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DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832 -8106 <br />STATE OF COLORADO <br />COLORADO <br />D I V I S I ON OF <br />RECLAMATION <br />MINING <br />SAFETY <br />April 10, 2013 <br />John W. Hickenlooper <br />Governor <br />Ron Thompson <br />Mike King <br />Executive Director <br />New Elk Coal Company, LLC <br />12250 Highway 12 <br />Loretta E. Pineda <br />Director <br />Weston, CO 80182 <br />Re: New Elk Mine (Permit No. C- 1981 -012) <br />2012, Q4, Sediment Pond Inspection Reports <br />2012 MSHA Annual Impoundment Report <br />Dear Mr. Thompson, <br />The Division received New Elk Coal Company's 2012 Fourth Quarter Sediment Pond Inspection <br />Reports on Apri l 4, 2013. The reports state that: <br />• Pond numbers 004, 007, 008, 006; <br />• West Portal containments 1 and 2; and <br />• RDA containments North, SE and SW (which are numbered 5, 3 and 4 respectively on map 13) <br />were inspected on December 20, 2012, which is acceptable and occurred within the fourth quarter of <br />2012. <br />According to section 2.05.3(4) of the permit, New Elk Mine has 3 sediment ponds, each of which is <br />numbered in accordance with the NPDES permit numbers: ponds 004, 007 and 008. A fourth pond, <br />pond 005, was reclaimed in 2003. Ponds 001 and 006 are used for storage /mine water discharge and <br />preparation plant process water storage respectively. <br />Pond 006 is designed as a closed loop with the preparation plant. The report states that it is currently out <br />of service and has been drained and cleaned in readiness for lining. <br />The vegetative cover on ponds 004 is described as "excellent ". No concerns are raised about erosion, <br />stability or storage capacity. The elevation of the primary riser is recorded as 7450.57' , which is <br />consistent with the 1985 survey value in Table 23. The elevation of the top of the sediment is recorded <br />as 7745', which is presumably an error, since no inflow to pond 004 was observed in 2012. This <br />elevation should be verified. <br />At pond 007 no problems are reported with regard to vegetation, erosion or stability. The report states <br />that the pond was holding water to an elevation of 7374', but that the elevation of the top of the <br />sediment could not be determined. It is noted that the operator plans to de -water the pond in Q 1 of 2013, <br />which will allow the sediment level to be surveyed and the pond to be cleaned out, if necessary. The <br />sediment elevation should be reported in the next quarterly pond inspection report. <br />Pond 008 treats run -off from the RDA and is subject to regulation by MSHA. A copy of the MSHA <br />Annual Impoundment Report for 2012 was submitted to the Division, no problems were noted. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />