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2. Underground Mining <br />The surface area to be disturbed in the mine staging/facilities area covers about 2.46 acres. The <br />limited available topsoil will be stockpiled for reclamation. The current waste rock dump is <br />located about 200 feet sourthwest of the mine portal and covers about 0.3 acres. This dump will <br />grow south and westward with expanding mine operations and may cover as much as 0.7 acres. <br />Ore haulage will be done by contractors who using 20-ton covered end dumps or similar, which <br />can be loaded by the loader, or back up the existing road to the ore body for direct loading by the <br />excavator. The contractors will be required to obtain all necessary permits and clearances, <br />follow National, Colorado, and Utah Department of Transportation regulations including <br />establishment of spill control plans. The primary haulage route will be via the previously <br />described Montrose County roads to Colorado State Highway 90 and either west through La Sal, <br />Utah, or east to Colorado State Highway 141 and south to US Route 666 and westward towards <br />Blanding, Utah and Dennison's White Mesa Mill. <br />As shown on several of the maps in Section C, the Last Chance Mine is an adit which enters at <br />an elevation of about 6280 feet and proceeds horizontally to the southwest for about 50 feet <br />where a dry room has been constructed. The mine then begins a decline in. the same direction <br />about 400 feet to the main working level at an elevation of about 6150 feet (about 145 feet below <br />surface). The tunnels are generally about 8 feet high by 9 feet wide and extend another 500 feet <br />to several drifts which follow ore. A primary vent and escapeway is shown on the maps in this <br />vicinity. Not mapped underground is an extension into the original workings about 200 feet to <br />the original vent and escapeway which has been reopened. Underground mapping of this old <br />part of the mine is pending, and drilling will determine if the mine is extended in that direction. <br />Current operations include a small underground uranium/vanadium sampling operation with two <br />to four mine workers. Mining is by random room and pillar techniques and conventional <br />explosives. Equipment used in the mine include jackhammer and jackleg drills using <br />compressed air, rubber-tired skid steer loader and a 5-ton ore buggy haulage unit. Water is <br />hauled to the site using a pick-up in 350 gallon loads. Ore and waste rock are usually "split- <br />shot", then mucked, and separately removed from the mine by an ore buggy which was designed <br />and approved for underground use. A waste rock area has been established with consent of BLM <br />and bermed to direct run-off to a sediment/detention pond and used for drilling and dust <br />suppression in the mine. If storm water overflows exceed the sediment pond capacity, they are <br />discharged across a riprap spillway into a natural drainage. Ore is temporarily stockpiled in a <br />small bermed area which directs any flows back into the mine so that total containment is <br />maintained for any run-off from the ore. Ore is loaded onto contracted ore trucks with a loader <br />or backhoe and hauled offsite for processing at the White Mesa Mill at Blanding, Utah. <br />3. Exploration <br />Exploration drilling will be done in three phases using a self-leveling, 10-wheel Davey Drill <br />Truck, which has the capability of driving to each borehole location with minimal disturbance. <br />Drilling will be by air rotary methods, minimizing equipment and materials; i.e. no mud pits, <br />waste piles, drill pads, etc. The operation will generally require no site preparation, although <br />Last Chance Mine - April 2009 <br />D-2