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OBSERVATIONS <br />This inspection was conducted in response to a request for acreage release (AR) application AR -01 that the Division of <br />Reclamation, Mining and Safety (Division) received on December 14, 2012. The inspection was conducted by Tyler <br />O'Donnell and Tom Kaldenbach of the Division. The following three representatives of the operator were present during <br />the inspection: Brent White, Darren Garcia, and Lex Nichols. This site is located approximately 6 miles southwest of <br />Rocky Ford, Colorado. The site is permitted as a sand and gravel pit. The current permit area is 724 acres. AR -01 <br />requests a release of 699 acres of undisturbed land. The new permit area is 25 acres as proposed in AR -01. The <br />disturbed area appears to be between 14 and 15 acres. The approved post- mining land use is rangeland. <br />The sky was clear and the ground was dry. No equipment was operating at the time of the inspection although it was <br />evident the site does see frequent use. The last activity occurred in June 2012, according to the most recent annual <br />report. The permit sign was posted. The new proposed permit boundary was clearly marked with t- posts. <br />The observations made during the inspection, support a decision to approve AR -01. <br />Acid And Toxic Materials: <br />Two fuel tanks were confined in secondary containment structures. No other source of toxic material was observed. <br />Backfilling and Grading: <br />The pit's highwall appears to be approximately 300 ft long, with an average height of 13 ft. <br />General Mine Plan Compliance: <br />All mining activity appeared to be within the new permit boundary proposed in AR -01. <br />Roads: <br />The access road was in good condition. <br />Reclamation Success: <br />The site has not yet been reclaimed. <br />PERMIT #: M- 2004 -027 <br />INSPECTOR'S INITIALS: TOD <br />INSPECTION DATE: January 3, 2013 <br />Hydrologic Balance: <br />The pit is located on a hill top. The bottom of the pit was dry. There was no evidence of excessive erosion. There <br />appeared to be no significant impacts to the prevailing hydrologic balance. <br />Revegetation: <br />There was some plant growth on the stockpiles and very little vegetation growth elsewhere in the disturbed area. The <br />growth appeared to be volunteer vegetation. <br />Signs and Markers: <br />A mine i.d. sign was posted at the entrance to the site. The new proposed permit boundary under AR -01 was clearly <br />marked by t- posts. <br />Topsoil: <br />The operator's representatives explained that material from borrow ditches would be brought to this site and used as <br />topsoil. The operator will need to provide an inert-fill notice as required by Rule 3.1.5(9), which would require approval <br />from the Division before material is brought in. <br />Page 2 of 4 <br />