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February 25, 2016 C-1981-018/Deserado Mine CCW <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 R -Roads <br /> N -Availability of Records R -Reclamation Success <br /> N -Backfill&Grading N -Revegetation <br /> Y -Excess Spoil and Dev. Waste N - Subsidence <br /> N -Explosives N - Slides and Other Damage <br /> N -Fish&Wildlife R - Support Facilities On-site <br /> R -Hydrologic Balance Y - Signs and Markers <br /> N -Gen. Compliance With Mine Plan N - Support Facilities Not On-site <br /> N -Other N - Special Categories Of Mining <br /> R -Processing Waste N -Topsoil <br /> COMMENTS <br /> This was a partial inspection of the Deserado Mine conducted on February 25,2016. The inspection was <br /> conducted by Clayton Wein of the Colorado Division of Reclamation,Mining and Safety. Scott Wasntedt of Blue <br /> Mountain Energy, Inc. (BME) attended the inspection. The Weather was clear and approximatly 45 degres <br /> farenheight. Snow was present at most areas of the mine site,except areas with prolonged exposure to sunlight <br /> and wind. <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 /> Facilities area ponds DP-1,PP-1 and PP-2 were inspected. Pond DP-I was frozen and the embankments <br /> were mostly covered with snow. There were no indications of instability. Pond PP-1 was holding water at the <br /> time of the inspection and showed no signs of instability. Pond PP-2 was mostly full during the inspection. The <br /> pond was frozen and the embankments were mostly snow covered. There were no indications of instability. <br /> Ditches in the Facilities Area were inspected. The ditch leading to pond DP-1 was cleaned out in January, see <br /> previous inspection report for more details. The ditch remained clear and was functioning as designed. The other <br /> ditches in Facilities area were functioning but had snow and mud in them. The ditches will be cleaned out in a few <br /> weeks, after the snow has finished melting. If there are any ditches that begin to plug before they are cleaned out, <br /> they will be addressed as necessary. <br /> The Loadout pond RR-1 was inspected. The pond was holding a minimal amount of water and was receiving flow <br /> from the French drain. There was no discharge from RR-1. The embankments were partially snow covered. <br /> There were no indications of instability. <br /> The Slot Storage ponds SS-1 and SS-2 were mostly snow covered at the time of the inspection. The ponds' <br /> Number of Partial Inspection this Fiscal Year: 6 <br /> Number of Complete Inspections this Fiscal Year: 2 <br /> Page 2 of 8 <br />