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DESERADO MINE <br />� BLUE MOUNTAIN ENERGY <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675 -4300 <br />fax (970)675 -4399 <br />January 15, 2015 <br />Mr. Zach Trujillo <br />Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />RE: Sediment Pond Inspection Report for 4th Quarter 2014. <br />County Road 65 Subsidence Monitoring Report <br />Blue Mountain Energy, Inc., Deserado Mine (Permit C- 1981 -018). <br />Dear Zach: <br />RECEDED <br />,SAN 21 2015 <br />DIVISION OF RECLAMATION <br />MINING AND SAFETY <br />Enclosed is the Sediment Pond Inspection Report for the 4th quarter 2014 for the Deserado Mine. The <br />only discharges that occurred during the quarter was from the Raw Water Lagoon. Outflows within <br />the dewatering pond system did not result in a discharge out the regulated outfall from the Last Chance <br />Pond (BD -LC). <br />COUNTY ROAD 65 SUBSIDENCE REPORT <br />Longwall mining under County Road 65 occurred early in this quarter. Only superficial cracking was <br />observed with no damage significant enough to warrant repair or to effect traffic. <br />If you have any questions, please call me at (970)675 -4322. <br />Sincerely, <br />Scott Wanstedt <br />Environmental Engineer <br />enc.: <br />