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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-2006-009 <br />INSPECTION DATE 3/20/06 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS WHE <br />This inspection occurred as part of DMG's review process fora 112c application. The Hindmarsh <br />Sandstone application describes a 31.74-acre permit area located on private land approximately 5 miles <br />east of Cortez. The Applicant is the surface and subsurface owner. Explosives will be utilized but not <br />stored on site. Material processing will include crushing and screening. Portions of the permit area <br />include pre-law mining disturbances. Pre-law disturbances will be reclaimed by the activities proposed in <br />the application. The only permanent man-made structure located within 200 feet of the permit boundary <br />is the access road, previously constructed to access the property. Reclamation will support rangeland <br />post-mining land use. <br />Site conditions appeared consistent with the descriptions provided in the application. Public access to <br />the site is controlled by locked gate and by its remote location. The permit area is located on an outcrop <br />of Dakota sandstone along the north rim of McElmo Canyon. Permit area was clearly delinated. Soil <br />cover forthe permit area appeared intermittent and shallow. Native plant communitywas Pinyon/Juniper <br />with very little understory. Most of the Pinyon trees appeared dead. PinyonlJuniper cover for portions of <br />the permit area had been previously cleared, presumably for agricultural purposes. Deertracks and scat <br />were abundant throughout the permit and surrounding areas. Noxious weeds were not observed within <br />the permit area or in areas immediately adjacent to the permit area. However, a significant noxious weed <br />infestation is located across the canyon, approximately 0.25 miles from the permit area. <br />On March 23, 2006, DMG completed a preliminary reclamation cost estimation totaling $18,174. Copy of <br />DMG's cost estimation is enclosed the adequacy letter dated March 23, 2006. Decision date for the <br />application in May 1, 2006. <br />No problems or possible violations were observed. <br />Responses to this inspection report should be directed to the Division of Minerals and Geology, 701 <br />Camino del Rio, Room 125, Durango, Colorado 81301, Attn: Wally Erickson, phone no. 970-247-5469. <br />I & E Contact Address cc: Bruce Humphries, DMG <br />NAME <br />OPERATOR <br />STREET <br />CITY/STATE/Z1P <br />William K. Goode <br />Mesa Sandstone <br />P.O. Box 220 <br />Cortez. CO 81321 <br />^ CE <br />^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WOCD (CH) <br />X Doug Conger <br />