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DESERADO MINE <br />BLUE MOUNTAIN ENERGY <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675-4300 <br />fax (970)675-4399 <br />October 27, 2010 <br />Ms. Janet Binns <br />Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />RE: Professional Certification for the Coal Processing Waste Banks <br />Deserado Mine - Permit No. C-1981-018 <br />Dear Janet: <br />RECEIVED <br />fT! G12010 <br />uwft W4 to* ' <br />During the third quarter of 2010, qualified persons working under my direction and I conducted a <br />series of compliance inspections on the active coal processing waste banks located within the <br />Deserado permit area. These inspections were conducted roughly on a bi-weekly basis. <br />I am a professional engineer registered in the State of Colorado and my experience fulfills the <br />requirements of the Colorado Surface Coal Mining Reclamation Act. <br />The purpose of these inspections and subsequent certification is to ensure proper construction of <br />the refuse piles and to satisfy the requirements of Rule 4.10.2 of the Colorado Mined Land <br />Reclamation Board. <br />INSPECTION OF ACTIVE AREAS 2-3,4 and 5a <br />There are no apparent points of seepage, or indications of slope failure on the active piles. The <br />surface drainage facilities were adequately maintained and were working properly to convey <br />surface runoff. Sediment control structures need periodic maintenance and are cleaned out as <br />conditions warrant. <br />The following maintenance work was completed since the last quarterly report: <br />1. Current production of refuse was spread and compacted. <br />2. The coal winter storage pile on 5a was spread and compacted. <br />Our permit requires no sub-drain system, as geotechnical investigations for the disposal site <br />revealed no groundwater present. <br />Refuse is spread and compacted in lifts not exceeding 24" in depth. Typically refuse is spread <br />much thinner producing 6" to 8" lifts.