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(Page 3) :The Mill Building & entrance to the Mill Facility were locked and gated for security. There was an estimated 23 flatbed trailer loads of npn-roadable mining/milling equipment on site. There were 3 tailings ponds & what appeared to be pyritic tailings present. There is an estimated 2-acre feet of grading necessary for upper tailings material near the Mill Building. The tailings ponds were dry with the exception of 6-12" water in the lowest tailings pond. All tailings and effluent were contained on site. There were abundant fish (trout) noted in North Clear Creek adjacent to the Mill facility, There was no evidence of cyanide on site as specified in the approved permit. There were 12 - 55 gallon drums (steel & hard plastic) of milling (flocculant) reagents outside the Mill Building. There was at least 12 containers of milling reagents inside the Mill Building, Mr. Often & this inspector identified the following reagents on site: 325, 405, 505, lime, sulfuric acid, sodium hydroxide. An accurate accounting of the type, quantity, volume, and chemical composition of each milling reagent on site was unavailable at the time of inspection. The Division considers the absence of an accurate inventory of the type, quantity, volume, and chemical composition of each water treatment or milling reagent on site to be a problem that will require corrective actions. The inventory is necessary to help determine proper disposal costs during final reclamation, and whether there are any designated chemicals within the reagents. Please see page 4 for Corrective Actions. 5. Reclamation Cost: Based on the disturbances noted in Item 4 above, the Division will calculate a currerit reclamation cost estimate and forward the estimate to the operator as soon as it becomes available. 6. DMO Determination: Based on information contained in the approved mining and reclamation plan, and observations noted during the site inspection, the Bates-Hunter Mine & Golden Gilpin Mill may be a candidate fora "Designated Mining Operation" as specified in Rule 1.1(14). The Division will be discussing this matter with the operator shortly as this particular requirement came into effect after the most recent permitting action with Permit M-1990-041. 7. Signs & Markers: An entrance sign and permit boundary markers were posted as required by Rule 3.1.12. All disturbances were found to occur within the established 3.5 acre permit boundary. I & E Contact Address NAME: Mr. George Often OPERATOR: Central City Consolidated Mining STREET: 11438 CR 19 CITY/STATE/ZIP: Fnrt i~ntnn.('O R0621 cc: Carl Mount, DMG (via E-Mail) Attachments Certified Mail Return Receipt Request No. 7002 2410 0005 9145 9038