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September 24, 2014 X- 2005- 109 -11 /Colowyo 2005 Reserve Def Drilling Program JDM <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA Not Applicable <br />N <br />- Air Resource Protection <br />N - Roads <br />N <br />- Backfill & Grading <br />R - Reclamation Success <br />N <br />- Fish & Wildlife <br />N - Revegetation <br />N <br />- Hydrologic Balance <br />N - Slides and Other Damage <br />N <br />- Gen. Compliance With Mine Plan <br />N - Signs and Markers <br />N <br />- Other <br />N - Topsoil <br />COMMENTS <br />This was a coal exploration bond release inspection of X- 2004 - 109 -10 conducted by Jason Musick of the Division <br />of Reclamation, Mining and Safety (Division). A request for bond release, from Tony Tennyson of Colowyo Coal <br />Company, was received by the Division on September 17, 2014. This inspection was conducted with the <br />inspections of X-2006-109-13, X- 2005- 109 -12, and X- 2004 - 109 -10. Martin Stearns of Colowyo Coal Company, <br />accompanied the inspection. <br />The weather was clear and the ground was dry at the time of the inspection. <br />This NOI involved the drilling of 176 exploration holes at 98 sites. Two of the exploration holes were completed as <br />monitoring wells, of which one has been transferred into the the Colowyo Mine's permit 4C- 1980 -19 and has been <br />accounted for in the reclamtion bond of the permit. In addition, 21 of the 24 West Pit exploration series sites have <br />been mined through and one of the three remaining sites, WP- 05 -01, has already been inspected with the bond <br />release inspection of X- 1981 - 123 -05. All remaining sites were inspected and released with the approval of SL -1, <br />with the exception of vegetation at Sites C- 05 -07, CHM- 05 -03, LW- 05 -08, LW- 05 -16, PVC piezometers at LW- <br />05-08 and LW- 05 -11, an open borehole at Site LW- 05 -15, and the monitoring well at C- 05 -33. All remaining sites <br />were inspected with the exception of the monitoring well at Site C- 05 -33. <br />Each site was navigated to using a Trimble Yuma unit, utilizing a final exploration map provided in the Final <br />Reclamation Report. <br />RECLAMATION SUCCESS - Rule 2.02(g) and 4212(2): <br />During the 2013 SL -1 bond release inspection the following sites were not released: <br />-Site C -05 -07 was dominated by Hoary cress, a List B noxious weed species, also known as Whitetop. <br />-Site CHM -05 -03 was dominated by Downy brome, a List C noxious weed species. <br />-Site LW -05 -08 was dominated by Houndstongue, a List B noxious weed species. <br />-Site LW -05 -16 was dominated by Houndstongue, a List B noxious weed species. <br />Based on this inspection, all sites were well vegetated at the time of the inspection with some sites exhibiting more <br />vegetation than others. All areas of disturbance showed no signs of erosion, evidence of noxious /invasive species, <br />or any other problems as a result of exploration. Site CHM -05 -03 displayed an approximately 15'X15' patch of <br />Downy brome, however the majority of the site was weed free. The entire surrounding area was dominated by <br />Downy brome. As such, the Division determined that the small amount of downy brome on the Site was adequate. <br />Number of Partial Inspection this Fiscal Year: 0 <br />Number of Complete Inspections this Fiscal Year: 0 <br />Page 2 of 5 <br />