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New Elk Coal Company LLC <br />122 West First St., Trinidad, CO 81082 <br />Telephone: (719) 845 -0090 Fax: (719) 845 -0077 Cell: (719) 859 -0111 <br />ronthompson @newelkcoal.com <br />May 25, 2012 <br />Ms. Janet Binns <br />Colorado Division Reclamation Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />Sincerely, <br />Re: Lorencito CanyonMine <br />Quarterly Sediment Pond Inspection Reports <br />Dear Ms. Binns. <br />Enclosed are revised copies of the First Quarter 2012 Sedimentation Pond Inspections to <br />comply with Rule 4.05.9(17). The 2011 Annual Certification will follow as soon as <br />survey information is received from Terry Surveying. They surveyed the ponds in <br />December, 2011 and J., E. Stover and Associates has been asked to do an up -dated <br />SedCad analysis of pond sizing now that the inflow area has been reclaimed. <br />Please contact me if you have any questions. <br />Ron Thompson <br />General Manager <br />