2011-01-19_REVISION - C1981019 (6)

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4.0 SUCCESS EVALUATION 4.1 Ground Cover and Production Success evaluations involve a direct comparison (and/or a reverse null statistical test) of appropriate parameters for each variable of interest. Comparisons are made directly with either the reference area parameters or the permitted standards. In the case of ground cover and production, comparisons are directly made against weighted reference area data of the same year. In 2007 and 2008, Cedar Creek was able to make direct comparisons between the revegetated units included in Phase III bond release and reference areas with regard to the variables of ground cover and production. Charts were developed to provide a quick overview of the success of these revegetated efforts in comparison to reference area based criteria. Chart 3 and Table 8 exhibit the results from ground cover sampling, and reveals that the Phase III bond release area significantly exceeds the reference area comparison for both years with 67.8% perennial cover versus the 42.4% perennial cover standard in 2007 (90% of 47.1%) and 65.8% perennial cover versus the 41.3% perennial cover standard in 2008 (90% of 45.9%). Chart 4 and Table 8 exhibit the results from production sampling in 2007 and 2008. This chart reveals that Phase III current annual production (1803.4 perennial pounds per acre in 2007 and 1936.2 perennial pounds per acre in 2008) is substantially higher than the success standard of 551.4 perennial pounds per acre in 2007 (90% of 612.7 Ibs / ac) and 427.1 perennial pounds per acre in 2008 (90% of 474.6 Ibs / ac). Moreover, Chart 4 reveals that Phase III current annual production is at least double that found on the reference areas. In Summary, Phase III areas addressed by this document strongly surpass the success standards for around cover and production. CEDAR CREEK ASSOCIATES, Inc. Page 25 Colowyo Coal Company 2008 Phase III Bond Release Evaluation