August 29, 2005

Mr. William Cobb, Director, Environmental Department
Phelps Dodge Corporation
One North Central Avenue
Phoenix, AZ 85004

Re:  Phelps Dodge Sierrita, Inc. Comments on draft APP dated August 22, 2005

Dear Mr. Cobb:

I am writing in response to the August 22, 2005 comments on ADEQ's draft APP for Phelps Dodge Sierrita, Inc. submitted by Michael Wood. ADEQ continues to review these comments and will prepare responses to address them. However, I write specifically regarding the comment that "PDSI proposes to use a remediation-based approach to address the sulfate conditions at our site under, for example, the Voluntary Remediation Program, rather than under ADEQ's compliance-permit approach." At this writing, I am not aware that Phelps Dodge has submitted any plan for remediation of the sulfate plume to ADEQ's Voluntary Remediation Program.

ADEQ cannot adjust APP terms on the basis of the statement in your letter alone. ADEQ requires a specific plan for remediation of the sulfate plume in the Green Valley area in order to consider any adjustments to the draft permit as requested by Phelps Dodge. In fact, in a meeting with Kevin Kensall in my office on July 13,2005, when this topic was raised, ADEQ made it clear that it is necessary for Phelps Dodge to submit a plan for remediation in order for ADEQ to reconsider its APP approach to the sulfate contamination, as requested by Phelps Dodge.

If you have any questions, please contact me at (602) 771-2306.

Sincerely,

s/Joan Card

Water Quality Division

cc
Kevin Kensall
Michael Wood
Shannon Davis
Michele Robertson
Jeff Emde

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