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August 7, 2012 C-2009-087/Peabody Sage Creek Mine JDM <br /> <br /> <br />Work was ongoing with regard to the Drainage and Sediment Control Plan modifications approved with TR4. No <br />problems were noted during the inspection and all activities were conducted and located as permitted. No <br />problems were noted with regard to ditches, drainages, and culverts, with the exception of the following: <br />- Clean-out of culvert SC-18 was ongoing at the time of the inspection. <br /> <br />GENERAL MINE PLAN COMPLANCE: <br />At the time of the inspection, topsoil salvaging and storage was ongoing in the areas of drainage construction <br />permitted under TR4. The initial mining process is ongoing with a continuous miner working to construct the four <br />portal entries at the portal site. At the time of the inspection the small conveyor from the portal to the temporary <br />coal handling facility area is ongoing. <br /> <br />Portal and Conveyor Construction <br />OTHER (SPECIFY): <br />This was a partial coal inspection conducted by Jason Musick of CDRMS. The weather was clear and the site <br />was dry during the inspection. Construction activities continue at the site with the development of facilities areas. <br />Development of the portals and active mining has begun with the four portal entries. The coal and underground <br />development waste is being stockpiled at the coal handling facilities area and truck shipped to the processing and <br />refuses disposal area of the Foidel Creek Mine. Jen Hunt of Peabody Energy accompanied the inspection. This <br />inspection focused on maintenance items identified during the July 2012 inspection. <br /> <br />TOPSOIL Rule 4.06 Removal 4.06.2; Substitute Materials 4.06.4(4); Storage and Protection 4.06.3; <br />Number of Partial Inspection this Fiscal Year: 1 <br />Number of Complete Inspections this Fiscal Year: 1 <br /> <br />46 <br />Page of <br /> <br /> <br />