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December 23, 2020 C-1983-059/Terror Creek Loadout LDS <br />Inspection Topic Summary <br />NOTE: Y Inspected N=Not Inspected R=Comments Noted V=Violation Issued NA=Not Applicable <br />N - Air Resource Protection <br />R - Availability of Records <br />N - Backfill & Grading <br />N - Excess Spoil and Dev. Waste <br />N - Explosives <br />N - Fish & Wildlife <br />R - Hydrologic Balance <br />R - Gen. Compliance With Mine Plan <br />N - Other <br />N - Processing Waste <br />N - Roads <br />N - Reclamation Success <br />N - Revegetation <br />N - Subsidence <br />N - Slides and Other Damage <br />N - Support Facilities On -site <br />N - Signs and Markers <br />N - Support Facilities Not On -site <br />N - Special Categories Of Mining <br />R - Topsoil <br />COMMENTS <br />This was a complete inspection by Leigh Simmons of the Division of Reclamation, Mining and Safety <br />(Division). The weather was clear and dry with snow on the ground. There was no activity at the site, and no sign <br />of any recent disturbance. <br />AVAILABILITY OF RECORDS — Rule 5.02.4(1): <br />Records were available at the mine office, details are given at the end of this report. <br />HYDROLOGIC BALANCE - Rule 4.05 <br />Drainage Control 4.05.1, 4.05.2, 4.05.3; Siltation Structures 4.05.5, 4.05.6; Discharge Structures 4.05.7, 4.05.10; <br />Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring 4.05.13; Surface Water Monitoring 4.05.13; <br />Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, 4.05.9; Stream Buffer Zones 4.05.18: <br />A berm had been established around the perimeter of the pad to control surface water runoff. Runoff from <br />recently disturbed areas had been controlled using straw wattles. <br />GENERAL MINE PLAN COMPLIANCE: <br />No bond release application has been submitted by Oxbow for the Terror Creek loadout, but the Division <br />understands that the recent backfilling and grading work was undertaken so as to ready the site for bond release. <br />There are several issues that have identified during the normal I&E (inspection and enforcement) program that will <br />need to be addressed in order for the site to be eligible for bond release: <br />1. Coal containing material is clearly visible in the aerial images presented in the November aerial inspection <br />report (dated 12/2/2020), and from the ground, around the location of the loadout facility and conveyor (as <br />shown on Map 5). This coal -containing material must be removed prior to final bond release, regardless <br />of the post -mining land use of the site. Prior to the approval of PR-1 this material would have been taken <br />care of during the regrading of the site, as described in section 2.05.4 of the PAP. <br />2. A concrete foundation was visible in the embankment, to the east of the recently backfilled area. All the <br />concrete structures must be broken up and buried or disposed of off -site. <br />Number of Partial Inspection this Fiscal Year: 4 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 10 <br />