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<br />Below are comments on the inspection. The comments include discussion of observations made <br />during the inspection. Comments also describe any enforcement actions taken during the inspection <br />and the facts or evidence supporting the enforcement action. <br />Prior to inspecting the SL-12 release request areas, the IP reference area was observed on the <br />morning of 2 June 2010. Upper (northern) portions of the reference area are flood irrigated using <br />two separate east/west oriented gated pipes, with corrugates running south from each pipe <br />(Photo 6). The north end of the reference area is irrigated from the upper pipe and the middle <br />portion of the reference area is irrigated from the lower pipe. The southern 1 /3 or so of the <br />reference area is irrigated by diversion out of an open ditch that runs north to south, parallel to <br />the eastern fence line, with corrugates running from NE-SW across the lower portion of the <br />reference area. The upper sections of the reference area had been irrigated, but water had <br />not yet been turned into the section of the ditch for irrigation of the lower 1 /3 or so of the <br />reference area. The lower area contains some of the more productive grass stands in the <br />reference area, on the Barx soil, but at the time of the inspection, grasses in the area were at an <br />early stage of growth, only 6 to 12" in height (Photo 7). Production was variable, but generally <br />higher in other areas of the reference site that had been irrigated. The irrigation delay was <br />apparently due both to the late turn out of irrigation water into the CCC ditch this spring, and <br />family illnesses affecting the work schedule of the contract irrigator. Spring temperatures have <br />been cooler than normal, which may also have affected plant growth. <br />This concludes the SL-12 Bond Release portion of the inspection. <br />4_June 2010 Follow-up Inszmcl'i n <br />On the 4th of June, Dan Mathews conducted a follow-up inspection at the New Horizon Mine, <br />primarily to view reclaimed irrigated pasture areas that WFC had scheduled to be sampled for <br />Phase III bond release during the week of June 7, and also to collect subsoil and upper <br />overburden ("Bench 1 ") samples to assist in permitting evaluations. The inspection began with a <br />walk through of the Irrigated Pasture (IP) reference area. Observations made in the various <br />areas observed are described below. <br />Irrigated Pasture Reference Area <br />As noted during inspection on 2 June 2010, the lower (southern) portion of the reference area <br />(approximately 1 /3 of the area) had not yet been irrigated. On the evening of June 3rd, water <br />was diverted from the open ditch (Photo 8) to irrigate the first segment of the lower portion of <br />the reference area. Mr. Gubka estimated it would take approximately 5 days to complete the <br />initial irrigation of the lower area. Water from the CCC ditch became available the 2nd week of <br />May this year. According to Chris Staats, contract farmer for WFC (who was encountered during <br />inspection of the reclamation later in the day), the turnout date was approximately 1 month <br />later than normal. Due primarily to the late start of the irrigation season, plant growth and stage <br />of development in the irrigated pasture reference area and irrigated reclamation areas (as well <br />as adjacent irrigated lands dependent on CCC ditch water) was suppressed. As a result, the 1 st <br />cutting of hay from irrigated fields, which is in early June most years, will be set back by several <br />weeks this year. The approved permit specifies that sampling for bond release on the reference <br />area and reclaimed lands will be conducted in late May to early June immediately prior to ISt <br />cut harvest of the reclaimed fields Due to the delayed availability of irrigation wafer and <br />New Horizon Mine c-19al-ooa 02- and 04-Jun-2010 <br />-4.