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DESERADO MINE <br />BLUE MOUNTAIN ENERGY <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675 -4300 <br />fax(970)675 -4399 <br />July 16, 2013 <br />Mr. Zach Trujillo <br />Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />RE: Sediment Pond Inspection Report for 2nd Quarter 2013. <br />County Road 65 Subsidence Monitoring Report <br />Blue Mountain Energy, Inc., Deserado Mine (Permit C -1981 -018). <br />Dear Zach: <br />RECEIVED <br />JUL 2 2 2013 <br />iirTC� • • r <br />� 3l <br />Enclosed is the Sediment Pond Inspection Report for the 2nd quarter 2013 for the Deserado Mine. The <br />only discharge that occurred during the quarter was from the Raw Water Lagoon. Outflows within the <br />dewatering pond system did not result in a discharge out the regulated outfall from the Last Chance <br />Pond (BLC). <br />The embankment breached between BD -3 and BD -4 that occurred last quarter was repaired in early <br />April as reported last quarter. <br />COUNTY ROAD 65 SUBSIDENCE REPORT <br />Longwall mining under County Road 65 did not occur this quarter. No damage to the road surface was <br />observed from long -term settling. <br />If you have any questions, please call me at (970)675 -4322. <br />Sincerely, <br />Scott Wanstedt <br />Environmental Engineer <br />enc.: <br />