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(Page 2) MINE ID # OR FROSPECTZNG ID # M-1986-123 INSPECTION DATE 03/27/02 INSPECTOR'S INITIALS_ESC OHSERVATION9 This was an inspection of the Kirtright Pit, File No. M-1986-123 conducted by Erica Crosby of the Colorado Division of Minerals & Geology. Richard Coulson of Coulson Excavating Company was present during the inspection. A permit was issued on October 24,1966 for a permit area of 79.8 acres. The postmining land use is agriculture and ponds. The Division holds a financial warranty in the amount of $58,400.00. The site is actively being "wet mined." The pit depth is approximately 10 feet. There is approximately 4 feet of overburden and topsoil, and the material is used to backf ill the site above the groundwater table. The current reclamation map depicts two small ponds on the south end of the site. According to the operator, the southern portion of the site will not be mined due to the depth of overburden material (estimated at 10 feet thick). In addition, one large lake rather than two small lakes will be created. The operator will need to submit these changes to the reclamation plan in the form of a revision to the permit. The revision should be filed prior to final reclamation of the site. A portion of the site will remain as a groundwater pond. In order to demonstrate that the postmining land use can be achieved, the operator will need to submit a copy of an approved Substitute Supply Plan ("SSP") or Augmentation Plan issued by the Office of the State Ehgineer. Such plan must be received by the Division by May 27, 2002. The operator is reclaiming the pit slopes concurrently with mining. Pit slopes appear to be 3h:iv or less. The northern portion of the site has been mined and backfilled with overburden material and topsoil as to not expose groundwater. The area has also been revegetated. The operator stated that this reclamation took place approximately 7-8 years ago. The permit area is delineated by the existing fence line. Amine identification sign could not be located. The operator will need to post a mine identification sign and submit proof of compliance in the form of photographs by May 2T, 2002. See page 3 for further detail. I & E Coat act Address j" CE NAME Richard Coulson j' BL OPERATOR Coulson Excavating Co, Inc. r FS STREET 3609 North County Road 13 j' HW CITY/STATE/ZIP Loveland, Colorado 80538 j' HMWMD (CH) j' SE ]" WQCD (CH) cc: Carl Mount; DMG (via electronic transmission)