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Peab <br />Peabody Energy <br />Peabody Sage Creek Mine, LLC. <br />March 29, 2011 <br />Mr. Frank Camilletti <br />Camillietti & Sons, Inc <br />HCR 66 Box 69 <br />Milner, CO. 81626 <br />Re: Peabody Sage Creek Mine (Permit No. C-2009-087) Landowner Notification <br />Mr. Camilletti: <br />PO Box 250 <br />36600 Routt County Road 27 <br />Hayden, CO 81639 <br />Under the requirements of the Mining and Reclamation Permit, approved and issued by the Colorado <br />Division of Reclamation, Mining, and Safety, Peabody Sage Creek Mine (PSCM) is providing this <br />notification of anticipated future underground coal mining activities. Section 4.20.2 (Public Notice) of <br />the Regulations of the Colorado Mined Land Reclamation Board for Coal Mining requires the following: <br />"The mining schedule shall be distributed by mail to all owners of property and residents within the <br />area above the underground workings and adjacent areas. Each such person shall be notified by <br />mail at least six months prior to mining beneath his or her property or residence. The notification <br />shall contain, in minimum " <br />• Identification ofspecific areas in which mining will take place; <br />• Dates of mining activities that could cause subsidence and affect specific structtres; and <br />• Measure to betaken to prevent or control adverse stuface effects." <br />PSCM expects to initiate construction activities for the mine portals and associated ancillary structures <br />and facilities as soon as ground conditions allow. It is anticipated that coal extraction from mine <br />development activities could begin as early as the 151 of October 2011. At this time, only continuous <br />miner (CM) development operations are permitted and approved, for which no subsidence would be <br />anticipated. PSCM will continue CM development according to the approved mine plan into 2012 and <br />2013 (see Figure 1 - Approved Mine Plan). <br />Please don't hesitate to contact me if you have any questions or concerns. I can be reached at (970) 276- <br />7003 or at scowman((Dpeabodyenergy.coi-n. As always, we appreciate very much your continued <br />consideration and support. <br />Best rega ds, <br />B. Scott Cowman <br />Senior Environmental Specialist <br />Sage Creek Coal Company <br />Peabody Sage Creek Mining, LLC.