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III. COMMENTS -COMPLIANCE <br />Below are comments on the inspection. The comments include discussion of observations made during <br />the inspection. Comments also describe any enforcement actions taken during the inspection and the <br />facts or evidence supporting the enforcement action. <br />This was a complete inspection of the New Horizon Mine for the month of October, 2001. The purpose <br />of this inspection is to conduct a Phase II and III Bond Release as well as normal operations and <br />environmental compliance. The weather was clear and warm. <br />AVAILABILITY OF RECORDS: Records were inspected and found to be in compliance. See page 5 <br />of this report for further details. <br />ROADS: Haul roads and the BB road detour was inspected and no problems were noted. The <br />reconstruction of BB road is underway and is close to final grade. Again, no problems were noted. <br />HYDROLOGIC BALANCE: Mine 2: Ponds 7 and 8 had water in them but were not discharging. Pond <br />9 was inspected and found to be extremely well constructed. One noted concern was at the inlet culvert <br />which could use some flow fill to insure water did not erode underneath the % pipe channel. All ditches <br />and culverts were clear and capable of functioning as designed. <br />BACKFILL 8 GRADING: B & G was in progress as is normal. No problems were noted. The land <br />continues to be reclaimed to the approved post mining topography map and no low spots were noted. <br />EXPLOSIVES: Records were inspected and found to be in compliance. All blasting procedures are being <br />followed and seismograph's readings are available for all but parting shot blasts. <br />GENERAL MINE COMPLIANCE: The mine continues to progress in an orderly and well run fashion. <br />RECLAMATION SUCCESS: A Phase I bond release has been received by the Division and will be <br />inspected later this summer. One small depression area (50'x100'} pointed out by the operator will be <br />filled in after this years growing season has concluded. (see photo below) <br />Pond removal and access road reclamation was accomplished at the Mine 1 area and the sites blended <br />in with the surrounding topography exceptionally well. <br />