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<br />LETTER OF AUTHORIZATION TO PROCEED
<br />WITH SECOND PHASE
<br />ENGINEERING AND GEOTECHNICAL SERVICES
<br />July 22, 1981
<br />Mr. Chris Seglem
<br />Colorado Westmoreland, Inc.
<br />9034 E. Easter Place, #205
<br />Englewood, Colorado 80112
<br />Dear Mr. Seglem:
<br />We propose to render professional engineering and related services regarding Phase 2 of
<br />the Geotechnical Studies as referenced in our original Letter of Agreement for
<br />Engineering Services (signed July 10, 1981) for Colorado Westmoreland's Orchard Valley
<br />Coal Mine near Paonis, Colorado.
<br />Phase i of. this study, the Geotechnical Overview, was authorized by Colorado
<br />Westmoreland, Inc. (CWD July 1, 1981, and culminated in a report to the Colorado
<br />Mined Land Reclamation Board by Geo-Hydro Consulting, Inc. on July 10, 1981.
<br />Scope of Phase 2
<br />Phase 2 of this project is a more detailed investigation into critical areas of the site
<br />discovered in the overview or first phase.
<br />The scope of the second phase of this work will include six (6) exploratory test holes,
<br />the excavation of 6 to 8 test pits, the Installation of 2 to 3 monitoring wells, the
<br />performance of various soils and chemical tests, and the performance of a series of
<br />analyses dealing with the existing facilities, the reclaimed configurations and with the
<br />proposed waste disposal pile.
<br />As part of Phase 2, Merrick do Company would act as the owner's representative and
<br />would participate in the coordination of the work involving Geo-Hydro Consulting, Inc.
<br />(see separate proposal to CWI from Geo-Hydro Consu]ting, Inc.), ourselves, the drilling
<br />contractor (see separate proposals from drilling contractors) and any outside
<br />laboratories. In addition, Merrick do Company would review and evaluate the existing
<br />surface drainage flows and patterns, and their influence on the existing major fill areas
<br />and any potentially critical areas of the site (es determined by Geo-Hydro). Merrick dr
<br />Company would also perform various stability analyses and would provide extensive
<br />input for any recommendations to Geo-Hydro Consulting, Inc. concerning the practical
<br />reclamation of all critically stable areas of the mine site.
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