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(Page 3) <br /> MINE ID# OR PROSPECTING ID # M-90-059 <br /> INSPECTION DATE 7/20199 INSPECTOR'S INITIALS WHE <br /> The following problems(PB)and/or possible violations (PV) (and suggested corrective actions) were identified during this inspection. <br /> The problems should be corrected by the dates given, or they will become possible violations. The possible violations should be <br /> corrected by the dates given to reduce their severity when considered by the Mined Land Reclamation Board. The inspector noted <br /> on the previous page should be notified of all corrective actions taken. <br /> PROBLEMS/POSSIBLE VIOLATIONS <br /> AND <br /> CORRECTIVE ACTIONS <br /> CORRECTION <br /> DATE <br /> 1. Mine identification sign, required by Rule 3.1.120), was not observed. Affected area perimeter markers, <br /> required by Rule 3.1.12(2), were not observed. DMG identified absent signs and markers as a Problem in the <br /> inspection report generated from the 8/28/97 inspection. Evidence of compliance with the corrective actions <br /> required from the 8/28/97 inspection report was not observed. <br /> CORRECTIVE ACTION: Post and maintain the signs and markers, required by Rule 3.1.12, within 30 days, <br /> by August 26, 1999. Provide photo verification to DMG Durango Office, 484 Turner Drive, Building F, Suite <br /> 101, Durango, CO 81301, of the newly posted signs and markers, by September 10, 1999. <br /> 8/ 26 / 99 <br /> PV or PB PB <br /> TOPICS SM <br /> 2. Notice of Insufficient Financial Warranty - DMG has reviewed the cost of reclamation for the Eldorado <br /> Pilot and has determined that the existing $1,000 financial warranty is insufficient to ensure reclamation. <br /> DMG estimation of the current cost of reclamation totals $2,344. However, financial warranties for 1100) <br /> type operations may not exceed $1,500, as required by C.R.S. 34-32-110(1)(d)(1). <br /> CORRECTIVE ACTION: Pursuant to Rule 4.2.1(2), the operator has 60 days from the date of this notice to <br /> post $500 additional financial warranty, to total not less than $1,500. Please ensure that DMG has received <br /> and approved financial warranty to total not less than $1,500 by September 27, 1999. 9 / 27 / 99 <br /> PV or PB PB <br /> TOPICS FW <br /> 3. DMG records indicate that mining operations have remained inactive since 1993 and have therefore been <br /> in Temporary Cessation status for the past 7 years. However, DMG records do not indicate receipt of the <br /> Notice of Temporary Cessation from the operator, as required by Rule 1.13.5. Additionally, DMG records do <br /> not indicate receipt of the request for extension to the initial 5 year period of Temporary Cessation, as required <br /> by Rule 1.13.8. <br /> CORRECTIVE ACTION: Within 30 days, submit the required Notice of Temporary Cessation and request for <br /> extension to the initial 5 year period of Temporary Cessation, in accordance with Rule 1.13.5 and 1 .13.8. <br /> Submit the Notice of Temporary Cessation and request for extension to the DMG Durango Office, 484 Turner <br /> Drive, Building F, Suite 101, Durango, CO 81301, by August 26, 1999. 8 / 26 / 99 <br /> PV or PB PB <br /> TOPICS AR. MP. RS <br />