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Backtill and Gradin¢ Backfilling and grading has been completed at the three sinkholes in the refuse pile and at the Mine No. 3 portal. These areas were noted during the final bond release on April 17, 2007 as needing backfilling and revegetation. The backfill appears to have stabilized these areas and blends with the surrounding topography. The work was completed without disturbing surrounding areas. The two piezometers that were at the base of the refuse azea have been removed, the holes are covered with backfill, and the surrounding areas were not disturbed. Revegetation The mine site in and around the Water Development Area and on the Mine No. #3 portal bench has good vegetative cover that is dominated by 4-5 foot tall Rubber Rabbitbrush, with Crested wheatgrass and fescue as the dominant herbaceous species. Cicer milkvetch is an abundant forb. Crested wheatgrass and fescue cover the refuse pile. The amount of cover appeazs adequate to control erosion. No species toxic to -ivestock or wildlife were found. Weed problems were not evident. Seeding is needed on the areas recently backfilled at Portal No. 3 and the sinkholes on the refuse pile. The recently reclaimed sites of the piezometers at the base of the refuse pile do not need seed because there aze no significant bare spots at those two locations. General Mine Plan Compliance The operator appeazed to be incompliance with all aspects of the mine plan, and appeared to have fulfilled all reclamation obligations, with the exception of seeding that is needed on recently backfilled areas (see discussion of Revegetation) and removal of signs and markers (which should be done during the comment period for approval of final bond release). Reclamation Success Observations made during this inspection indicate the operator has removed all structures, and has successfully backfilled and regraded the lands, with the exception of the following two reclamation tasks: Seeding of recently backfilled sinkholes in the refuse pile and the Mine No. 3 portal. This will need to be completed before a proposed decision can be issued for SL-06. 2. Removal of signs and markers (disturbed azea mazkers at main mine site, permit boundary markers at loadout, and mine i.d. signs on entrances from public roads). This will need to be completed during the comment period that follows DRMS's issuance of a proposed decision on SL-06. The need to reset the liability period for revegetating backfilled sinkholes and the Mine No. 3 portal will be evaluated in the review of the bond release application. These azeas, in aggregate, cover less than 1,000 squaze feet of land and the backfilling created no additional disturbances. 4