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June 25, 2014 C- 1980- 007/West Elk Mine JRS <br />the inspection. There was also a long road spur that was built to access this pad. Both the pad and road <br />construction we going well and no problems were noted. Topsoil from both the pad and road has been pushed to <br />the side or windrowed, as necessary. It will be stockpiled, seeded and mulched and a sign will be put up once the <br />pad and mud pit have been completed. Additionally, the contractor was actively watering the USFS roads to help <br />control fugitive dust. The drilling operations were compared with the permitted operations, approved with <br />Technical Revision 132, and appear to be progressing as permitted. Overall, the contractor is doing an excellent <br />job with pad and road construction and the drilling operations. <br />SIGNS AND MARKERS — Rule 4.02: <br />- The mine ID sign was in place and contained all of the required information. There were also signs in place at <br />facilities along Colorado Highway 133, including the NSSA, loadout and pond MB -5E. These signs also <br />contained all of the required information. <br />- The stream buffer zone signs were in place along the North Fork of the Gunnison at the NSSA. There were also <br />stream buffer zone signs in place along Sylvester Gulch. <br />TOPSOIL — Rule 4.06; Removal 4.06.2; Substitute Materials 4.06.4(4); Storage and Protection 4.06.3; <br />Redistribution 4.06.4: <br />- Both soil stockpiles at the NSSA were well vegetated and stable, with no signs of any erosional problems. There <br />were no weeds seen on either stockpile but there were some hounds tongue and some musk thistle on the road <br />between the piles. Both piles had "topsoil" markers in place as required. <br />- The active topsoil stockpile along the Sylvester Gulch haul road was well vegetated and stable. There were no <br />erosional problems noted on the pile. the pile had the "topsoil" marker in place as required. <br />DOCUMENTS RECEIVED: None <br />This concludes the 25 June 2014 complete inspection report for the West Elk Mine. <br />Number of Partial Inspection this Fiscal Year: I I <br />Number of Complete Inspections this Fiscal Year: 4 <br />Page 5 of 14 <br />