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(Page 21 MINE ID # OR PROSPECTING ID # M-1981-154 INSPECTION DATE 4/15/02 INSPECTOR'S INITIALS RCO OBSERVATIONS This inspection was performed by the Division as part of its monitoring of Construction Materials 112 permits. The operator's representative named on page one was present throughout the inspection. This site was active at the time of the inspection. Stripping and excavation are occurring on the northeast corner of the site. It involves an unmined "peninsula" of material which abuts a separate permitted site on the north IM-1988-0371. Removal of this material might create an unstable slope or require temporary use of that portion of the adjoining permitted site, which is not a problem under DMG regulations as long as the adjoining permitted operator agrees to allow such encroachment. An agreement will also allow the rfull removal of the last material without a remnant ridge between the two pit floors. The operator should be careful in not over-mining the material at the east edge of the permit, but leave a sufficient bank to allow creating adequate 3:1 final slopes. Topsoil is still stockpiled to the south of the pit, up on the unmined hilltop. It appears to be stable, but as new material is added, the operator must remember to seed it for erosion protection, at the rate of 6 pounds PLS per acre of westen wheatgrass, as required by the permit. Also, please ensure that the existing pinon trees along the south edge of the stockpile location are not damaged, since the permit requires that they be protected. The drainage and sediment control is adequate, with no adverse impact from runoff to the ditches or fields to the west. No noxious weeds were observed. The operator has numerous equipment parts and other materials stored along the west edge of the pit floor. Please ensure that such storage does not involve hazardous materials or those not related to this operation. No fuel is stored at the site. The tall highwall along the southeast side of the pit was mined too close to the permit boundary (which is well marked there by a new barbed wire fencel• The operator has reported in 2000 and 2001 that waste rock has been backfilled there to reduce the slope to a final gradient. Until this inspection, it was assumed by this office that such waste rock was a reject material generated onsite. During this inspection it was observed that a significant portion of this backfilled material is imported from outside the permit area. A problem has been noted on page one under the topsic of "general mine plan compliance." Since much additional material is still needed for backfilling, this practice will likely continue. This was discussed during the inspection, and the best course to correcting this problem will be for the operator to apply for a technical revision (TR) to allow importing fill material for purposes of attaining the required slope gradients for final reclamation. The TR will be structured in the form of a Notice, and must include pertinent information as to the types of material used, volumes, sources, timeframes of further importation, etc. Please refer to Construction Materials Rule There were no additional items observed or discussed. II responses or questions about this inspection report should be directed to this inspector at the Division's Durango Field Office. The address is: Division of Minerals and Geology, 701 Camino del Rio, Room 125, Durango, Colorado 81301; telephone 970/247-5193, or fax 970/247-5104. I & E Contact Address NAME OPERATOR STREET CITY/STATE/ZIP Mike Horner San Miguel County P.0. Box 426 Norwood, CO 81423 cc: Tom Gillis, DMG ^ CE ^ BL ^ FS ^ HW ^ HMWMD (CHI ^ SE ^ WOCD (CHI ^ OTHER I, Bob Oswald, certify that on the signature date shown on page one, I deposited a true and complete copy of this entire inspection report in the United States mail, first class postage paid, to the operator of record for this site at the address indicated, and to those others designated in this report to receive copies (DMG personnel a rceptedl. r ~ ignature