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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-2004-063 <br />INSPECTION DATE 12/18/06 INSPECTOR'S INITIALS WHE <br />OBSERVATIONS <br />This inspection occurred as part of the review process of a 112c application forwhich the Division did not <br />receive financial warranty within one year after approving the application. The permit application has <br />been approved but has not been issued and is awaiting consideration by the Board perthe requirements <br />of Rule 4.1(2). Six photos accompany this report. <br />The application describes a permit area of 81.7 acres located in apinyon-juniper community with rocky <br />outcrops and shallow soils. Mining activities will affect 62.5 acres of the permit area. The phased mining <br />plan indicates conventional excavation with on site processing to include crushing, screening, washing <br />and production of concrete and asphalt products. Affected lands will be mined in four phases with <br />contemporaneous reclamation for each phase. Affected lands will be reclaimed to support rangeland <br />post-mining land use. Pre-permit disturbances within the permit area are associated with gas wells, gas <br />pipelines, and access roads. <br />As shown in the accompanying photos, approximately four acres of the19.4 acres Phase One area has <br />been disturbed by activities associated with exploration and development of natural gas recourses. Two <br />gas wells were completed. The Applicant indicated that three additional wells were under construction. <br />Limited cut and fill activity had occurred at each of the well sites, as well as for each of the access roads. <br />The largest fill area contained a lined pit where drilling fluids were impounded. The Applicant indicated <br />that the fill area was approximately 375 feet long x 75 feet wide and approximately 9 feet deep. The cut <br />or excavation areas appeared to balance with the fill areas. <br />A natural gas pipeline corridor was under construction at the north end of the permit area. According to <br />information submitted by the Applicant, the corridor will extend approximately 9,600 feet from the north <br />end of the property towards State Hwy 151, and will contain a 16-inch natural gas pipeline, irrigation line, <br />and an access road. The Applicant indicated that the road would be utilized to access the permit area <br />and that gravel trucks would use the newly constructed road. The access road did not pre-date the <br />application. Pursuant to Rule 1.1(3), the access road appears to satisfy the definition of affected land <br />and must be included within the permit area prior to being utilized to support the mining activity. The <br />Applicant has appealed staff's interpretation of the proposed road constituting "affected land". The issue <br />has been scheduled for consideration by the Board during the February 14-15, 2007 Board meeting. <br />On February 11, 2005, the Division estimated the cost of reclamation for the first year of operations, <br />affecting approximately 6.5 acres area, at $26,676. Mining activities have not commenced. Therefore, <br />the Division's reclamation cost estimation appears current. <br />Observations made during the inspection and recorded in this report indicate than mining activities have <br />not commenced. Therefore, no problems or possible violations were observed. <br />I & E Contact Address <br />cc: Tony Waldron, DBMS <br />^ CE <br />NAME Roy & Glenda Hocker ^ BL <br />OPERATOR Hocker Construction LLC ^ FS <br />STREET P.O. Box 627 ^ HW <br />CITY/STATE/ZIP Ionacio, CO 81137 ^ HMWMD (CH) <br />X URS, Corp, Jack Nickerson <br />