2008-05-22_INSPECTION - M1988112

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(Page 2) I? MINE ID # OR PROSPECTING ID # 1VI-1988-112 INSPECTION DATE 4/16/08 ;I INSPECTOR'S INITIALS WHE OBSERVATIONS AM-03 addresses a This inspection occurred as part of the Division's review process of Amendment No. 3 (AM-03). 977 acre addition to the permit area to include the Salazar Ranch and pipeline corridor connecting the West Pit area to the Salazar Ranch area. Under AM-03 the Operator intends to utilize untreated West Pit drainage to support crop irrigation at the Salazar Ranch, to modify the previously established hydrologic monitoring plan, and to revise reclamation details at the Tailings Disposal Area. During the public comment period for AM-03 the Division received numerous objections, which focused on the potential for adverse impact to the quality and quantity of surface and ground water, soils contamination at the Salazar Ranch, and the public notice for the amendment provided by the Applicant. Six photos', taken during the inspection, and a map titled, "Specified Area for San Luis Wellfield", Figure 24 from WQCC's Regulation 42, accompany this report. According to the maps submitted with AM-03 and the enclosed copy of Figure 24, all portions of the Salazar Ranch and proposed irrigation fields are located within the boundaries of the San Luis wellfield. According to Regulation 42, the wellfield was adopted in June 1 1994. Regulation 42 and Figure 24 are available at CDPHE s web site: httn-//vj iw cdnhe_state.co.us/reaulations/wgccregs/reg42images/figure24.pdf The areas addressed under AM-03 appeared consistant with the discriptions provided in the application with the exception of several permanent man-'made structures located within the proposed permit area and/or within 200 feet of the proposed permit boundary that were not adequately described. These structures include, but not limited to, the Salazar Ditch, Acequia Chiquita Ditch, San Luis People's Ditch, Espanoza Ditch, augmentation pipeline from the Rocky Mountain Ranch, and the permanent structures of the Salazar Ranch headquarters. The Division has requested that the Applicant ensure that AM-03 describes all permanent man-made structures located within the affected lands and within 200 feet of the permit boundary as required under Rules 6.4.3(b) and (g). Additionally, the Division has requested that AM-03 provide the information required under Rule 6.4.19 for these structures. On April 4, 2008, the Operator reported a minor spill of fluids resulting from a ruptured pipeline. The pipeline extends from the water treatment plant to the tailings pond. According to the spill incident report, the pipeline had become obstructed and was punctured during excavation. Approximately 300 gallons of fluids were released from the punctured pipeline. The spilt fluids were contained within the excavated trench and absorbed by the freshly disturbed soils. The saturated soils were removed from from the trench and transported to the tailings pond for containment and disposal. As shown'' in the attached photos, the damaged section of pipeline was replaced. The Division's investigation into the spill incident was not finalized by the signature date of this report. The existing West Pit water management plan includes pumping of groundwater from the West Pit and treatment of that groundwater prior to discharge to the Rito Seco. The water treatment plant was active during the time of this inspection. According to the Operator's report dated May 8, 2008, during the month of April 2008, the water treatment plant discharged 9,553,600 gallons to the Rito Seco and no seepage from the West Pit to the Rito Seco occurred. Responses to this inspection report Gshould be directed to the Division of Reclamation, Mining and Safety, 701 Camino del Rio, Room 315, Durango, Colorado 81301, Attn: Wally Erickson, phone no. 970-247-5469. I & E Contact Address cc: Tony Waldron, DRMS CE BL NAME William Lyle ? OPERATOR Battle Mountai' ' Resources, Inc. ? FS STREET P.O. Box 310 ? HW CITY/STATE/ZIP San Luis. CO 41152 ? HMWMD (CH)