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Colowyo Coal Company <br />2009 Annual Reclamation and Hydrology Report <br />SECTION 1 - IMPOUNDMENTS <br />0 <br />RULE REQUIREMENT <br />RULE 4.05.9(14), 4.05.9(14)(a), 4.05.9(17) and 4.05.9(18) <br />• 4.05.9(14) all impoundments shall be inspected by a qualified registered <br />professional engineer or other qualified professional specialist under the <br />direction of a professional engineer. The professional engineer or specialist <br />shall be experienced in the construction of impoundments. <br />• 4.05.9(14)(a) such inspections shall be made regularly during construction, <br />upon completion of construction, and at least yearly until removal of the <br />structure or release of the performance bond. <br />• 4.05.9(17) all impoundments shall be examined quarterly, by a qualified <br />person designated by the operator, for appearance of structural weakness and <br />other hazardous conditions. The reports shall be retained at or near the mine <br />site, and a copy of the report shall be submitted to the Division on an annual <br />basis (permit page 4.05-7). <br />• <br />• 4.05.9(18) the Division may waive the requirements of 4.05.9(17) for certain <br />impoundments if the permittee adequately demonstrates, in writing, that <br />failure of the impoundment(s) will not create a threat to public health and <br />safety or threaten significant environmental harm. The following provisions <br />apply to the review and approval of any waiver from the requirements of Rule <br />4.05.9(17). <br />Colowyo inspects all impoundments quarterly by a qualified person designated by the <br />operator, for appearance of structural weakness and other hazardous conditions. The <br />reports are retained at the mine site, and copies of the reports are submitted at the <br />end of each quarter to the Colorado Division of Reclamation Mining and Safety. <br />Colowyo submitted a CDPS Permit Renewal on 1 October 2009 to the CDPHE - <br />Water Quality Control Division (WQCD). The WQCD instructed Colowyo to <br />operate under the previous CDPS permit, which expired on 28 February 2010, until <br />the current Permit Renewal is approved. The current CDPS Permit was issued and <br />signed on 31 January, 2005 and is effective through midnight, February 28, 2010. The <br />new CDPS Permit is currently under review by the WQCD. Therefore, the effective <br />• date of the new CDPS Permit has yet to be determined. <br />Page 1-3