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PERMIT #: M- 1990 -041 <br />INSPECTOR'S INITIALS: MAC <br />INSPECTION DATE: August 22, 2013 <br />OBSERVATIONS <br />The inspection was conducted by Michael Cunningham of the Division of Reclamation, Mining and Safety <br />(Division). Mr. William Phillips was present on behalf of Central City Consolidated Mining. The Bates - Hunter <br />Mine is located between the towns of Central City and Blackhawk alongside State Highway 279. The mine site <br />occupies approximately 1 acre and is situated at an elevation of 8,300 ft. The Golden Gilpin Mill is located <br />about a half a mile up Highway 119 from its intersection with State Highway 279. The mill facility occupies the <br />remaining 2.5 acres of the 3.5 acre permit boundary. The post- mining land use is industrial/commercial. <br />The Bates - Hunter Mine was not operating at the time of the inspection. The site is currently in temporary <br />cessation, the five year term for temporary cessation will end on March 8, 2016. The mine site consists of an <br />office building which contains a workshop, dry room, and the hoist for the headframe. The mine site also <br />contains a water treatment facility. The water treatment facility employs lime treatment, coagulation and <br />filtration to remove metals from the mine water before the water is discharged into Gregory Gulch. The water <br />treatment facility has a capacity of 300gpm; the facility was not operational at the time of the inspection and <br />would only operate when the mine is being dewatered. Prior to using the facility, the Operator would need to <br />provide the Division with a valid discharge permit from the Colorado Department of Public Health and <br />Environment. In addition to the office building and water treatment building, there are a several vehicles, old <br />equipment, and refuse scattered throughout the site. All structures which were existing prior to the issuance of <br />the Reclamation Permit will remain following reclamation; this does not include the water treatment facility. <br />The Golden Gilpin Mill has not operated since prior to the issuance of the Reclamation Permit. The mill <br />building was locked at the time of the inspection and Mr. Phillips did not have access to the building. The area <br />north of the mill contains several shipping containers which contained core samples from the mine. In addition, <br />there were empty water tanks, scrap metal, old equipment and refuse on the north side of the mill building. The <br />Division observed erosion in the form of rills immediately south of the mill entrance. Sediment from the mill <br />yard was being deposited into North Clear Creek. This has been cited as a problem and will require corrective <br />action by the Operator; please see the first page of this report for additional details. <br />The south side of the mill building is the location of the former tailings ponds. The tailings ponds have been <br />removed and the tailings have been graded. The reclamation work was conducted as part of the Central City <br />Superfund site which encompasses a 400 square mile drainage basin of Clear Creek. The mitigation efforts have <br />focused on drainage tunnels, mine tailings and waste rock piles and the work was performed as part of <br />collaboration between the Environmental Protection Agency, the Colorado Department of Public Health and <br />Environment, and local communities. The Division observed a rip rapped stormwater channel on the west side <br />of the tailings pile, which appeared to be designed to capture stormwater running off the mountain located <br />immediately on the west side of the mill. The stormwater channel would divert water around the tailings before <br />discharging into the North Fork of Clear Creek. A small vegetated berm on the east side of the tailings <br />separates the material from the creek. In addition, several rock check dams have been placed on the tailings side <br />of the berm. Stormwater which would flow over the check dams would collect in a small detention basin at the <br />south end of the site; the detention basin overtops into the rip rapped stormwater channel. The tailings were <br />isolated with sediment fences; however, the sediment fences were no longer anchored and were not functioning <br />properly. The tailings are no longer contained within the sediment fences; however, the Division did not <br />observe tailings leaving the permit area. <br />The Division observed 10 - 55 gallon plastic drums and 2 - 55 gallon steel drums on the south side of the mill <br />building. The plastic drums contained hand written labels on the top of the container; some of the labels were <br />faded and were no longer legible. It appeared that the drums contained reagents and other chemicals to be used <br />Page 3 of 7 <br />