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MINE ID # OR PROSPECTING ID#: M-1977-342 PAGE: 3 <br />INSPECTION DATE: 8-26-2004 INSPECTOR'S INITIALS: ACS <br />The logging projects related to extensive pine beetle infestation are <br />continuing at, Henderson. Henderson's efforts in this regard will result in a <br />forest, although greatly diminished by beetle kill, that will be far healthier <br />on Henderson property than on the surrounding National Forest. <br />No. 3-Dam revegetation test plots were inspected. These plots were <br />established for the dual purpose of: <br />• Stabilization of the re-graded face of No. 3-Dam. <br />• Investigation of the long-term effectiveness of different plant growth <br />media treatments on the mill tailing. <br />The dam face showed no indications of erosion at the time of this inspection, <br />and at this point early in the life of the test plots, herbaceous vegetation <br />is growing on all of the treated areas. <br />High velocity and gusty winds were prevalent on the day of this inspection. <br />It was observed that considerable dust clouds were rising from the tailing <br />beach on certain areas of the impoundment. The existing dust control plan for <br />the Henderson tailings includes application of the asphalt emulsion coherex as <br />a dust palliative and strategic tailings distribution to minimize areas of dry <br />beach. This dust control plan has been largely successful over the life of <br />the Henderson impoundment. However, as the length of the tailing dam <br />increases due to continuous dam raises, the area of potentially dry beach <br />becomes larger. This fact combined with the inability to mobilize the coherex <br />application vehicles onto recently deposited soft tailings, has created an <br />increased dusting problem at Henderson. Generation of dust from the tailings <br />essentially ceases in the winter. With winter approaching, the DMG would like <br />to work with Henderson to develop an enhanced dust control strategy for <br />deployment by summer 2005. By working cooperatively to address the dust <br />issue, within the time provided by the upcoming winter season, the need for <br />DMG enforcement to address the dust issue will be unnecessary. <br />cc: Carl Mount, DMG (via email) <br />James Geier,APCD <br />I & E Contact Address <br />NAME Tim Haynes <br />OPERATOR Climax Molybdenum Company <br />STREET 19302 County Road 3 <br />CITY/STATE/ZIP Parshall, CO 80468 <br />