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September 12, 2012 C -1983- 059 /Terror Creek Loadout JRS <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA =Not Applicable <br />N - Air Resource Protection <br />R - Roads <br />R - Availability of Records <br />N - Reclamation Success <br />N - Backfill & Grading <br />N - Revegetation <br />N - Excess Spoil and Dev. Waste <br />N - Subsidence <br />N - Explosives <br />N - Slides and Other Damage <br />N - Fish & Wildlife <br />R - Support Facilities On -site <br />R - Hydrologic Balance <br />N - Signs and Markers <br />R - Gen. Compliance With Mine Plan <br />N - Support Facilities Not On -site <br />N - Other <br />N - Special Categories Of Mining <br />N - Processing Waste <br />R - Topsoil <br />COMMENTS <br />This was a complete inspection of the Terror Creek Loadout conducted by Jim Stark of the Colorado Division of <br />Reclamation, Mining and Safety. Zach Trujillo, representing the Division, Christine Belka, representing the <br />Office of Surface mining and Jim Kiger, representing Terror Creek, accompanied me on the inspection. This <br />inspection was also an OSM complete oversight inspection. The Terror Creek Loadout is currently only being <br />operated on an as needed basis. When an order is received, employees from the Elk Creek Mine come to the site <br />and process and load the coal. The mine is not in temporary cessation and, as such, continues to perform all <br />monitoring activities as detailed in the approved permit. The weather was wane and sunny and the ground was <br />wet from recent rains. <br />AVAILABILITY OF RECORDS — Rule 5.02.4(1): <br />- All of the necessary records were available during the inspection. Since the Terror Creek Loadout is only being <br />operated on a limited, as needed basis, some of the records have been moved up to Jim Kiger's office at the Elk <br />Creek Mine. These include the permit document and the revisions to the permit. The remaining records remain at <br />the office at the loadout. This should not be a problem since any member of the public wishing to see the records <br />must first contact Jim Kiger, as the loadout office is closed and locked. Please see the Availability of Records <br />checklist at the end of this inspection report for more detailed information regarding the records. <br />HYDROLOGIC BALANCE - Rule 4.05 Drainage Control 4.05.1, 4.05.2, 4.05.3; Siltation Structures 4.05.5, <br />4.05.6, Discharge Structures 4.05.7, 4.05.10; Diversions 4.05.4; Effluent Limits 4.05.2; Ground Water Monitoring <br />4.05.13; Surface Water Monitoring 4.05.13; Drainage — Acid and Toxic Materials 4.05.8; Impoundments 4.05.6, <br />4.05.9, Stream Buffer Zones 4.05.18: <br />- Sediment pond 1 contained a small pool of water approximately three feet below the discharge pipe and was not <br />discharging. The pond embankment was well vegetated and stable and no erosional problems were noted. The <br />emergency spillway is a vegetated, open channel. The spillway was stable. <br />- The dugout pond was muddy on the bottom and was not discharging. The pond was well vegetated and stable <br />and no erosional problems were noted. <br />Number of Partial Inspection this Fiscal Year: 2 <br />Number of Complete Inspections this Fiscal Year: 1 <br />Page 2 of 10 <br />