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January 27, 2015 C- 1981 - 014 /Southfield Mine RDZ <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA Not Applicable <br />N - Air Resource Protection <br />N - Availability of Records <br />N - Backfill & Grading <br />NA - Excess Spoil and Dev. Waste <br />NA - Explosives <br />N - Fish & Wildlife <br />R - Hydrologic Balance <br />N - Gen. Compliance With Mine Plan <br />N -Other <br />N - Processing Waste <br />N - Roads <br />R - Reclamation Success <br />N - Revegetation <br />N - Subsidence <br />N - Slides and Other Damage <br />N - Support Facilities On -site <br />N - Signs and Markers <br />R - Support Facilities Not On -site <br />NA - Special Categories Of Mining <br />N -Topsoil <br />COMMENTS <br />A partial inspection was conducted by Rob Zuber of DRMS on January 27 and 28, 2015. The weather was clear <br />and seasonably warm. The ground was muddy with snow in some shaded area, especially in the trees at higher <br />elevations. <br />The primary purpose of the inspection was to perform an inventory of exploration drill holes (aka bore holes). <br />Energy Fuels (EFCI), in discussions with the Division and landowners, has decided to perform a field study to <br />confirm that locations of drill holes on Map 12 in the PAP are correct, correct the locations as necessary, and to <br />mark the locations on the ground. The other purpose of the study is to assess the condition of the holes, namely if <br />they have been sealed and reclaimed. To this end, Rob Zuber observed the survey by Al Weaver, an EFCI <br />consultant and former mine manager, and Dr. W.D. Corley, landowner and surveyor. <br />HYDROLOGIC BALANCE - Rule 4.05 <br />Drainage Control 4.05.1, 4.05.2, 4.05.3; Siltation Structures 4.05.5, 4.05.6; Discharge Structures 4.05.7, 4.05.10; <br />Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring 4.05.13; Surface Water Monitoring 4.05.13; <br />Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, 4.05.9; Stream Buffer Zones 4.05.18: <br />Pond 5 was holding a small amount of water, and was not discharging. No major problems were found <br />with the embankment, flume, or spillways. A small amount of sediment was seen at the outlet of the primary <br />spillway, but is not problematic. <br />The inlets to Pond 5, culverts 39 and 40 on Map 18 of the PAP, were inspected. No problems were identified. <br />RECLAMATION SUCCESS - Rule 4.15, Rule 3: <br />At the portal area, RDA, Pond 3, loadout, and other reclaimed areas of the site no large bare spots, <br />erosion, or weed patches were seen with one exception: a large rill west of the truck tunnel was pointed out by Dr. <br />Corley. The upper end of the rill is approximately 160 feet west of the tunnel (Lat 38degl7'14 "N, Long <br />Number of Partial Inspection this Fiscal Year: 5 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 10 <br />