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(Page 21 <br />MINE ID !t OR PROSPECTING ID # M- <br />INSPECTION DATE /03 INSPECTOR'S INITIALS RCO <br />OBSERVATIONS <br />This inspection was performed by the Division to verify whether any recent disturbance existed at the site, prior to the <br />issuance of the permit. Since this is not yet a permitted site, the operator was not contacted about the inspection. There <br />was no one present during the inspection. <br />As the file reflects, this is a pre-law underground metals mine, for which a permit is sought in order to re-open the mine. <br />Existing site features consist of an old access road which shows no sign of recent traffic, a portal which is boarded shut, <br />old tracks leading out of the portal which are in a state of disrepair, and waste rock dump with no new rock dumped on the <br />surface. There has been no disturbance since this site was first inspected in 2001. <br />Improvements to be made during the startup of the operation include adding gravel to the roads, deepening the sediment <br />ponds, installing culverts at stream crossings, cutting and removing mature spruce trees to create an operating and ore <br />stockpiling area, and stripping and stockpiling topsoil for reclamation. None of these activities has occurred. <br />The surface water at the site has been periodically sampled, including the portal discharge when it is flowing. At the time <br />of this inspection no discharge from the portal was observed. <br />There were no stockpiles, no equipment, no new debris, and no signs that the operator has started the operation. The <br />operator has submitted a bond in an amount estimated to be sufficient to reclaim. The bond was accepted by the Division <br />on 5/2/03. It is the Division's recommendation that this application be approved by the Mined Land Reclamation Board, and <br />a permit issued. <br />No further items were observed during the inspection. Responses to this inspection report should be directed to the <br />Division of Minerals and Geology, 701 Camino del Rio, Room 125, Durango, Colorado 81301, Attn: Bob Oswald; phone no. <br />970-247-5193. <br />I & E Contact Address <br />NAME Wavne Giesv <br />OPERATOR Midas Mining Co., Inc. <br />STREET PO Box 772 <br />CITY/STATE/ZIP Philomath, OR 97370 <br />cc: Harry Posey, DMG <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />^ OTHER <br />