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June 11, 2014 C- 2009 - 087 /Peabody Sage Creek Mine JDM <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA =Not Applicable <br />Y - Air Resource Protection <br />R -Roads <br />R - Availability of Records <br />R - Reclamation Success <br />NA - Backfill & Grading <br />Y - Revegetation <br />NA - Excess Spoil and Dev. Waste <br />NA - Subsidence <br />• -Explosives <br />NA - Slides and Other Damage <br />• - Fish & Wildlife <br />Y - Support Facilities On -site <br />R - Hydrologic Balance <br />R -Signs and Markers <br />Y - Gen. Compliance With Mine Plan <br />NA - Support Facilities Not On -site <br />NA - Other <br />NA - Special Categories Of Mining <br />NA - Processing Waste <br />N - Topsoil <br />COMMENTS <br />This was a complete coal inspection conducted by Jason Musick of CDRMS. Katryna Snowden of Peabody <br />Energy accompanied the inspection. The weather was clear and the site was dry during the inspection. No mining <br />activities are occuring as the site remains idle. Permit Revision No. 1 is currently under review by the Division. <br />HYDROLOGIC BALANCE - Rule 4.05 <br />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; <br />Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring 4.05.13; Surface Water Monitoring 4.05.13; <br />Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, 4.05.9; Stream Buffer Zones 4.05.18: <br />Pond 004, the Pecoco Pond, Upper Sump, Lower Sump, Pond 003 and Pond 002 were observed during the <br />inspection. Pond 004 and Pond 002, which receives discharge from Pecoco Pond, and the upper and lower sumps, <br />were discharging at the time of the inspection. A trickle discharge was observed at Pond 003. All embankments <br />were stable with no problems noted, with the exception of the following: <br />- noxious and invasive vegetation was observed along the embankments of the Pecoco Pond near the inlet and <br />outlet of the primary spillway, within the emergency spillway of the Upper Sump, the embankments of the Upper <br />Sump and the Lower Sump, and Pond 003. <br />- Rodent burrows were observed within the embankment of Pond 003. <br />Pond 004 Pecoco Pond <br />Number of Partial Inspection this Fiscal Year: 8 <br />Number of Complete Inspections this Fiscal Year: 5 <br />Page 2 of 7 <br />