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JUL-14-2006 08:1] Nationn] Ring Conl LLC P.02 <br />INSPECTION REPORT <br />Site: National King Coal Mine, Hesperus, Colorado <br />Inspected By: Don R. May, P.E., Project Engineer <br />Inspection Date: Quarterly Inspection, April, 2005 <br />Ponds: The inlets, outlets and embankments of both ponds were inspected and appear <br />in good condition. As seen in photo 1, west pond, and photo 2, each pond, both are in <br />need of cleaning. Sediment has acarmulated across the bottom of both ponds reducing <br />the storage volume. The traditional annual maintenance should be completed soon. <br />Drainaoe Ditches: The drainage channels, on the sides of the waste rock pile, appear in <br />good general condition. Photo 3 shows top of the north side cteanwater ditch looking <br />down the access road. There is no sign of coal waste contamination in this ditch. The <br />upper and lower yards are all in good shape including the major drainage that enters the <br />mine site near the adft and the dean water ditch that runs behind the office toward the <br />meadow. All other ditches and drainage structures were inspected and appear in good <br />operating condition. F~ccept where noted, all drainage features have been constructed <br />and are operating as siated in the drainage plan sutxnitted to the Division of Minerals <br />and Geology. <br />Coal Waste Pile: As mentioned in previous inspection reports, over-steepening of the <br />waste pile face at the toe of the slope still exists. Although hard to see, this is shown on <br />photo 4. I have had conversations with Tom laird about this situation. The extra room <br />gained by the disturbance of the toe of this skrpe is needed for the large coal hauling <br />truck to negotiate the yard and hence the reason this has not been fixed. We are <br />discussing redesign options that would accommodate the needs of the mine and yet <br />assure stability of this area. The most likely option is a rode or concrete retaining wall <br />constructed at the tce. At this time there are no visible signs of structural instability on <br />the waste pile but a fix for this problems should be pursued. <br />Photo 5 shows the ditch, located on the south side of the top of the water pile. This ditch <br />collects runoff the top of the pile. The photo was taken looking from west to east, up the <br />valley towards the head of the waste pile. As seen in the photo a significant portion <br />(maybe half) of the length of this ditdt is flowing east toward the top of the pile instead <br />of west toward the yard. As mentioned in previous reports this 'reverse flow' could result <br />in ponding of water and subsequent saturation of the waste pile- In addition, roughly half <br />of the top of the waste pate is flowing to the north side of the pile instead of the south <br />side. The design plans call for the top Of the pile to drain to the south. The toq of the <br />pile, and the ditch, should be regarded to correct of these two discrepancies. <br />Except for the items mentioned at)ove the fill on the waste pile has been constructed as <br />specified in the design approved by the Division of Minerals and Geology. <br />TOTAL P.02 <br />