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Page 2/2 Deserado C-81-O18 28 April 05 -Pond SS-2 was dry at the time of the inspection. The pond embankment was well vegetated and appeared to be stable. There were no erosional problems noted on the pond embankment. - Pond DP-1 contained water at a level approximately one-foot below the discharge pipe. The pond was discharging from the small weep-hole in the primary discharge pipe. The pond embankment was well vegetated and appeared to be stable. There were no erosional problems on the pond embankment. The emergency spillway was well maintained and stable. - Pond RR-1 was dry at the time of the inspection. Pond RR-2 was also dry at the time of the inspection. Both pond embankments appeared to be stable and there were no erosional problems noted on either embankment. -The roadside ditches along the mine access road, the conveyor corridor and the haul road to the refuse pile were all stable and well maintained. Based on the recent rain, they have carried a considerable amount of run-off and there were no erosional problems noted in any of the ditches. - All of the culverts appeared to be clear and functioning as designed. Processing Waste: -Refuse Pile RP-2/3/4 appeared to be stable at the time of the inspection. There has been a considerable amount of rain over the past week and there was no water pooling on the surface of the pile and there was very little erosion on the pile outslopes. The pile was well compacted and stable. -Refuse pile RP-Sa appeared to be stable pt the time of the inspection. There has been a considerable amount of rain over fhe past week and there was no water pooling on the surface of the pile and there was no erosion on the pile outslopes. The stockpiling of refuse on pile RP-5a has completed for the year as the weather warms. Deserado will begin spreading and compacting the refuse soon. The stockpile appeared to be stable at the time of the inspection. - Refuse Pile RP-1 was well vegetated and stable at the time of the inspection. No erosional problems were noted on the pile. Topsoil: -All of the topsoil and subsoil stockpiles were well vegetated and stable at the time of the inspection. All of the necessary signs were in place. There were no erosional problems noted on the piles. Revegetation: All of the vegetation at the mine site is beginning to turn green this spring. The area that was reseeded along intersection of the refuse pile haul road and Counfy Road 65, where the slopes were cut back, is beginning to grow. It is still too early to tell what species are growing.