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MINE ID # OR PROSPECTING ID##: M-1977-493 PAGE: 3 <br />INSPECTION DATE: 9-26-07 INSPECTOR'S INITIALS: ACS <br />replication of the natural river headwaters. <br />Climax Camp <br />Major demolition has occurred and was ongoing in Climax Camp at the <br />time of this inspection. Demolition of all structures in camp is <br />required under the approved reclamation plan. The approved plan allows <br />rubblization of concrete foundations and burial in place. However, <br />with the announced (at the time of this writing) reopening of the <br />Climax Mine, and the need to construct a new concentrating mill, the <br />concrete foundations are being completely demolished, excavated, and <br />removed to make way for the new facilities construction. As was the <br />case with other massive facilities demolition projects at Climax, both <br />in Climax Camp and in the Storke Yard, recycling and salvage of debris <br />is being maximized, and identification and management of asbestos <br />containing debris is occurring. Climax has a permitted onsite asbestos <br />disposal shaft. Asbestos disposal permitting is done by the Colorado <br />Department of Public Health and Environmment. <br />Tailing Pond Water Management (Summit County) <br />The following facilities were inspected: <br />1. The new water treatment sludge densification and disposal plant. <br />2. 3-Dam seepage collection. <br />3. Decant structures. <br />Tailing pond water management, tailing management, and water treatment <br />will be critical considerations in permitting necessary to allow for <br />reopening of the mine. An important consideration will be the use and <br />eventual fate of the Ten Mile Tunnel that is used to convey water <br />between the Ten Mile Creek and Eagle River basins. <br />Summary and Conclusion <br />No issues with compliance with the reclamation permit were identified <br />during this inspection. The Climax Mine continues to meet and more <br />often than not exceed the requirements of the Mined Land Reclamation <br />Permit. <br />Inspection & Enforcement Contact Address <br />NAME Gary Slifka <br />OPERATOR Climax Molybdenum Company <br />STREET Climax Mine <br />CITY/STATE/ZIP Climax, CO 80429