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February 19, 2015 C- 2009 - 087 /Peabody Sage Creek Mine JDM <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA Not Applicable <br />Y - Air Resource Protection <br />R - Roads <br />N - Availability of Records <br />N - Reclamation Success <br />NA - Backfill & Grading <br />N - Revegetation <br />NA - Excess Spoil and Dev. Waste <br />NA - Subsidence <br />R -Explosives <br />NA - Slides and Other Damage <br />Y - Fish & Wildlife <br />Y - Support Facilities On -site <br />R - Hydrologic Balance <br />Y - Signs and Markers <br />Y - Gen. Compliance With Mine Plan <br />NA - Support Facilities Not On -site <br />NA - Other <br />NA - Special Categories Of Mining <br />NA - Processing Waste <br />N -Topsoil <br />COMMENTS <br />This was a partial coal inspection conducted by Jason Musick of CDRMS. The weather was clear and the site was <br />snow - covered during the inspection. Jared Ebert of the Division accompanied the inspection. No mining <br />activities are occuring as the site remains idle. Bond Release No. 3, Permit Revision No.I and Permit Renewal <br />No. 1 are currently under review by the Division. <br />EXPLOSIVES — Rule 4.08 <br />Distance Prohibitions 4.08.4; Warnings 4.08.4; Control of Adverse Effects 4.08.4: <br />The explosives storage area was observed during the inspection with no problems noted. The storage area remains <br />empty and the ATF explosives storage permit was not renewed. <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 />The Upper Sump, Lower Sump, Pond 003, the Pecoco Pond and Pond 002 were observed during the inspection. <br />Pond 002, which receives discharge from Pecoco Pond and the upper and lower sumps, was frozen, snow - covered <br />and discharging at the time of the inspection. Pond 003 was frozen and snow - covered. The Pecoco Pond was <br />frozen and discharging into the Upper Sump which was frozen and discharging. All embankments were snow <br />covered and stable with no problems noted. <br />Ditches and culverts throughout the North and South Facilities Areas were snow covered at the time of the <br />inspection. <br />ROADS — Rule 4.03 Construction 4.03.1(3)/4.032(3) Drainage 4.03.1(4)/4.032(4) <br />Surfacing and Maintenance 4.03.1(5) and (6)/4.032(5) and (6)Reclamation 4.03.1(7)/4.032(7): <br />All roads from the North facilities Area to the topsoil pile at the South Facilities Area were partially snow - covered <br />but accessible and stable at the time of the inspection. Access roads to the areas of the Pond 004 watershed were <br />Number of Partial Inspection this Fiscal Year: 7 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 4 <br />