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(Page 2) <br />MINE ID # OR PROSPECTING ID #: M-1980-944 <br />INSPECTION DATE: 8116111 INSPECTORS INITIALS: R- <br />OBSERVATIONS <br />The Division conducted a monitoring and construction progress inspection of the site on <br />8/16/10. Present during the inspection was Mr. Tim Comer, Environmental manager for the <br />site. <br />The site inspection began along the Cameron pad area where CC&V plans to stockpile some <br />of the processed clay from the borrow area south of the pad. Clay was being produced at <br />the time of the inspection. <br />Inspected the Iron Clad Globe Hill area, the new parking lot for employees is in place. <br />Storm water drainage control structures were found to be in good repair. Tim discussed <br />the new location for the powder and Cap magazine area that was part of the requirement <br />for Home Land Security for mine sites that mix their explosives on site. <br />Inspected the Cresson mine. East extension of the Cresson backfill and active mining <br />along the west and south was taking place at the time of the inspection. <br />Tim discussed the placement of a repeater tower for better communication within the <br />various facilities of the mine. The Division suggested a location that is within the foot <br />print of the currently affected area, to which Timm agreed. <br />Continued the inspection to the crusher area, it was active at the time of the <br />inspection. Storm water drainage controls for the area were found to be in good repair. <br />Continued the inspections to the Phase I,II, III and IV leach pad areas. Phase IV pad <br />area was being loaded at the time of the inspection. The improved inter phase lined <br />perimeter ditch along Phase IV C pad was inspected and found to be in good repair. <br />While in the area collected the following readings from the High and Low volume solution <br />collection pressure transducer for the ponds. <br />Phase I High Volume Solution Collection Transducer # 1 was recorded at 34.1 # 2 was at <br />50.1 and # 3 was at 47.9. Low volume solution collection transducer # 1 was recorded at <br />.40 and #2 was at .46. Piezometer for the pond was at 55.6 feet. <br />Phase II and III High Volume Solution Collection transducer #4 was recorded at 32.7 # 5 <br />was at 35.3 and # 6 was at 34.2. Low volume solution collection transducer # 1 was <br />recorded at.55 ad # 2 was at.23. Piezometer for the pond was at 36.0 feet. <br />Phase IV high volume solution collection pressure transducer # 7 was recorded at45.3 # 8 <br />was at 44.8 and # 9 was at 42.4 and # 10 was at 44.9. <br />Low volume solution collection transducer # 1 was recorded at 15.9 and # 2 was at 8.6 <br />inches of hydrostatic head.(All other transducer readings are in feet of hydrostatic head <br />unless otherwise noted) <br />Inspected the external pond, it was holding more water than noted during the last <br />inspection due to the measurable storm even the area received the past couple of weeks. <br />The low volume solution collection transducer for the ponds recorded at 13.2 for <br />transducer # 1 and # 2 was at 10.5 inches of hydrostatic head. <br />Inspected the under drain discharge are. All lower ponds including the 100 year 24 hour <br />diversion sumps were holding water from the recent storm events the area received. <br />Both the south under drain and four inch pipes were discharging at the time of the <br />inspection. From a trickle during the 7/30/10 inspection to approximately 18 gpm for the <br />South under drain and2.1 gpm for the 4 inch pipe. The discharge from the under drains is <br />pumped back to the pad. Inspected AG 1.5 it was not discharging at the time of the <br />inspection. <br />Inspected the Phase V construction area. Due to recent storm events no geomembrane liner <br />was deployed at the time of the inspection. Drain cover was being placed in the pregnant <br />pond east, south side at the time of the inspection. Jim Smith stated that the night time <br />drain cover push was completed, until such time additional areas are certified by the QA/ <br />QC on site AMEC engineering staff members. He also stated no problems were noted during <br />the night deployment. Both Amec QA/ QC personnel and Ames dozer guides with enough <br />lighting were present during the deployment according to Jim Smith, CC&V's representative <br />for the construction phase of the operation, who assists Tom Shepherd. Clay liner was <br />being deployed along the South facing slopes of the pad area. Additional storm water <br />remedial actions were being under taken along the eastern extension of the pregnant pond