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2004 ANNUAL RECLAMATION REPORT 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. They applied fertilizer at a rate of 200 Ibs/acre and harvested on one cutting of about 9.0 tons (2,813 Ibs/acre) of hay. Western Fuels applied fertilizer to another 45.65 acres at the rate of 100 Ibs/acre. The fertilizer applied to NH1 was all 34-0-0. Exhibit 2004-1 shows the locations of the fertilizer applications, rates and pasture yields where applicable. For reference, Exhibit 2004-2 shows the pre-1993 disturbance at NH1. Please note that the NH1 boundary changed in 2001 as a result of MR-52. In preparation for bond release, a 10.34 acre portion of NH1 was evaluated for vegetative adequacy by Hahn Resource Inventories (HRI) of Hotchkiss, CO. HRI's assessment was that the parcel met the standards. The study location is shown in Exhibit 2004-1 and the report is attached at Appendix A. NH2 • Existing Disturbance During 2004, 21.57 acres of new disturbance was associated with the mining program at the New Horizon 2 Mine and 33.06 acres of topsoiled land was seeded with an approved mix. The 2004 Disturbance and Seeding Maps, Exhibit 2004-3 and 2004-4 respectively, show the areas either disturbed, reseeded, or both, during 2004. Backfilling and Grading During 2004, 42.4 acres (see Exhibit 2004-7) 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 D-9 or equivalent dozer. This scarifying operation effectively reduced compaction, reduced runoff, and improved infiltration, while 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 2004-6 (topsoil (F:\eng\data\word\ann reclaim rpt\2004recrepo.doc)