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• • (Page 21 <br />MINE ID ~ OR PROSPECTING ID # M-76-059 <br />INSPECTION GATE 1!18196 INSPECTOR'S INITIALS WHE <br />OBSERVATIONS <br />This partial inspection was conducted by Wally Erickson from the DMG field office in Durango. Mr. Douglas Conger, Nielson's Inc., <br />accompanied the DMG inspector through out this inspection. The Cortez Pit is located adjacent to Nielson's Inc. headquarters, on <br />the north side of County Road G IMcElmo Road1, approximately 2.5 miles southwest of Cortez. The 112 permit was amended in <br />3/92, total affected area is 20.4 acres. OMG currently holds financial warranty in the amount of 511,000.00. <br />Mine identification sign and perimeter markers were erect and well maintained. Mining related disturbances were confined to the <br />approved area. Public access to the quarry is controlled by locked gate at the entrance to Nielson's headquarters. Mine access <br />road/haul road was well maintained. <br />Mining was not actively occurring during the time of this inspection. Highwall appeared to be approximately 20' tall. Although the <br />highwall appeared generally stable, minor rock fat! may occur from the highly fractured sandstone strata. Hardhat sign was posted <br />near the pit area. <br />The pit area is currently being utilized to store vehicles and equipment. Equipment stored in the pit area included dismantled asphalt <br />batch plant with portable oil storage tanks, bag house fan, lime trailer, and various vehicles utilized in asphalt jobs. A minor fuel <br />leak was observed from a distributor truck, contaminated soil appeared to cover an area of 4' by 8'. Ten fuel tanks of assorted <br />capacities were stockpiled, all were empty. No evidence of leaking was observed from the fuel tanks, all appeared intact. Numerous <br />55-gallon drums were located whhin the pit area, all appeared intact. Fuels, lubricants and chemicals need to be stored in a <br />controlled manner, at a designated location, with adequate spill prevention and spill containment controls to ensure disturbance to <br />the prevailing hydrologic balance be minimized as required by Rules 3.1.6 and 3.1.7. Spill containment controls typically include <br />measures such as construction of a containment berm surrounding fuel tank or fluid storage areas. Berm surrounding the fluid <br />storage area should enclose sufficient area to ensure containment of volume equivalent to combined tank capacities. Containment <br />areas should be lined with an impermeable liner to ensure spilt fuel or fluids not escape and degrade quality of ground and surface <br />waters (Rules 3.1.6 and 3.1.71. Soils that have been contaminated by minor spills need to be disposed of in an appropriate manner. <br />Rule 4.2.1(11 of the Construction Material Rules and Regulations of the Colorado Mined Land Reclamation Board, effective 10!95, <br />requires that all financial warranties be set and maintained at a level which reflects the actual current cost of fulfilling the <br />requirements of the Reclamation Plan. DMG records indicate that the financial warranty for this operation has not been recalculated <br />in recent years. Pursuant to Rule 4.2.1, DMG will review and recalculate the amount of financial warranty required for the Cortez <br />Pit. A detailed estimate of the recalculated cost, based on the approved Mining and Reclamation Plans and conditions observed <br />during the inspection, will be forthcoming. <br />I & E Contact Address <br />NAME Doue Conger <br />OPERATOR Nielson's Inc. <br />STREET P.O. Box 1660 22419 C.R.- G <br />CITY/STATE/21P Cortez. CO 81321 <br />cc: Tom Gillis, DMG <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD ICHI <br />^ SE <br />^ WOCD (CHI <br />^ OTHER <br />