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PERMIT#:M-2002-118 <br /> INSPECTOR'S INITIALS:AMG <br /> INSPECTION DATE: September 10,2025 <br /> 99.Number of acres that were newly affected during the current report year. <br /> #10.Number of acres that were reclaimed during the current report year. <br /> 911. Estimated new acreage to be affected in the next report year. <br /> 912. Estimated acres to be reclaimed in the next report year. <br /> 915. Is adequate topsoil reserved for reclamation, based on your approved permit? <br /> 2. Please also include the following features: <br /> • A google earth background image <br /> • A north arrow and scale <br /> • A legend indicating the polygons and/or lines for the features identified in items 8-12 and 15 on the <br /> form OR include clear labels for each feature. <br /> General Compliance with the Mine Plan: <br /> The site was not active at the time of the inspection. The last reported date of activity at the site, according to <br /> the annual reports,was May 10, 2017. During the inspection, the Operator confirmed that it had been at least a <br /> few years since any material had been hauled off-site. Mining had been confined to the northeast corner of the <br /> site. Excavation has finished. The slopes around the pit area have been backfilled and graded to a 3H:IV.No <br /> equipment was observed onsite at the time of the inspection. One topsoil pile and multiple product stockpiles <br /> were observed within the processing area. Mining within the permit boundary appears to have followed the <br /> operation plan, except for areas disturbed outside of the permit boundary that were observed during the <br /> inspection. This is discussed in further detail in the section below. <br /> Off-site Damage: <br /> Following the inspection, the Division used aerial imagery available in Google Earth Pro in combination with <br /> GPS location data from the photos taken during the inspection to estimate that approximately 40.5 acres have <br /> been affected, and are currently affected,by mining at the site. As of TR2, the maximum allowed disturbance at <br /> the site was increased to 30 acres. Because there are currently approximately 10.5 more acres disturbed than <br /> what is approved to be disturbed at any-one-time, this has been cited as a problem above.A portion of the <br /> affected acres are outside of the permitted area, discussed in further detail below. <br /> • Roads: <br /> The currently approved access/haul road, is located on the west side of the permit boundary. The <br /> approved road was planned to improve on a pre-existing ranch road, cross an arroyo, connect Phases 1- <br /> 3, and exit through the south side of the permit boundary—connecting to County Road 611. This road <br /> was never constructed. Instead, a road was constructed on the northeast corner of the site, leading <br /> directly to Phase 1. This road is located outside of the permit boundary and has been the only access to <br /> the site used throughout the life of the mine. <br /> • 200-foot Landowner buffer area <br /> Per the approved Pre-Mining and Mining Plan maps, there is to be a 200-foot buffer area between the <br /> Landowner's boundary, and the affected land boundary. During pre-inspection review, it appeared that <br /> there is a discrepancy between the Landowner's fenced boundary and the parcel boundary location <br /> depicted on the Huerfano County Assessor website. The parcel boundary appears to closely follow the <br /> fence line on the east side of the permitted area, but the north parcel boundary is located further south <br /> than the north fence line. Regardless of which boundary correctly depicts the Landowner's boundary, <br /> the land within the 200-foot buffer area has been affected by mining (see Figures 1 and 2). The affected <br /> Page 4 of 18 <br />