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ATTACHMENT TO ANNUAL REPORT CARNATION MINE PERMIT NO. M-1977-416 NOVEMBER 1, 2002 RECEIVED ocr 1 s 2001 Division of Minerals and Geology The Carnation Mine was inspected by the Division of Minerals & Geology on December 18, 2001. As a result of this Inspection, two Corrective Action items were noted. The first calls for submittal of updated maps for the Permit, as the existing file documents are not current and do not fully portray current site status and conditions. Field surveying of the Permit area has been completed, and updated maps are being prepared for the Carnation Mine. The new map will be submitted in a few weeks in conjunction with the overall effort underway to update maps for all five of the mines which comprise the Sunday Mine group of permitted mines. The new map will provide a current view of the affected area at the Carnation Mine. The reclamation plan for the mine is being reviewed, and the final reclamation plan will also be presented on an updated map. The update of site maps is also being conducted to support the periodic update, now underway, of the reclamation surety for the Carnation Mine. The second Corrective Action from the December 18, 2001 Inspection requires the installation of a Permit identification sign and the demarcation of the permit boundary in the field. The new identification sign has been posted. As noted above, work is presently in progress to update the project maps, and in conjunction with completion and acceptance of these updated maps, permit boundary markers will be properly located and placed in the field. No reclamation has been conducted at the Carnation Mine in the past year. The Carnation Mine did not operate during 2002. No new disturbances within the permit area are anticipated during the coming year. No reclamation is planned during the upcoming year as the Carnation Mine will remain in standby status pending improved uranium/vanadium market conditions.