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,OXBOW M/IVING, LLC <br />ENGINEERING INSPECTION <br />EAST YARD, WEST VALLEY FILL AND II WEST <br />COAL MINE WASTE DISPOSAL PILES <br />.-. <br />The approved Oxbow Mining, LLC (OMLLC) Mine permit includes a requirement for quarterly inspections of <br />coal mine waste piles for stability. The inspection is to be performed by a registered engineer or other qualified <br />professional specialist, who is experienced in the construction of earth and rockfill embankments. On Mazch <br />28, 2008 visual inspections were performed of the East Yard, West Valley Fill and II West coal mine waste <br />disposal areas. No compaction tests were performed during the quarter. <br />EAST YARD -The East Yard disposal area has reached its design capacity, and no new waste material has <br />been placed since June of 2001. The revegetated slope was inspected for signs of erosion or instability and <br />vegetation establishment. No erosional features were noted requiring repairs to revegetated azeas. The covering <br />of the waste pile is considered complete. Nothing was observed during the inspection that would indicate the <br />pile has a potential for structural failure. <br />WEST VALLEY FILL -1,040 cy of waste were hauled to the West Valley Fill during the first quarter. The <br />material will be rehandled later to II West for final placement. The elevation of the graded waste pile remains at <br />the approximate 6227' elevation. <br />The revegetated outslope located between the fill slope toe to the approximate 6200' elevation was inspected <br />for signs of erosion and instability. No erosional features were noted requiring repairs to any vegetated areas. <br />The third bench (approximate 6200 elevation) setback remains established for the final lift of waste material <br />and the ramp constructed on the waste pile to provide access to the II West Coal Refuse Facility light use road <br />and haul road. These two roads continue to be utilized. No springs or seeps were noted. Surface drainage <br />control features are performing according to the plan. Nothing was observed during the inspection that would <br />indicate the West Valley Fill has a potential for structural failure. <br />II WEST - The II West disposal area received no additional coal mine waste material during the first quarter of <br />2008. The elevation of waste material is at the approximate 6070' elevation. The in place material has been re- <br />worked to progress towazds moisture and compaction requirements. Abundant snow, moisture and freezing <br />conditions during the quarter limited opportunities for compaction. No springs or seeps were noted. Surface <br />drainage control features are performing according to the plan. Minor rilling occurred neaz the west edge of the <br />fill near the permanent rock channel at the 6065' elevation. Nothing was observed during the inspection that <br />would indicate the II West Fill has a potential for structural failure. <br />~1 <br />spected by James A. iger <br />~. An1i~r~c~6 ~ '~ ~ ~ Date <br />i~ensed Pro~io 1 Engineer No. 14726 <br />3737~~,~~`('.O. Box 535 Somerset, Colorado 81434 USA <br />TEL (970) 929-5122 FAX (970) 929-5177 <br />