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(Page 4) MINE ID # OR PROSPECTING ID # M-1977-424 INSPECTION DATE 8-22-2003 INSPECTOR'S INITIALS SSS, GRM The following problems (PB) and/or possible violations (PV) (and suggested corrective actions) were identified during this inspection. The problems should be corrected by the dates given, or they will become possible violations. The possible violations should be corrected by the dates given to reduce their severity when considered by the Mined Land Reclamation Board. The inspector noted on the previous page should be notified of all corrective actions taken. PROBLEMS/POSSIBLE VIOLATIONS AND CORRECTIVE ACTIONS 1 ~ While reviewing DM fil c for Chic min , c -v -ral d .fici -nriec were noted in the permit recordc__ CORRECTIVE ACTION: The permit will need to be revised to indicate how the portal seals will be designed to account for the hvdroloaic conditions that can reasonably be expected in the mine location in the future. and how reclamation of the evaporation pond will take place and where and how the liner and the evaporated salts will be properly disposed of. 2~ Review of TR-03 identified that the financial warranty increase of $2 245.00 required for TR-03 to be approved, was never submitted to DMG. If adequate financial warranty is not received by DMG by October 17.2003. this issue maybe brought before the Mined Land Reclamation Board as an enforcement action 3. None. CORRECTIVE ACTION: CORRECTION DATE OS / 31 / 2003 PB or PV: PB TOPIC(S): AR 10 / 17 / 2003 PB or PV: PB TOPIC(S): FW PB or PV: TOPIC(S): I, Steve Shuey, hereby certify that on September 16, 2003, I deposited a true and complete copy of this foregoing inspection report in the United States Mail, first class postage paid, to the operator of record for this site at the address indicated, and to those others within the body of this report who have been designated to receive copies (DMG personnel excepted). J Signature