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October 23, 2014 C- 2010- 089/New Horizon North Mine BFB <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 />N - 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 />N - 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 />R - Topsoil <br />COMMENTS <br />This was an aerial inspection of the New Horizon North Mine conducted by Brock Bowles and Harry Ranney of <br />the Colorado Division of Reclamation Mining and Safety. The photographs were taken by Harry Ranney on <br />October 23, 2014 at approximately 11:25 am. Brock Bowles reviewed the photographs. The weather conditions <br />were clear and the ground appeared to be dry. <br />HYDROLOGIC BALANCE - Rule 4.05 <br />Drainage Control 4.05.1, 4.05.2, 4.05.3; 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 1 contained some water but it was not up to the primary spillway (photo 1). Pond 1 is the only <br />constructed pond at this time. <br />GENERAL MINE PLAN COMPLIANCE: <br />Coal was stacked in four separate piles by the east entrance to the mine (photo 1). Overburden and topsoil <br />stockpiles appear to be stable. <br />TOPSOIL — Rule 4.06 <br />Removal 4.06.2; Substitute Materials 4.06.4(4); Storage and Protection 4.06.3; Redistribution 4.06.4: <br />Top soil had been salvaged in front of the pit area. A topsoil stock pile southwest of the pit appeared to be <br />stable and had a ditch around it (photo 1). <br />Number of Partial Inspection this Fiscal Year: 3 <br />Number of Complete Inspections this Fiscal Year: 1 <br />Page 2 of 3 <br />