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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1981-185 <br />INSPECTION DATE 10/24/06 <br />INSPECTOR'S INITIALS RCO,IG4P,AJW.DAB <br />OBSERVATIONS <br />This was a partial inspection performed by the Division as a follow-up to its monitoring inspection on 10/5/06. The operatorwas <br />contacted about the scheduled inspection, but was not available to be present during the inspection. The site was not active at <br />the time of the inspection, but exhibited recent activity. The weather was partly cloudy, and ground conditions were better than <br />during the last inspection. Only the Level 2 area was inspected. <br />The site was identified by the required permit ID sign posted at the entrance gate near the 2 Level portal. The boundary <br />corners were marked. <br />Many of the features observed during the 10/5/06 inspection were still present. The Level 2 portal has been mucked out and <br />loose rock removed back to bedrock. The portal is temporarily closed with unsecured steel mesh. The bedrock cut wall <br />exposed by the recent and past excavation for opening the portal is showing signs of raveling. The dip of the bedrock is away <br />from the cut, helping the stability somewhat, but the operator is reminded that timely backfilling after placement of the steel <br />entries will greatly increase the long-term stability of the slope. <br />The Level 2 pad still contains the two 20-foot long steel cargo containers, which have not yet been installed in the portal as an <br />entry structure, and therefore no backfilling has been done either. A pile of mine timbers is still stacked on the pad for <br />upcoming development work. There is no surface water in nearby Deadman Creek. The mine road crosses Deadman Creek <br />in the Level 2 portion of the permitted area, and the operator may improve the road and crossing for stability and sediment <br />control, by placement of coarse rock. No culvert installation is planned. <br />The mine road up to the Level 1 portal area and the short access road spur to the Lamb portal portion of the permitted area <br />was indicated during the inspection of the Level 2, but inspection of those other 2 portals was not performed. The condition of <br />the 2 other portal sites and their reclamation needs were discussed. <br />No further items were observed during the inspection. Responses to this inspection report should be directed to the Division of <br />Reclamation, Mining and Safety, 701 Camino del Rio, Room 125, Durango, Colorado 81301, Attn: Bob Oswald; phone no. 970- <br />247-5193. <br />I & E Contact Address <br />NAME John Ferguson <br />OPERATOR Wildcat Mining Corp <br />STREET PO Box 2030 <br />CITY/STATE/ZIP Durango. CO 81302 <br />cc: Tony Waldron, DRMS <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />^ OTHER <br />