COMMONWEALTH OF VIRGINIA DEPARTMENT OF MINES, MINERALS AND ENERGY DIVISION OF MINED LAND RECLAMATION P.O. DRAWER 900, BIG STONE GAP, VA 24219 TELEPHONE: (276) 523-8198 JRJ0003514 INSPECTION COMPANY NAME A & G COAL CORPORATION PERMIT 1101905 NAME AND BUSINESS ADDRESS OF PERMITTEE JAMES C. JUSTICE, III P. O. BOX 2178 BEAVER, WV 25813 INSPECTION DATE 01/05/18 PERMITTED 1,233.47 COUNTY WISE ARRIVAL 7:00 AM DISTURBED 590.09 OPERATION STATUS RECLAIMED/ACT. INSPECTION BY JONES, JOHN COMPLAINT REPORT NUMBER JRJ0003514 TYPE OF INSPECTION PARTIAL DEPARTURE 3:30 PM ACREAGE REGRADED 275.16 REPORT TYPE CO ISSUED CO REPORT WEATHER SNOW RECLAIMED 275.16 BONDED 634.01 LOCATION 2.1 MILES NE OF EXETER ON LOONEY CREEK COPY OF REPORT Mailed - A & G Coal Corporation Officials (e-mail) THE FOLLOWING PERFORMANCE STANDARD(S) WERE IN COMPLIANCE: 1. SM - SIGNS AND MARKERS 2. BR - BACKFILLING REGRADING 3. HR - HAUL ROADS THE FOLLOWING PERFORMANCE STANDARD(S) WERE IN VIOLATION OR HAVE A PERMIT DEFECT: 1. AO - AUTHORIZED TO OPERATE COMMENTS : PERMIT: 1101905 REPORT: JRJ0003514 A partial inspection was performed by John Jones of DMLR. The site is active and a reclamation crew is backfilling highwalls. There is a D-10 dozer, a drill and a 330 excavator onsite. I met with James Sexton and Bobby Atkins of Justice Corporation during the inspection. SIGNS AND MARKERS: A permit sign with all applicable information has been erected at the entrance(s) to the permit. There is a permit ID sign located just off State Route #160 displaying all pertinent information. This entrance which was formally Haulroad D on #1101905 has been relinquished to what is now Revelation Energy LLC #1202139. The other sign has been placed at the Imboden Mine entrance which is permitted to Matt Mining Co., Inc. #1100877. BACKFILLING/REGRADING: The approved plans state there can be 16,000 feet of highwall exposed if two spreads of equipment are utilized. If one spread of equipment is used the total amount of highwall exposed will be 8,000 feet. Trees have been planted on the regraded areas of Looney Creek and on the slopes of all the regraded area in Frank's Branch. The overburden from the House Coal Seam will be used to eliminate the existing highwalls in the Looney Creek watershed. The operator is reminded that the final regrade configuration of the areas above the House Coal seam must be done in accordance with the approved cross-sections in the detailed plans. A 277.93 acre section of the permit was approved for Temporary Cessation, beginning on 4/08/13 and ending on 10/05/13. There is currently no equipment or personnel activity onsite. There has been no mining activity within this permit since 4/08/13; therefore NOV JRJ0001187, violation 1 of 1, under Performance Code BR, was issued. The operator was directed to backfill all existing highwall required to be eliminated, DMLR-ENF-044S Printed: 01/09/18 9/98 Page 1 of 2 COMMONWEALTH OF VIRGINIA DEPARTMENT OF MINES, MINERALS AND ENERGY DIVISION OF MINED LAND RECLAMATION P.O. DRAWER 900, BIG STONE GAP, VA 24219 TELEPHONE: (276) 523-8198 JRJ0003514 INSPECTION regrade, and seed all disturbed areas on the permit. An abatement date of 01/08/14 was given. Adequate time elapsed to fulfill the requirements of the aforementioned NOV, because there has been no progress toward compliance, a Failure to Abate Cessation Order (FTA/CO JRJ0001350, under Performance Code BR), was issued to the operator. The operator has entered a settlement agreement with DMLR that specifically outlines reclamation timelines for this permit. The operator has commenced backfilling operations with a D-10 bulldozer, a 330 excavator and a drill. HAULROADS: The access road from the Looney Creek portion of the permit was relinquished to Mill Branch Coal Corp. #1201959, which is now Revelation Energy LLC #1202139. The existing Haulroad on Sigmon Coal Co., Inc. P.N. 1201680 located in Lick Branch is not being utilized at this time as this portion of the permit has not been disturbed by the operator. Interim Haulroad E which intersected State Rt. #160 was certified on 11/17/04 by Mark Wooten. Mining operations have backfilled and eliminated this section of haulroad. AUTHORIZATION TO OPERATE: The site is pool bonded. Total amount of bond posted is $1,559,400.00. There has been no recent coal production so an AVS check is not required. DMRL electronic records show that the operator failed to submit the required Renewal Fees associated with Application No. 1009043. NOV JRJ0003468, violation 1 of 1, under Performance Code AO, was issued. The operator was directed to submit the aforementioned Renewal Fees. An abatement date of January 3, 2018 was given. The operator has failed to submit the aforementioned Renewal Fees by the abatement date. As a result, Failure to Abate Cessation Order JRJ0003515, under Performance Code AO is being issued. The operator is directed to comply with all the remedial measures required by NOV JRJ0003468, violation 1 of 1, under Performance Code AO. The operator is required in conjunction with this FTA-CO, to provide an update to the permittee AVS/OC within 15days. DMLR-ENF-044S 9/98 Printed: 01/09/18 Page 2 of 2