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III. COMMENTS -COMPLIANCE <br />Below are comments on the inspection. The comments include discussion of observations made <br />during the inspection. Comments also describe any enforcement actions taken during the inspection <br />and the facts or evidence supporting the enforcement action. <br />This was a complete inspection of the New Horizon Mine conducted on Mazch 08, 2007 by Mike <br />Boulay of the DRMS. Ross Gubka of Western Fuels-Colorado (WFC) was present during the <br />entire inspection. Weather conditions were cloudy and cool. Ground conditions at the mine site <br />were wet and muddy from heavy rain the night prior to this inspection. Access azound the mine <br />site was limited due to the muddy road conditions. <br />Availability of Records <br />All required records were on site and available for review. Please see the attached records <br />checklist at the end of this inspection report. <br />Signs and Markers <br />Mine identification signs were properly displayed at mine site entrances. Topsoil mazkers and <br />permit boundary mazkers were in place where required. <br />Roads <br />Haul roads and access roads were maintained but were very muddy in some locations due to the <br />recent precipitation. Access around the mine site was limited to the pit area and Ponds 007 and <br />008. Road ditches and culverts were maintained and cleaz of sediment and debris. <br />Hydrologic Balance <br />Sedimentation Ponds 007 and 008 were viewed during this inspection. Pond 007 was the only <br />pond discharging. Dischazge from this outfall is primarily the result of water being pumped from <br />the pit. Pond 008 was retaining a significant amount of water but at a level below the principal <br />spillway. Pond inlets, embankments and discharge structures were stable at Ponds 007 and 008. <br />The location of the 26-inch pipeline conveying irrigation water was inspected. The line has been <br />recently relocated and buried in the eastern part of the permit area alongside of a 12-inch pipeline <br />that both canT irrigation water. Construction of the buried lines has been completed and no <br />problems were noted. <br />Reve etg anon <br />The azea proposed for use as an irrigated pasture reference area was viewed during the <br />inspection. The location is south of the mine facilities and approximately 8 acres in size. WFC <br />is proposing to submit a technical revision to incorporate the reference area into the permit <br />application package. <br />