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(Page 4) <br />MINE ID # OR PROSPECTING ID # M-1991-146 <br />INSPECTION DATE 4/9/04 <br />INSPECTOR'S INITIALS WHE <br />Mine identification sign was posted at the mine entrance. Affected area was appropriately delineated. <br />Mining related activities were confined to approved areas. Three groundwater monitoring wells, arranged <br />in a NW to SE alignment and extending through the permit area, were intact. Pit area appeared stable, <br />evidence of slumping, sliding, excessive erosion oroff-site damage was not observed. Pit area appeared <br />dry, river flow was confined to the low flow main channel. <br />The original permit application was reviewed by the Colorado Division of Wildlife. The application <br />demonstrated compliance with the requirements of Construction Materials Rule 6.3, regarding wildlife <br />and wildlife habitat. DMG finds no evidence to suggest that the operator is currently not complying with <br />the performance standards of Rule 3.1.8, regarding wildlife and wildlife habitat. <br />On 12/12/01, DMG calculated the cost of reclamation at $3,292. Conditions appeared similar to the <br />conditions observed during the 12/12/01 inspection. Therefore, the existing $3,750 financial warranty <br />appears sufficient to ensure reclamation. <br />No problems or possible violations were observed. <br />Responses to this inspection report should be directed to the Division of Minerals and Geology, 701 <br />Camino del Rio, Room 125, Durango, Colorado 81301, Attn: Wally Erickson, phone no. 970-247-5489. <br />I & E Contact Address <br />NAME <br />OPERATOR <br />STREET <br />CITY/STATE/ZIP <br />Richard Zannett <br />ZMK Construction, Inc. <br />P.O. Box 1817 <br />Ourav. CO 81427 <br />cc: Harry Posey, DMG <br />X COE, Nick Mezei <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />X J. Patterson <br />X R. Larson, Monadnock Mineral Services <br />