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COLORADO <br /> Division of Reclamation, <br /> Mining and Safety <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: MINE/PROSPECTING ID#: MINERAL: COUNTY: <br /> Select Materials M-1980-205 Sand and gravel Weld <br /> INSPECTION TYPE: INSPECTOR(S): INSP.DATE: INSP.TIME: <br /> Surety-Related Inspection Eric C. Scott July 25,2017 09:00 <br /> OPERATOR: OPERATOR REPRESENTATIVE: TYPE OF OPERATION: <br /> Leister Materials Limited DBA Select Materii Michael Leister 112c-Construction Regular Operation <br /> REASON FOR INSPECTION: BOND CALCULATION TYPE: BOND AMOUNT: <br /> Surety Related Partial Bond $7,500.00 <br /> DATE OF COMPLAINT: POST INSP. CONTACTS: JOINT INSP.AGENCY: <br /> NA None None <br /> WEATHER: INSPECTOR'S SIGNATURE: SIGNATURE DATE: <br /> Cloudy July 26,2017 <br /> The following inspection topics were identified as havinIZ 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: Financial Warranty <br /> PROBLEM/POSSIBLE VIOLATION: Problem: The financial warranty ($7500) is not adequate to reclaim the <br /> approximately 25 acres of disturbed area at the site in accordance with the approved reclamation plan. This is a <br /> failure to maintain the proper financial warranty amount to complete reclamation of the affected lands <br /> pursuant to C.R.S. 34-32.5-117(4)(b) of the Act. <br /> CORRECTIVE ACTIONS: Because the permittee has just taken over the permit through the S.O. process, the <br /> successor operator will be allowed 30 days from the date of this report to submit a technical revision to DRMS <br /> detailing any changes to the approved mining and reclamation plans that may impact the reclamation bonding <br /> requirements for the site. <br /> After that 30 days has elapsed, or the submitted revision has been approved, the Division will recalculate the <br /> required reclamation bond. The operator shall then submit adequate financial warranty, as determined by the <br /> Division. The Division will be sending a separate surety increase notice to the operator regarding the increase of <br /> the financial warranty. The operator will have 60 days from the date on the surety increase notice to post the <br /> additional financial warranty. <br /> CORRECTIVE ACTION DUE DATE: 8/30/17 <br /> Page 1 of 4 <br />