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REASON FOR INSPECTION: <br />Normal I &E Program <br />BOND CALCULATION TYPE: <br />Complete bond recalculation <br />BOND AMOUNT: <br />$50,000.00 <br />DATE OF COMPLAINT: <br />NA <br />POST INSP. CONTACTS: <br />None <br />JOINT INSP. AGENCY: <br />None <br />WEATHER: <br />Clear <br />INS TbR' GNATU <br />r� !lel/ <br />SIGNATURE DATE: <br />November 4, 2011 <br />MINE NAME: <br />Alexander Pit <br />MINE /PROSPECTING ID #: <br />M -1976 -032 <br />MINERAL: <br />Sand and gravel <br />COUNTY: <br />San Miguel <br />INSPECTION TYPE: <br />Monitoring <br />INSPECTOR(S): <br />Bob Oswald <br />INSP. DATE: - <br />October 13, 2011 <br />INSP. TIME: <br />09:00 <br />OPERATOR: t % <br />Oldcastle SW Group, Inc. dba Telluride Gray <br />OPERATOR REPRESENTATIVE: <br />Greg Homan <br />TYPE OF OPERATION: <br />112c - Construction Regular Operation <br />COLORADO DIVISION OF RECLAMATION, MINING AND SAFETY <br />MINERALS PROGRAM INSPECTION REPORT ,,/ <br />PHONE: (303) 866 -3567 RECEV Se <br />The Division of Reclamation, Mining and Safety has conducted an inspection of tluitiatuidgterfierfitift <br />noted below. This report documents observations concerning compliance with the teiiIiftfrtfine <br />and applicable rules and regulations of the Mined Land Reclamation Board. <br />NUV <br />GENERAL INSPECTION TOPICS <br />This list identifies the environmental and permit parameters inspected and gives a categorical evaluation of each. No problems <br />or possible violations were noted during the inspection. The mine operation was found to be in full compliance with Mineral <br />Rules and Regulations of the Colorado Mined Land Reclamation Board for the Extraction of Construction Materials and /or <br />for Hard Rock, Metal and Designated Mining Operations. Any person engaged in any mining operation shall notify the office <br />of any failure or imminent failure, as soon as reasonably practicable after such person has knowledge of such condition or of <br />any impoundment, embankment, or slope that poses a reasonable potential for danger to any persons or property or to the <br />environment; or any environmental protection facility designed to contain or control chemicals or waste which are acid or <br />toxic - forming, as identified in the permit. <br />(AR) RECORDS <br />(HB) HYDROLOGIC BALANCE <br />Y (FN) FINANCIAL WARRANTY Y (RD) ROADS Y <br />Y (BG) BACKFILL & GRADING NA (EX) EXPLOSIVES NA <br />(PW) PROCESSING WASTE /TAILING - - -- Y (SF) PROCESSING FACILITIES Y (TS) TOPSOIL-------- - - - - -- Y <br />(MP) GENL MINE PLAN COMPLIANCE- Y (FW) FISH & WILDLIFE NA (RV) REVEGETATION - - -- Y <br />(SM) SIGNS AND MARKERS Y (SP) STORM WATER MGT PLAN - - -- NA (SB) COMPLETE INSP - - -- NA <br />(ES) OVERBURDEN/DEV. WASTE Y (SC) EROSION /SEDIMENTATION - -- Y (RS) RECL PLAN /COMP -- Y <br />(AT) ACID OR TOXIC MATERIALS Y (OD) OFF -SITE DAMAGE NA (ST) STIPULATIONS NA <br />Y = Inspected and found in compliance / N = Not inspected / NA = Not applicable to this operation / PB = Problem cited / PV = Possible violation cited <br />Page 1 of 5 <br />