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STATE OF COLORADO <br />DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />October 15, 2010 <br />George Patterson <br />Energy Fuels Coal Inc. <br />P.O. Box 459 <br />Florence CO 81226 <br />Re: Southfield Mine, C1981-014, Pond Inspection Reports-Second Quarter 2010 <br />Dear Mr. Patterson: <br />COLORADO <br />D IV IS I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />On October 12, 2010 the Division received Second Quarter 2010 Sediment Pond Reports for the Southfield Mine. <br />Four sediment ponds have been retained in the Southfield permit. All four ponds were dry during the second quarter <br />2010 inspection. The second quarter inspections were conducted on June 18, 2010. The inspection was conducted <br />during the second quarter 2010. No problems or maintenance concerns were identified with any of the four ponds <br />during second quarter 2010. <br />The inspection reports are in compliance with Rule 4.05.9(17). Please provide more timely submittal of sediment <br />pond inspection reports. <br />Please call me should you have any questions. <br />Sincerely, <br />H. <br />Enviro ental Protection Specialist II <br />(303) 86q-3567 ext. 8107 <br />C:jhb/C81014/Reports/2nd Q 2010 sediment pond review.doc <br />Office of Office of <br />Mined Land Reclamation Denver • Grand )unction • Durango Active and Inactive Mines