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OBSERVATIONS <br />PERMIT #: M- 1980 -244 <br />INSPECTOR'S INITIALS: TCI <br />INSPECTION DATE: March 8, 2012 <br />The Division conducted a monitoring and construction progress inspection of the site on March 8, 2012. Mr. Mark <br />Vanoni (CC &V Sr. Environmental Coordinator) was present during the inspection. The primary focus of this inspection <br />was stormwater managament in anticipation of spring runoff and heavier rains in early summer. <br />Inspection: <br />Mr. Vanoni provided a field overview of the stormwater /sediment controls in Grassy Valley and the newly <br />finished Phase V VLF liner. The Grassy Valley stormwater controls consist of riprap -lined channels and three <br />stormwater /sediment ponds (see Photo 1). There are also several exploration drilling pads in the Grassy Valley <br />(see Photos 1 and 2). Each of these pads is graded to direct runoff towards the mud pit, which is enlarged to <br />collect runoff <br />A meeting was also held with Jeff Gaul (CC &V Chief Engineer) to discuss the proposed concept for controlling <br />the stormwater runoff from the old rinsed and reclaimed phase 1 — 5 Ironclad Globe Hill leach pads northeast of <br />the WHEX. An access road is being constructed for the planned construction of a stormwater collection basin <br />near these leach pads to reduce the volume of runoff currently contributing to the west highwall in the WHEX <br />(see Photo 3). Additional stormwater improvements are being constructed along the Phase V VLF perimeter <br />access road from the northeast to southeast perimeter. The goal of these improvements is to promote the <br />drainage of unimpacted runoff away from the VLF. Ditches are being cut through the safety berm on the <br />northeast perimeter road (see Photo 4) and water bars are being constructed in the southeast perimeter access <br />road (see Photo 5). <br />The contractor has begun to place fill from the SGOSF in the area for the new mill (see Photo 6). <br />The inspection continued as the Division visited each of the high and low solution collection system transducers <br />and recorded water level values. The recording sheet is included as Attachment A, and the values are <br />summarized below in the Transducer Readings. <br />The recently drilled monitoring well (CRMW -3C) is now developed. CC &V and DRMS anticipate collecting <br />split water quality samples from the 3 monitoring wells next month. <br />The Arequa Gulch underdrains were inspected. The South Underdrain discharge was measured by Mr. Vanoni <br />to be 1.3 gpm. Both the North Underdrain and the AG /Spring were dry. The flowmeter installed for the B63 <br />pumpback line indicated a flow rate of 0.32 gpm. The A35 pumpback line was dry. No flow was observed in <br />the Arequa Gulch flume (AG 1.5- 001A). <br />Page 2 of 7 <br />