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Ill. COMMENTS -COMPLIANCE Below are comments on the inspection. The comments include discussion of observations made during the inspection. Comments also describe any enforcement actions taken during the inspection and the facts or evidence supporting the enforcement action. This was a complete inspection of the New Horizon Mine conducted on Mazch 22, 2006 by Mike Boulay of the DMG. Ross Gubka of Western Fuels-Colorado (WFC) was present during the entire inspection. Weather conditions were sunny and cool. Ground conditions at the mine site were dry. Coal was not being loaded and hauled from the mine at the time of the inspection, as the active pit was being prepared for blasting. Availability of Records All required records were on site and available for review. Please see the attached records checklist at the end of this inspection report. Signs and Mazkers Mine identification signs were properly displayed at mine site entrances. Topsoil markers and permit boundary markers were in place where required. Roads Haul roads and access roads were maintained and in good condition throughout the site. Hydrologic Balance Sedimentation Ponds 007, 008, 009, 012, and 014 were viewed during this inspection. Pond 007 was the only pond dischazging. Discharge from this outfall is primarily the result of water being pumped from the pit. Pond 008 was retaining a significant amount of water but at a level below the principal spillway. Ponds 009, 012, and 014 were dry. Pond inlets, embankments and discharge structures were stable at all pond locations. Explosives During the inspection, I observed an overburden cast blast at Bench 2 of the active pit area. A 115' wide pit cut was prepazed. Prior to the blast the azea was sprayed with water to aid in dust suppression. A safety meeting/briefing was held between WFC and their blasting contractor prior to the blast. The operator sounded warning and all cleaz signals prior to and after the blast, respectively. WFC maintains detailed records of all blasting activities.at the mine site. Blasting records were reviewed as part of this complete inspection and no problems were noted.