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- -- - BLM Colorado, Royal Gorge Field Office <br />43 CFR 3809 Minerals Inspection /Site Visit <br />o There is a water line on the left side of the mill. <br />• The operator anticipates that the mill will be converted to a DRMS 112 permit, from a 110. <br />• Mill will become a designated status in the future. <br />• Gold Hill has a consultant working on the design of the new mill pond. <br />• Steen stated that they will file Plan of Operations paper work before they initiate any operations. <br />• Right now the work being done is cleaning up the site and hauling off metal. <br />• The ore bins can hold a combined 150 tons. <br />• The max amount of tons processed in a day at the mill will be 50 tons. <br />• The broken crushers are being fixed. <br />• The pressure tank is currently being worked on. <br />• Steen believes that the current stockpile will last about 3 years. <br />• Concentrates will be sent to a smelter in British Colombia. <br />• Mine <br />• Per DRMS requirements, these sites are in temporary cessation for the mine site while they get their bond <br />adjusted and plan of operations paperwork filed. <br />• Gold Hill plans for the mine to come out of temporary cessation within three months <br />• Once Gold Hill amends permits, will initiate succession of operations for mine. <br />• The mine will remain under a DRMS 110 permit for now. <br />• Steen stated that they will file Plan of Operations paper work before they initiate any operations. <br />• In the mines, the maximum amount mined in a day is projected to be 30 - 50 tons. <br />• The mine portal is at the 3`d level crosscut. <br />• The water coming from the adit flows into a sump and then goes underground. Currently, now water is <br />flowing out of the adit. <br />• Gold Hill is also looking into a water treatment plan and water rights associated with the draining adit. <br />Photo Summary <br />Page 2 of 7 <br />