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(Page 2) MINE ID # OR PROSPECTING ID # M-1986-048 INSPECTION DATE 01/20/04 INSPECTOR'S INITIALS GRS This was an inspection o£ the Nicholson Gravel Pit conducted by Gregg Squire of the Division of Minerals and Geology. Tim Davis of Washington County was present during the inspection. Weather conditions on site were cloudy and windy. Ground conditions were dry. The 110 Mining and Reclamation Permit was issued to Washington County on May 22, 1986 to mine approximately 9.9 acres. On May 9, 2003 the Division inspected the site and observed that it appeared that a private operator, without the knowledge of Washington County, had cut the high walls vertically almost to the permit boundaries. The high walls were estimated to be from 30 to 40 feet high, and because of the proximity of the permit boundary, it would not be possible to regrade the pit to the approved slopes by pushing down from above the high walls without causing a disturbance outside of the permit boundaries. The high walls could be resloped by pushing up material from inside the pit, but there may not be enough material available to do this. Another option would be to import the material needed to backfill the pit walls. Either the "push up" or import options would be very expensive. The Division suggested that the Permit holder consider expanding the pit to a maximum disturbance area large enough to allow the pushing down of material from above the high walls for reclamation. This would require that a Conversion Application be submitted by Washington County and approved by the Division to convert the current li0c permit to a 112c permit. On December 3, 2003 the Division received a complete Conversion application from Washington County to expand the permit area to 49.9 acres. At the time of this inspection a mine identification sign was posted at the entrance to the site. While at the site during this inspection the proposed new boundaries were reviewed and the reclamation plan was examined. Various possibilities for the placement of the topsoil stockpiles were also considered. Overall, no new problems were identified at the site and it appears that the conversion application should solve the problems noted during the May 9, 2003 inspection. Cc: Carl Mount- DMG Via a-mail Bruce Johnson - Washington County Commissioner I & 8 Contact Address j' CE NAME Tim Davis j' BL OPERATOR Washington County Road District #1 j' FS STREET 551 Weat 2nd j' HW CITY/STATE/ZIP Akron. CO. 80720 j' HMWMD (CH) j' SE j' WQCD (CH)