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PERMIT#: M-2002-052 <br /> INSPECTOR'S INITIALS: ECS <br /> INSPECTION DATE: April 18, 2017 <br /> OBSERVATIONS <br /> The Two Rivers Rock site was inspected by Eric Scott with the Division of Reclamation, Mining and Safety <br /> (Division) as part of the Division's routine monitoring inspection program. The site was last inspected on <br /> November 9, 2012. Mr. Rick Smith with Western Equipment and Truck, Inc. was present during the inspection. <br /> Western Equipment and Truck owns the surface property, sand and gravel rights and conducts the mining <br /> operation at the site. The site appeared mostly unchanged since the previous inspection with the exception of <br /> some limited surface soil removal as shown in attached Photos 2, 3 and 6. The previous inspection report <br /> stated that no mining has occurred since approximately 2005. Tree clearing operations have taken place on <br /> the eastern part of the site and several large piles of dead trees were present. <br /> Several (4) small areas of exposed groundwater are currently within the permitted area (see attached Photos 4 <br /> and 5 and attached site map). During a pre-inspection records review, DRMS noted that the last State <br /> Engineers Office - Division of Water Resources (SEO-DWR) approved Substitute Water Supply Plan issued for <br /> this site expired in 2009-2010. The operator will need to demonstrate to DRMS that the site is in compliance <br /> with DWR requirements by the corrective action due date listed on the first page of this report (May 31, <br /> 2017). Failure to do so may result in enforcement action and/or financial warranty increase as appropriate. <br /> The approved post mine land use for the site is developed water resource. The pit is currently approved to be <br /> sealed with a clay liner. The Operator seems to have decided at some point to change the method of sealing <br /> the pit to slurry wall. Preparations for the slurry wall installation were observed during the inspection. The <br /> area for the slurry wall was defined by preparing a flat work area and stockpiling fines material which could be <br /> mixed with the bentonite slurry along the proposed slurry wall location (photo 2). According to Mr. Smith, <br /> Deere-Ault Consultants have designed the slurry wall plan. The Division will require the Operator to submit a <br /> technical revision, per Rule 1.9, to change the approved reclamation plan from clay liner to slurry wall and <br /> adjust the required bond amount accordingly. The Operator also must remove the gas well planned for the <br /> northwest corner of the site and included in technical revision no. 1 from the approved mining and <br /> reclamation plan if it will not be installed as currently shown. <br /> The Division currently holds a reclamation bond in the amount of$294,914.00, which is adequate to reclaim <br /> the site based on the observations from this inspection. As previously stated, failure to comply with DWR <br /> requirements may result in a substantial increase in the required bond amount. The Operator must also <br /> include a revised financial warranty calculation as part of the future technical revision for the proposed slurry <br /> wall installation. <br /> The mine sign and several boundary markers as required by Rule 3.1.12 were observed during the inspection, <br /> however, the markers for the eastern permit boundary were missing and will need to be replaced by the <br /> corrective action date given. <br /> The presence of a significant amount noxious weeds (whitetop) in previously disturbed areas is the last issue <br /> noted during this inspection that will require corrective action as specified by the corrective action due date <br /> given. No other problems were noted during the inspection. Photographs taken during the inspection are <br /> attached. <br /> Page 3 of 5 <br />