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PERMIT#: M-2007-034 <br /> INSPECTOR'S INITIALS:TCW <br /> INSPECTION DATE: October 17,2016 <br /> OBSERVATIONS <br /> This was a routine monitoring inspection conducted by TC Wait of DRMS; Mr. Lonnie Lopez was present <br /> representing the operator. The site is located west of Segundo on the west side of the XTO facility, north of <br /> Highway 12. The site was last inspected in June 2012. At the time of this inspection, the site was dry and <br /> mining operations were occurring along the southern side of the site. The entrance road was marked with the <br /> permit sign and the permit boundaries were marked with fence line and corner signs. Based on aerial <br /> photography(GoogleEarth, 10/1/2013),the disturbed area is approximately 6.6 acres. <br /> No processing equipment was onsite, other than a dozer that Mr. Lopez was using to backfill some of the <br /> areas in the southwestern portion of the site. A water tank is located north of the haul road along with an <br /> empty tank that was salvaged and is waiting to be sold (not part of the mining operation). Topsoil has been <br /> salvaged and piled around the perimeter of the pit. The pit highwall was about 20 ft high. Minimal <br /> reclamation work has been done at this point. <br /> Some rilling erosion was noted on the site. The haul road was bermed to prevent water runoff down the slope <br /> face. No evidence of standing water was observed in the pit. Minor weed growth was observed in the pit <br /> area. <br /> A secondary location, located north of the XTO building at approximate coordinates of 37.131612°, <br /> -104.7722720 was also visited during the site inspection. This site had been identified on aerial photography <br /> as possible mining. Mr. Lopez stated that material was removed from this location for family and ranch use. <br /> At the time of the site visit, no mining equipment was observed. The area had been sloped to a 3:1 or <br /> shallower grade and Mr. Lopez stated that an attempt to seed had been made, however the presence of <br /> bedrock at surface did not allow growth. A small area of standing water was observed in the southwest part <br /> of the pit, which is likely standing water perched on the top of bedrock. Mr. Lopez stated that his father uses <br /> the water for his cattle. <br /> The recent (Sept 2016) annual report mine map for this site is not accurate and does not reflect the actual site <br /> conditions of the mine operation as observed during the inspection. DRMS will need accurate GPS-derived <br /> locations of the corner markers for this site to update the map. Additionally, the Operator should begin <br /> reclamation work in areas where mining has already occurred in order to begin vegetation establishment. <br /> Failure to do so may result in a bond increase for the site. <br /> The site is generally stable and in acceptable condition. <br /> RECOMMENDATIONS: <br /> 1. The Operator should begin site grading and revegetation toward reclamation in areas where mining <br /> has finished. <br /> 2. The Operator needs to provide DRMS with accurate GPS-derived locations for the permit corners to <br /> update the maps on file. This has been cited as a problem and requires corrective action. <br /> 3. Bond evaluation should be done at the time of the next DRMS inspection. <br /> Page 2 of 7 <br />