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November 7, 2014 C- 1981- 012/New Elk Mine LDS <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 />Ponds 1, 6, 7 and 8 were all holding water, but none were discharging. <br />Pond 4 was not inspected, but was likely dry since there had been no notable precipitation since the last <br />inspection. <br />The clean water diversion ditch from the water tanks, east to the flume adjacent to the portal was inspected <br />and was in good shape. <br />GENERAL MINE PLAN COMPLIANCE: <br />TR68, TR70 and RN6 are all in progress. <br />PROCESSING WASTE /COAL MINE WASTE PILES — Rule 4.10 and 4.11 <br />Drainage Control; Surface Stabilization; Placement: <br />Although the wash plant was not operating during the inspection, it had been working until the day before. <br />Waste had been deposited on the RDA, but had not yet been spread or compacted. The fault in the wash <br />plant was to do with the pump that takes water from the thickener tank to the plant, which meant that the water <br />level in the thickener tank was higher than normal. There was no evidence of water having been discharged from <br />the plant or the tank, so this area was in compliance. <br />SUPPORT FACILITIES - Rule 4.04: <br />The old technical services building had been prepared for transportation off site, back to the company <br />from which it was rented. <br />OFFSITE SUPPORT FACILIITES - Rule 4.04,4.28: <br />Ground water monitoring points NM21, NM22 and NM23 were inspected; no problems were observed. <br />DOCUMENTS RECEIVED <br />John Terry hand delivered a copy of the proof of publication of the public notice for TR70 (as well as <br />Golden Eagle RN6 and Lorencito Canyon TR18) <br />OTHER (SPECIFY) <br />N/A <br />ENFORCEMENT ACTIONS /COMPLIANCE <br />No enforcement actions were initiated as a result of this inspection, nor are any pending. <br />Number of Partial Inspection this Fiscal Year: 3 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 3 of 9 <br />