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October 19, 2012 C- 1996- 084 /Lorencito Canyon Mine LDS <br />Inspection Topic Summary <br />NOTE: Y= Inspected N =Not Inspected R= Comments Noted V= Violation Issued NA =Not Applicable <br />NA -Air Resource Protection <br />R -Availability of Records <br />NA - Backfill & Grading <br />R - Excess Spoil and Dev. Waste <br />NA - Explosives <br />R - Fish & Wildlife <br />R - Hydrologic Balance <br />R - Gen. Compliance With Mine Plan <br />NA - Other <br />NA - Processing Waste <br />R -Roads <br />R - Reclamation Success <br />R - Revegetation <br />NA - Subsidence <br />NA - Slides and Other Damage <br />NA - Support Facilities On -site <br />R -Signs and Markers <br />NA - Support Facilities Not On -site <br />NA - Special Categories Of Mining <br />NA - Topsoil <br />COMMENTS <br />A complete inspection was conducted by Leigh Simmons and Dan Hernandez of Colorado Division of <br />Reclamation, Mining and Safety, ( "the Division "). Ron Thompson of New Elk Coal Company (NECC) <br />accompanied the inspection. <br />The weather was clear, fine and dry throughout the inspection. NECC staff reported showers in the previous week. <br />AVAILABILITY OF RECORDS — Rule 5.02.4(1): <br />On the inspectors' arrival at the mine, Ron Thompson was away on vacation. His office (containing the records) <br />was locked and not readily accessible. Other mine staff were able to access the office the following day, and most <br />of the records were located during the morning. Some attention needs to be paid to the filing of records in order to <br />insure that they are accessible by visitors to the mine in the event that Ron is absent and unable to act as a guide. <br />EXCESS SPOIL and DEVELOPMENT WASTE — Rule 4.09: <br />Placement; Drainage Control; Surface Stabilization. <br />All of the excess spoil fills at the site appeared to be stable and relatively well vegetated, given the time of year <br />and the nature of vegetation in the general area. <br />Each fill drains to a sediment pond, via permanent rock armored drainages. <br />FISH and WILDLIFE — Rule 4.18: <br />There was evidence of wildlife all over the site, but particularly around the sediment ponds. <br />During the inspection ducks were observed in pond 7. <br />Ron reported having seen marmots ( "whistle pigs ") using the rock pile habitats. <br />Number of Partial Inspection this Fiscal Year: 3 <br />Number of Complete Inspections this Fiscal Year: 2 <br />Page 2 of 11 <br />