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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1977-311 <br />INSPECTION DATE 05/29/03 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS WHE <br />This inspection occurred in response to the operator's request for reduction in financial warranty for <br />completion of closure of mine openings, demolition of structures, backfilling, grading and topsoil <br />replacement. The SR-13A Mine is located approximately one mile north of Slick Rock, within DOE lease <br />block C-SR-13A, in portions of the SE'/< of Section 24 and NE'/< of Section 25, T44N, R18W, and in <br />portions of the SW '/< of Section 19 and NW'/<of Section 30, T44N, R19W, NMPM, San Miguel County. <br />The 110 permit is approved for underground extraction of uranium and vanadium ores. Affected lands <br />will be reclaimed to support rangeland and wildlife habitat post mining land use. The operator had <br />previously posted $31,000 reclamation bond with DOE, which exceeded DMG's reclamation cost <br />estimation. Therefore, pursuant to Rule 4.2.1(8), DMG holds $100 financial warranty. <br />Three portal closures, two pre-law, appeared to have been closed and/orappropriatelyssfeguarded with <br />bat gates. Waste rock stockpiles had been graded to stable slopes, which blended with surrounding <br />topography, and pocked to detain runoff, trap sediment and seed, and control erosion. The shallow <br />depressions were arranged in a series of offset rows, which had been excavated throughout the graded <br />waste rock stockpile. Available topsoil had been redistributed. Buildings and mine related structures had <br />been removed or buried on site. Access roads were ripped and/or graded for drainage control and to <br />encourage revegetation. Evidence of application of a revegetation seed mix was observed. However, <br />evidence of germination of the revegetation seed was not observed. Vegetative cover was not <br />sufficiently established to satisfy the performance standards of Rule 3.1.10, forfull release of warranties. <br />Backfilled and graded areas appeared stable, no evidence of settling, sliding or excessive erosion was <br />observed. Observations made during the inspection and recorded in this report indicate thatthe operator <br />has successfully completed reclamation in accordance with permit conditions and the Act and Rules, with <br />the exception of revegetation. Therefore, staff recommends approval of the operator's request for <br />reduction in the amount of warranty. <br />DMG has calculated the current cost of reclamation, totaling $5,416. Copy of DMG's 6/2/03 reclamation <br />cost estimation, totaling $5,416, is enclosed with this report. DOE has informed DMG of its <br />recommendation to retain $6,000 of its reclamation bond. Therefore, pursuant to Rule 4.2.1(8), if DOE <br />retains at least $5,416 of its reclamation bond, DMG's $100 financial warranty will remain sufficient. <br />No problems or possible violations were observed. <br />Responses to this inspection report should be directed to the Division of Minerals and Geology, 701 <br />Camino del Rio, Room 125, Durango, Colorado 81301, Attn: Wally Erickson, phone no. 970-247-5469. <br />I & E Contact Address <br />NAME <br />OPERATOR <br />STREET <br />CITY/STATE/ZIP <br />Glen Williams <br />Cotter Corporation <br />P.O. Box 700 <br />Nucla. CO 81424 <br />cc: Harry Posey, DMG <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />X DOE, Michael K. Tucker <br />