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AAGAPITO ASSOCIATES, INC. <br />Mining & Civil Engineers & Geologists <br />1536 COLE BOULEVARD <br />BUILDING 4, SUITE 220 <br />LAKEWOOD, CO 80401 <br />VOICE 303.271.3750 <br />www.agapito.com <br />May 22, 2014 <br />Juan Garcia <br />Technical Services Manager <br />Colowyo Coal Company <br />5731 State Highway 13 <br />Meeker, CO 81641 <br />Re: Highwall Mining Areas, South Taylor and West Pits <br />Dear Juan: <br />CORPORATE HEADQUARTERS <br />GRAND JUNCTION <br />970.242.4220 <br />227 -25 <br />Per our recent conversation regarding the mining areas for the South Taylor and West <br />Pits in the AAI report " Geotechnical Design and Operational Considerations for Highwall <br />Mining, South Taylor Pit G78 and E /D2 Seams, and West Pit F, E, D2, and C Seams," dated <br />April 21, 2014, it is not AAI's intent to limit highwall mining strictly to the areas indicated on <br />the various figures. So long as the characteristics (pit, seam, mining height, cover depth) of the <br />mining are captured by the design charts in the report, and an interburden thickness of twice the <br />lower seam mining height is observed, the geotechnical design would remain valid were the <br />mining to extend beyond the indicated boundaries. <br />Thank you for the continued opportunity to assist you with highwall mining issues at <br />Colowyo. Please let me know if you have any questions or need further clarification. <br />Sincerely, <br />Tom Vandergrift <br />Principal <br />tomvdg @agapito.com <br />TV:tly <br />Transmitted as a PDF via e-mail <br />DISCLAIMER. This document contains professional opinions based on site visits and information provided by the <br />Owner. AN makes no warranties, either expressed or implied as to the accuracy or completeness of the <br />information contained herein. Identification and control of hazardous conditions are the responsibilities of the <br />Owner. <br />GEOENGINEERING • MINING ENGINEERING • CIVIL ENGINEERING <br />