2008-10-31_INSPECTION - M1983194

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(Page 2) MINE ID # OR PROSPECTING ID #: M1983-194 INSPECTION DATE: 9/4/2008 INSPECTOR'S INITIALS THM OBSERVATIONS This inspection was conducted as part of the normal program established by the Colorado Division of Reclamation, Mining and Safety. The Nacholite Project is a 112 site located approximately 30 miles northwest of Rio Blanco, Colorado west of Piceance Creek Road. Cindi Byms of Natural Soda, Inc. and Paul Daggett of the BLM - White River Field Office were both present during the inspection. The mining and reclamation permit was issued to Natural Soda, Inc. January 31, 1984. The total permit area is 153.10 acres. The maximum allowed disturbance at one time is 72.0 acres. The entire permit area is on land managed by the Bureau of Land Management (BLM). The Division currently holds a bond amount of $178,250.00, the BLM holds $634,000.00 and it is estimated that he Environmental Protection Agency is holding $231,000.00. The Nacholite Project site is currently active. The project consists of twenty-nine active monitoring wells; eight active production wells and three active injection wells. The Rock School Lease has a total of six monitoring wells and no production wells. Also located on the site is a production facility and evaporation ponds. The pond liner appeared to be in good condition. The area around the process facility appeared to be organized and free of trash or unnecessary debris. At the time of the September 4, 2008 inspection a total of 4 production wells were plugged and abandoned (P&A) with one more well proposed to be P&A within the month of September. Sundry notices for the 4 P&A wells were provided to the inspector at the time of the inspection. The current estimated area of disturbance is 47.46 acres and current estimated reclaimed area is 27.99 acres. The estimated amounts were provided by Cindi Byrnes and appeared to be consistent with the conditions observed during the inspection. The mining operation is moving to the east from Panel 1 into Panel 2. The areas that had been revegetated appeared to have good success and very few weeds were observed within these areas during the inspection. The grading of the reclaimed areas was tied in with the existing contours of the adjacent undisturbed areas. In an effort to ensure the financial warranty remains adequate to reclaim this site per the requirements of the approved reclamation plan, DRMS will update the reclamation cost estimate. The estimate will be forwarded to the operator under separate cover. No problems or violations were observed during the inspection. Photos that show the conditions observed during the September 4, 2008 inspection are included at the end of this report. Responses to this inspection report should be directed to Travis Marshall at the Division of Reclamation, Mining and Safety, Grand Junction Field Office, 101 South 3rd Street, Room 301, Grand Junction, Colorado 81501, phone no. 970-241-2042.