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F CCOLORADO DIVISION OF RECLAMATION, MINING AND SAFETY <br />mow=. MINERALS PROGRAM INSPECTION REPORT <br />'*KK17* PHONE: (303) 866-3567 <br />* 1876 ` <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: MINE/PROSPECTING ID#: MINERAL: COUNTY: <br />Hukill Gulch Millsite M-2009-076 Silver and gold Clear Creek <br />INSPECTION TYPE: INSPECTOR(S): INSP. DATE: INSP. TIME: <br />Pre-Operation Inspection Jared L. Ebert October 27, 2010 09:30 <br />OPERATOR: OPERATOR REPRESENTATIVE: TYPE OF OPERATION: <br />Venture Resources, Inc. Ryan McHale and Patrick Maher 110d - Designated Limited Impact <br />REASON FOR INSPECTION: BOND CALCULATION TYPE: BOND AMOUNT: <br />Normal I&E Program Complete Bond (To be Determined) <br />DATE OF COMPLAINT: POST INSP. CONTACTS: JOINT INSP. AGENCY: <br />N/A None None <br />WEATHER: IN ECTO S AT RE: SIGNATURE DATE: <br />Windy November 3, 2010 <br />0 I/ - - <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----------------------------------- N (FN) FINANCIAL WARRANTY-------- N (RD) ROADS------------------ N <br />HYDROLOGIC BALANCE------------- N (BG) BACKFILL & GRADING---------- N (EX) EXPLOSIVES--------- N <br />PROCESSING WASTE/TAILING---- N (SF) PROCESSING FACILITIES------- N (TS) TOPSOIL---------------- N <br />GENL MINE PLAN COMPLIANCE- N (FW) FISH & WILDLIFE----------------- N (RV) REVEGETATION---- N <br />SIGNS AND MARKERS----------------- N (SP) STORM WATER MGT PLAN---- N (SB) COMPLETE INSP---- N <br />OVERBURDEN/DEV. WASTE--------- N (SC) EROSION/SEDIMENTATION--- N (RS) RECL PLAN/COMP-- N <br />T) ACID OR TOXIC MATERIALS------- N (OD) OFF-SITE DAMAGE ---------------- N (ST) STIPULATIONS------- N <br />Y = Insuected and found in comnliance / N = Not insneeted / NA = Not annlienhle to this anerntinn / PR = Prnhlem eited / PV = Pnssihle vinlatian eitad <br />Page I of 4