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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-2009-024 <br />INSPECTION DATE 5/27/09 <br />OBSERVATIONS <br />INSPECTOR'S INITIALS WHE <br />This inspection occurred as part of the Division's review process for a Regular 112 Construction Materials <br />permit application for the Simmons Pit. The application describes a 94 acre permit area with <br />approximately 46 acres to be affected by the mining. operation and 48 acres not disturbed by the mining <br />operation. The mining operation will utilize conventional excavation with on-site processing to include <br />crushing, screening, washing and production of asphalt and concrete products. Explosives will not be <br />utilized. Affected lands will be reclaimed to support a combination of rangeland and irrigated pastureland <br />post-mining land use. <br />The condition of the site appeared consistent with the descriptions provided in the application. The <br />proposed permit area is bordered on the north by the terrace slopes for the flood plain of East Fork Mud <br />Creek and on the south by Hwy 160. Most of the lands proposed to be affected by the mining operation <br />are previously disturbed by agricultural activities. Man-made structures located within the proposed <br />affected lands and within 200 feet of the affected lands include various fence lines, irrigation ditches, <br />stock ponds, Hwy 160 and a buried communications line adjacent to Hwy 160. The pre-mining <br />vegetative cover appeared to be inconsistent in extent and quality of cover, and included infestations of <br />White top, Musk thistle, Mustard and Downy brome. Cattle were present. <br />The Division has completed a preliminary reclamation cost estimation totaling $126,854. Please find <br />enclosed 28 pages of summary, work sheets and data sheets utilized by the Division to estimate the cost <br />of reclamation. Pursuant to Rule 4.2.1(4), the Division's cost estimation is based on the point of <br />maximum disturbance anticipated by the application during the first year of operations. Due to the <br />phased mine plan with contemporaneous reclamation this reclamation cost estimation may remain <br />current as the operation advances over the next several years. <br />On June 2, 2009, the Division determined that the application for the Simmons Pit satisfied the minimum <br />requirements of the Act and Rules and approved the. application. However, the Division will not issue the <br />permit until the performance and financial warranties are received and fully approved. Mining activities <br />shall not commence until the Division receives the appropriately executed warranties and issues the <br />permit. <br />Please be aware that annual reports always require a map of current site conditions, regardless of <br />whether any disturbance has occurred during the report year. <br />Response to this inspection report should be directed to the Division's office in Durango at 691 County <br />Road 233, Suite A-2, Durango, CO 81301, to the attention of Wally Erickson, phone (970) 247-5469. <br />I & E Contact Address cc: Steve Shuey, DRMS <br />? CE <br />NAME Peter Kearl ? BL <br />OPERATOR Oldcastle SW Group. Inc., dba Four Corners Materials ? FS <br />STREET 6699 CR 521. P.O. Box 1969 ? HW <br />CITY/STATE/ZIP Bayfield. CO 81122 ? HMWMD (CH) <br />? SE <br />? .WQCD (CH) <br />? OTHER