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PERMIT#: M-1977-493 <br /> INSPECTOR'S INITIALS: ECS <br /> INSPECTION DATE:March 7,2018 <br /> OBSERVATIONS <br /> This was a routine monitoring inspection for the Climax molybdenum mine, a 112d -3 hard rock mine operated <br /> by the Climax Molybdenum Company—a division of Freeport McMoRan. The inspection was conducted by <br /> DRMS representative Eric Scott. DRMS arrived on-site at approximately 0915 and met with Climax <br /> representatives James Haag and Emil McCormick after signing in with site security. <br /> Due to the conditions at the site (largely snow-covered), this inspection was somewhat abbreviated and <br /> consisted of site discussion and inspection of the old "3-Mill" building, a tour of the Eagle Valley Dam area <br /> discharge and seepage pump-back control structures, and inspection of the Robinson Lake pump station. <br /> Site discussion focused on confirmation of snow removal practices from the waste rock storage facilities <br /> required during the winter months. A geotechnical engineer at the site confirmed that any excessive snow <br /> was removed from the top of the waste rock piles when present, although it has not been necessary often this <br /> season due to lack of heavy snow events. He further stated that snow is also cleared from the toe of active <br /> waste rock facilities to keep the toe of the dumps dry and stable and prevent ice lensing. Waste deposition <br /> was taking place on the "North 50" area of the waste rock repository. DRMS was told that waste rock was <br /> rarely if ever placed on the McNulty Gulch OSF during the winter months due to the effort required to keep <br /> the access roads to that area clear and passable. <br /> DRMS then toured the "3 Mill" building. This structure housed the former Climax mill, but since the <br /> construction of the current mill building it has been used as covered warehouse and office space. No <br /> significant issues were noted during the inspection of this building. <br /> DRMS then toured the Robinson Lake pump station and noted that the facility was very clean and well <br /> organized with secondary containment and spill kits present where appropriate. DRMS was informed that the <br /> former Robinson Lake pump station, located immediately SW of the new facility but currently inaccessible and <br /> signed as abandoned, will likely be removed during the 2018 field season. <br /> DRMS proceeded with Climax personnel to the 4 Dam pump-back station area which returns impacted <br /> seepage collected from the base of 4-Dam (Eagle Park Reservoir)to Robinson Lake. DRMS was informed that <br /> a partial conex storage box that was present in the area (previously utilized for a bioremediation field study) <br /> would also likely be removed during the 2018 field season. <br /> DRMS returned to the site offices and met briefly with Ray Lazuk to discuss the recent submittal of TR27 which <br /> is currently under Division review. No issues of concern were noted during this inspection. <br /> Inspection Contact Address <br /> Ray Lazuk <br /> Climax Molybdenum Company <br /> Highway 91,Fremont Pass <br /> Climax, CO 80429 <br /> Page 2 of 2 <br />