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(Page 2) <br />MINE ID # OR PROSPECTING ID # M-1986-061 <br />INSPECTION DATE 3/22/10 INSPECTOR'S INITIALS RCO <br />OBSERVATIONS <br />This was a pre-operation inspection of the areas proposed by the operator to be added to the permit under Amendment <br />AM-2, as well as a monitoring inspection of the existing 112c permitted area, performed by the Division. The operator <br />was contacted about the scheduled inspection. The operator's representative named on page one was present during the <br />inspection. Except for loading stockpiled material and hauling away by trucks, the site was not active during this <br />inspection. <br />The permit boundary ID sign was observed at the entrance to the site. Most of the permit boundaries run along existing <br />fencelines, and it was observed that existing disturbances are within the boundaries. After the amendment is approved <br />the operator must ensure that new boundaries of the expanded affected area, are adequately marked. Corner markers <br />should be made more visible, and please ensure that they are durable. <br />The bond is adequate at this time, but it will be completely recalculated as part of this amendment. No new figures are <br />included with this report, since the amendment review is not completed. <br />The northern part of the permitted area, Mining Area 1, has been almost fully mined. It will be expanded to the west, into <br />an additional area called Mining Area 3. The highwall along the west sideof this mining area is vertical through a 25-ft <br />section of aggregate, and the 10 ft of overburden has been sloped at about 2:1. The operator proposes to continue this <br />type of highwall across the amended areas also. The pit floor in this area contains 2 large stockpiles of overburden and a <br />topsoil pile. There is also a large topsoil pile above the western highwall. Highwall reduction, at the conclusion of mining <br />in this northern area, will include backfilling deep fills of overburden to attain a surface of 1-:1 gradient, then topsoil and <br />revegetation to irrigated pasture. <br />The asphalt plant remains set up where it has been for a few years, in the southern part of Mining Area 1. It is clean and <br />orderly, and all fluids are adequately stored with impermeable secondary containment. Not far south of the plant is a <br />small area where the landowner stores his agricultural equipment (this was approved under a past revision). This pit floor <br />elevation will not be mined down further. All earthmoving and processing equipment as well as agricultural equipment will <br />eventually be removed so that the area can be reclaimed. <br />The pit floor is fairly level. Recent snow melt has produced a muddy floor with a few areas of ponded water. A perimeter <br />berm along the east side helps contain this water on the pad. However, there is one location along the eastern edge of <br />the pad (pit floor) of Mining Area 1, where ponded stormwater has breached the containment berm and washed soil and <br />rock down the slope. There is a buried culvert in this area whose inlet sits well above the height of the water level of the <br />puddle (estimated surface is 20 ft x 100 ft). The location of the wash out is where the pad was extended sometime in the <br />past by filling the gulch. Whether the failure was due to poorly compacted fill material or another reason, it was <br />incompetent and failed when it was saturated and weighted by impounded water.. Removal of the buttressing material by <br />gullying and/or deep wetting from spring snowmelt has also created several stress cracks along the edge of the pad, <br />indicating further instability. Damage has occurred, and more damage appears possible. All eroded materials were <br />transported a short distance down the slope, but appeared to be retained near the toe of the slope,, within the permitted <br />area and above the confluence with Cottonwood Creek. This situation is noted as a problem on page one, under the <br />topics of "erosion/sedimentation" and "stormwater management plan." The corrective action is that the operator must <br />develop and implement a prompt and long term remedy to this unstable feature, and report such to this office. Please see <br />the last page for the correction date. <br />At the toe of the entrance ramp road is the water fill station. This station will remain in this location during future phases of <br />mining. Farther south in Mining Area 2 are several gas well features that are well-marked and protected. Mining Area 4 <br />will be added to the west of these structures, and pit expansion activity will include avoiding the gas well structures but <br />rerouting a section of buried pipeline, under agreement with the well owner. <br />In Mining Area 2, there is a grass-lined channel with culverted crossings for mining equipment, near Valley Fill #1 (which <br />has been fully backfilled and is now used as stockpile area). A second large gulch, in the south end of Mining Area 2, will <br />be similarly filled up to the future grade of the pit floor, and will be designated Valley Fill #2 and will include its own grass- <br />lined channel. The south end of the current active mining in this area consists of another steep highwall, stormwater <br />retention pond, pitrun and overburden stockpiles. Mining has extended southward nearly to the gulch that will be <br />backfilled. It appears that some of the overburden that was stripped and placed along the top of the gulch slope has