2008-10-08_INSPECTION - M1977004

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(Page 2) MINE ID # OR PROSPECTING ID # M-1977-004 INSPECTION DATE 9/8/08 INSPECTOR'S INITIALS RCO OBSERVATIONS This inspection was performed by the Division as part of its monitoring of Hard Rock/Metals 112 permits, and in response to the operator's request for a joint inspection with the US Forest Service. The operator was contacted about the scheduled inspection. The operator's representatives named on page one were present during the inspection. Also present during the inspection were: Mersch Ward, consultant for the operator; and the following USFS staff: Jim Dunn, Jim Dawson, Dennis Hovel, Corey Wong, and Cathy Mask. The required permit ID sign was observed at the entrance gate to the site. The site has been in a series of phases of final reclamation for many years. One of the last large, outstanding reclamation tasks is the stabilization of the east wall of the north pit. This may require earthwork at the headscarp where the instability originates. The land ownership of the permitted area consists of Homestake's patented claims on the pits and waste dumps, and ringed by unpatented (USFS-managed) land, where the upper east wall and scarp are. This inspection included close inspection of the upper slopes of the east wall and the scarp, and discussion involving the transfer of ownership of those lands from the USFS to Homestake. The land ownership change is being discussed by both parties, and if executed, may enable the operator to perform the earthwork needed to more fully stabilize and reclaim the site. Discussion involved aspects of the USFS oversight, and whether those aspects are also in other agencies' jurisdiction, especially within that of state agencies. It appears that most if not all applicable topics are or have been regulated or licensed by state agencies such as CDPHE WQCD, CDPHE Radiation Control Division, CDPHE Hazardous Materials and Waste Mgmt Division, Colorado Division of Wildlife, State Historic Preservation Office, and Division of Reclamation Mining and Safety. The overall geologic setting was discussed, while viewing the north pit lake from the saddle between the north and south pits. The vertical Chester Fault (where the ore body was found) and the Precambrian rock were indicated, and how mining there contributed to the slope movement that caused the current issues there. An aerial photo was produced by USFS staff, which included the claim boundaries. (A copy of this map would be useful to and appreciated by this Division.) The revegetation efforts carried out during the phases were inspected. Revegetation has included seeding of various seed mixes in test plots and on the several different dump levels. It has included the establishment of wetland cells, and large-scale tree and shrub plantings (and attempts to protect those plantings from browsing animals). It has also included ongoing noxious weed monitoring and treatment. A patch of Canada thistle was observed in the deep black, organic soils above the north pit wall (where lunch was taken), whose continued treatment should be more aggressive. The revegetation has been successful from the Division's perspective, however, until the site is considered fully reclaimed and released, monitoring and reseeding may be required if certain areas fail (due to drought, livestock, deer, elk, grading, etc.). The water management and drainage controls onsite are continuing. The north pit lake has achieved a static level since its spillway was raised several years ago, which in turn helps flood the underground workings and enhances the ability for reduced radium to drop out of the groundwater. The radiation treatment plant was allowed to be dismantled a few years ago, and encapsulated in the Tie Camp Creek Dump. Piezometers are monitored regularly, surface ditches are riprapped, culvert inlets are maintained free of debris, erosional features are repaired. The sand plant remains at the lower end of the site, but is not operated. The dam at the sediment pond was repaired a few years ago and now exhibits nothing to indicate its prior problems. Discharge at the outfall (SW-33) is monitored and reported to CDPHE. The upper portion of the east wall and the timbered slope were inspected. The area disturbed and unstable amounts to possibly 10 to 20 acres (estimated), all lying west of the ridgeline/road/fenceline putting it within the claim block/permit area. (Note: This is close to the permit boundary, and before any work is planned or carried out, the boundary must be carefully located and marked.) The head scarp is weathering, and coarse material is eroding from the unreclaimed surfaces. This is well-drained material. Numerous tension cracks that have opened up through the years still remain open, catching runoff water and channeling it easily to the slopes below. Many lodgepole pine trees have fallen due to the shifting ground and broken roots. It was generally agreed that the slopes needed reclamation, and if grading and drainage control can prevent water from further eroding the surface, and closing the cracks can prevent further slope slippage, then the earthwork should be investigated and undertaken as needed. This effort is considered a positive step toward gaining a stable, reclaimed site, which this Division supports. If all work to be performed and all areas affected by this project are within the permitted area, this new plan maybe made part of the permit through a technical revision. This site being a 112d(3) type permit, the technical revision fee is $1,006. No further items were observed during the inspection. Responses to this inspection report should be directed! to this inspector at the Division of Reclamation, Mining and Safety, 691 County Road 233, Suite A-2, Durango, Colorado 81301• (Please note: As of 7/1/08 the Durango Field Office moved to vet another new address shown above. Please revise your records as