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Huddleston -Berry <br />Engineering & Testing, LLC <br />T <br />Bowie Resources, LLC <br />43659 Bowie Road <br />Paonia, Colorado 81428 <br />Attention: Mr. Bill Bear <br />Subject: Summary of Instrumentation Monitoring <br />4th Quarter 2014 <br />Bowie Coal Waste Disposal Area No. 2 <br />Paonia, Colorado <br />640 White Avenue, Unit B <br />Grand Junction, Colorado 81501 <br />Phone: 970-255-8005 <br />Fax: 970- 255 -6818 <br />Info@huddlestonberry.com <br />January 14, 2015 <br />Project #01349 -0001 <br />Reference: October 2014 Vibrating Wire Piezometer Monitoring, Bowie Coal Waste <br />Disposal Area No. 2, Paonia, Colorado by Huddleston -Berry Engineering & <br />Testing, LLC for Bowie Resources, LLC, November 14, 2014. <br />Stability Evaluation, Technical Revision 985, Gob Pile #2 Drying Area, Bowie <br />No. 2 Mine by Huddleston -Berry Engineering & Testing, LLC for Bowie <br />Resources, LLC, June 3, 2014. <br />Dear Mr. Bear, <br />At the request of the Colorado Division of Reclamation, Mining and Safety (DRMS), <br />Huddleston -Berry Engineering & Testing, LLC (HBET) prepared this letter regarding quarterly <br />monitoring of vibrating wire piezometers and inclinometers at Coal Waste Disposal Area No. 2 <br />(CWDA No. 2) at the Bowie mine near Paonia, Colorado. The intent of the monitoring was to <br />detect significant changes in the pore water pressures or significant displacements within the coal <br />waste which may impact the stability of the waste pile. <br />Inclinometers <br />In 2005, three inclinometers, designated BG05 -04, BG05 -05, and BG05 -07, were installed at <br />CWDA No. 2 through the coal refuse and into the native foundation soils. The inclinometers <br />have been monitored quarterly since August 2005. The 4th Quarter 2014 monitoring was <br />completed by Buckhorn Geotech, Inc. (BGI) on December 22, 2014 and January 10, 2015. The <br />monitoring report prepared by BGI includes a site plan showing the locations of the <br />inclinometers and cumulative displacement curves relative to the baseline readings in 2005. <br />Axis "A" reflects deformation with depth in the direction of anticipated movement perpendicular <br />to the face of the gob. Axis "B" reflects deformation with depth parallel to the face of the gob. <br />