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June 10, 2015 C-1981-012/New Elk Mine <br />Inspection Topic Summary <br />NOTE: Y=Inspected N=Not Inspected R=Comments Noted V=Violation Issued NA Not Applicable <br />N - Air Resource Protection <br />R - Roads <br />N - Availability of Records <br />R - Reclamation Success <br />N - Backfill & Grading <br />R - Revegetation <br />R - Excess Spoil and Dev. Waste <br />N - Subsidence <br />N - Explosives <br />Y - Slides and Other Damage <br />N - Fish & Wildlife <br />R - Support Facilities On-site <br />R - Hydrologic Balance <br />Y - Signs and Markers <br />Y - Gen. Compliance With Mine Plan <br />N - Support Facilities Not On-site <br />N - Other <br />NA - Special Categories Of Mining <br />R - Processing Waste <br />R - Topsoil <br />COMMENTS <br />I': <br />This was a partial inspection conducted by Janet Binns of CDRMS. Ron Thompson of NECC accompanied the <br />inspection. The New Elk mine is an underground mine that is not currently producing coal. Surface maintenance <br />and hauling of development waste material to the Refuse Disposal Area (RDA) was occurring at the time of the <br />inspection. <br />The weather has been very wet with almost daily rain storms. The weather was cloudy with occasional light <br />drizzle during the inspection. <br />EXCESS SPOIL and DEVELOPMENT WASTE — Rule 4.09 <br />Placement; Drainage Control; Surface Stabilization: <br />DWDA 92 drainage is being handled well. There were no breaches or notable low spots in the Ditch D14 <br />south of the DWDA #2. <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; Stream Buffer Zones 4.05.18: <br />None of the ponds at within the permit area were discharging at the time of the inspection. Pond 7 was <br />holding a cloudy pool of water approx. 3" below the lowest weep hole elevation. Ron noted that NECC planned to <br />clean sediment out of Pond 7 this season. <br />Pond 8 was holding a pool of cloudy water well below the discharge elevation of the riser. <br />Pond 4 did not appear to even hold a pool of water. Pond 4 was not discharging. <br />The SAE at the water tank pad south of the facilities area needs hay bales refreshed. <br />Number of Partial Inspection this Fiscal Year: 8 <br />Number of Complete Inspections this Fiscal Year: 4 <br />Page 2 of 6 <br />