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OBSERVATIONS <br />PERMIT #: M- 1977 -484 <br />INSPECTOR'S INITIALS: JLE <br />INSPECTION DATE: August 31, 2011 <br />This was a permit transfer and succession of operators inspection of Gravel Pit No. 7; DRMS File# M- 1977 -484. <br />This site is located approximately 7 miles west of Springfield, Colorado in Baca County. I, Jared Ebert of the <br />Colorado Division of Reclamation, Mining and Safety conducted the inspection. Jeans Adams of Baca County <br />and Mr. Rodney Robins of Robbins Redi Mix, LLC accompanied me on the inspection. <br />This is a 160 acre 112c mining operation currently operated by Baca County. Robins Redi Mix, LLC is interested <br />in transferring the permit into their name. The purpose of the inspection was to determine the current level <br />of disturbance in order to evaluate the required financial warranty amount. The affected land acreage was <br />measured using a Trimble GeoXT GPS unit. Approximately 12.85 acres of land is affected by the Operation. A <br />map of the Divisions findings is enclosed with this report. <br />The County has excavated a pit approximately 30 to 35 feet deep. They push the mine slopes to a 3:1 <br />horizontal to vertical ratio. A small portion of the southern pit slope has only been graded to a 2:1 angle and is <br />approximately 451 feet in length. Prior to release, this slope will need to be regarded to the required 3:1 <br />ratio. The mined material is stockpiled and processed at the base of the pit. The topsoil has been removed in <br />advance of mining, and is stockpiled in a berm around the top of the pit excavation. A road has been <br />constructed along the southern boundary of the permit area. The Operator has removed excess topsoil and <br />borrow ditch material from the road and stockpiled it north of the entrance to the site to be used for <br />reclamation. <br />Based on the current level of disturbance, the Division has estimated the required financial warranty to be <br />$24,070.70. A separate letter indicating the approval of the permit transfer and a request to submit the <br />required financial warranty will be sent to Robins Redi Mix, LLC and copied to Baca County. Robins Redi Mix, <br />LLC will have 60 days from the date of that letter to post the required financial warranty, or the permit <br />transfer will be denied and the permit will remain with Baca County. <br />Page 2 of 4 <br />