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December 18, 2014 C- 1981 - 018 /Deserado Mine ZTT <br />Coal fines along conveyor. <br />RECLAMATION SUCCESS - Rule 4.15, Rule 3: <br />Explorations holes 310128 -13 and 310128 -14, LWB12 -1 and LWB12 -4 were reclaimed prior to the inspection. <br />Boreholes were sealed and associated pads were ripped and reseeded. No issues were observed. <br />SIGNS AND MARKERS — Rule 4.02: <br />The following drill sites were observed in previous inspections and were missing topsoil markers. LWB13 -4, N10- <br />26, N11 -15 and N11 -28 each had markers designating its associated topsoil. No issues were observed. <br />Additional topsoil markers were also placed at the newly constructed nitrogen injection plant. <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 />All topsoil piles inspected had required makers as per Rule 4.02.7. <br />Topsoil pile located behind the diesel fuel storage was regraded and pushed away from the tank as required by <br />MSHA. The pile was reseeded and no issues were observed. <br />Number of Partial Inspection this Fiscal Year: 4 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 4 of 6 <br />