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TR-07 MINING PLAN <br /> Division of Reclamation, Mining and Safety(or Mined Land Reclamation Board). Also, see <br /> REQUIREMENTS 3 and 4 on page 8. <br /> Oil and Gas- Several producing oil and gas wells exist on this property. The mining of the <br /> sand must always take into account possible effects of the mining on these wells. Although the mining <br /> itself certainly does not extend deep enough to intersect the oil and gas deposits, the companies that <br /> operate these wells use many of the same roads used by the operator. Furthermore, in some places, <br /> underground pipelines connect wells with storage tanks. Therefore, it is necessary for the mining to be <br /> aware of adverse impacts on these wells. <br /> (Added with TR-07) A previous technical revision to the permit provided for a means to remove <br /> oil and gas facilities that are newly established within the permit area. If the operator has no need to utilize <br /> any of the land that is also occupied by an oil or gas facility and has no reclamation obligation for <br /> previously mined land where the facility is established, then that land should be removed from the permit <br /> in accordance with the method described in that revision. If there is a continuing reclamation obligation <br /> then other approaches to resolving the conflict in uses may be needed. It is a general policy that oil and gas <br /> facilities will not be established on land being reclaimed, but can be established on land that has been <br /> reclaimed and released. In that case, the land is removed from the permit in the same way that it would be <br /> removed if the facility was established within the permit but on previously undisturbed land. <br /> Grazing- In the past, grazing has been a major use applied to this land. If grazing occurs on any <br /> land being mined, the operator will work with the grazing lessee to coordinate their activities so as to <br /> avoid harm to the grazing stock as well as avoid livestock from damaging ongoing reclamation, including <br /> revegetation. <br /> (Added with TR-07) After several years of not allowing grazing on this property, the Land <br /> Board will return to allowing grazing with a much better grazing management plan than was used <br /> previously. The operator supports the reintroduction of grazing as it is apparent the land has recovered <br /> well from the severely overgrazed condition that existed previously. This support is provided with the <br /> condition that grazing not be allowed to adversely impact sand mining operations or the reclamation <br /> efforts, especially during the first couple of years after initial revegetation has begun. Past experience has <br /> shown that limited utilization is actually helpful in the revegetation process, provided it is very light <br /> during the critical first two seasons of revegetation when establishment is being achieved. <br /> Water Resource Development- The previous discussions of coordinating possible reservoir <br /> establishment and the mining is no longer relevant. Mining in the East Valley has been excluded from the <br /> plan and that land is no longer even included in the lease. <br /> Coal Creek Sand Resource Amendment 3 (2005)- M-1988-044 Exhibit D Page 15 <br />