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carry -forward for several years under the existing agreement. During 2016-2018, weed control, range <br />improvement, and related agricultural activities were completed on approximately 430 acres under this agreement. <br />A bond release application was prepared for submittal in September 2016 for several areas that had been reclaimed, <br />including the Williams Fork Strip Pit, Utah Tract, and several smaller areas. After initial review, the bond release <br />was put on hold since some of the revegetation success sampling was considered outdated. Subsequently, MCM <br />contracted with ESCO Associates and their successor, Cedar Creek Associates, to complete supplemental <br />revegetation success sampling, consistent with applicable permit requirements, and in support of a pending bond <br />release application. The sampling effort included; Utah Tract (pre- and post -law), Williams Fork Strip Pit (pre- and <br />post -law), No. 5 Mine Portal Area, No. 9 Mine Portal, Shop and Refuse Pile Areas, other miscellaneous reclaimed <br />areas (Bathhouse and Office Area, Brasell-Simms Building, and Reclamation Storage Building). Revegetation <br />success sampling was conducted in 2014 and 2015, and the final sampling report was received in third-quarter <br />2016. Based on favorable sampling results, MCM is currently working on review and re -submittal of a bond <br />release application for the subject areas, with anticipated submittal in early 2019. <br />As part of a "Rails -to -Trails" plan to convert the Hayden Gulch Loadout property to a recreational trail for public <br />benefit, MCM and Peabody's Lands and Resources Group are working with the Colorado State Land Board to trade <br />a tract of land in TSN, R91 W, Section 6 to the State for similar lands owned by the State at Hayden Gulch. As part <br />of this land trade, which will probably be finalized in 2019, MCM will submit a revision addressing the change in <br />ownership and appropriate right -of -entry documentation. <br />Attached are copies of the standard form (CDRMS) Annual Reclamation Report for 2018, and 2018 Annual <br />Reclamation Report Map. Please note that this report incorporates a number of minor changes and updates <br />resulting from the Division's review of recent ARR's. If you have any questions or require further information, <br />please feel free to contact me at your convenience. <br />Sincerely, <br />For Moffat County Mining, LLC <br />Affairs <br />