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September 18, 2014 C- 1983 - 059 /Terror Creek Loadout JRS <br />GENERAL MINE PLAN COMPLIANCE: <br />- The Terror Creek Loadout is a loadout only. Operations at the site include processing coal (sizing coal) and <br />loading trains. The site was not operating at the time of the inspection and has basically been shut down. The <br />operations have been affected by the current shut down at the Elk Creek Mine. All of the coal piles were removed <br />at the time of the inspection. This includes the small waste pile that was near the sediment pond. The operator <br />was using the coal scale at the time of the inspection. They are hauling the remaining Elk Creek Mine coal to the <br />Bowie No. 2 Mine and were using the scale to determine the amount of coal shipped. There were no problems <br />noted with the coal processing and loading operations at the Terror Creek Loadout and the current operations are <br />consistent with what is approved in the permit. <br />ROADS — Rule 4.03 Construction 4.03.1(3)/4.03.2(3); Drainage 4.03.1(4)/4.03.2(4); Surfacing and Maintenance <br />4.03.1(5) and (6)/4.03.2(5) and (6); Reclamation 4.03.1(7)/4.03.2(7): <br />-The haul road from the loadout entrance to the truck scale is a paved road. This road was well maintained and <br />stable. There were no problems noted with the road or the road embankments. The remaining haul road, from the <br />scale to the truck dump and back to the paved portion of the road, is a dirt road. This road was dry and remains <br />stable and well maintained. No problems were noted with the dirt portion of the haul road at the time of the <br />inspection <br />SUPPORT FACILITIES - Rule 4.04: <br />- The fuel island area appeared to be stable and in good condition. There did not appear to be any problems with <br />this area. <br />- The office and shop area were all well maintained and stable at the time of the inspection. <br />DOCUMENTS RECEIVED: None <br />This concludes the 18 September 2014 complete inspection report for the Terror Creek Loadout. <br />Number of Partial Inspection this Fiscal Year: 2 <br />Number of Complete Inspections this Fiscal Year: I <br />Page 3 of 8 <br />