2012-12-14_INSPECTION - M1992016

Home Browse Search

OBSERVATIONS PERMIT #: M- 1992 -016 INSPECTOR'S INITIALS: TC1 INSPECTION DATE: June 4, 2012 This inspection was conducted as part of the regular monitoring program. The Operator was represented by Tom Smith, who was present for the inspection. The Penrose Ranch site is located approximately four miles east of Florence, CO off State Hwy 120. Inspection: The mine entrance sign displayed the mine reclamation permit ID number (see Photo 1). This is a mesa top mine operation and the permit boundary is beyond the edge of the mesa, which serves to mark the edge of the minable material. The operation has an asphalt batch plant (see Photos 2 and 3) that was actively processing material at the time of inspection. The site is clean and materials appear to be properly stored. The progression of operations appeared to be following the mine plan. Reclamation activity is proceeding. Several areas have been graded (see Photo 4), topsoiled, and seeded. The lack of precipitation this year has hampered the establishment of vegetation. A few tamarisk were observed on the north edge of the material stockpiles (see Photo 5). No impounded stormwater was observed. Wash water was observed being discharged into the lower settling pond (see Photo 6). File Review Notes: • The total permitted area is 2,496 acres. The maximum allowed disturbed area is 100 acres. • The previous inspection was performed on 9/25/2007. No problems were noted. • The annual fees and reports have been submitted up through 2012. A review of the 2012 annual report received on August 6, 2012 shows the following deficiencies: o No was map submitted with the report as required by Rule 1.15(1), see Item 21. o Disturbed area discrepancy: i. Item 7 indicates approximately 85 acres are disturbed. This includes mining + incomplete and/or unreleased reclamation, as stated in the report form. ii. Item 12 indicates 150 acres have been graded and topsoil replaced. These 150 acres are considered disturbed by the Division until they are released through a release requested by the Operator. The Division has no record of Operator requests for surety reductions based on completed reclamation tasks. As such, total disturbed area exceeds 100 acres. o These deficiencies are cited as a problem on page 1. • There is a $200,812 financial warranty (corporate surety) for the site, established as part of Amendment 2 in 2003. The 2003 unit costs are considerably out of date. A revised bond estimate using 2012 unit costs is attached. A surety increase letter will be sent under separate cover. Please review the attached bond estimate. Current Stipulations: None outstanding. Recommendations: The Division recommends the following tasks be completed by the Operator: 1. Review the enclosed bond calculation worksheets and contact Tim Cazier with any questions. Page 2 of 4