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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1981-185 <br />INSPECTION DATE 10/5/06 INSPECTOR'S INITIALS RCO.KAP <br />OBSERVATIONS <br />This inspection was performed by the Division as part of its monitoring of Hard Rock and Metals 110(2) permits. The operator <br />was contacted about the scheduled inspection. The operator's representative named on page one was present during the <br />inspection. The site was not active at the time of the inspection, but exhibited recent activity. The weather was rainy and the <br />roads were muddy, but conditions did not prevent the inspection, even for sites accessed on foot. <br />The site was identified by the required permit ID sign posted at the entrance gate near the 2 Level portal. The permit area <br />consists of 3 small areas surrounding 3 separate portals (Level 1, Level 2, and Lamb portals) and the boundary corners were <br />marked. Since there is renewed activity, and the permitted areas are timbered and on irregular terrain, the boundaries should <br />be more visibly marked. At this time there is no problem, since all activity appears to be within the boundaries. <br />The Level 2 portal has been mucked out and loose rock removed back to competent rack. The portal is temporarily closed with <br />unsecured steel mesh. The Level 2 pad also contains two 20-foot long steel cargo containers, which the operator intends to <br />install (with the ends removed) at the portal as an entry structure. He proposes to replace the loose rock on top of the <br />containers after they are installed to recontour the slope, which will cover the 40-foot long portal entry and stabilize the face cut. <br />A pile of new mine timbers is also stacked on the pad for upcoming development work. There is no portal discharge, and there <br />is no surface water in nearby Deadman Creek. Though a segment of the creek crosses the Level 2 portion of the permitted <br />area, the operator is aware that no waste rock or sediment is to enter the creek. <br />The Lamb portal is accessed via a short, unmaintained spur road from the maintained Incas Mine road. The Lamb portal and <br />the spur existed prior to the permit; the road was not improved and will not require reclamation recontouring. This portion of <br />the permit area includes the portal, pad and dump, minor amounts of debris and a dilapidated wooden shack. The operator <br />stated that this portal will not be reopened or used in the future. However, this portal and dump were affected under the permit <br />and will require reclamation: including verified portal closure, shack demolition, onsite burial or burning of wood debris, <br />recontouring the dump outslope (pulling upper slope material onto the pad and pushing it against the portal and cut slope), <br />revegetation and weed control. There is a small patch (20'x40'} of Canada thistle that must be controlled. The portal is dry. <br />After reclamation activities are completed there, it may be advisable to construct an earthen barrier at themain road to prevent <br />unauthorized vehicular access to protect the reclamation. <br />The operator was not present during the inspection of the Level 1 portal was inspected. It has been reopened also, by removal <br />of muck and loose rock back to the outcrop (similar to the opening of the Level 2) and the existing steel-framed entry structure <br />is now exposed. The dump has not been enlarged or significantly disturbed with this new activity, and the trees are still present <br />there. The old timbers, parts and debris are still present. There are no weeds noted. The portal is dry. If work in addition to <br />simply reopening the portal is to occur (such as structures or stockpiles, etc.) the operator should notifythis office to ensure it is <br />in compliance with the approved plan and bond. <br />The road up to the Level 1 portal is steep and in places unstable. The operator has had to maintain the road for the erosion <br />that affects it in one slide location in particular. Above the slide location is a patch of Canada thistle that has been noted in <br />previous inspections. The operator has been required control this noxious weed, buf effort have been inadequate: the patch is <br />not smaller (though it is not bigger either). Weed control efforts must be stepped up: possibly2 treatments per growing season, <br />with no skipped seasons. This is not a problem at this time, but if the patch is larger at the nett inspection, this may become a <br />problem. <br />The existing bond is $5000, and must be recalculated, due to recent rises in costs, and to update the bond for the new <br />operator. Weed control will be added to the cost. <br />Cont <br />