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COLORADO <br />Division of Reclamation, <br />Mining and Safety <br />Department of Natural Resources <br />MINERALS PROGRAM INSPECTION REPORT <br />PHONE: (303) 866-3567 <br />The Division of Reclamation, Mining and Safety has conducted an inspection of the mining operation <br />noted below. This report documents observations concerning compliance with the terms of the permit <br />and applicable rules and regulations of the Mined Land Reclamation Board. <br />MINE NAME: <br />MINE/PROSPECTING ID#: <br />MINERAL: <br />COUNTY: <br />October Ore Pile Reclamation <br />M-2008-050 <br />Vanadium and uranh <br />Mesa <br />INSPECTION TYPE: <br />INSPECTOR(S): <br />INSP. DATE: <br />INSP. TIME: <br />Monitoring <br />Stephanie J. Mitchell <br />October 12, 2016 <br />11:30 <br />OPERATOR: <br />OPERATOR REPRESENTATIVE: <br />TYPE OF OPERATION: <br />Nuvemco, LLC <br />I 110d - Designated Limited Impact <br />REASON FOR INSPECTION: <br />Normal I&E Program <br />BOND CALCULATION TYPE: <br />Complete Bond <br />BOND AMOUNT: <br />$13,220.00 <br />DATE OF COMPLAINT: <br />POST INSP. CONTACTS: <br />JOINT INSP. AGENCY: <br />NA <br />None <br />U.S.BLM <br />WEATHER: <br />INSPECTOR'S SIGNATURE: <br />SIGNATURE DATE: <br />Clear <br />_ <br />November 3, 2016 <br />Ppo <br />The following inspection topics were identified as having Problems or Possible Violations. OPERATORS <br />SHOULD READ THE FOLLOWING PAGES CAREFULLY IN ORDER TO ASSURE COMPLIANCE <br />WITH THE TERMS OF THE PERMIT AND APPLICABLE RULES AND REGULATIONS. If a <br />Possible Violation is indicated, you will be notified under separate cover as to when the Mined Land <br />Reclamation Board will consider possible enforcement action. <br />INSPECTION TOPIC: Availability Of Records <br />PROBLEM/POSSIBLE VIOLATION: Problem: Rule 1.13.5 states, if an Operator temporarily ceases production of <br />the mining operation for one hundred eighty (180) days or more, the Operator must file a Notice of Temporary <br />Cessation in writing to the Office. <br />CORRECTIVE ACTIONS: The Division recommends the Operator file for Temporary Cessation. The start date of <br />the initial 5 year Temporary Cessation period is retroactive to the last date the pit was active. If that date is <br />more than 5 years ago, the operator is required ask the Board for a 5 year extension to the Temporary Cessation <br />period (per rule 1.13.5 (3) and 1.13.8 (b) or begin reclamation. <br />CORRECTIVE ACTION DUE DATE: 1/03/17 <br />Page 1 of 4 <br />