2010-10-27_INSPECTION - M1984014

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(Page 2) MINE ID # OR PROSPECTING ID #: M-1984-014 INSPECTION DATE: 9-23-10 INSPECTOR'S INITIALS GRM OBSERVATIONS This inspection was conducted as part of the normal program monitoring program of the Colorado Division of Reclamation, Mining, and Safety (DRMS). DRMS inspector Russ Means was accompanied by Cotter Representative Glenn Williams on site. The JD-8 Mine is a 112d-1 Designated Mining Operation (DMO) with intermittent status. The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. The sign is located on the main gate just off the county road. Permit boundaries are marked by t-posts. Currently there is no underground or mining related activity taking place. What activities are taking place on the surface are site maintenance and clean-up. The portal area and staging area are orderly. The portal entrance is secured by steel double locking gates. The office / mine dry building is in good shape. Some equipment is parked at the staging area but evidence suggests that they have been there for some time. No petroleum products or fuels of significant amounts were noted or observed on site. The fuel tank on site sits within a secondary containment structure as required. The new dump area had a large portion of topsoil removed and stockpiled just north of the Mine office trailer. Vegetation covers the stockpile to prevent erosion. The exposed dump area has a very good vegetation coverthat is volunteer in nature. Rabbit brush and native grasses are sufficient to prevent erosion of the area. An inspection on April 2, 2008 noted a large stock pile of uranium ore on site. DRMS at the time requested a berm be built around the stockpile to protect it from storm water and contain sediments from the pile erosion. Photos during the current inspection clearly show no berms on the uphill side preventing stormwater contact with the ore pile. Site observations note an interaction between stormwater and the ore stockpile. Photos indicate possible ore sedimentation migrating towards the permit boundaries. The lack of the berms is noted as a stormwater control and sedimentation problem at the end of this report Cotter must construct and maintain berms around the entire stockpile to prevent interaction with stormwater within the next 30 days, November 17, 2010. Due to the fact that the stockpile has remained in place for over two years represents another problem. Cotter did remove a large portion of the pile in 2008 prior to the inspection of April 2008, but approximately 300 to 500 tons still remains. The uranium ore is classified as a toxic material. It's prolonged storage and exposure at the surface with no environmental controls creates a condition that represents a potential adverse affect to persons, property, and the environment. DRMS is noting the stockpile as a problem at the end of this report as a potentially hazardous condition and requiring its removal within 90 days, January 16, 2011. This allows Cotter time to schedule work and have it complete by the noted date. The options are to place it back within the secure mine portal in an area not susceptible to contact with groundwater (none is noted at this mine) or ship off site to mill or other suitable secured location. The existence of the toxic material classified uranium ore stockpile and the requirement that it be removed from the site is considered grounds to require that an amendment be filed with the Division addressing the requirements of Exhibit U, Rule 6.4.21 for an Environmental Protection Plan (EPP). Cotter has 180 days, April 18, 2011, to submit for review an EPP per Rule 7.13(2) compliance requirements. This issue will be covered by separate letter.