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• COLORADO <br />Division of Reclamation, <br />Mining and Safety <br />Department of Natural Resources <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />January 31, 2018 <br />Bill Bear <br />Bowie Resources, LLC <br />P.O. Box 1488 <br />Paonia, CO 81428 <br />RE: Bowie No. 2 Mine, Permit No. C-1996-083 <br />4t11 Quarter 2017 Pond Inspection Report Review <br />4t11 Quarter 2017 Coal Waste Pile & Instrument Monitoring Report Review <br />Dear Mr. Bear, <br />The Colorado Division of Reclamation. Mining and Safety (the Division) received the 4th <br />Quarter 2017 Pond Inspection Report and the 4th Quarter 2017 Coal Waste Pile and <br />Instrument Monitoring Report on January 11, 2018. The Division has completed <br />reviewing the reports and found the reports to be in compliance with the following Rules: <br />4111 Quarter 2017 Pond Inspection Report <br />4.05.9(17) — All impoundments are inspected quarterly, by a qualified person designated by the <br />operator, for the appearance of structural weakness and other hazardous conditions. The reports <br />are retained at the Bowie No. 2 Mine Office, and copies of the reports are submitted to the <br />Division on a quarterly basis. <br />Inspections of the ponds were conducted by J.E. Stover and Associates on December 11, 2017. <br />The report noted no discharge occurred from any of the ponds during the inspection. There were <br />no Items listed in the report requiring maintenance. <br />4t11 Ouarter 2017 Coal Waste Pile & Instrument Monitoring Report <br />The report is in compliance with Rule 4.09.1(1 I), Rule 4.10.2(2) and the approved Permit <br />Application. The inspection of the coal waste banks was conducted by J.E. Stover and <br />Associates on December 11, 2017. The report noted on Gob Pile #2 there was a small seep seen <br />at the toe of the pile, west of the haul road. The report states that there were no signs of <br />1313 Sherman Street, Room 215, Denver, Co 80203 P 303.866.3567 F 303.832.8106 http://mining.state.co.us <br />John W, Hickenlooper, Govemor I Robert W. Randall, Executive Director I Virginia Brannon, Director <br />