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April 22, 2015 C- 1980- 007/West Elk Mine JRS <br />GENERAL MINE PLAN COMPLIANCE: <br />- Mining was continuing in the E5 longwall panel. West Elk was almost to cross -cut 22 at approximately station <br />38 +40. They have completed the 6 entries for the Sunset Mains to the intersection point with the longwall panel <br />E7 headgate (cross -cut 6) and were beginning development work on the E7 headgate. The longwall panel E6 <br />headgate has been completed. Mining is progressing as permitted and shown on Map 51 - E -Seam Projected <br />Operations. <br />PROCESSING WASTE /COAL MINE WASTE PILES — Rule 4.10 and 4.11: Drainage Control; Surface <br />Stabilization; Placement: <br />- The active bench of the RPEE was stable and in good condition after the winter months. There was no water <br />pooling on the surface of the pile and no erosional or stability problems were noted. There was a small slide on <br />the west edge above this bench in the native where topsoil was stripped. The contractors were removing this slide <br />material and using it to increase the berm height on the haul road. The operator was in the process of installing a <br />clinometer at the edge of the working bench to determine if there is any movement of the pile. The reclaimed <br />slopes were basically stable. There was some minor rilling and a small slump on the lower west corner of the third <br />lift. West Elk will have these areas repaired once the ground is sufficiently dry. There were several spots where <br />the elk have knocked down the silt fence that will need to be repaired. Overall, the RPEE has held up very well <br />over the winter and spring runoff months. <br />- The RPE was stable at the time of the inspection. There was no water pooling on the surface and no erosional <br />problems were noted. The pile of stockpiled material from the F -Seam beltline rehab work was still there. this <br />will be moved once conditions allow. The contractor was using the RPE area to perform some maintenance on the <br />equipment that was stored there over the winter. The reclaimed slopes of the RPE were stable. No erosional <br />problems were noted on these slopes. <br />ROADS — Rule 4.03: Construction 4.03.1(3)/4.032(3); Drainage 4.03.1(4)/4.032(4); Surfacing and Maintenance <br />4.03.1(5) and (6)/4.032(5) and (6); Reclamation 4.03.1(7)/4.032(7): <br />- The main haul/access road and the haul road to the Sly Gulch facilities area were well maintained and stable at <br />the time of the inspection. <br />The haul road to the RPEE was stable and well maintained. The surface has a good layer of gravel on it and <br />there were no problems with erosion or rutting noted. <br />SLIDES and DAMAGE - Rule 4.12: <br />- The HR -1 slide area remained stable at the time of the inspection. There was one spot just east of the RPE that <br />remains saturated. This area has experienced some minor surface (topsoil) movement. There was also some <br />minor surface movement just above the culvert and apron area of the RPEE sediment ditch. Once the area dries <br />out the operator will need to inspect these areas and repair as necessary. Overall, the HR -1 slide remediation has <br />held up well through the winter and spring runoff. <br />- The ST -02 slide area was observed from below. This area appeared to be well vegetated and remains stable. No <br />problems were noted. <br />Number of Partial Inspection this Fiscal Year: 7 <br />Number of Complete Inspections this Fiscal Year: 3 <br />Page 3 of 11 <br />