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September 30, 2011 C- 1981- 008/New Horizon Mine MLT <br />Inspection Topic Summary <br />NOTE: Y= Inspected; N =Not Inspected; R= Comments Noted; V= Violation Issued; <br />NA =Not Applicable <br />Y - Air Resource Protection <br />R - Availability of Records <br />R - Backfill & Grading <br />NA - Excess Spoil and Dev. Waste <br />R -Explosives <br />Y - Fish & Wildlife <br />R - Hydrologic Balance <br />R - Gen. Compliance With Mine Plan <br />R - Other <br />NA - Processing Waste <br />Y -Roads <br />R - Reclamation Success <br />R - Revegetation <br />NA - Subsidence <br />NA - Slides and Other Damage <br />Y - Support Facilities On -site <br />Y - Signs and Markers <br />NA - Support Facilities Not On -site <br />R - Special Categories Of Mining <br />Y - Topsoil <br />COMMENTS <br />A Complete Inspection of the New Horizon Mine was conducted by Marcia Talvitie of the <br />DRMS on September 30, 2011. The inspection commenced with a visit to the Montrose County <br />Courthouse Nucla Annex, in order to inspect the documents available for public viewing. Mine <br />records were then inspected at the Western Fuels office located at the mine site. Tom Fry, Mine <br />Engineering Technician, was available to assist with the Records Check and escorted me on the <br />field portion of the inspection. <br />PERMITTING UPDATE: <br />TR -61 - Lance Wade, Mine Manager, provided me with two copies of the application for TR -61 <br />during the inspection. This TR incorporates a Sampling and Analysis Plan for soil materials <br />located on the Morgan property. Submittal of this application came in response to direction from <br />the Division, working with the OSM and NRCS. WFC has contracted with Key Agricultural <br />Services, Inc. (Aaron DeJoia visited the mine site on September 19) and Robert Dunker, Ph.D. of <br />the University of Illinois (site visit on September 25), to address the concerns of the OSM with <br />respect to reclamation of Prime Farmlands. A meeting between all of the parties was held at the <br />Denver office of OSM on September 27, 2011. <br />TR -60 - Pond 015 As -Built - On 8/29/2011, WFC submitted a response to the Division's <br />adequacy review. The Division has not yet commented on the response. The Decision Due date <br />has been extended to 10/14/2011. <br />MR -81 - IP Reference Area Management - The Division issued a Preliminary Adequacy Review <br />on 8/23/2011. To date, no response has been received from WFC. This revision is not yet <br />approved. <br />AVAILABILITY OF RECORDS — Rule 5.02.4(1): <br />• Mine records were available for inspection at the mine office. A completed DRMS <br />Availability of Records form is included with this report. <br />• The majority of the permit records are available in the main office building. Others, such as <br />Number of Partial Inspection this Fiscal Year: 2 <br />Number of Complete Inspections this Fiscal Year: 1 Page 2 of 10 <br />