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PERMIT #: M-1981-014 <br />INSPECTOR'S INITIALS: GRM <br />INSPECTION DATE: May 18, 2011 <br />OBSERVATIONS <br />This inspection was conducted as part of the normal monitoring program of the Colorado Division of Reclamation, <br />Mining, and Safety (Division). Division inspector Russ Means was accompanied by United / Old Castle representative <br />Peter Kearl. The Rozman Pit is a 207 acre, 112c permitted site located south of Crested Butte, Colorado. The purpose of <br />the inspection was to confirm site conditions and disturbances as related to the pending acreage reduction (AR) AR-02 <br />and Technical Revision (TR) TR-06. Mr. Kearl and the inspector walked the disturbed. and undisturbed areas discussing <br />changes related to the TR and acreage reduction. The TR will address the change in the mining and reclamation plans to <br />focus on the efforts in the final pit configuration, a concrete batch plant, and new access point requested by CDOT. <br />The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. The <br />sign is located at the entrance to the site as it enters the permit access point. Permit boundaries are marked by t-posts <br />and fencing that clearly marked the affected areas. <br />The mine has been active in the past year. At this time, the pit is not active as winter thaw has just recently occurred <br />and no winter work was reported. The inspector observed processed materials on site as well as concrete reject for <br />recycle. No equipment was noted on site. A fuel tank is in secondary containment. No spills or staining from petroleum <br />products were observed around the scale house or portable concrete plant. Minor highwalls were noted along the west <br />and southwest side of Area 1. <br />The east area is where the batch plant and new access are proposed. The area is previously disturbed by mining and <br />provides a flat area for the work proposed. The new access point is a safety issue for CDOT with line of sight, and <br />acceleration / deceleration lanes. The new point is within the current permit and requires no additional acreage or <br />impacts. <br />The areas defined for release with the AR-02 request are noted as being alluvial terraces with high altitude, meadow, <br />and shrub vegetation along the Slate River. The areas are to be released back to the landowner who is working on a <br />land conservation easement project. The areas are observed to be undisturbed or impacted and can be released. <br />No groundwater issues were observed. No problems were observed with sedimentation or erosion controls. <br />Stormwater is being collected and channeled to a discharge point covered by a CDPHE permit. Water in the channels <br />was noted as running clear. <br />No problems or violations were noted or observed in regard to the mine or reclamation plans at this time. A <br />reclamation liability update will be done as part of the TR approval process. <br />Responses to this inspection report should be directed to Russ Means at the Division of Reclamation, Mining, and Safety, <br />Grand Junction Field Office, 101 South 3rd Street, Room 301, Grand Junction, Colorado 81501, phone no. 970-241-1117. <br />Inspection Contact Address <br />Peter Kearl <br />Oldcastle SW Group, Inc. dba United Companies of Mesa County <br />2273 River Road <br />Grand Junction, CO 81502 <br />Page 2 of 4