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PERMIT#:M-1974-070 <br /> INSPECTOR'S INITIALS:PSH <br /> INSPECTION DATE: June 27,2014 <br /> OBSERVATIONS <br /> The Nelson Pit was inspected by Peter Hays with the Division of Reclamation, Mining and Safety <br /> (Division/DRMS) at the request of Mr. Todd Williams to discuss and observe the flood damage repair work <br /> completed at the site. Mr. Todd Williams and Mr. Les Williams the property landowners, Mr. Sean Frisch with <br /> Lafarge and Mr. James Simpson with Arnold's Custom Seeding, LLC were present during the inspection. The <br /> site was previously inspected by the Division on July 1, 2010. <br /> The site was originally permitted for 365 acres. The Division has approved two (2) acreage reduction requests, <br /> which has decreased the permit acreage to 44 acres. AR-01 was approved on September 6, 2006 and AR-02 <br /> was approved on July 12, 2010 for the release of 5 acres and 316 acres respectively. The remaining permitted <br /> acreage is roughly divided into 3 areas. The first area consists of a "Y" shaped section of land in the southern <br /> portion of the site containing 10.1 acres. The second area 32.4 acres in size and consists of the area west of <br /> the access road containing the land surrounding the 1.7 acre and 3.7 acre lakes (lakes#5 and #6). The third <br /> area consists of the land between the 35.2 acre and 5.7 acre lakes (lakes#7 and #8). The acreage reduction <br /> map for AR-02 dated July, 7, 2010 accurately represents the remaining permitted acreage at the site. The lake <br /> numbering sequence is consistent with the Division inspection report dated February 11, 2010 for technical <br /> review number 3. <br /> The Division currently holds a financial warranty in the amount of$37,815, which appeared adequate to <br /> complete reclamation at the site. The site was damaged by the flood event in 2013. Boulder Creek, located <br /> east of the mine site, flooded and caused significant damage to the site. Lafarge contracted with Arnold's <br /> Custom Seeding to repair the site. Additional repair work has been completed by the landowners and <br /> Anadarko, which operates oil and gas facilities on the property. <br /> Area 1 <br /> The area between Lakes 1 and 2 was damaged by the flood causing a breech between the two lakes. The area <br /> was repaired and reseeded in spring 2014. The vegetation in the repaired area and most of the other sections <br /> of Area 1 was sparsely vegetation. The vegetation observed was kochia and field bind weed. Drill rows with <br /> very small wheatgrass shoots were observed. Arnold's recommended having the soil sampled and analyzed to <br /> explain the lack of vegetation growth. The wet spring weather has been ideal for vegetation establishment <br /> and better revegetation success was expected. <br /> Area 2 <br /> The section of Area 2 between Boulder Creek and the west shorelines of Lakes#5 and #6 were observed <br /> during the inspection. The landowners stated the other sections of Area 2 were less affected by the flood <br /> event and the vegetation was well-established. The observed section of Area 2 was scoured by the flood <br /> waters as the water flowed from Boulder Creek towards the lakes. The area vegetation was clumps of topsoil <br /> with grasses growing from the clumps and bare ground with gravel exposed on the surface. The area was <br /> inter-seeded in spring 2014. Little evidence of revegetation success from the drill seeding was observed. The <br /> area vegetation was dominated by cheat grass, kochia and scotch thistle. Evidence of chemical treatment and <br /> thistle head removal was observed during the inspection. The Operator will need to import topsoil and <br /> replace 6 to 8 inches of topsoil in the scoured areas as required by the approved reclamation plan. The area <br /> will require reseeding and mulching following topsoil replacement. <br /> Page 2 of 5 <br />