2008-03-04_INSPECTION - M2006003

• Permit No: M2006003
• IBM Index Class Name: INSPECTION
• Doc Date: 3/4/2008
• Doc Name: Inspection report
• From: DRMS
• To: Hall-Irwin Corporation
• Inspection Date: 2/27/2008
• Media Type: D
• Archive: No

(Page 2)
MINE ID # OR PROSPECTING ID # M-2006-003
INSPECTION DATE 02/27/08 INSPECTOR'S INITIALS PSH
OBSERVATIONS
This is a possible violation inspection of the Hall-Irwin Parker-Dersham Resource
conducted by Peter Hays and Erica Crosby of the Division of Reclamation, Mining and
Safety. Mr. Jim McFarland and Mr. Jeff Gregg with Hall-Irwin Corporation were present
during the inspection.
The Parker-Dersham mine site is located approximately 0.75 miles west of Highway 85 on
Baseline Road just north of the City of Brighton in Weld County, Colorado. The site is
northwest and southwest of the Hall-Irwin Baseline Resources Site, permit no. M-1997-058.
The permit area is a 52.3 acre area on two separate parcels owned by Valerie & Robert
Parker and Lot Holding Investments, LLC (formerly Dersham). The proposed postmining land
use is pasture land and developed water resources.
On June 14, 2006 the Division of Reclamation, Mining and Safety approved the Constuction
Material Regular (112) Operation application, M-2006-003, for the Hall-Irwin Parker-
Dersham Resource. The Hall-Irwin Coporation was required to post a financial warranty of
$974,000 within 365 days of approval (by June 14, 2007). On March 9, 2007, the Division
notified Hall-Irwin Corporation the financial warranty had not been received. The
financial warranty had not been received by the Division on the date of this inspection.
The Division's inspection revealed that mining is taking place on the Parker section of
the permitted area. Mr. Jeff Gregg with Hall-Irwin stated mining has occurred on the
property within Phase 1 (Phase 1 and 2 are reversed on the maps submitted with the permit
application) of the Parker section for several months. Equipment and stockpiles were
observed on site during the inspection. The disturbance consists of a dewatering trench
along the south side of the property, mining excavation and overburden and topsoil
stockpiles along the west and north sides of Phase 1. The excavation ranges from 0 feet
to 35 feet in depth. The Division traversed the site using a Trimble GeoExplorer Global
Positioning System Unit (GPS) to determine the size of the disturbance. The Division
collected data locations for the excavated area. Based on the post-processing of the
data, the disturbed area is approximately 11.32 acres in size. The GPS unit has a sub-
meter level of accuracy. The GPS points were incorporated into a 2005 NAIP aerial image.
The Division requested Mr. McFarland with Hall-Irwin submit a revised mining plan map
indicating the revised mining phases for the Parker section of the operation and submit a
copy of the agreement with the ditch company to allow Hall-Irwin to remove the ditch
currently separating mining phases 1 and 2. Additionally, Mr. McFarland was reminded of
the need to address the importation of inert fill into the permit area to recreate pature
land by submitting a notice to the Division as specified in Rule 3.1.5(9).
On February 8, 2008 the Division sent Hall-Irwin Corporation a Reconsideration of
Application Approval letter which gave notice to the operator that the Mined Land
Reclamation Board would reconsider the application at the April 9-10, 2008 Board Meeting.
In response to this letter, Hall-Irwin Corporation stated they have re-noticed the
application, notified any new surface owners, easement owners and owners of structures
within 200 feet that are different than what was submitted in the original application.
The reconsideration notice sign was observed during the inspection.
Section C.R.S. 34-32.5-103(13) of the Colorado Land Reclamation Act for the Extraction of
Construction Materials defines a mining operation as "the development or extraction of a
construction material from its natural occurrence on affected land." C.R.S. 34-32.5-103(1)
defines affected land as "the surface of an area within the state where a mining operation is
being or will be conducted, which surface is disturbed as a result of an operation." Some
examples of mining related disturbances included in definition of affected lands are: roads,
land excavations, refuse banks, spoil piles, and evaporation or settling ponds.
Based on the above noted disturbance and the Colorado Land Reclamation Act for the
Extraction of Construction Materials, there is a reason to believe that a violation of
Section 34-32.5-109(1) of the Colorado Land Reclamation Act for the Extraction of
Construction Materials may exist for failure to first obtain a reclamation permit before
engaging in a new operation. The possible violation will be scheduled for the April 9-10,