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Mine Site Inspection <br />Mine Name: New Horizon North Mine <br />Permittee: Western Fuels -Colorado, LLC <br />Permit ID#: # C-2010-089 <br />Inspection Date: Tuesday June 21, 2016 <br />Time: 8:00 am — 2:00 pm <br />Inspection Type: Partial Oversight Inspection <br />Weather Conditions: Hot (90's) and dry with scattered clouds <br />Participants: <br />Christine Belka: Office of Surface Mining Reclamation and Enforcement (OSMRE) #182 <br />Brock Bowles: Colorado Division of Reclamation Mining and Safety (DRMS) <br />Frank Ferris: Western Fuels -Colorado, LLC (WFC) <br />Background <br />This was a partial oversight inspection of the New Horizon North Mine as well as a field review <br />for an oversight evaluation focusing on vegetation reference areas. New Horizon North is an <br />active, producing surface coal mine in Nucla, Colorado. The mineral and surface estates are <br />privately owned. This mine utilizes the offices and facilities located on the New Horizon Mine <br />permit (#C-1981-008) immediately to the south, although limited facilities do exist within the <br />North permit area. The currently -projected life of mine extends through calendar year 2020. <br />Active mining and reclamation activities were ongoing during this inspection. A parting shot was <br />observed in the active mining area. Just south of the pit, Bench 1 material was being placed on <br />the Garvey property. Topsoil will be live -hauled and spread on this area. <br />Rule 4.03: Roads <br />All roads were in good condition and demonstrated positive drainage. A water truck was running <br />during the inspection, minimizing the potential for fugitive dust. <br />Rule 4.02: Signs and Markers <br />The mine site identification signs at entrances from publicly -accessible roads were intact and <br />contained all required information (operator name, address, telephone number, and permit <br />number displayed at all entrances). The New Horizon North permit boundary is fenced and <br />marked around the entire perimeter. The disturbance area within the permit boundary is marked <br />with painted t -posts. <br />Topsoil stockpiles are properly marked. Stream buffer zone markers are appropriately located on <br />both sides of Meehan Draw and Nygren Draw. One stream buffer zone marker was measured at <br />approximately 179' north of Meehan draw on the west side of the permit area. Having a larger - <br />than -required stream buffer zone is certainly not a problem from a regulatory standpoint. <br />However, this buffer zone will likely need to be adjusted down to the required 100' range in <br />order to accommodate planned mining activities on the Glasier property. This adjustment would <br />need to be made prior to initiating construction activities within the area. <br />1 1 Page <br />