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January 22, 2014 C -1983- 059 /Terror Creek Loadout JRS <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA =Not Applicable <br />N - Air Resource Protection <br />R - Roads <br />N - Availability of Records <br />N - Reclamation Success <br />N - Backfill & Grading <br />N - Revegetation <br />N - Excess Spoil and Dev. Waste <br />N - Subsidence <br />N - Explosives <br />N - Slides and Other Damage <br />N - Fish & Wildlife <br />R - Support Facilities On -site <br />R - Hydrologic Balance <br />N - Signs and Markers <br />R - Gen. Compliance With Mine Plan <br />N - Support Facilities Not On -site <br />N - Other <br />N - Special Categories Of Mining <br />N - Processing Waste <br />N - Topsoil <br />COMMENTS <br />This was an aerial inspection of the Terror Creek Loadout conducted by Jim Stark of the Colorado Division of <br />Reclamation, Mining and Safety. The photographs were taken by Harry Ranney also with the Division. The <br />weather was clear and the ground appeared to be mostly dry. <br />HYDROLOGIC BALANCE - Rule 4.05 Drainage Control 4.05.1, 4.05.2, 4.05.3; Siltation Structures 4.05.5, <br />4.05.6; Discharge Structures 4.05.7, 4.05.10; Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring <br />4.05.13; Surface Water Monitoring 4.05.13; Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, <br />4.05.9; Stream Buffer Zones 4.05.18: <br />- The sediment pond contained a small pool of water but was not discharging at the time of the inspection. The <br />pond embankment was well vegetated and appeared to be stable. There were no erosional problems noted on the <br />pond embankment or inslopes. <br />- The dugout pond was dry at the time of the inspection. The dugout pond is an incised pond. The pond was well <br />vegetated and no erosional problems were noted. <br />GENERAL MINE PLAN COMPLIANCE: <br />- The Terror Creek Loadout is a loadout only. They process (size) and load coal. The lump and stoker coal piles <br />were very small at the time of the inspection. The coal fines pile was large. This fines pile is periodically hauled <br />back to the Elk Creek Mine. There is also a large pile of raw coal that has been dumped by the coal reclaim <br />tunnel. This coal will be processed when it is needed. Finally, there is a small pile of coal waste near the sediment <br />pond. This coal waste is periodically hauled back to the Elk Creek Mine and disposed of in one of their refuse <br />piles. The operations at the Terror Creek Loadout are consistent with what is described and approved in the <br />permit. <br />Number of Partial Inspection this Fiscal Year: 5 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 5 <br />