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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-2000-073 <br />INSPECTION DATE 8/8/2007 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS SSS <br />This complete inspection was conducted in response to submittal of a request for a Succession of Operator (SO-Ot) from <br />Rio Blanco County (current operator) to XTO Energy (successor operator). <br />The site access road and ditches appear stable. <br />The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. <br />No significant infestations of noxious or other problematic weeds were noted on site during this inspection. <br />No significant erosional features were noted on the affected areas of the site. <br />The pit slopes have all been reduced to near 3H:1 V grade and do not appear to have been disturbed recently. <br />The topsoil stockpile is not located in the location specified on the mine plan map. However, the actual stockpile <br />location is better suited than the approved location because it is less apt to intercept upgradient flows that could erode <br />the pile. Vegetative establishment on the pile is minimal. The operator will need to take measures to stabilize the <br />topsoil pile, possibly reducing the grade of the pile slopes and reseeding. Mulching in the form of a mat or crimped hay <br />is recommended. <br />The mine site appears to be in compliance and well managed. <br />DRMS has enclosed the reclamation cost estimate calculations for the currently approved mining and reclamation plans. <br />These plans limit the affected land unreclaimed) disturbance to a maximum of 3 acres. DRMS has interpreted this to <br />allow for a maximum 1,000 feet of pit highwall that is steeper than 3H:1 V at any one time. It is also assumed that a <br />strip of affected area approximately 20 feet wide would exist at the top of the highwall for equipment operation, etc. <br />The mine plan is a little vague in regards to the actual disturbance in the 3 acre maximum, so it any of these <br />assumptions are incorrect, please notify DBMS of the correct specifications. If the enclosed financial warrabnty amount <br />and specifications are acceptable, XTO Energy will need to submit the appropriate financial warranty forms for this <br />amount. The forms for this construction materials operation can be found and down-loaded from the DRMS website <br />Iwww.mining.state.co.us). Upon receipt and DBMS approval of an adequate financial warranty, the Succession of <br />Operator will be approved. <br />Please be aware that annual reports should always include a map of current site conditions, regardless of whether any <br />disturbance has occurred during the report year. <br />Responses to this inspection report should be directed to Steve Shuey at the Division of Reclamation, Mining and Safety, <br />Grand Junction Field Office, 101 South 3rtl Street, Room 301, Grand Junction, Colorado 81501, phone number 970- <br />243-6368. <br />I & E Contact Address cc: Elizabeth Shelton -DRMS Denver <br />NAME <br />OPERATOR <br />STREET <br />CITY/STATE/ZIP <br />David Morlan <br />Rio Blanco County <br />570 2ntl Street <br />Meeker, CO 81641 <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />OTHER Kelly Small - XTO Energy <br />