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Geotechnical I Environmental Engineering • Materials Testing <br />October 9, 2017 <br />Twenlynrile Coal Company <br />29515 RCR 427 <br />Oak Creek, CO 80467 <br />Attn: Mr. Jerry Nettleton <br />Job Number: 99-3983 <br />Subject: Quarterly Observation Report, Refuse Pile, <br />Foidel Creek Mine, Routt County, Colorado. <br />Mr. Nettleton, <br />As requested, NWCC, Inc. (NWCC) has prepared this report outlining our observations made during the <br />third quarter of 2017 at the Refuse Pile located at Twentymile Coal Company's (TCC) Foidel Creek Mine <br />in Routt County, Colorado. During this quarter, Timothy Travis of NWCC visited the project site on <br />September 29, 2017 to provide the quarterly inspection/observations of the Refuse Pile. <br />At the time of our site visit on September 29, 2017, NWCC completed a cursory site inspection of the <br />existing refuse pile. Based on our observations made during this visit, it appeared that the contractor was <br />presently stockpiling and compacting refiise coal in the new Expansion Area. At the time of our site visit <br />the refuse coal had been placed and compacted below the third bench situated along the east side of the <br />stockpile. <br />In addition, a representative of NWCC visited the refuse pile on September 28, 2017 to conduct <br />compaction testing in the new Expansion Area of the refuse pile. A total of three compaction tests (#557 to <br />#559) were taken in Expansion Area during this quarter. All of the tests taken during this quarter mel the <br />minimum compaction requirement of 90% of the maximum standard Proctor density. Copies of the <br />compaction test results and the daily field reports are attached. It should be noted that the abbreviations <br />given in the Nuclear Density Test Results (Proctor Data) are as follows: Maximum DD = Maximum Dry <br />Density and OMC = Optimum Moisture Content. Both of these values have been determined in <br />accordance with ASTM D698. <br />The internal roadways in the new expansion area of the pile are in good condition. The upper haul road to <br />Areas 2, 3 and 4 of the refuse pile was accessible at the time of our site visit. The grading and compacting <br />of the stockpiles completed in 2015 appear to have improved the overall drainage in these areas and no <br />areas of concentrated drainage or slope instability were observed in this area during our site visit. The <br />contractor did not appear to be stockpiling materials in this area at the time of our site visit. <br />(970) 879.7888 • Fax (970) 879-7891 <br />2580 Copper Ridge Drive • Steamboat Springs, CO 80487 <br />