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September 24, 2015 C-1980-007/West Elk Mine LDS <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 R - Roads <br />N - Availability of Records N - Reclamation Success <br />N - Backfill & Grading N - Revegetation <br />N - Excess Spoil and Dev. Waste N - Subsidence <br />N - Explosives R - Slides and Other Damage <br />N - Fish & Wildlife N - Support Facilities On-site <br />R - Hydrologic Balance N - Signs and Markers <br />R - Gen. Compliance With Mine Plan N - Support Facilities Not On-site <br />N - Other N - Special Categories Of Mining <br />R - Processing Waste N - Topsoil <br />COMMENTS <br />This was a partial inspection by Leigh Simmons of the Division of Reclamation, Mining and Safety <br />(Division). Kathy Welt and Jessica Loveland of Mountain Coal Company (MCC) each accompanied the <br />inspection at times. The weather was fine. The North Fork of the Gunnison River was flowing at around the <br />seasonal average (-150 cfs, per the USGS streamflow measuring site upstream of Somerset). <br />Ms Welt provided a useful introduction to the site, including historic development and a description of <br />some of the recent issues faced by MCC. <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 />Sediment ponds were inspected and found to be in good order. No ponds were discharging, or had <br />discharged recently. MCC pumps water through hoses between the RPE and M135E sediment ponds, and the <br />preparation plant in order to make use of the resource and reduce the likelihood of water discharging from the <br />ponds; this is beneficial to MCC since the water collected in the sediment ponds requires less treatment than that <br />withdrawn from the river. Ms Loveland was in the final stages of preparing to solicit bids for a four -stage job to <br />complete a buried pipe project which will make this process more efficient, particularly during the winter months. <br />The project was approved with MR -409 and MR -414. <br />GENERAL MINE PLAN COMPLIANCE: <br />The longwall was just about to start on panel E6. <br />The project to access the B -seam was in the process of being put out for contract. Work was expected to <br />begin on October 12 and last for approximately 6 months. <br />Number of Partial Inspection this Fiscal Year: 2 <br />Number of Complete Inspections this Fiscal Year: 1 <br />Page 2 of 6 <br />