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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1985-026 <br />INSPECTION DATE 4/15/05 <br />INSPECTOR'S INITIALS ESC <br />This was an aerial inspection of the Challenger Pit conducted by Erica Crosby of the <br />Division of Minerals and Geology. <br />The Challenger Gravel Pit is located 2 miles north of Johnstown and 3 miles east of I-25 <br />and is adjacent to the Big Thompson River. An 112c Mining and Reclamation Permit was <br />issued on August 27, 1985. The permit was amended (AM-O1) in 1999 that reduced the permit <br />area to 66 acres and changed the mining technique from wet mining to dry mining. The <br />postmining land use is pastureland and the Division holds a financial warranty in the <br />amount of $20,241.00. <br />The purpose of the inspection was to determine the status of the mining operation and to <br />resolve outstanding issues noted in the Division's June 27, 2003 inspection report. Based <br />on an inspection of the aerial photographs, the operator has reclaimed the site into four <br />groundwater-exposed ponds. It appears that the area has been recently seeded due to the <br />presence of mulch. <br />In the June 27, 2003 inspection report, the operator was required to demonstrate that an <br />approved Temporary Substitute Supply Plan ("TSSP") or Augmentation Plan has been issued by <br />the Office of the State Engineer ("OSE"). This was necessary in order to demonstrate that <br />the postmining land use of creating groundwater-exposed ponds can be achieved. If <br />Coulson Excavating does not have the appropriate water rights in place, the <br />reclamation plan cannot be achieved and an alternate reclamation plan is <br />required. The operator has failed to submit such documentation to the Division (as <br />required by September 1, 2003 and extended to March 26, 2004). Therefore, the Division <br />will estimate a cost to backfill the pits above the groundwater table. Such estimate will <br />be sent under separate cover. <br />I & S Contact Address <br /> ^ CE <br />NAME Mr. Richard Coulson ^ BL <br />OPERATOR Coulson Excavating Co., Inc. ^ FS <br />STREET 3609 N. CR 13 ^ HW <br />CITY/STATE/ZIP Loveland, CO 80538 ^ HMWMD (CH) <br /> SE <br /> ^ WQCD (CH) <br />Cc: Carl Mount; DMG (via a-mail) <br />