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April 1, 2015 C- 1996 - 084 /Lorencito Canyon Mine LDS <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA Not Applicable <br />NA - Air Resource Protection Y - Roads <br />N - Availability of Records Y - Reclamation Success <br />NA - Backfill & Grading R - Revegetation <br />R - Excess Spoil and Dev. Waste NA - Subsidence <br />NA - Explosives Y - Slides and Other Damage <br />Y - Fish & Wildlife NA - Support Facilities On -site <br />R - Hydrologic Balance <br />N - Gen. Compliance With Mine Plan <br />N - Other <br />NA - Processing Waste <br />Y -Signs and Markers <br />Y - Support Facilities Not On -site <br />Y - Special Categories Of Mining <br />Y - Topsoil <br />COMMENTS <br />This was a partial inspection by Leigh Simmons of Colorado Division for Reclamation, Mining and <br />Safety, (the Division). The weather was clear, dry and windy. <br />There was no recent disturbance, and no recent activbity at the site. Vince Massarotti still plans to be at <br />the site, with Ron Tokar, from around April 6 for approximately 6 weeks. <br />For details of the New Elk Coal Company please refer to the inspection report for the New Elk Mine. <br />EXCESS SPOIL and DEVELOPMENT WASTE — Rule 4.09 <br />Placement; Drainage Control; Surface Stabilization: <br />Fills 7, 8 and 9 were in good condition with no sign of erosion. The vegetation on the fills looked good. <br />The down - drains on all the fills were in good shape. <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 />No ponds were discharging, but all were holding water. <br />REVEGETATION — Rule 4.15 <br />Vegetative Cover; Timing: <br />A survey of the shrub plot revealed three live plants. One was a Woods' rose, the other two may have been <br />mountain mahogany. The grass in the shrub plot was very dense. A discussion is ongoing as to the best strategy to <br />establish shrubs on the site, since the current plan does not appear to be viable. <br />Number of Partial Inspection this Fiscal Year: 7 <br />Number of Complete Inspections this Fiscal Year: 3 <br />Page 2 of 11 <br />