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(Page 2) MINE ID # OR PROSPECTING ID # M-1983-209 INSPECTION DATE 11-20-2002 INSPECTOR'S INITIALS SSS This inspection was conducted as part of DMG s ongoing inspection program for permitted mine sites in Colorado. The inspection was also conducted to evaluate current site conditions for use in updating the reclamation cost estimate. The recalculated estimate is used to determine if the current financial warranty held by the state is adequate to reclaim this site per the approved reclamation plan. The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. No significant erosional features were noted on the affected areas of the site. No significant infestations of noxious or other problematic weeds were noted on site during this inspection. The north boundary of the west parcel has been backfilled to final approved grade and was reportedly seeded. Vegetation establishment on this slope has been minimal and is primarily undesirable weedy species. The operator is encouraged to perform some soil analysis and determinewhatfertilizer oramendmentsmay increase the chances forsuccessful revegetation. The permit should be revised to incorporate any revised revegetation procedures, prior to their implementation. Most of the junk and structures previously reported on the west parcel have been removed. The few pieces of equipment currently stored there are mobile and their disposal is not included in the reclamation cost estimate. The problem regarding a breached berm along the irrigation ditch, noted in previous reports, has been corrected with all ditch breaches and erosional features being repaired. The problem regarding mining deeper than the irrigation ditch bed and mining closer to the ditch than the permit allowed, as noted in the previous inspection report, has been corrected. The operator has backfilled the over-excavated portions of the pit and sloped them gently toward the southwestwhere drainage is routed underthe irrigation ditch, through an existing culvert, as specified in the permit. Mining continues to the northeast and appears to be progressing as approved in the mining plan. However, the west parcel was to be reclaimed long ago, including revegetation using irrigation. The operator will need to propose how irrigation will be obtained and directed to the west parcel to get vegetation to grow. If the site is to be used for horse corrals, then the permitwill need to be changed, through the technical revision process, to incorporate the horse Corral plans. The reclamation cost estimate will then be revised to account for the provisions of the new plans. In an effort to ensure the financial warranty remains adequate to reclaim this site per the requirements of the approved reclamation plan, DMG has updated the reclamation cost estimate (copy enclosed). Clearly, the site is currently under-bonded. Therefore, pursuant to Section 34-32.5-117(4) of the Colorado Land Reclamation Act, adequate financial warranty must be submitted to DMG within 60 days of the mailing date of this report. Please review the enclosed figures as soon as possible and contact our office if any calculation errors are noted. Responses to this inspection report should be directed to Steve Shuey at the Division of Minerals and Geology, Grand Junction Field Office, 101 South 3r° Street, Room 301, Grand Junction, Colorado 81501, phone number 970-243-6368. I & E Contact Address NAME OPERATOR STREET CITY/STATE/ZIP Jack Hawkins Western Slope Construction Comoany 1221 Highway 50 Delta, Colorado 81416 cc: Carl Mount -DMG Denver ^ CE ^ BL ^ FS ^ HW ^ HMWMD (CH) ^ SE ^ WOCD (CH) ^ OTHER