2013-11-13_PERMIT FILE - C1981018A (2)

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All utility and surface structures within the permit area service only the Deserado Mine except for several public roads. Subsidence may impact several of the Deserado Mine's structures including the haul road, overland conveyor, slot storage facilities, power lines and monitoring wells. During the active subsidence, these facilities are monitored and corrected as described in Section III.A.7.h, Damage Mitigation. Potential damage to these structures would only affect the Deserado Mine with no risk of offsite impacts. Surface facilities are discussed in Sections III.B and III.C. All wells within the permit area are owned and controlled by Blue Mountain Energy, Only monitoring wells will be subject to subsidence. Section II.0 addresses appropriate sampling and plugging of these wells during the course of mining. Pre - construction survey of the property found six building structures within the permit boundary; all located adjacent to the abandoned Staley Gordon Mine. These structures have been removed. Rio Blanco County Road 65 /Moffat CR 61, RBC Road 96, and RBC Road 73 cross portions of the permit area. The most sensitive portions of CR65/61 were subsided with minimal impact. Additional subsidence will occur with minimal effects expected. CR 96 was subsided with no future subsidence planned. Portions of CR 73 will be subsided with minimal impacts expected. Raven Park Reservoir and Halandras Reservoir have been subsided. Damage was minimal and did not warrant repair. Red Wash Reservoir No. 2 is scheduled to be subsided with minimal impacts expected. This reservoir rarely holds any water and is over very deep cover which will further minimize the effects of subsidence. Lincoln Res., Darwin Res., Red Wash Res. No. 3, and Spooky Mountain Draw Check Dam No. 8 are within the permit area but will not be subsided under the current permit. III.A.7.b Subsidence Control. BME intends to plan and control the surface subsidence by employing the latest technology of ground control. Subsidence is anticipated and its magnitude and extent have been predicted. The magnitude, extent and duration will be minimized to the greatest extent possible by an efficient mine layout, barrier and chain pillars, and a rapid and effective mining system and sequence. Longwall mining will produce the most subsidence, but the subsidence will be (relatively) short - lived, lasting less than 5 years after mining. Room and pillar mining will minimize initial surface subsidence during room advances and lower the surface an almost undetectable 0.025 feet or less. However, wherever chain pillars are not extracted upon the retreat from a panel the so- called "permanent" pillars Permit Revision #8 (02/2013) III -9