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2006 ANNUAL RECLAMATION REPORT I • NH1 Farming by adjacent landowners continued as in past years on the 6.4 ac field in the NW portion of the NH1 Permit Area. The landowner was contacted and stated that a 50/50 mix of fertilizers 18-46-0 and 34-0-0 (UREA) were applied at a rate of 150 Ibs/acre. One cutting was harvested for approximately 11 tons (3,4371bs/acre) of grasshay. Western Fuels applied UREA fertilizer to a 45.65 acres parcel at the rate of 74 Ibs/acre. Exhibit 2006-1 shows rates and locations of the fertilizer applications. Exhibit 2006-1 denotes pasture yields where applicable. For reference, Exhibit 2006-2 shows the pre-1993 disturbance at NH1. Please note that the NH1 boundary changed in 2001 as a result of MR-52. NH2 Existing Disturbance During 2006, 38.6 acres of new disturbance were associated with the mining program at the New Horizon 2 Mine. 22.8 acres of topsoiled land were seeded with approved seed mixes. The 2006 Disturbance and Seeding Maps, Exhibit 2006-3 and 2006-4, respectively show the areas either disturbed, reseeded, or both, during 2006. A total of 39.4 acres were topsoiled for seeding, this is detailed in Exhibit 2006-6. • Backfilling and Grading During 2006, 26.6 acres (see Exhibit 2006-7) were graded at New Horizon 2. Backfill grading was accomplished by backfilling the empty pit with atruck-shovel fleet and then final grading with D-9 dozers and 14G grader. Soil and Spoil Scarification The following soil and spoil scarification techniques were used while grading the reclamation area. Prior to growth media soil replacement, the final graded spoil was scarified to a depth of 6 to 18 inches using ripper shanks attached behind a motor grader or a dozer. This scarifying operation effectively reduced compaction, runoff, improved infiltration, whilst improving rooting depths. Soil and Spoil Monitoring Data New Horizon Mine is required by Permit C-81-008 to monitor replaced soil and final graded spoil and submit the information to the Division. Monitoring programs include verifying soil replacement thickness and determining final graded spoil quality. Exhibit 2006-6 depicts topsoil thickness and sample locations. Exhibit 2006-7 depicts backfill spoil sample locations and shows backfill placement limits. Spoil Quality The spoil sampling and analysis program approved for New Horizon Mine is described in Section 2.05.4(2)(d)-4 Regraded Spoil Monitoring Program of Permit C-81-008. Nine (9) • topsoil samples and three (3) backfill spoil samples for 2006 were collected from within the New Horizon 2 area. The soil samples were collected by a hand auger. Each backfill sample site consists of two subsurface samples; one is a 0 to -2 ft interval, the other a -2ft to -4 ft intervals. Sample identifiers are given the suffix A and B, respectively.