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December 30, 2014 C- 1980- 007/West Elk Mine JRS <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 R - Roads <br />R - Availability of Records N - Reclamation Success <br />N - Backfill & Grading N - Revegetation <br />N - Excess Spoil and Dev. Waste N - Subsidence <br />N - Explosives R - Slides and Other Damage <br />N - Fish & Wildlife R - Support Facilities On -site <br />R - Hydrologic Balance N - Signs and Markers <br />Y - Gen. Compliance With Mine Plan N - Support Facilities Not On -site <br />N - Other N - Special Categories Of Mining <br />R - Processing Waste N - Topsoil <br />COMMENTS <br />This was a complete inspection of the West Elk Mine conducted by Jim Stark of the Colorado Division of <br />Reclamation, Mining and Safety. Kathy Welt, representing Mountain Coal, LLC, was present for the records <br />check portion of the inspection. Jessica Loveland, also respresenting Mountain Coal, accompanied me on the field <br />portion of the inspection. The mine is actively producing and shipping coal. The weather was cold and overcast <br />and the ground was covered with several inches of snow. <br />AVAILABILITY OF RECORDS — Rule 5.02.4(1): <br />- All of the necessary records were available in Kathy Welt's office in the main office building. Please see the <br />Availability of Records form at the end of this inspection report for more detailed information. <br />HYDROLOGIC BALANCE - Rule 4.05: Drainage Control 4.05.1, 4.05.2, 4.05.3; Siltation Structures 4.05.5, <br />4.05.6; Discharge Structures 4.05.7, 4.05.10; Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water <br />Monitoring 4.05.13; Surface Water Monitoring 4.05.13; Drainage — Acid and Toxic Materials 4.05.8; <br />Impoundments 4.05.6, 4.05.9; Stream Buffer Zones 4.05.18: <br />- Pond SG -1 was covered with snow but appeared to be dry at the time of the inspection. The pond embankment <br />appeared to be stable and no erosional problems were noted. <br />- Both cells of the RPE pond were covered with snow but appeared to be dry at the time of the inspection. The <br />pond embankments appeared to be stable and no erosional problems were noted. <br />- Pond MB -3 contained water approximately three feet below the top of the discharge pipe and was not <br />discharging at the time of the inspection. The pond is an incised pond. It was covered with snow but appeared to <br />remain stable. No erosional problems were noted. <br />- The ditches along the haul roads were all covered with snow from the plowing of the roads. This is a normal <br />occurrence this time of year. While the snow covers the ditch, it acts as an insulator and the water is free to flow <br />below the surface. The operator will need to watch these ditches carefully during the winter months and spring <br />runoff to make sure the water stays in the ditches. <br />Number of Partial Inspection this Fiscal Year: 4 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 5 <br />