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MINE ID # OR PROSPECTING ID#: M-1977-342 PAGE: 4 <br />INSPECTION DATE: 8-1-02 INSPECTOR'S INITIALS: ACS <br />• The 7700 level shop, 7700 level lobe station, and 7700 <br />level fuel storage. <br />• The DCl shop on the 7500 level. <br />• The 7065 level shop and the 7065 level Tube station and <br />fuel storage. <br />The following locations are also used to store fuel, lubricants, and solvents, <br />but were not inspected: <br />• 8100 level fuel storage. <br />• 7500 level shop. <br />• Lubricant storage below crusher. <br />The following determinations were made based on observations in the <br />underground mine and discussions with CMC: <br />• There are no PCB transformers in the underground mine. <br />• There are nuclear sensors installed to monitor the ore conveyors. The <br />radioactive material must be removed prior to mine flooding. CMC will <br />provide information on the Location of each device. <br />• The main shop, where most of the fluids are stored, is the 7700 level shop. <br />The other shops are orders of magnitude smaller. <br />• Currently, the fueling station on the 7065 level is operated out of a small <br />tanker truck. However, installation of large diesel tanks at this station <br />is anticipated. <br />• The mine pumps would only have to be operated following termination of <br />mining for a period of time sufficient to remove potential sources of <br />contamination from the 7500 level and below. Once these levels are <br />cleared, the pumps may be shut down and sufficient time will be available <br />to clear the higher levels before they are flooded. For the purpose of the <br />reclamation cost estimate, DMG will assume that 4-months will be sufficient <br />to clear the 7500 level and below. <br />• CMC will provide information of the locations, quantities, and types of <br />materials stored in the underground mine that would have to be removed <br />prior to mine flooding. <br /> cc: Carl Mount, DMG (by email) <br /> Erica Crosby, DMG (by email) <br /> Anne Beierle, CMC (by email) <br /> Erich Bower, CMC (by email) <br />2 & E Contact Address <br />NAME Mr. Tony Lucero <br />OPERATOR Climax Molybdenum Company <br />STREET P.O. BOx 68 <br />CITY/STATE/ZIP Empire, CO 80438 <br />