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ENERGY FUELS COAL, INC. <br />SOUTHF'IELD MINE <br />P.O. BOX 449 <br />FLORENCE, COLORADO 81226 <br />QUARTERLY INSPECTION REPORT <br />WATER STORAGE PONDS <br />Date of Inspection: June 27, 1996 <br />Pond Identification: Water Storage Pond No. 2 <br />Pond Location: NE I/4 Sec. 30, T20S, R69W, 6th P.M. <br />Fremont County, Colorado <br />Comments: This pond is a partially incised pond with moderate interior sideslopes and varying <br />exterior sideslopes. The pond interior is hypalon lined and the perimeter is fenced. Minor erosion <br />of the North and West exterior sideslopes due to storm drainage was observed. The slope erosion <br />does not pose a hazard to the integrity of the pond. The water level in the pond at the time of <br />inspection was approximately 4" below the high water line mark. One hole in the hypalon liner <br />was noted on the South interior sideslope. A sediment bank was observed at the NW corner of the <br />pond. <br />Recommendations: Periodically monitor the exterior sideslopes for erosion damage and perform <br />cleaning and maintenance as requi net within the next quarter. <br />Inspected by: David J. Brent, P.E. <br />Colorado Registration No. 13290 <br />