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(Page 2) i MINE ID # OR PROSPECTING ID #: M-85-029 INSPECTION DATE: 02/26/01 INSPE~yTOR'S INITIALS: AIW OBSERVATIONS This inspection was conducted at the request of the operator to discuss upcoming plans to submit a^~ amendment to our office that will incorporate gravel mining and processing into this permit as well as re-arranging the permit (boundaries to encompass some additional abandoned placer waste piles. The Alma Placer is located just east of the town of ma, Colorado on an old alluvial terrace of the Middle Fork of the South Platte River. This operation was permitted in 1985 as a placer gold mine. The permit area encompassed an area hat has been historically mined (or many years leaving behind apatch-work of old surface placer workings or waste piles. O the northern end of the permit area these piles are intermingled with islands of in-situ material that has never been fully plat r mined but may have many small tunnels honey{ombed throughout them. These in-situ islands are the subject of the pla er mining that is occurring presently. As there are numerous piles of placer waste located on this property, the opera r recently revised the permit to allow for limited gravel processing of these old placer piles within this permit. In addition, the operator permitted a separate 110 construction materials operation adjacent to this site that fully encompasses an abando ed placer pile. One condition that was attached to the revision which allowed limited extraction and processing of ravel from this site was that if the gravel operation became the primary mining activity, the permit would need to be amend d to revise the reclamation plan to reflect this change. This would become necessary since the transport of material off site will cause changes to the post-mining topography, and therefore the overall reclamation plan, that were not co templated with the placer mining operation. As a result of the increased gravel activity, this has now become necessary and th s inspection focused on what changes might be included in the overall amendment. Three primary changes will be to the re lamation plan, the mining sequence and the permit boundary along with numerous other changes that have yet to be fu ly fleshed out. Presently, the operator is removing some abandoned placer piles that are located near the highway i phase II of the operation. This material is transported up to the crushing/screening area that is located on the adjacent 110 site nd blended in to be processed with the primary source of material which is being supplied from the 110 site. The placer plant is not operational at this time and its future operational status seems unclear at this time. The 110 operation has current) processed the abandoned placer material that was piled above grade and has started to excavate the below grade p rtion of the pile. This has created a premium on operational space within the 110 permit area for conducting the processin and stockpiling. As a result the operator would like to utilize some of the 112 phase I space to either set up the processing plant or stockpile material or both while they continue to remove the remainder of the below grade placer tailings in t e 110 permit area. It was conveyed to the operator that this would be acceptable to the division as long as mining excavation fin-situ material does NOT occur on the 112 permitted area until the amendment has been submitted and approved. This ould fall within the allowable activities as approved under TR-04. This concluded the inspection. As the focus of the operation has shifted from exclusively gold to be~me more gravel product oriented, the division is anticipating the submittal of an amendment which clearly addresses the cha ging nature of the operation in the very near future. I & E Contact Address NAME: Dennis Ducommun OPERATOR: Reclamation Resources STREET: P.O Box 848 CITY/STATE/ZIP: Fraser. Colorado 80442 cc (Jim Stevens Gr eg Lewicki ^ CE ^ BL ^ FS ^ HW ^ HMWMD (CH) ^ SE ^ WQCD (CH) ^ OTHER