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(Page 2) <br />MINE ID # OR PROSPECTING ID #: M-2004-067 <br />INSPECTION DATE: 20 August 2010 INSPECTOR'S INITIALS: DR2_ <br />OBSERVATIONS <br />This was a routine inspection conducted by David Bird of DRMS. The operator was contacted but did not attend. <br />The site is located in Gilpin County about 5 miles southeast of Blackhawk alongside State Highway 119. The total <br />permit area is 526.7 acres with a maximum disturbed area of 39.28 acres. The Division holds financial warranty <br />in the amount of $903,800 for the permit. Aggregate is the commodity of interest at the site and the post-mining <br />land use is wildlife habitat. <br />There has been no production at the site since the permit was issued 15 December 2006. The Operator is <br />reminded that the surety reduction submitted 08 January 2009 and approved by the DRMS on 20 March 2009 is <br />still valid. If the Operator wishes to submit the appropriate surety paperwork to DRMS, then the reduction to <br />$10,000 can be processed. The Operator simply needs to submit a rider to their Corporate Surety to complete the <br />process. <br />If the Operator chooses to proceed with the surety, then be advised that as specified in the Division's approval <br />letter of 20 March 2009, prior to the commencement of mining-related operations the operator is required to <br />notify the Division in writing that mining activity will commence and then must reinstate the bond to the <br />originally prescribed amount of $903,800. <br />There are no other issues that need to be addressed at the site. <br />I & E Contact Address <br />NAME: Robert A. Lembke <br />OPERATOR: Clear Creek Dist Water Providers, L.L.C. <br />STREET: 5460 S. Quebec St., Suite 110 <br />CITY/STATE/ZIP: Greenwood Village. CO 80111 <br />cc: F CE <br />F BLM <br />F USFS <br />F HW <br />F HMWMD <br />F OSE <br />F WQCD <br />F OTHER (Gilpin County)