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PERMIT #: M- 1978 -267 <br />INSPECTOR'S INITIALS: TCW <br />INSPECTION DATE: August 27, 2012 <br />There is some erosion and sediment transport along the steeper slopes on the southeastern side of Phase I. <br />The sediment appears within the permit boundaries at this point, but should be graded to a more stable <br />configuration. <br />Signs and Markers: <br />The permit sign is in place. The permit boundaries are marked with fences. Mining appears to be within the <br />permit boundary. <br />Topsoil: <br />Topsoil stockpiles are located in the western portion of Phase I mine area. The Operator states that topsoil is <br />being brought in from bar ditches during county grading activities. <br />Page 3 of 5 <br />