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<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 <br />September 30, 2008 visual inspections were performed of the East Yard, West Valley Fill and II West coal <br />mine waste disposal areas. A total of 6 successful compaction tests were performed on 7-31-08 and 8-18-08 <br />and are included herein for the Division's information. <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 areas. 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 -1,210 cy of waste was hauled from the West Valley Fill to II west during the third <br />quarter. As a result, the elevation of the waste pile was lower or at the approximate 6222' 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 R West disposal area received approximately 2,080 cy of additional coal mine waste material <br />during the third quarter of 2008. The elevation of waste material is at the approximate 6087' elevation. The in <br />place material has been worked to meet moisture and compaction requirements. No springs or seeps were <br />noted. Surface drainage control features are performing according to the plan. The grading of the west edge of <br />the fill near the permanent rock channel at the 6065' elevation was improved by the rough grading activities. <br />Nothing was observed during the inspection that would indicate the II West Fill has a potential for structural <br />failure. <br />Inspected by James d Kiger I <br />Thomas C. Anderson Date <br />Colorado Licensed Professional Engineer No. 14726 <br />3737 Hwy 133 • P.O, Box 535 • Somerset, Colorado 81434 USA <br />TEL (970) 929-5122 • FAX (970) 929-5177