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SNOWCAP COAL COMPANY <br />Cameo Refuse Disposal Area No. 1 Inspection - 3rd Quarter 2006 <br />On September 25, 2006, I performed the required quarterly visual inspection of the Cameo <br />Refuse Disposal Area No. 1 in accordance with Rule 4.10.2. <br />I, J. E. Stoker, P.E., have a wide variety of experience in the design and constriction of earth fill <br />embankments. Nothing was observed during the inspection that would indicate the pile has a <br />potential for failure. <br />The south under drain was dry. The pile was dry. No seepage was noted around the pile. The <br />upper diversion ditch and collection ditches were inspected with no problems noted. <br />During the quarter a CRDA-1 terrace ditch #4 was graded to improve its drainage. On <br />September 6, 2006, the undersigned certified terrace ditch #4 was constructed to meet the <br />applicable performance standards and the design criteria presented in Snowcap's Mining and <br />Reclamation Permit, C-81-041. <br />The access road to the pile, which is the west extension of Haul Road No. 5, remains open to <br />accept coal and refuse material from other reclamation activities. During the quarter, refuse <br />material from the work on terrace ditch #4 was placed on this area. The refuse material was <br />placed in approximately horizontal lifts no more than 24-inches thick. The coal mine waste was <br />spread and compactive effort was provided by the haul truck and a front end loader. <br />Compaction tests were performed on August 29'".One of the four tests failed. The area of the <br />failed test was reworked, compacted and retested on September 7'". The retest passed. A test <br />passes if the test attains at least 90%of the maximum dry density attained in a laboratory <br />compaction test in accordance with ASTM D698. Relative compaction test results are enclosed. <br />The pile is located in a remote area well away from human habitation. A failure of the pile might <br />damage the haul road and sediment pond located below the pile. However, a failure of the pile <br />would probably not be a hazard to human life. <br />I certify that to the best of my knowledge and belief, that the fill and other aspects of the Cameo <br />No. 1 refuse pile have been constructed as permitted in the design approved by the DMG. <br />Recommended maintenance: None <br />