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that are temporary (yet to be reclaimed), Topsoil Pile L and the Pond 012 slide damaged area. These <br />areas not included in the release are also shown on Exhibit B in the bond release application. <br />Large portions of the South Pit were viewed by walking all of the-post-mine drainage channels and by <br />accessing the highest elevation points on the perimeters of the former pit areas. All highwalls have <br />been removed and the majority of backfilled areas have remained stable. Photograph No. 5 shows a <br />stable backfilled area with good vegetation. This photograph was taken in June 2007 and as seen in <br />the photo only a small section of the South Pit area remained to be final graded at that time. From <br />this photograph it is apparent that the reclaimed areas blend in well with the existing undisturbed <br />landscape. Observations were made throughout the inspection with regard to approximate original <br />contour and erosional stability of the reclaimed landscape. Based on observations made during the <br />Phase I bond release inspection and subsequent inspections, the reclaimed areas have been restored to <br />the approximate original contour of the pre-mining landscape. Regraded slopes within the South Pit <br />are in agreement with approved post-mining contours as shown on Post-Mining Topography Map, <br />Exhibit 20-2 and on Exhibit C of the Phase I (Part 2) bond release application. <br />The majority of the reclaimed area of the South Pit was stable with adequate surface water runoff <br />control. Drainages were restored in approximately the same place as they existed prior to mining and <br />additional drainage density was added by the constructing numerous small tributary channels throughout <br />the majority of the mine area. Minimum design standards were met for all constructed drainage <br />channels, with most exceeding design criteria with regard to the constructed size of the channel. Based <br />on the field measurements taken and comparison with design criteria, it was determined that all <br />channels met minimum design specifications. Most of the channels were overbuilt with regard to size <br />(bottom width and side slopes), and riprap specifications. Channel slopes measured with an <br />inclinometer were all generally consistent with design slope information. The location and density of <br />the reconstructed drainages are consistent with the pre-mining tributary drainage system. <br />There are several areas where rills and gullies have formed as described in the SL-2 Phase I bond <br />release inspection report dated October 13, 2009. The erosion that is occurring is not to the extent <br />that these specific areas will be excluded from the Phase I bond release. These locations will require <br />maintenance, and should be monitored and repaired as described in the inspection report and <br />completed in accordance with the Rill and Gully Plan of the approved permit document. A summary <br />of the locations that will require monitoring and/or maintenance is provided below. For more <br />detailed information regarding the major watersheds and the associated drainage networks please <br />refer to the October 2009 inspection report. <br />Watershed <br />Pond 012 <br />Postmine Drainage Comment <br />YPM 1-1 Gully features in the upper YPM 1-1 watershed will need to be <br />stabilized. The gully noted along the north boundary of Shrub <br />Plot SP06-1 and rilling along west bank of the channel will <br />need to be repaired. Rills need to be repaired at ST-1 and the <br />embankment topsoiled and seeded. <br />YPM 5-1 Short segment where riprap has been scoured and a flow path is <br />evident outside of the riprap zone upstream of the YPM 5-lA <br />12