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MINE ID # OR PROSPECTING ID#: M-1977-493 PAGE: 7 <br />INSPECTION DATE: 9-8-03 INSPECTOR'S INITIALS: ACS <br />amendment AM-04. Replacement of the old pipeline, which carries mine water <br />pumped from 5-Shaft, with a modern butt fused HDPE pipeline provides a far <br />greater degree of safety against pipeline leaks. Prior to the new pipeline <br />being placed into service, it must be certified as an EPF and the <br />certification must be accepted in writing by the DMG. The certification <br />report must include integrity testing of the new pipe. <br />The software used by Climax to track and keep records on the water <br />management system was inspected. Considerable information on the operation <br />of the critical EPFs can be viewed in real time at the mill office <br />building. All of the historical data can be easily accessed via a <br />graphical user interface where the operator needs only to click on an EPF <br />location on the on-screen map of the Climax Mine. Reports can be tailored <br />using an interactive query system. This is an impressive software setup <br />that allows Climax to stay abreast of the operation and maintenance of <br />their systems, and will reduce the already low number of upset conditions <br />at the mine. <br />1. No problems with any of the EPFs were observed during this <br />inspection. Action items for Climax resulting from this inspection <br />are to provide and EPF submittal for Ron's Riser and to notify the <br />DMG of the findings relative to the pipeline through Robinson Lake <br />Dam. It was discussed during the inspection what the level of <br />detailed submittal needs to be for modifications to EPFs. <br />Maintenance issues, such as repair or replacement of pumps do not <br />need to be submitted to DMG. New EPFS and major upgrades, such as <br />pipeline replacements, do require EPF submittals. It was agreed that <br />many of the maintenance issues and minor modifications could be <br />tracked by DMG through the inspection process. Any time Climax is <br />uncertain of whether a submittal is necessary, DMG should be <br />consulted. <br />2. In addition to the oxeye daisy and yellow toadflax observed during <br />this inspection, the Climax property also has infestations of Canada <br />thistle (cirsium arvense). Mayweed chamomile (anthemis cotula) is <br />encroaching on the property from Summit County where the weed is a <br />substantial problem. DMG is quite satisfied with the weed control <br />measures being applied at Climax, but requests that Climax include an <br />update on yearly weed control efforts in the annual reclamation <br />report. <br />cc: Carl Mount, DMG (via email) <br />I & E Contact Address <br />NAME Mr. Bryce Romig <br />OPERATOR Climax Molybdenum Company <br />STREET <br />CITY/STATE/ZIP Climax, CO 80429 <br />