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PERMIT#:P-2005-001 <br /> INSPECTOR'S INITIALS:ACY <br /> INSPECTION DATE:July 25,2023 <br /> OBSERVATIONS <br /> This inspection was conducted as part of the Colorado Division of Reclamation, Mining, and Safety normal <br /> monitoring program. The 2005-06 Geo-hydrology Drilling and Coring-Public is a Hard Rock NOI located in <br /> Rio Blanco County. Amy Yeldell of the Division conducted the inspection and Samantha Baker, Dillon Berry <br /> and Dave Murray represented the Operator. James Roberts of the White River Field Office was also present. <br /> The permitted NOI includes a total of 10.65 acres and has a current bond of$71,613. The Division still holds <br /> $1,579,882.00 in financial warranty for this site since a replacement bond has not been submitted following the <br /> approval of SR-1 (5-11-2021). Following the approval of AR-2 (9-30-2021)the following pads permitted; 21-1- <br /> 299, 22-4-298, 39-1-299, 40-1-299, 41-1-299, 42-1-299, 44-2-29, 45-1-299, and 46-2-299. <br /> All hydrology wells have been plugged and abandoned,which includes cementing, cut and cap wells and <br /> backfill. Hydrology well pads have been reclaimed. The last reclamation efforts were completed in 2015 and <br /> now are awaiting adequate vegetation establishment. The past winter consisted of heavy snows with warmer <br /> than average temperatures. The early spring/summer was very cold and plant germination was slow up till mid- <br /> June when temperature's skyrocketed into the high 90's with little to no moisture. Late June a few storms have <br /> begun but the summer monsoons have not truly started. Wild horse populations have continued to be a nuisance <br /> despite the round up last year. Vegetation throughout much of the Piceance Basin is showing signs of <br /> overgrazing. Over all pads are stable with no signs of erosion. All mining related debris has been removed <br /> from the site(s). Specific observations of each pad are listed below, <br /> *Pad 22-4-298: Overall pad has high coverage at nearly 80%. Vegetation is primarily sagebrush,rabbit brush <br /> and other shrubs/forbs. The grass understory is beginning to take hold. Cheatgrass and noxious weeds <br /> appear to be well managed and have significantly decreased since previous inspection. Overall about <br /> cover is about 80%which is comparable to surrounding areas. See Photo One. <br /> Note: Pads 39-46 are located within the OST general area. There is a gate located at the entrance to the complex <br /> that will be removed upon competition of final reclamation. Vegetation on access roads is establishing <br /> well. Vegetation is still primarily grasses at less than 30% cover but has been steadily increasing over <br /> the years. See Photo Two. <br /> Pad 39-1-299: This pad has been grazed extremely hard. Overall site conditions have diminished since last <br /> year's inspection.Nearly all palatable vegetation has been eaten to the ground likely injuring or killing <br /> established vegetation. The few shrubs appear more resilient. Increasing woody debris might help detour <br /> grazing and provide shelter for newly established seedlings. See Photo Three. <br /> Pad 40-1-299: This pad has also been grazed extremely hard but seems to be fairing a little better. Overall there <br /> are less noxious weeds compared to year. Desirable cover is estimated at 30%. There was discussion of <br /> adding wood or other organic matter to help along reclamation. See Photo Four <br /> Pad 42-1-299: Grazing on this pad appears to be patchy. The bottom portion of the pad has more cover overall <br /> compared to the top. Both grasses and shrubs seem to be established better through the pad and resilient. <br /> Noxious (non-listed)weeds were observed but have been recently sprayed. See Photo Five. <br /> *Indicates pads where final reclamation has been achieved <br /> Page 2 of 5 <br />