2007-11-13_INSPECTION - M1982090

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(Page 2) MINE ID # OR PROSPECTING ID # M-1982-090 INSPECTION DATE 10/17/07 INSPECTOR'S INITIALS RCO OBSERVATIONS This partial inspection was performed by the Division in response to the operator's request for bond reduction. The operator was contacted about the scheduled inspection, and the operator's representatives named on page one were present during the inspection. There was about 6 inches of new snow on the ground, and it was snowing at the time of the inspection. However, the main topic that was inspected on this date was the completed grading and shaping, and the configuration of the surface could clearly be seen under the snow. This inspection was to verify the demolition and burial of all structures that were required to be removed, as well as the adequate reshaping of the dump and creek channel in the final phases (no pre-law dumps, such as the area on the southeast, were to be involved in this effort). No inspection of the revegetation was performed. The site has been in phased final reclamation for numerous years. The tailings areas on the north and northwest were graded, capped and revegetated in the first phase several years ago. They were found to be adequately progressing during previous inspections, and were not closely inspected at this time. The area being reclaimed in the current phase includes the south and southwest areas that were to have structures and dumps reclaimed. The following structures were to be included in the current work (demolition of superstructures, foundations and slabs, as appropriate): 14 level portal, mill building, concentrate bins, oil shed, scale house and scale, portal shed, fine ore bin, core storage building, shop-warehouse, and electrical substation. Also the following areas were to have earthwork performed (filling, grading, clean-up, growth medium placement): sediment pond, dumps, and Imogene Creek channel. There are a few intact structures in the southwest part of the site, including the manager's house and other ancillary structures nearby, that are to remain after reclamation has been completed. All other structures that had existed on the dumps have been completely removed. The operator provided numerous photos taken at the site during the summer 2007 reclamation project, all of which showed the site approaching completion of reclamation. Structures were demolished and broken, and metal and concrete debris was buried onsite, while much of the wood debris was burned. The metal and concrete junk, including the damaged culverts, in the channel of Imogene Creek crossing the site was removed and the banks were pulled back to stabilize them. While walking over the site during this inspection no debris was found. The reclamation plan calls for leaving a locked grate on the portal to allow discharge yet prevent unauthorized entry. The locked portal grate was not clearly visible, mainly due to local collapse and sloughing. The portal continues to discharge at its perennially high rate, and the water flows through a concrete wier to a buried culvert conveying the water to the creek. Flow energy is adequately dissipated by boulders in the creek and no sediment appears to be stirred up. The grading was to reduce permitted area dump slopes to their approved 2:1 maximum gradient and provide for good drainage and runoff control. The graded site was to be covered as much as possible with the limited topsoil and colluvial growth medium available at the site. Site grading was medium to rough, which will actually help the revegetation, and the slopes appeared to be of appropriate angle. Much of the concrete debris was buried and capped in the sediment pond and an area at the east end of the dump. A small runoff diversion ditch and control pond were created along the south side of the dump. No debis was visible at the site at this time, but it will be assumed to be adequately covered. (These are steps in the approved reclamation plan, under technical revision TR-2.) The newly-reclaimed surfaces were seeded by the operator as the final step of this reclamation phase. (The operator should verify that the seed mix approved under technical revision TR-3 was used for seeding the site in 2007, as well as the approved fertilizer and mulch.) Another inspection should be performed in 2008 to check for further earthwork needed due to settling, thin capping (and exposed sulfides) and drainage/erosion patterns, as well as the success of the seeding. The operators onsite during the inspection described all features and areas that were reclaimed in this phase and earlier phases. Though no revegetation was closely inspected, it was noted that many areas at the margins of the site, including some areas reclaimed in earlier phases, are becoming naturally revegetated by seedling spruce trees and minor woody species. The bond was recalculated based on current costs of all presently-outstanding reclamation left, and the figures were sent to the operator. This inspector appreciates the reclamation performed in this phase, and approves the requested bgnd reduction. No further items were observed during the inspection. Responses to this inspection report should be directed to the Division of Reclamation, Mining and Safety, 701 Camino del Rio, Room 315, Durango, Colorado 81301, Attn: Bob Oswald; phone no. 970- 247-5193. (As of 10/22/07 we have a different room number. Please revise vour records as necessary.)