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ti~ <br />rthWest <br />Geotechnical /Environmental Engineering • Materials Testing <br />RE~~~V~~ <br />,~` ~ 3 Zp05 <br />t of Mtn6lo~s eno O~o9Y <br />Subject: Quarterly Observation Report, Refuse Pile, <br />Foidel Creek Ivline, Routt County, Colorado. <br />Dear Mr. Netfleton, <br />July 8, 2005 <br />Twentymile Coal Company <br />29515 RCR #27 <br />Oak Creek, CO 80467 <br />Attn: Mr. Jerry Nettleton <br />Job Number: 99-3983 <br />As requested, NWCC, Inc. has prepazed this report outlining our observations made during the second <br />quarter of 2005 at the Refuse Pile, which is located at Twentymile Coal Company's (TCC) Foidel Creek <br />Mine in Routt County, Colomdo. During this quarter, we visited the project site on June 30, 2005 to <br />provide our quarterly inspection observations. <br />At the time of our site visit on June 30, 2005, we completed a site inspection of the pile with Mr. Dave <br />Wallace of Twentymile Coal Company. Based on our observations made during this visit, it appeared that <br />the contractor was presently stockpiling the refuse coal in Area 2 of the pile. It also appeazed that they <br />were continuing to move the stockpiled coal from Area 3 to Area 2 %z. The surface drainage conditions <br />appeazed to have been significantly improved since our last site visit in March. Mr. Wallace advised us <br />that he would call us for compaction testing afrer the stockpiled materials in Area 2 were spread out and <br />compacted. <br />At the time of our visit, we did not observe any signs of instability, structural weakness or hazardous <br />conditions at the pile. <br />As suggested, the water levels in the monitor wells installed on October 23, 1997 and December 9, 1999 <br />were measured during this quarter on a monthly basis. A table and graphs showing the monthly water <br />levels are attached. <br />We were advised that the mine had produced approximately 29,828 cubic yazds of waste coal during the <br />month of April 2005: 37,556 cubic yazds during May 2005: and approximately 25,315 cubic yazds during <br />June 2005. It is our understanding that the fines being produced at the wash plant, which consists of 10 to <br />20 percent of the total materials being produced, are being pumped underground into the mine. <br />Based on our limited observations, it appeazs that the pile is currently being constructed and maintained in <br />general accordance with the project specifications and plans submitted under 2.053(8) and that the <br />(970) 879-7888 • Fax (970) 879-7897 <br />2580 Copper Ridge Drive • P.O. Box 775226 • Steamboat Springs, CO 80477 <br />