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S <br />June 17, 2004 <br />Minrec, Inc. <br />2768 Compass Drive, Suite 101 <br />Grand Junction, CO 81505 <br />Blue Ribbon Mine, Permit No. C-81-047 <br />Complete, oversight inspection <br />June 07, 2004 <br />Participants: <br />Jim Burnell, Colorado Division of Minerals and Geology (DMG) <br />Henry Austin, Office of Surface Mining (OSM) <br />I participated in a complete, oversight inspection of the Blue Ribbon Mine as indicated <br />above. Weather conditions were hot and dry, and ground conditions throughout the areas <br />inspected were very dry with vegetation stress evident is most areas, particularly south <br />facing slopes. This mine was selected for evaluation during evaluation year 2004 by the <br />joint DMG / OSM Oversight Team. The primary focus of this inspection is to evaluate <br />reclamation success, and note any off site impacts. <br />We walked all the disturbed areas here and made general observations. This site has <br />received a full DMG Phase II bond release, and is in year 10 of completed reclamation. <br />Vegetation sampling was not conducted during year 9 (last year). Oxbow Minerals, LLC <br />owns the pemut area surface. Oxbow intends to drill /explore on the surface /reclaimed <br />area to develop a possible fan /ventilation break out for the Elk Creek Mine. Surveying <br />markings are noted on the Blue Ribbon site in 2 to 3 locations we inspected. <br />The site is very dry as noted above and the vegetation is stressed accordingly. Cheat grass <br />is abundant on most slopes. Grasses are established throughout the areas inspected, but <br />seem to lack diversity and forbs establishment also. The portal area backfill appears <br />stable and no serious erosion noted. The reclaimed roadway is also stable. The reclaimed <br />gob pile is stable, and the seep area was actively seeping during the inspection. The <br />former small slump area at the north end of the disturbed area is stable. <br />Sediment pond # 5 is dry and stable and does not have a discharge history. Pond # 4 on <br />the Hubbard Creek alluvium is dry /stable and also does not have a discharge history. <br />Pond # 3, also on the alluvium is dry and stable without a discharge history. There was a <br />camper trailer set up just off the roadway and west of pond # 3. This concluded the field <br />inspection on June 7, 2004. There were no offsite impacts noted. Reclamation areas aze <br />stable; vegetation is stressed and appears to lack diversity. Livestock access to the permit <br />azea is also impacting vegetation success. <br />