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OBSERVATIONS <br />PERMIT #: M- 1998 -065 <br />INSPECTOR'S INITIALS: MAC <br />INSPECTION DATE: February 28, 2013 <br />The inspection was conducted by Michael Cunningham of the Division of Reclamation, Mining and Safety <br />(Division). Jason Lockard and Rusty Reese of the Washington County Road and Bridge District No.2 were also <br />present for the inspection. The Hayes Pit is located approximately 2 miles northwest of Otis, Colorado. The site <br />is permitted for 9.5 acres. The primary post- mining land use is wildlife habitat, with a secondary option to <br />reclaim the site to cropland. There were several inches of snow on the ground at the time of the inspection. <br />The permit sign was posted at the site entrance. The boundary of the affected area was delineated with <br />monuments; the northwest boundary marker was missing. The missing boundary marker has been cited as a <br />problem and will require corrective action by the Operator; please see the first page of this report for <br />additional information. <br />No mining was occurring at the time of the inspection; mining equipment was present on the site. The <br />Operator is currently mining along the southern permit boundary; mining has reached the limits of the permit <br />boundary on the north, south and east sides. Approximately 1.8 acres of the pit remain undisturbed along the <br />west portion of the site. According to the Operator, mining will not progress any further to the west. The <br />landowner has planted fruit trees in the northwest corner of the site, in accordance with the approved <br />Reclamation Plan. The Operator has mined to a depth of 5 - 6 feet below the original ground level. Topsoil has <br />been salvaged and stockpiled on the west edge of the pit; the topsoil stockpile was vegetated and stable. <br />This concluded the inspection. <br />Page 2 of 4 <br />