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Bates-Hunter,Compliance Measures,DRMS Inspection 4/26/16 <br /> Purpose: A site inspection by a representative of the Colorado Division of Reclamation, <br /> Mining and Safety("DRMS") identified a problem/possible violation regarding storage <br /> of fuel/oils at the site's secondary containment area. Black Fox Mining LLC ("Black <br /> Fox") has been contracted by Central City Consolidated Mining Co. ("CCMC")to <br /> address the issue and provide remediation as necessary and to provide appropriate <br /> documentation for the DRMS in order to mitigate the issue. <br /> Existing Site Conditions: <br /> Observations documented by the DRMS are as follows: "The Division observed three 55 <br /> gallon drums on the east side of the Hoist/Office Building;two unlabeled steel drums and <br /> on plastic drum with a Ferric Chloride label. The contents of one of the steel drums had <br /> overtopped the container and spread from the concrete pad to the ground. The lid of the <br /> second drum was bulged outward, indicating the drum was potentially pressurized. The <br /> Division did not move any of the drums or remove lids; all observations were visual. <br /> The Division observed a fuel containment area on the east side of the Water Treatment <br /> Building. The secondary containment for the fuel consists on an earthen impoundment <br /> with a liner. The liner was not anchored and did not appear to provide complete coverage <br /> over the impoundment. Two fuel racks were located within the impoundment area. The <br /> fuel racks contained six 55 gallon steel drums and one larger steel drum. The drums were <br /> not labeled. In addition, the Division observed numerous plastic gas cans around the <br /> perimeter of the earthen impoundment. The secondary containment was at full capacity <br /> at the time of the inspection and had overtopped the impoundment in several areas as <br /> evidenced by the staining of soil around the impoundment. The black liquid within the <br /> secondary containment appeared to be a mixture of water, fuel, oil and lubricants." <br /> Documentation: <br /> The DRMS inspection and report of problem/possible violation, dated 4/26/16, for Mine <br /> ID# M-1990-041 is completed and on record with the DRMS. <br /> The execution of the contract for Black Fox to mitigate the problem is documentation of <br /> CCMC's effort to respond and correct the problem. <br /> Photographs of existing conditions have been taken(DRMS/Black Fox). As work <br /> proceeds, additional photographs will be created, documenting the conditions of the site, <br /> work progress and work completion. <br /> All receipts for equipment and/or supplies shall be retained by Black Fox and provided to <br /> CCMC and the DRMS, especially in regards to the disposal of all materials. <br />