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January 28,2011 C-1981-014/Southfield Mine JHB Inspection Topic Summary NOTE: V=Inspected N=Not Inspected R=Comments Noted V=Violation Issued NA=Not Applicable Y -Air Resource Protection R -Roads R -Availability of Records R -Reclamation Success Y -Backfill&Grading R -Revegetation NA -Excess Spoil and Dev. Waste Y - Subsidence NA -Explosives Y -Slides and Other Damage R -Fish&Wildlife R -Support Facilities On-site R -Hydrologic Balance Y -Signs and Markers Y -Gen. Compliance With Mine Plan R - Support Facilities Not On-site NA -Other NA - Special Categories Of Mining V -Processing Waste Y -Topsoil COMMENTS This was a complete inspection conducted by Janet Binns of CDRMS.The mine is a reclaimed underground mine with a load out located several miles away,and a reclaimed coal waste pile. Historically mining has occurred in the area. Revoked and pre-law mines are located adjacent and in the vicinity of the Southfield mine. No mine personnel remain on the mine site but records are stored in Florence at the Energy Fuels office. Mr. George Patterson met the inspector at the mine office to access records,but did not accompany the inspector to the load out or the mine site. The weather was warm and partly cloudy, in the 60's. Previous snow pack was melting during the inspection. The mine site was mostly void of snow,though patches remain in the shaded areas and on the shaded portion of the access roads. AVAILABILITY OF RECORDS—Rule 5.02.4(1): Records were verified at the operator's office in Florence, Colorado. Records are no longer stored at the mine site since the mine site is reclaimed and no buildings remain. Attached page includes details of this review. FISH and WILDLIFE—Rule 4.18: Although no wildlife were observed on the mine site there were fresh mountain lion tracks crossing the mine access road immediately west of the gate. Photo 3 attached HYDROLOGIC BALANCE -Rule 4.05 ❑Drainage Control 4.05.1,4.05.2,4.05.3; Siltation Structures 4.05.5,4.05.6; Discharge Structures 4.05.7, 4.05.10; Diversions 4.05.4; Surface Water Monitoring 4.05.13; Impoundments 4.05.6,4.05.9 Both ponds at the mine site were dry and well vegetated.Photo 4 shows pond 5 at the mine site. Both ponds at the load out were dry. Pond 2 (west pond)has been used as a roadway. The west fence has been cut and it appears 4-wheelers or dirt bikes have been passing through the site(based on the tire treads). There was trash dumped in the pond consisting of plastic storage bins, small household appliances,and wooden fencing trash. The trash needs to be removed to assure proper function of the pond; Photo 2. Number of Partial Inspection this Fiscal Year: 4 Number of Complete Inspections this Fiscal Year: 3 Page 2 of 7