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PERMIT #: M-1981-021 <br />INSPECTOR'S INITIALS: RCO <br />INSPECTION DATE: April 20, 2011 <br />OBSERVATIONS <br />This was a routine inspection performed by the Division as part of its monitoring of 112d permits, and also to <br />inspect the proposed location of an Environmental Protection Facility: the lined ore pad. The site was not <br />active on the date of the inspection. The entrance gate was locked, the buildings were secured, the portal was <br />backfilled and secured with a locked grate against unauthorized entry, fluids and ore were removed from the <br />surface, and all equipment (other than a grizzly on the pad surface) was gone. <br />Backfilling and Grading: <br />The portal has been backfilled temporarily as a precaution against unauthorized entry while the site remains <br />inactive. The waste rock pad was graded smooth and level, and is bermed to contain sediment. The eastern <br />part of the pad is where the proposed lined ore pad will be installed; it is an appropriate location for the pad. <br />Financial Warranty: <br />This permit is being amended to a DMO, and the bond will be recalculated when the amendment is finalized. <br />The bond is currently considered to be adequate. <br />Roads: <br />Several vent shafts are in upland locations accessible by roads that the operator has maintained well. <br />Revegetation: <br />The operator has not performed any revegetation seeding. The operator has been monitoring and treating <br />the infestation of Halogeton on the affected areas of the site, and the amount of Halogeton has decreased <br />considerably. No other noxious weeds were observed. The operator should continue to be vigilant and active <br />in its weed control. <br />Sediment Control: <br />The toe of the waste rock dump is encroaching on the sediment pond, but there is no problem presently. The <br />operator must ensure that (1) the sediment pond's capacity or impoundment are not compromised by <br />sloughed waste rock falling in the pond or breaching the berm, (2) that any expansion of the waste dump is <br />preceded by removing the soil in the footprint of the expansion (and stockpiling it elsewhere for reclamation) <br />before reconstructing the sediment pond beyond the expansion, and (3) sufficient maintenance of the pond is <br />continued to ensure it remains functional. <br />Support Facilities On-site: <br />The two buildings on the site were secured, and there were no fluids or contaminants stored onsite. A trailer <br />structure formerly observed onsite has been completely removed. Overhead electric supply is still present to <br />the pad area, as well as to the several upland vent shafts in remote locations. <br />The vent shafts included in this permit area that were inspected were: WS-1, WS-2, WS-3, and SJ-1. All had <br />new corrugated galvanized housings for the vent fans, installed on the same concrete collars. Electric service <br />to each was observed. Note: The gate or fence around vent SJ-1 was damaged. <br />Topsoil: <br />There is a topsoil stockpile area west and outside of the main gate. The piles are not eroding, and exhibit <br />Page 2 of 4