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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1991-146 <br />INSPECTION DATE 4126!04 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS WHE <br />This inspection occurred as follow-up to the April 9, 2004 inspection, and to observe the completion of <br />repairs to the flood protection levee. As recorded in the reports generated from the June 13, 2003 and <br />April 9, 2004 inspections, approximately 600 feet of the west bank flood protection levee on ZMK <br />property had been eroded by peak flows during the 2003 runoff season. DMG determined that the <br />available evidence did not prove that the erosion had resulted from mining and reclamation activities <br />conducted by ZMK and therefore, did not pursue enforcement action. <br />During the April 9 inspection, DMG observed that all but the southern (upstream) portion of the levee had <br />been repaired. The southern portion of the levee is beyond the DMG permit area. Maintenance of <br />portions of the levee outside of the permit area is not addressed in the permit and is not a jurisdictional <br />issue for DMG. However, during the April 9 inspection the operator discussed finalizing the repairs with <br />DMG staff. <br />During the time of this inspection, DMG observed that all portions of the eroded levee had been repaired. <br />River cobbles and gravel had been pushed from ZMK property to reconstruct the levee at its approximate <br />original alignment. The operator indicated that the river was not allowed to enter the pit during the 2004 <br />runoff season. <br />No problems or possible violations were observed. <br />Two photos, taken during the inspection of the repaired levee, accompany this report. <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. 970-247-5469. <br />I & E Contact Address <br />NAME <br />OPERATOR <br />STREET <br />CITY/STATE2IP <br />Richard Zannett <br />ZMK Construction, Inc. <br />P.O. Box 1817 <br />Ouray. 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 R. Larson, Monadnock Mineral Services <br />