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2017 ANNUAL RECLAMATION REPORT <br />In compliance with applicable requirements of Rule 2.04.13, Hayden Gulch Terminal, LLC (HGT) <br />presents the following information to satisfy Rule 2.04.13(1)(a) through 2.04.13(i)(f). <br />(a) The name and address of the permittee and permit number: <br />Hayden Gulch Terminal, LLC <br />701 Market Street, Suite 700 <br />St. Louis, MO 63101-1826 <br />Permit No. C-92-081 <br />Local Contact: <br />Hayden Gulch Loadout <br />29515 RCR27 <br />Oak Creek, Colorado 80467 <br />(b) Location and number of acres disturbed during that year: <br />There were no new acres of disturbance at the Hayden Gulch Loadout during 2017. <br />(c) Location and number of acres backfilled and graded during that year: <br />In 2016, HGT initiated removal of remaining facilities at the Hayden Gulch Loadout. This <br />included removal of rail, ties, and ballast from most of the Hayden Gulch spur track. HGT has <br />also contracted for removal of the remaining rail spur crossing of US Highway 40, and <br />anticipates that this work will be completed during the summer in 2018. As part of our overall <br />focus, Peabody seeks to maximize the postmining use and benefits of our reclaimed mine and <br />support properties. Consistent with this objective, HGT is working with Routt County and the <br />Town of Hayden to transition the Tie -Across Haulroad to beneficial use as a part of the existing <br />County road network, and to transition the Hayden Gulch Loadout to beneficial use as a <br />recreational trail for the Town of Hayden. <br />The County has agreed to accept and take responsibility for the Tie -Across Haulroad as a <br />County road. Peabody is working with the landowners along the existing road right-of-way, <br />has obtained the necessary permanent easements and landowner agreements from the private <br />landowners (Smith, Hockett, and Williams), and is working with Routt County to obtain the <br />required landowner clearances for the State Land Board and Public Service of Colorado. We <br />anticipate that the transfer of ownership will occur during 2018. Along with the transfer of <br />ownership, HGT will submit a revision to the CDRMS and obtain approval for a change in <br />postmining land use to industrial:commercial. <br />Similarly, HGT is working with the Town of Hayden, several interested partner entities, and <br />affected landowners to obtain the necessary agreements and funding for conversion of the <br />remaining railbed to a recreational trail, establishment of a parking area, and long-term <br />maintenance. A pending land trade with the State Land Board will clear the way to finalize the <br />transfer agreements. We anticipate that these components will come together during 2018, <br />with transfer and conversion of the Hayden Gulch Loadout property during 2018. <br />Subsequently, HGT will also submit a revision to the CDRMS and obtain approval for a change <br />in postmining land use to recreational, and will then submit a request for termination of the <br />Permit and final bond release for all but the portion of the Permit Area north of US Highway <br />40. <br />