2014-01-31_INSPECTION - C1996084 (2)

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January 8, 2014 C- 1996- 084 /Lorencito Canyon Mine LDS Inspection Topic Summary NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA =Not Applicable NA -Air Resource Protection R -Availability of Records NA - Backfill & Grading R - Excess Spoil and Dev. Waste NA - Explosives Y - Fish & Wildlife R - Hydrologic Balance R - Gen. Compliance With Mine Plan NA -Other NA - Processing Waste R -Roads R - Reclamation Success Y - Revegetation NA - Subsidence NA - Slides and Other Damage NA - Support Facilities On -site R -Signs and Markers Y - Support Facilities Not On -site Y - Special Categories Of Mining Y - Topsoil COMMENTS This was a complete inspection by Leigh Simmons of Colorado Division for Reclamation, Mining and Safety, (the Division). The inspection was accompanied by Vince Masarotti and John Terry of New Elk Coal Company, (NECC). The weather was fine, although there was still snow on the ground from a storm the preceding weekend. Several permitting actions are in progress, these are detailed under the heading GENERAL MINE PLAN COMPLIANCE. AVAILABILITY OF RECORDS — Rule 5.02.4(1): The records were available in the Technical Services building at the New Elk Mine. Detailed comments are made at the end of this report. EXCESS SPOIL and DEVELOPMENT WASTE — Rule 4.09 Placement; Drainage Control; Surface Stabilization: Fills 7, 8 and 9 were all stable and well vegetated. The erosion outside of fill 8 that had been noted in previous inspections should be repaired when conditions are appropriate. HYDROLOGIC BALANCE - Rule 4.05 Drainage Control 4.05.1, 4.05.2, 4.053; Siltation Structures 4.05.5, 4.05.6; Discharge Structures 4.05.7, 4.05.10; Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring 4.05.13; Surface Water Monitoring 4.05.13; Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, 4.05.9; Stream Buffer Zones 4.05.18: All six ponds were inspected. No problems were observed with any of the spillways or embankments. All the ponds were holding water, though the level had dropped significantly since the last inspection. The surface was frozen so it was not possible to gauge the sediment levels, but given the summer's heavy storms it is likely that several will need to be cleaned out. The ponds have been surveyed and the re- certifications are in progress, these re- certifications are now long overdue and should be made available to the Division as soon as Number of Partial Inspection this Fiscal Year: 4 Number of Complete Inspections this Fiscal Year: 3 Page 2 of 11