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May 21, 2012 C- 1980- 007/West Elk Mine MLT <br />PROCESSING WASTE /COAL MINE WASTE PILES —Rule 4.10 and 4.11 <br />Drainage Control; Surface Stabilization; Placement: <br />• In August 2011, as shown in Photo 3A, MCC was in the process of removing coal mine <br />waste previously placed in the RPE and hauling it to the mine's new Coal Processing Plant <br />(situated atop the Lower Refuse Pile, LRP) for re- processing. This activity enabled MCC to <br />recover more of the coal resource than was feasible prior to the CPP's being brought on line. <br />• The RPE appears to now have reached its full capacity (Photo 313). <br />ROADS — Rule 4.03 <br />Construction 4.03.1(3) / 4.03.2(3); Drainage 4.03.1(4) / 4.03.2(4); Surfacing and Maintenance <br />4.03.1(5) and (6) / 4.03.2(5) and (6); Reclamation 4.03.1(7) / 4.03.2(7): <br />The RPE East Haul Road alignment is shown in Exhibit 82 of the permit, Appendix D, <br />Drawing No. C -08. <br />• In the attached series of photos, switchbacks on the haul road are numbered, 1 through 6, in <br />order to provide a consistent frame of reference. <br />• The haul road segment between the RPE and Curve "1" was severely impacted by the May <br />2011 landslide (Photo 3A). The road appears to have been successfully reestablished across <br />the area (Photo 3B). <br />SLIDES and DAMAGE - Rule 4.12: <br />In May 2011, a landslide occurred in the vicinity of the pilot road alignment that MCC was <br />constructing to access the RPE East site. The approximate extent of the slide is outlined in <br />orange in the photographs attached to this report. Comparison between the August 23, 2011 <br />and May 21, 2012 pictures (Photos 3A and 313, respectively) shows that repairs appear to <br />have been completed. <br />Number of Partial Inspection this Fiscal Year: 12 <br />Number of Complete Inspections this Fiscal Year: 3 Page 3 of 10 <br />