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Peabod <br />Moffat County Mining, LLC <br />29515 Routt County Road #27 <br />Oak Creek, CO 80467 <br />970.879.3800 <br />Mr. Zach Trujillo <br />Environmental Protection Specialist <br />Division of Reclamation, Mining, and Safety <br />1313 Sherman Street - Room 215 <br />Denver, Colorado 80203 <br />(303) 866 -3567 X8164 <br />Dear Mr. Trujillo: <br />1111 ENERGY <br />iteco <br />MAR 14Vv. <br />WOO ids, <br />pivis�on �f R <br />March 8, 2012 <br />RE: Moffat County Mining, LLC. — Williams Fork Mines (Permit C -81 -044), 2011 Annual <br />Reclamation Report (ARR) <br />Enclosed are duplicate copies of the 2011 Annual Reclamation Report for the Williams Fork Mines <br />(formerly Eagle 5 & 9 Mines). The CDRMS has indicated that, with recent reclamation activities, the <br />Mine status has been changed to "active reclamation ", however, no new disturbance or reclamation was <br />completed during 2011. Site maintenance and monitoring activities continued, as in previous years when <br />the Mine was under the Temporary Cessation status, under the revised status. <br />Moffat County Mining, LLC's (MCM) predecessor, BTU Empire Company, LLC (BTUEC), completed <br />final reclamation grading, drainage reestablishment, soil material replacement, and revegetation seeding <br />of approximately 17.1 acres, encompassing the No. 9 Portal Area and adjacent Refuse Disposal Area, in <br />May 2009. Reclaimed areas were reseeded with the approved seed mixture that fall, and areas are <br />inspected several times each year for any erosion or sediment transport concerns, invasive noxious weeds, <br />and vegetative reestablishment. <br />During 2006, the frequency of surface and ground water monitoring was increased to provide updated <br />hydrologic information, in the event that Peabody Energy (MCC's parent company) decided to pursue <br />further exploration and feasibility evaluations for the Williams Fork property, and the more intensive <br />hydrologic monitoring continued during 2007 - through 2011. During 2007, there was an oil pipeline <br />rupture, which resulted in a localized oil spill on the southern portion of the Mine property (outside of <br />Mine Permit Area). Peabody environmental staff coordinated with the pipeline operator (Rocky <br />Mountain Pipeline) on containment, clean -up, and remediation. Inspection of the affected area during <br />2008 indicated effective removal of oil contamination, restoration of effective drainage (several <br />intermediate catch basins removed, but final catch basin remains in- place), placement of imported soil <br />materials, and initial vegetative reestablishment. Visual inspection of this area indicates effective <br />vegetative establishment. <br />MCC contracted and completed field repair and stabilization of the eroded streambank in the abutment <br />areas of the railroad bridge over the Williams Fork River. Minor repair of erosion and rodent holes was <br />also completed for the Pond 5D embankments and the on the Access Road to the Mine No. 5A16 Portals. <br />It was noted that the siphon -tube under the Williams Fork River for the Worthington Ditch was exposed <br />and damaged during the previous year's high spring flows. MCC will review options for transmission of <br />flows in this Ditch, and may conduct some related repair and maintenance work during the Summer 2012 <br />