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(Page 2) <br />MINE ID # OR PROSPECTING ID #: M-1978-349 <br />INSPECTION DATE: 1 1 /7/2008 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS THM <br />This inspection was conducted as part of the normal program established by the Colorado Division of Reclamation, <br />Mining and Safety. The Dick Casey Concrete Pit is a 112c permitted site located 2 miles east of Rifle, Colorado on <br />Highway 6 & 24. The purpose of the inspection was to assess the current conditions at the site to determine if a <br />reclamation cost update was necessary to reclaim the site. United Companies recently acquired the Dick Casey <br />Concrete Pit through a Succession of Operator that was processed in September 2008. Justin Aubert along with two <br />pit supervisors of United Companies and Alex Schatz of Banks and Gesso all accompanied the inspector during the <br />inspection <br />The mine identification sign and the affected area boundary markers are in place and in compliance with rule 3.1.12. <br />The sign is located on the main gate located south of the rail road crossing. The permit boundaries are comprised of <br />fence lines that are easily identifiable. <br />The north pit slopes have been reclaimed to slopes near or at 3H:1 V. The permit requires the slopes to be no steeper <br />than 3H:1 V. Some minor erosion was observed at random locations around the pit. Tamarisk shoots were observed <br />on the north bank of the north pond along with Kochia and Russian Thistle. It is recommended that the north pond <br />Tamarisk should be treated soon (preferably as soon as possible) to prevent further infestation to the recently shaped <br />slopes. The pit slopes are stable due to the amount of various annual weeds observed. The slopes do not appear to <br />have been seeded since the September 2007 inspection. <br />Tamarisk and Russian Olive were observed in abundance around the pit located on the southwest corner of the <br />permit area. The southwest pond infestation should be removed or treated when final contouring of the slopes takes <br />place as was done on the north pit. The same observations were noted in the September 26, 2007 inspection report. <br />The mined areas in the permit area appear to be in different phases of reclamation. Currently the mining operation is <br />actively mining in Phase 11. The concrete batch plant was operating during the inspection. The operator is working <br />the batch plant with stockpiled materials. The shop area and batch plant appeared to be clean and free of unnecessary <br />debris. No fuel spills were noted and containers observed were in secondary containment. <br />In an effort to ensure the financial warranty remains adequate to reclaim this site per the requirements of the <br />approved reclamation plan, DRMS will update the reclamation cost estimate. The estimate will be forwarded to the <br />operator under separate cover. The last bond calculation was done in 2007. <br />Photos that show the conditions observed during the inspection are included at the end of this report. <br />No problems or violations were noted or observed during the November 7, 2008 inspection. <br />Responses to this inspection report should be directed to Travis Marshall at the Division of Reclamation, Mining <br />and Safety, Grand Junction Field Office, 101 South 3rd Street, Room 301, Grand Junction, Colorado 81501, phone <br />no. 970-241-2042.