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1 <br />~~ s <br />(Page 2) <br />MINE ID # OR PROSPECTING ID #: M-82-044 <br />INSPECTION DATE: 8/17/00 <br />OBSERVATIONS <br /> <br />INSPECTOR'S INITIALS: AIW <br />This inspection was conducted in response to an application for a Succession of Operator and Transfer of Permit. The <br />inspection was conducted by Tony Waldron of DMG along with Jerry Johnston who will be the successor operator. The site is <br />located approximately three miles east of Divide, Colorado and just north of Hwy 24. The site is basically an upland granite <br />outcrop or ridge that generally slopes to the north and drops off more steeply along the west side. Vegetative cover typically <br />consists of ponderosa pine forest with a sparse bunchgrass understory. <br />The site has been historically mined for years before it was finally permitted in 1982. The permit area has been surveyed in <br />and the permit boundary was generally clearly marked, although a few markers were not able to be located. The site is <br />basically a circular shape with all slopes draining into the pit bottom. The slopes were well maintained and no highwalls were <br />present. Due to this fact, reclamation would basically consist of replacing the limited amount of topsoil and revegetating. The <br />current disturbance is approximately 7.5 acres and the financial warranty is $7,500.00. This amount is adequate to reclaim the <br />present disturbance and unless the pit is amended to add additional area, this amount should suffice throughout the life of the <br />mine. No problems were observed and this concluded the inspection. <br />The last item which will need to be completed before the transfer can be completed is to submit a replacement financial <br />warranty in the amount of $7,500.00. Once this is received and approved, the transfer will become final. <br />I & E Contact Address <br />NAME: Johnston Pit # 2 <br />OPERATOR: lerrv Johnston <br />STREET: 13800 HWY 24 cc: Jim Stevens-DMG <br />^ CE <br />CITY/STATE/ZIP: Divide. CO 80814 ^ BL <br />^ FS <br />^ HW <br />^ HMWMD (CH) <br />^ SE <br />^ WQCD (CH) <br />^ OTHER <br />(Page 3) <br />