Donlin’s specialists, Jill Duerfeldt, Danny Twitchell and Tisha environmental department. As part of Tisha’s job to Woolley, have been conducting water quality baseline manage Donlin’s water quality monitoring program, she studies and collecting environmental data for the conducts on-site visits during water sampling to ensure Donlin project. All of them have family ties to the YK that proper collection procedures are being followed. region and understand the importance of protecting the environment and the area’s aquatic resources. In addition to the team members highlighted in this article, other Donlin employees have assisted with water Jill, who was raised in Oregon, has family ties in Eek monitoring activities including Joe Bobby of Lime Village, and Kongiganak, Alaska. After graduating from college, Gerald “Bubba” Beans of Eagle River and Greg Sakar of she worked for Calista’s Land and Natural Resources Crooked Creek. department, before being offered the opportunity to work with Donlin’s environmental team. Since Donlin Gold is pleased with its environmental team for 2005, Jill has been sharing on-site responsibilities of their hard work and personal dedication over the years environmental compliance, coordinating field studies, to provide accurate, efficient and important information and conducting water quality baseline monitoring. about the region’s water resources. The information from these environmental studies will be used to ensure Lloyd “Danny” Twitchell has been with Donlin’s that Donlin operates a mining project responsibly, with environmental team since 2006. Born and raised in minimal impact.

As part of Donlin Gold’s commitment to responsible development, staff will continue to conduct water quality monitoring throughout the project and long after the mine is closed to ensure the region’s viable resource remains protected.

Danny Twitchell, Tisha Woolley and Jill Duerfeldt have been conducting water quality baseline studies and collecting environmental data for the Donlin project over several years. Learning from Other Projects: Donlin Tours Mines in Nevada Envisioning what an operational Donlin Gold mine would look like can be a difficult thing to do, especially when most people are visual learners. Because no actual construction or development has happened at the Donlin site, it’s hard to understand the true scale of the project. That’s why for several years Donlin has made it a priority to visit and host tours at other successful operating gold mines throughout the U.S. in order to show what could potentially exist just 10 miles north of Crooked Creek village. Earlier this month, several residents and representatives from the Yukon Kuskokwim region joined Donlin Staff on a tour of two operating gold mines in Nevada, including village council members, and Calista Corporation President Andrew Guy. The two gold mines visited were the Cortez mine and Goldstrike mine. Both mines are located just outside of Elko, Nevada and are operated by Barrick Gold, one of Donlin’s parent companies. These mines utilize conventional open-pit methods, some of which may be used at Donlin. During the tours, stakeholders were able to observe and learn about the mines’ operating mills, concurrent reclamation and the autoclave process. The visiting stakeholders reported they were surprised and encouraged by the amount of precautions taken at the operating mines, as every employee makes safety their top priority. Edna Beebe, an Indian General Assistance Program Coordinator from Eek who participated in the mine tours, said she was surprised to see how large the mine sites were. She hopes to share information about the different modern day mining practices she learned with the community of Eek. “This is one of the best trips I’ve been on. I learned so much,” said Beebe. “Before the trip I was iffy about the whole mining business.” Another common factor these mines have with the Donlin project is their investment in communities. Both mines contribute to local scholarship programs and provide assistance to organizations that benefit the area. Like Donlin, these mines understand by contributing to the community, they are producing a project that benefits everyone who lives in the region. Taking tours of operating gold mines provides stakeholders with assurance that development can be done responsibly. By learning about the planning and operational processes of other mines and sharing the information with the people of Top: Donlin Gold stakeholders pose for a photo with a gold bar at the Goldstrike Mine in Elko, Nevada. Middle: Nick Enos, Donlin Gold, the Yukon Kuskokwim region, Donlin can continue to build a Environmental & Permitting Manager confers with Calista Corporation board member, Willie Kasayulie while observing a daily blast at the satisfactory and successful project. Goldstrike Mine. Bottom: A blast in the open pit at the Goldstrike Mine. Opportunities

New Tent, New Event: Village Festivals Donlin Supports the Alaska State Fair Celebrate Subsistence It’s hard to imagine something more exciting than the food at the Alaska As residents in the Yukon State Fair, but this year a new event Kuskokwim region wrap up their contended with the cream puffs: a fishing, hunting and gathering meet and greet with the legends of the seasons, many come together Iditarod Trail Race. to celebrate their subsistence successes during village fall festivals. The event took place at the Donlin Gold Ravens People tent, a brand new venue At the Tundra Fest in Chevak, at the fair. The Iditarod Trail Committee Alaska families participated in started the event by presenting 2011 an array of contests including Iditarod Champion with harpoon throwing, bird plucking, his championship ring. Baker, who not bread making and table games. only captured first place in this year’s Students tested their speed in Iditarod, also set a new record for the footraces, while others showed fastest race time. off their Eskimo dancing skills. Baker was joined at the meet and greet Participants at the Blueberry by four-time Iditarod Champions Martin Festival in Toksook Bay were Buser and along with 1978 Alison Brill, Donlin Gold Office Services Supervisor. a little bit pickier with their Iditarod Champion , 2004 Iditarod Champion , and activities. The top-three winners veteran mushers Dee Dee Jonrowe, Ramey Smyth and . of the festival’s blackberry- picking contest brought in a Race fans of all ages at the Alaska State Fair had the chance to take pictures combined 36 lbs. of the sweet with the Iditarod athletes and hear their stories about the Last Great Race. It berries. The winners of the wasn’t all just handshakes at the meet and greet, paws were present as well. contest were Esther Chimiugak, Fans were able to pet and play with several sled dog pups. Winnie Julius and Priscilla Moses. Donlin Gold is a continuing sponsor of the Iditarod, recognizing Alaska’s Other family activities at the strong historical ties to mining and mushing. Blackberry Festival included a fiddle dance, mini-basketball tournament, a qaspeq contest and an akutaq contest. At the Kongiganak Salmonberry Festival, families participated in kayak races, a cakewalk and several other contests. High school students celebrated their heritage by performing Eskimo dances at the festival, while others honored community members who recently passed away during a paper lantern memory send-off. Several members of the Donlin team attended the festivals to celebrate the end of summer with local residents and Donlin is pleased to help support these activities.

DeeDee Jonrowe greets a young fan at the Donlin sponsored Iditarod Meet and Greet Event. Prst Standard US Postage PAID Permit No. 69 4720 Business Park Blvd., Suite G-25 Anchorage, AK Anchorage, AK 99503 (888) 225-7590 www.DonlinGold.com

Mining vocabulary: Ball Mill A steel cylinder filled with steel balls into which crushed ore is fed. The ball mill is rotated, causing the balls to cascade and grind the ore. A ball mill will be used at the Donlin mine to help reduce the gold-bearing ore into fine silt like sand to be further processed.

It is officially hunting season for many residents in the Yukon Kuskokwim region. Boise Alexie, the Assistant Camp Operations Manager at Donlin, had a successful moose hunt with his 10-year-old son Ethan Cooper. Donlin supports its employees’ practice of subsistence living and encourages them to apply their workplace safety standards to their daily lives.

One of our primary goals is to create a mining project that will help enrich the lives of those in the Yukon Kuskokwim region by providing opportunities for families to live in safe, healthy and prosperous communities.