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PERMIT #: M- 1978 -009 <br />INSPECTOR'S INITIALS: TC1 <br />INSPECTION DATE: February 12, 2014 <br />• The post -mine land use is rangeland. <br />Current Stipulations: <br />Pursuant to the approval of TR -01 in November 2014, each November the Operator is required to provide the <br />Division with an annual report and photographic documentation demonstrating the block and brick imported <br />during the campaign hauling is not stockpiled, but is used for backfill in the pit(s). <br />Bond: <br />The current required bond is $181,161. This bond is for 85 acres of total disturbance and has not been <br />adjusted since the permit was transferred to General Shale in 2005. Significant increases in unit costs since <br />2005 ensure the current bond is inadequate for the 85 acres of maximum affected area. A revised bond <br />estimate calculation is enclosed. The revised estimate includes updated unit costs. The revised bond estimate <br />is $339,240. Please review the revised bond estimate. The Division will notify you of the official bond increase <br />under separate cover. <br />Summary and Recommendations: <br />1. The financial warranty has not been updated since 2005. A revised bond estimate is attached. The <br />Operator should review this estimate carefully and contact the Division within 14 days if there are any <br />questions or problems. <br />2. The Division will issue a surety increase under separate cover after the 14 -day period. <br />3. The Operator should consider requesting either: <br />a. A surety reduction for reclamation performed, or <br />b. An acreage release for reclamation completed on affected area where there is to be no more <br />mining. <br />Page 3 of 7 <br />