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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1977-306 <br />INSPECTION DATE 10/10/02 INSPECTOR'S INITIALS GRM <br />OBSERVATIONS <br />This inspection was preformed as part of the normal monitoring program established by the Colorado Division of Minerals and <br />Geology. The JD-9 Mine is located in Bull Canyon in the Monogram Mesa area ,approximately 20 miles northwest of Naturita, <br />Colorado. The permit allows for 11.1 acres of effected area. Per Rule 4.2.1(8) DMG holds a bond of $100.00, DOE holds <br />a $72,000.00 bond for this site. The inspector was accompanied by Cotter Representatives Dave Bliss and Jon Showalter. <br />The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. No <br />disturbance was noted outside of the permitted area. <br />Overall site conditions are generally clean of debris and or toxic materials. No oil or fuel drums were noted. No equipment <br />is on site or is parked inside the office /shop building. No evidence such as soil staining or other visible evidence was noted <br />to indicate any spills of hazardous materials or waste. <br />The Adit has a locked steel set of doors to protect against unauthorized enlry. The upper escape shaft protected by a chain <br />link fence and head frame. All appear to be in good repair. <br />Some Knapweed was noted on site. This issue is not being listed as a problem as Cotter has an active treatment program <br />in place. Weeds observed had just been sprayed with Curtail in the past weeks. <br />The main road and working pad were in good maintenance with no erosion issues. Silt fencing was observed down gradient <br />along the main road to help control sedimentation from the site. Waste piles showed only minor rilling. Stormwater appears <br />to be contained on site or diverted away to minimize site impact. <br />Same discharge water was noted coming out of the culvert at the west end of the mine site. The discharge point was below <br />a dump and difficult to access so an estimation on discharge rate was not attempted. Visual inspection of the down gradient <br />area indicates no apparent water quality issues. Water was clear and vegetation appeared healthy. <br />Cotter informed the inspector that work plans are being compiled to begin full reclamation of this site. An updated bond <br />calculation for this site will be sent to the operator within 30 days. As discussed, the update will reflect the current cost of <br />previously agreed upon tasks between the Division and Cotter Corporation. <br />Responses to this inspection report should be directed to Russ Means at the Division of Minerals and Geology, Grand Junction <br />Field Office, 101 South 3rd Street, Room 301, Grand Junction, Colorado 8t50i, phone no. 970-241-1117. <br />I& E Contact Address <br />NAME Dave Diss <br />OPERATOR Cotter Corporation <br />STREET P.O. Box 700 <br />CITY/STATE2IP Nucla, Colorado 81424 <br />cc: <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />^ OTHER <br />