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PERMIT #: M- 2007 -007 <br />INSPECTOR'S INITIALS: TCW <br />INSPECTION DATE: June 19, 2012 <br />OBSERVATIONS <br />This was a normal monitoring inspection conducted by TC Wait of DRMS. The mine operator representative <br />present was Mr. Phil Crum of Mullet Excavating. The site is part of the top of a mesa east of Trinidad. The <br />native vegetation is dry grassland. Post -mine land use for this site is rangeland. <br />The permit area is approximately 9.9 acres and was accessed by vehicle. The site is adjacent to the Mooney <br />5804 Altura Pit (M -2010 -012) also operated by Mullet Excavating. Currently the majority of mine operations <br />are on the Mooney Hills permit area, with some in the eastern section of the Altura area. There is no <br />delineation between the two permit areas. The total area for both pits is approximately 125 acres. <br />The site was not marked with a permit sign. The operator was advised to place permit signs (for both <br />permitted mines) at the entrance. Visible permit boundary markers were in place. <br />At the time of the inspection, the ground was dry. The site is actively being mined and no reclamation efforts <br />have been conducted. Mr. Crum indicated that the average mining depth is about 8 feet. Mr. Crum estimates <br />approximately 60k tons of material are stockpiled onsite. <br />Backfilling and Grading: <br />Site is actively being mined. No reclamation grading has occurred. <br />Hydrologic Balance: <br />No evidence of groundwater was observed or expected. <br />Gen. Compliance With Mine Plan: <br />Site is adjacent to the Altura Pit (M- 2010 -012) also operated by Mullet Excavating. Currently the majority of <br />mine operations are on the Mooney Hills permit area, with some in the eastern section of the Altura area. <br />There is no delineation between the two permit areas. <br />Revegetation: <br />Site has not been seeded. <br />Sediment Control: <br />No evidence of erosion or off -site sediment transport observed. <br />Topsoil: <br />Topsoil is stockpiled at edges of permit boundary. <br />Page 2 of 4 <br />