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Mr. Davrd Berry Division of Minerals and Geology Page 2 MAJOR RECLAMATION PROJECTS AND SCHEDULES In the September 23, 2004 meeting, SCC discussed the plan to complete six major reclamation projects. The schedule for completing these projects, important contingencies, and status are discussed below. The projects, in priority order, include: 1. Yoast Neck Pit Grading The Yoast neck pit highwall was blasted on 10/5/04 and dozers are working to complete the grading. Estimated 50% complete at this time. 2. Seneca II-W "A" pit topsoil replacemeut and drainage channel construction; The topsoil replacement is approximately 35% complete. The drainage channel construction is also about 28% complete. 3. Seneca II postmine channel reconstruction Repair of channel PM-4 has been completed. Repair of channel PM-6 has been completed. Reconstruction of channels PM-3 and PM-18 has been completed. Repair of channel PM-8 has been completed. The issues regazding channel density were addressed in SCC's response to TR-36 (submitted September 30, 2004). The postmine channel reconstruction will be completed by the end of the yeaz except for on- going maintenance. 4. Yoast south pit grading The south pit grading is about 95% complete. 5. Seneca II-W south pit grading The south pit grading is about 95% complete. 6. Yoast south pit topsoil replacemeut. Topsoil replacement is in progress. 7. Aspen Study Transplanting (issue brought up by DMG) Harvesting and transplanting activities began the first week of October. SCC is committed to completing these projects by the end of the year. However, in the September 23`d meeting, SCC discussed weather and labor contingencies that may not allow us to complete all the projects. This is especially true of those pertaining to topsoil handling. It is too late in the reclamation season to mobilize a large eaz[hmoving contractor this fall to work on the topsoil projects. As a fallback, SCC has identified additional scrapers located at other Peabody Energy mines that are being moved to Seneca. In order to overcome the labor availability problem, SCC has expanded the labor seazch radius to adjacent states in an attempt to hire qualified operators. Hiring is ongoing. SCC will continue working on these projects until they are either completed or weather precludes further work. Any remaining work will be completed as soon as conditions become favorable in the spring, along with all the normal reclamation commitments for 2005. SCC will seek