2011-10-10_INSPECTION - M2007044

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EPP on- Site Review At the main portal and mine support area: OBSERVATIONS PERMIT #: M- 2007 -044 INSPECTOR'S INITIALS: GRM INSPECTION DATE: October 7, 2011 This inspection was conducted as part of the normal monitoring program of the Colorado Division of Reclamation, Mining, and Safety (Division) for permitted sites. The Whirlwind Mine is 112d -1 uranium mine located in Lumsden Canyon west of Gateway, Colorado. The Whirlwind Mine has an approved environmental protection plan (epp) on file. The underground workings were not inspected due to the lack of any recent activity which created issues for potential air quality and other safety issues. The Division inspector, Russ Means, was accompanied Energy Fuels representative Jess Fulbright. The BLM was represented by Scott Gerwe. The mine identification sign and affected area boundary markers are in place and in compliance with Rule 3.1.12. The sign is located on the gate at the entrance to the site as it enters the lower bench permit access point. Permit boundaries are marked by t- posts, fencing, and other geographical features that clearly marked the affected areas. The inspector looked at the on -site storm -water control measures. These controls are part of the internal mine plans approved by the Division and do not necessarily reflect other measures required by the Colorado Department of Public Health and Environment's (CDPHE) issued stormwater permit. Those requirements are regulated by CDPHE. The required stormwater run -on diversion ditches are in place as required. Ditches are clean and maintained. Some native vegetation is well established which will augment water energy dissipation and slope stabilization. No erosion or sedimentation issues were observed. Internal stormwater controls include grading and collection ditches that currently channel water to a primary catchment basin. The banks of the basin are becoming vegetated with volunteer vegetation that is being augmented by some seeding from the operator. Road ditch work along the county road done by the operator is helping control stormwater impacts both to the road and site. The ore storage pad area has not been utilized yet. No uranium ore was noted as being mined during the last active period. The mine is in stand -by mode so new waste rock has been developed or added to the dumps. Groundwater monitoring has concluded the five quarters of monitoring as required. Yearly sampling is still being conducted for the life of the mine and reported. The operator notes that the underground dewatering has been suspended. Current water levels are below still well below pre- mining levels. The water treatment tanks are dry. Sediments are noted in the bottom of the tanks that are still very wet. At the Packrat Portal Area: No work was initiated at the site during the last active period. The portal and shop area were uncovered under the prospecting notice. The EPP for this area includes continued groundwater monitoring and surface stormwater controls. The controls focus on preventing stormwater run -on from the access road to the support /staging area and sedimentation control within that area. The main access road has two culverts that direct water to the southern road edge and into the main drainage. There are several spots where riling and minor gulling where observed. The operator, inspector, and BLM rep discussed the placement of water bars in the road to reduce water energy and control surface flows better. Both agencies agreed to leave the exact number of water bars up to the operator's discretion. Page 2 of 4