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III. COMMENTS -COMPLIANCE <br />Below are comments on the inspection. The comments include discussion of observations made during <br />the inspection. Comments also describe any enforcement actions taken during the inspection and the <br />facts or evidence supporting the enforcement action. <br />This was a complete inspection of the New Horizon Mine for the month of June, 2001. The purpose of <br />this inspection is to conduct normal operations and environmental compliance. The weather was clear <br />and warm. <br />AVAILABILITY OF RECORDS: Records were inspected and found to be in compliance. See page 5 <br />of this report for further details. <br />ROADS: Haul roads and the 8B road detour was inspected and no problems were noted. <br />HYDROLOGIC BALANCE: Mine 1: Ponds 1 and 6 had water in them but only 1 was discharging as <br />normal, all other ponds were dry. All ditches and culverts are functioning as designed. Mine 2. Pond 7 <br />had water in it but was not discharging. All ditches and culverts were clear and capable of functioning as <br />designed. Pond 8 is completed and requires only gate valve extensions to be totally operational. <br />BACKFILL 8 GRADING: B 8~ G was in progress as is normal. No problems were noted. The land <br />continues to be reclaimed to the approved post mining topography map and no low spots were noted. <br />EXPLOSIVES: Records were inspected and found to be in compliance. All blasting procedures are being <br />followed and seismograph's readings are available for each blast. The recent yearly blasting scheduled <br />was published and a copy posted on the wall. <br />TOPSOIL: Topsoiling this time is being accomplished with truck and shovel as time permits and is being <br />spread by dozers to the proper depth. Survey stakes for topsoil spreading depths were not in use therefor <br />a random check on the depths will be warranted at the next complete inspection. <br />GENERAL MINE COMPLIANCE: The mine continues to exert an outstanding effort to comply with all <br />rules and regulations of the Colorado DMG. <br />RECLAMATION SUCCESS: The site continues to be in excellent condition and as noted in the <br />photo below. <br />