2008-07-25_INSPECTION - M1977493

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MINE ID # OR PROSPECTING ID#: M-1977-493 PAGE: 2 INSPECTION DATE: 9-26-07 INSPECTOR'S INITIALS: ACS OBSERVATIONS Arkansas Lake Area The Arkansas Lake area is a reclaimed gravel pit in the Arkansas River floodplain located in Lake County at the southwest end of the Climax property. At the time of this inspection, civil works to upgrade-the Arkansas Lake Dam were underway. These consisted of the construction of a two-foot lift to the crest of the dam and improvements to the Arkansas Well, a source of fresh water to Climax Camp. Borrow fill for the dam raise was being sourced from an excavation immediately adjacent to a longstanding topsoil stockpile. Climax had marked and signed the topsoil pile to avoid inadvertent disturbance by the contractor. The borrow excavation and the topsoil stockpile were inspected and it was determined that the topsoil was being properly preserved. The design outslope of the raised dam is 2.5:1. A utility line servicing the Arkansas Well located south of Highway 91 had been abandoned and replaced by a new line located north of the highway. There was a discussion of reclamation requirements for the abandoned utility line, and it was agreed that the Division would complete a review of the permit file in that regard. The Division has determined that the area where the abandoned line is located was included in the area of affected lands as defined in the original 1977 permit and is within the private land owned by Climax Molybdenum Company. With approval of the 1989 permit amendment (amendment AM-02) and subsequent permit amendments, the location of the abandoned line was excluded from the defined area of affected lands. It is important to note that although the area where the abandoned line is located was within the original permit's defined area of affected lands, the line was not depicted on the original maps. The abandoned line meets the definition of affected land, does not serve any beneficial post mining land use, and therefore must be reclaimed. Reclamation would include removal of structures and revegetation. This area to be reclaimed can be re-included into the area of affected lands through the forthcoming permit amendment to be submitted in support of the mine reopening. Storke Yard Arkansas River Reclamation During 2007, Climax embarked on a major reclamation project to daylight the Arkansas River through the Storke Yard. The river has been passed through a culvert for the past several decades. The design for the day-lighted river had been vetted by both the Division and the Army Corps of Engineers. The design includes flood routing, water flow energy dissipation, and riparian zone revegetation using native plant species and composted biosolids. Based on observations made during this inspection and as illustrated in the photographs included with this report, the Division believes this to be a superior reclamation effort, and looks forward to and anticipates that with ongoing maintenance and monitoring this project will develop into a viable