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<br />October 9, 2009 <br />1.0 Introduction <br />2 <br />In compliance with Rule 4.09.1 (11) of the Regulations of the Colorado Mined Land Reclamation Board <br />for Coal Mining, a quarterly inspection and report on the construction and associated activities of the <br />Horse Gulch Fill (HGF) at Trapper Mine in Craig, Colorado has been completed. The quarterly inspection <br />was conducted on September 30, 2009, by Seth A. Puls, a licensed professional engineer in the State of <br />Colorado. <br />Initial construction activities related to the construction of the HGF commenced July 6, 2009. Initial <br />construction activities were limited to permitted areas. <br />Construction activity related to the fill has been consistent with the design submitted in PR-06. Details <br />of the design can be found in Agapito Associates, Inc.'s (AAI) Horse Gulch Fill Stability Analysis, dated <br />May 29, 2009. <br />No appearances of instability, structural weakness, or other hazardous conditions were observed. <br />2.0 Critical Construction Periods <br />2.1 Removal of All Organic Material and Topsoil <br />Some topsoil and organic materials were removed from the area in the summer of 2008, in accordance <br />with topsoil stripping and salvage requirements of Trapper's permit, and applicable regulations (see <br />Photograph 1 and Drawing 1). During the third quarter of 2009, removal of brush piles within the <br />footprint of the HGF began (see Photograph 2). Brush and organic material removal was primarily <br />conducted with CAT D-10 dozers. In late September, topsoil and organic material removal began on the <br />Southwestern side of the HGF footprint (see Photograph 3 and Drawing 1). This was primarily <br />conducted with CAT 637 scrapers, with dozer assistance. These activities were performed in compliance <br />with Trapper's permit, and the applicable regulations, including 4.06 and 4.09.1(4).