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(Page 2) <br />MINE ID # OR PROSPECTING ID #: M-2007-044 <br />INSPECTION DATE: 11-18-08 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS GRM <br />This inspection was conducted as part of the nonnal monitoring program established by the Colorado Division of <br />Reclamation, Mining and Safety for permitted sites. The Whirlwind Mine is a I I2d Designated Mining Operation <br />(DMO) underground mine located west of Gateway, Colorado. The purpose of the inspection was the Fourth <br />Quarter inspection as required for all DMO permitted sites. <br />The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. <br />The sign is located at the entrance to the site at the bottom of the hill. Permit boundaries were noted as t-posts along <br />areas of the affected area with others at key corners of the permit area. Chain link fencing is installed along the <br />south side of the county road to prevent public access to mining areas. Fencing also encloses the water treatment <br />tanks area on the south. <br />The primary stormwater run-on diversion ditch has been constructed and extended around the new waste pile area <br />laterally along the toe of the natural slope from the portal east to the permit boundaries. The ditch gradually will be <br />moved east as disturbance dictates rather than putting it in the final proposed configuration. This will limit the <br />disturbance to an "as needed" configuration and maximize the control for the specific area. Approximately 3 acres <br />has been cleared which represents about 1 year's worth of calculated waste rock production. All ditch areas have <br />been seeded to help reduce erosion and sedimentation generation within the control system. <br />Topsoil from the exisiting reclaimed slopes of the current waste pile and future dump area have been stripped and <br />moved to the designated topsoil areas. The topsoil stockpiles are noted as being seeded and mulched to prevent <br />erosion. The stockpiles are in areas designated within the approved mine plans for that purpose. <br />Once enough new waste rock is generated to push the staging area out to the north the permanent ore stockpile area <br />will be constructed. A temporary ore pad area has been constructed to place ore on which will be a small, bermed <br />off site with zero stormwater release. Drainage from this area is directed towards a 6" pipe in a sump that sends the <br />water to the untreated water pond. No ore is noted as having been placed here to date. <br />The sediment pond area of roughly 0.46 acres has been constructed. An as-built report is being generated by Energy <br />Fuels consultant Lewicki and Associates. The overall carrying capacity was not affected but the proposed <br />configuration was changed due to outcroppings of rock or large boulders. The permit boundaries are clearly marked <br />to ensure no off site disturbances occur. <br />Other structures noted were the outflow structure for the sed-pond and road culverts and drainages. The outflow <br />structure is constructed and was inspected by Lewicki prior to being covered. Road culverts and drainages were <br />clearly marked and in their general location per the approved plans. <br />DRMS is noting that survey pins have been placed along the northern permit boundary for geo-stability monitoring <br />per Colorado Geological Survey's request. The pins will be surveyed periodically to monitor for any change in site <br />elevation. It appears that settling or roll failure is very remote, but Energy Fuels has agreed to monitor as a safety <br />factor.