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J <br />_oF..cCOLORADO DIVISION OF RECLAMATION, MINING AND SAS TY <br />MINERALS PROGRAM INSPECTION REPORT <br />JK PHONE: (303) 866-3567 <br />F 1876 * 111'e' <br />The Division of Reclamation, Mining and Safety has conducted an inspection of the mining operation <br />noted below. This report documents observations concerning compliance with the terms of the permit <br />and. applicable rules and regulations of the Mined Land Reclamation Board. <br />MINE NAME: <br />Cresson Project MINE/PROSPECTING ID#: <br />M-1980-244 MINERAL: <br />Gold COUNTY: <br />Teller <br />INSPECTION TYPE: I>SPECTOR(S): IMP. DATE: INSP. TIME: <br />08 <br />00 <br />Monitoring erhan M. Keffelew my 14, 2010 : <br />OPERATOR: OPERATOR REPRESENTATIVE: TYPE OF OPERATION: <br />Cripple Creek & Victor Gold MARK, VANONI, MIKE ELLIS, 112d-3 - Designated Mining Operation <br /> LAWRENEC NYERS <br />REASON FOR INSPECTION: BOND CALCULATION TYPE: BOND AMOUNT: <br />Normal I&E Program Complete Bond $33,331,600.00 <br />DATE OF COMPLAINT: POST INSP. CONTACTS: JOINT INSP. AGENCY: <br /> None None <br />WEATHER: I PECTOR'S IGNA URE: SNATURE DATE: <br />Clear "July 26, 2010 <br />r Q_,,, <br />GENERAL INSPECTION TOPICS <br />This list identifies the environmental and permit parameters inspected and gives a categorical evaluation of each. No problems <br />or possible violations were noted during the inspection. The mine operation was found to be in full compliance with Mineral <br />Rules and Regulations of the Colorado Mined Land Reclamation Board for the Extraction of Construction Materials and/or <br />for Hard Rock, Metal and Designated Mining Operations. Any person engaged in any mining operation shall notify the office <br />of any failure or imminent failure, as soon as reasonably practicable after such person has knowledge of such condition or of <br />any impoundment, embankment, or slope that poses a reasonable potential for danger to any persons or property or to the <br />environment; or any environmental protection facility designed to contain or control chemicals or waste which are acid or <br />toxic-forming, as identified in the permit. <br />)RECORDS ----------------------------------- Y <br />HYDROLOGIC BALANCE------------- Y <br />(FN) FINANCIAL WARRANTY-------- Y (RD) ROADS------------------ Y <br />(BG) BACKFILL & GRADING---------- Y <br />PROCESSING WASTE/TAILING---- Y (SF) PROCESSING FACILITIES------- Y <br />(EX) EXPLOSIVES--------- N <br />(TS) TOPSOIL---------------- Y <br />GENL MINE PLAN COMPLIANCE- Y (FW) FISH & WILDLIFE----------------- Y (RV) REVEGETATION---- N <br />SIGNS AND MARKERS----------------- Y (SP) STORM WATER MGT PLAN---- NA (SB) COMPLETE INSP---- Y <br />OVERBURDEN/DEV. WASTE--------- Y (SC) EROSION/SEDIMENTATION--- Y (RS) RECL PLAN/COMP-- N <br />T) ACID OR TOXIC MATERIALS------- Y (OD) OFF-SITE DAMAGE ---------------- Y (ST) STIPULATIONS------- NA <br />VV = Insnected and found in comnliance / N = Not inspected / NA = Not applicable to this operation / PB = Problem cited / PV = Possible violation cited <br />Page 1 of 3 <br />