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PERMIT #: M -1978 -323 <br />INSPECTOR'S INITIALS: THM <br />INSPECTION DATE: January 31, 2012 <br />OBSERVATIONS <br />This inspection was conducted as part of the normal monitoring program established by the Colorado Division <br />of Reclamation, Mining and Safety (Division). The Sunny Side Pit is located 30 miles east of Grand Junction, <br />Colorado off of Highway 330. The site is a 112c operation that is currently active. Alan Parkerson was present <br />during the inspection. <br />No mining activity was occurring during the inspection. Various stockpiles of construction material were <br />observed within the permit area. Evidence of recent mining was observed at the eastern end of the permit area. <br />In an effort to ensure that the financial warranty remains adequate to reclaim the site per the requirements of the <br />approved reclamation plan, DRMS has updated the reclamation cost estimate (copy enclosed). Therefore <br />pursuant to Sections 34- 32.5 - 117(4) of the Colorado Land Reclamation Act, adequate financial warranty must <br />be submitted to the DRMS within 60 days of the mailing date of this report. Please review the enclosed figures <br />as soon as possible and contact our office if any calculation errors are noted. <br />No problems or possible violations were observed during the January 31, 2012 inspection. Photos that show the <br />conditions during the inspection are included at the end of this report. <br />Responses to this inspection report should be directed to Travis Marshall at the Division of Reclamation, <br />Mining and Safety, Grand Junction Field Office, 101 South 3 Street, Room 301, Grand Junction, Colorado <br />81501, phone no. 970 -241 -2042. <br />Page 2 of 4 <br />