2008-05-09_INSPECTION - M1978116

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(Page 2) MINE ID # OR PROSPECTING ID #: M-1978-1 18 INSPECTION DATE: 4-2-08 OBSERVATIONS INSPECTOR'S INITIALS GRM This inspection was conducted as part of the normal monitoring program established by the Colorado Division of Reclamation, Mining and Safety for permitted sites. The SM-18 is a regular 112 permitted site for an underground uranium mining operation. Cotter Corporation holds the Department of Energy (DOE) Lease for the SM-18 Tract. Glen Williams from Cotter and Dan Burns from the DOE accompanied the inspector on site. The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. The sign is located on the County Road where it enters the permit boundary. Permit boundaries are marked by t- posts and geological features such as the cliff edge. The mine is back in stand-by status after reactivation and a short time in production. No ore is stockpiled on site at this time. The inspector notes no equipment is being stored on site. The fuel storage tank is noted as being empty and all mine buildings are secure and in good repair. Cotter has done some stormwater control work on the diversion channel between the waste pile dump and topsoil piles area. The area had been hit hard by thunderstorm activities which resulted in failures of silt fencing and other measures. Work is noted as reshaping the diversion ditch and the placement of stone armament and check dams which bring water into the sedimentation /retention pond on the northwest corner of the dump area. Continued monitoring of this area will be required to ensure that additional erosion and sedimentation does not occur. The sedimentation /retention pond appears to be in good shape with some water noted. No evidence of uncontrolled releases is noted. The inspector notes that bar ditches used to control on site run off are extremely shallow. Evidence suggests that a heavy flow came close to releasing waters from the site into the general area. Specifically it was noted that staining in the ore storage stockpile area suggested the beginning of migration towards county road bar ditches. Cotter will need to due some general maintenance to rebuild the catchment basin for this area and reconstruct bar ditches to ensure a zero release of storm water from this area. This issue is noted as a problem at the end of this report with a correction date. Stormwater on the mine side of the county road is directed to a sedimentation pond next to the mine office trailer. The pond appears to be in good repair and run-off evidence suggests that all stormwater from this area is directed to this pond with one exception. Run-off from precipitation that falls on the portal. access road is directed to the mine portal. Repairs have been made at the portal to ensure that no run-off leaves the area and impacts the historic mine piles adjacent to the permitted area. Topsoil piles appear not to have been seeded to protect against erosion. The Rules clearly state that all topsoil shall be protected from wind and precipitation erosion if left in place for more than one growing season. This issue is noted as a problem at the end of this report with a correction date. The Sm-18 Mine is unique in that County Road U-17 transects the permit area. This creates an issue of public access to areas not normally an issue. The inspector and DOE representative discussed the issue with Mr. Williams. Specifically, the ore storage stockpile area and waste rock dump are readily accessible to any vehicle. The tracking of ore and other constituents off site via the county road is the primary issue. The Division is requesting a short term measure of earthen berms to deter vehicle and ATV traffic. Long term, a fence of some kind needs to be constructed. A six foot chain link fence on both sides of the county road would be preferable as a permanent