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South Fan South Fan disturbances subject to bond release were properly delineated on the bond release application map (Exhibit SL-16-009). All facilities demolition and removal has been properly completed in the South Fan disturbance area, including the powerline to the fan. Backfilling and revegetation of all disturbed areas including the fan pad area, the site access road and the small soil borrow area was completed in the fall of 2000. Required sediment control berms and silt fencing were in place and properly maintained. Bond monies will need to be retained far berm removal, which will be required prior to final Phase 3 bond release. Documentation submitted by the applicant indicates that backfilling and grading in this area was conducted in compliance with the approved plan. This assessment is supported by observations and measurements made during a joint OSM/DMG inspection of August 14, 15, and 24, 2001, and observations made during the May 20, 2003 bond release inspection. Detailed regrading plans were not available for the small disturbance areas associated with the South Fan location and associated soil borrow area. However, at both locations the graded areas blend into the adjacent undisturbed slopes with no exposed cut slopes, abrupt transitions, or indications of instability. The areas were graded rough, with no erosion evident, and sediment controls were in place in accordance with approved plans. The reclaimed slope gradient at the South Fan was estimated with an Abney level to be 30%. Despite predominantly south facing slopes in the fan area, establishment of seeded grasses and shrubs has been quite successful on the rough, rocky slopes. Successful vegetation establishment was also noted along the reclaimed road and at the borrow area. It was apparent that a number of cattle had passed through the site a short time prior to the bond release inspection, and a distinct trail had been worn along the toe of the reclaimed backfill. However, the reclaimed slopes did not appear to have been excessively grazed or otherwise negatively impacted. South Lease Exploration Sites and Roads The bond release application includes documentation regarding reclamation of South Lease Exploration sites and roads, including Location Map SL-07-021, and pertinent BLM and DMG correspondence and reports (see Tab 7 of the bond release application). The drilling program and reclamation was conducted in the 1980's. The Division inspected 11 reclaimed drill sites and associated reclaimed access roads on June 26, 1997 (see Inspection Report issued July 16, 1997). Pertinent observations from that inspection report are excerpted here below: On June 26, 11 exploration sites and associated roads which had been approved under technical or minor revisions in 1984 or 1985 were inspected. The sites were all within the permit area, although several were quite remote and reaching them required extensive hiking over steep terrain. Records indicate the drill holes were plugged, and approximately 7 acres of drill pads and temporary roads were reclaimed in the fall of 1985. The drill pads appeared to be adequately reclaimed. Records indicate that the holes were plugged and abandoned in accordance with the approved plan, although all of the sealed holes had apparently been covered over during the course of reclamation and could not be located. The extent of road reclamation is somewhat variable, and it would appear that additional reclamation will be required for certain road segments. The operator may need to do further records research and consult with BLM (surface landowner) to resolve certain questions regarding road reclamation requirements. Questions regarding the adequacy of road reclamation were raised with respect to the following locations: Phase I Bond Release 13 August I5, 2003