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June 9,2011 C-1981-018/Deserado Mine JRS <br /> ROADS(cont.) -The access road along the conveyor corridor was well maintained and stable at the time of the <br /> inspection. All of the roadside ditches were clean. BME did some work to the ditches approximately 100 yards <br /> north of where the B-Seam dewatering system is going in. This work allowed for better flow of water off of the <br /> haul road/out of the ditches and allowed any sediment in the water to settle out sooner. <br /> -The access road to the underground diesel storage area and Rock Dust Tank 3/Nitrogen injection system was <br /> stable and well maintained. The portion of the road to the underground diesel storage area is a gravel road. <br /> -The road spur to the slot storage area was well maintained and stable at the time of the inspection. <br /> -The access road to the water tank bench and WMVS was well maintained and stable at the time of the inspection. <br /> SUPPORT FACILITIES -Rule 4.04: <br /> -The underground diesel storage tank pad area was well maintained and stable at the time of the inspection. There <br /> is a concrete containment wall around the tanks. This area is an SAE and there did not appear to be any problems <br /> with the flow of water off of the pad. <br /> -The water tank bench was stable at the time of the inspection. No erosional problems noted on the bench or its <br /> outslopes. <br /> -The rock dust tank 3/Nitrogen injection pad area was well maintained and stable. No erosional problems were <br /> noted. This pad area is an SAE and there were no problems with water flowing off of the pad noted. <br /> -The slot storage area and bench were stable at the time of the inspection. The outslopes of the slot storage bench <br /> were well vegetated and appeared to be stable. No erosional problems were noted on the slopes of the bench. <br /> -The Halandras landfill area was stable at the time of the inspection. Currently there are two cuts open for mine- <br /> waste disposal. Neither of the slots is close to being filled up at this time. <br /> -The loadout structure was stable at the time of the inspection. The loadout structure is the only part of the <br /> loadout that is in the current Deserado permit. The loadout area bench,rail loop and other structures were <br /> removed as a result of PR-04. BME was loading a train during the inspection. There did not appear to be any co- <br /> mingling of mine and loadout equipment at the loadout area. <br /> TOPSOIL—Rule 4.06 Removal 4.06.2; Substitute Materials 4.06.4(4); Storage and Protection 4.06.3; <br /> Redistribution 4.06.4: <br /> -Subsoil Pile RP-4 was well vegetated and stable at the time of the inspection. There was a fair amount of <br /> cheatgrass on the pile but most of it was interspersed with perennial grasses. The perennial grasses included <br /> western wheatgrass and intermediate wheatgrass. There was also some fourwing saltbush on the pile that <br /> appeared to be dying off. Overall,the vegetation on this subsoil pile seemed to be competing well with the <br /> cheatgrass. The subsoil material will be reverse-sequenced and used as topsoil for the reclamation of the refuse <br /> piles. There was a subsoil sign in place on the pile. <br /> -Subsoil Pile RP-5a had good germination on the reseeded top of the pile, where material had been taken to build <br /> up the MSHA berms along the haul road last year. There was some cheatgrass growing on the top portion of the <br /> pile as well. There was a sinkhole on the north outslope of the subsoil pile that was approximately four feet in <br /> diameter and approximately 10 feet deep. This sinkhole will need to be repaired. There was a subsoil pile sign in <br /> place on the pile. <br /> Number of Partial Inspection this Fiscal Year: 8 <br /> Number of Complete Inspections this Fiscal Year: 4 <br /> Page 4 of 7 <br />