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(Page 21 <br />MINE ID Jf OR PROSPECTING ID 11 M-1982-011 <br />INSPECTION DATE 6/13/02 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS WHE <br />This inspection occurred in response to operator request and as part of DMG routine monitoring <br />of permitted operations. The Hillyer Pit is located approximately 1 mile SE of the center of <br />Silverton, on the Animas River, at approximately 9,300' elevation. Permitted activities include <br />excavation of alluvial material from the annual floodplain of the Animas River and on-site <br />processing to include screening, crushing and stockpiling. The permit is approved for 7.5 acres <br />affected area. Permit status is active. Affected lands are to be reclaimed to support a stable river <br />channel and floodplain area. DMG holds 55,000 financial warranty. <br />Permit History: The original permit was issued on 6/24/82 to Hillco Rock, Inc., for 7.5 acres <br />affected area, financial warranty set at 52,500. Permit documents indicate that pre-permit mining <br />activities have occurred at or near the permit area by various individuals from at least 1976. <br />Unreclaimed disturbances from the pre-permit excavation activities may exist. On 7/20/95, DMG <br />approved transfer of permit (SO-01) for Jo Ann Vota Hinman as successor operator, financial <br />warranty was increased to 55,000. <br />Mining & Reclamation Plan: The original plan was approved for excavation of alluvial materials <br />from the annual floodplain along the west side of the Animas River. The approved plans indicate <br />that the north boundary of the excavation would maintain a 1.5H:1 V slope for 21' depth. East and <br />west side slopes of the pit area would be maintained at 2H:1 V. Pit floor would extend <br />approximately 1050' to the south, along the river, till the pit floor daylighted with the natural 2% <br />grade of the river. The plan anticipated that the river would enter the pit area during high flow, <br />deposit its bedload and return to the river channel through the south end of the pit. Bedload <br />materials, deposited within the pit area, would then be harvested annually during low flow <br />seasons. Reclamation activities include cessation of material excavation to allow bedload <br />deposition to fill the pit area, minor site grading and revegetation with native grasses and willow <br />transplants. Affected lands were located either entirely within the active floodplain or within <br />previously disturbed areas where topsoil was not available for salvage. Therefore, topsoil is not <br />available for reclamation purposes. <br />Current Observations: Elevation of the pit floor approximated the elevation of the river channel. <br />Portions of the river flow entered the north end of the pit area and exited the south end, as <br />anticipated in the approved plan. Portions of the river flow appeared to remain in the original river <br />channel. Material stockpiles existed at various locations within the active floodplain. The permit <br />holder, Ms. Vota, indicated a desire to commence final reclamation of the affected lands. Final <br />reclamation may be conducted by Fire Hawk Contractors and would include removal of the existing <br />stockpiled material from the floodplain areas, minor grading and revegetation in accordance with <br />the approved plan. <br />DMG records indicate that US Army Corps of Engineers (COE) circulated public notice 199675277 <br />on 6/27/96, for the Hillyer Pit. The COE public notice states that the purpose of the project was <br />to extract aggregate from the river channel and banks for commercial use, and at the same time <br />stabilize the currently unstable river channel at or near its historic alignment. <br />