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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1978-107 <br />INSPECTION DATE 5/15/09 <br />INSPECTOR'S INITIALS WHE <br />OBSERVATIONS <br />This inspection occurred in response to a request from the Operator for an on-site meeting to discuss permitting <br />options for future operations. The Tozer Pit permit boundary encloses 59.03 acres, which includes approximately <br />18.52 acres of privately owned land and 40.51 acres of public lands administered by the BLM. The BLM lands are <br />located in portions of the SE'/ of the SW '/ of Section 36, T36N, R18W, NMPM, Montezuma County. Affected <br />lands will be reclaimed to support rangeland post-mining land use. Three photos accompany this report. <br />Operations were dormant during the inspection. Public access to the site is, controlled by locked gate. The <br />excavation activity has constructed two pits, herein referred to as the upper pit and lower pit areas. Mine reserves <br />for the lower pit (18.52 acres area) have been depleted and the lower pit is currently utilized as a stockpile and <br />processing area. Mining occurs at the upper pit (40.51 acres area) and the mined materials are transported to the <br />lower pit by an overland conveyor belt. The site appeared well maintained and stable. No problems or possible <br />violations were observed. <br />On-site discussions concentrated on continuing the mining operation at the upper pit and how such changes could <br />be incorporated into the permit. As described by the Operator, future mining operations would continue into areas <br />previously incorporated into the permit through AM-01 but not fully described by the mining and reclamation plan <br />maps. The proposal would not increase the permit acreage, would not alter the configuration of the permit <br />boundary, would not change conditions of the approved reclamation plan and would not revise the approved post- <br />mining land use. Such changes appear appropriate for submittal and review through the Technical Revision <br />process, described. under Rules 1.1(49) and 1.9. <br />Permit documents indicate that the entire 40.51 acres of the upper pit area may have been permitted as affected <br />lands. However, the current mine plan map, dated 6/11/98, does not clarify how the mining operation will affect the <br />entire area. Likewise, the reclamation plan map, dated 6/11/98, does not illustrate the final topography for the entire <br />area. Therefore, the Technical Revision shall include new maps for the revised plan. If the Operator intends to <br />remove the existing access trail to the Ute Mountain Indian Lands the Technical Revision shall include a written <br />statement of approval to such from the appropriate tribal officials. The proposed activity is located on BLM <br />lands. Therefore, the Technical Revision shall demonstrate approval from the BLM forthe revised plan. Failure to <br />demonstrate approval from the BLM and tribal officials (if the access trail is to be removed) will result in denial of the <br />Technical Revision. Alternately, the Operator may elect to submit the proposed change through the Amendment <br />process, which would ensure notice of the proposed change to the tribal officials and to the BLM. <br />Please be aware that annual reports always require a map of current site conditions, regardless of whether any <br />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 Road 233, <br />Suite A-2, Durango, CO 81301, to the attention of Wally Erickson, phone (970) 247-5469. Please note the change <br />of address for the Division's office in Durango. <br />I & E Contact Address <br />NAME Lloyd Everett <br />OPERATOR Montezuma County Road Department <br />STREET 1680 North Hwy 145 <br />CITY/STATE/ZIP Cortez. CO 81321 <br />cc: Steve Shuey, DRMS <br />? CE <br />X BLM, Helen Mary Johnson <br />? FS <br />? HW <br />? HMWMD (CH) <br />? SE <br />? WQCD (CH) <br />X Matt Carnahan