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GROUNDWATER WELLS <br />Groundwater wells in the vicinity of the project (Colorado Division of <br />Water Resources database) reveal that water supply wells are completed <br />in the alluvium of Hay Gulch, in strata that are isolated from the <br />workings by the incision of Hay Gulch, or in strata far below the level of <br />the "A" seam. <br />Landon Beck of Norwest Corporation performed a study of groundwater <br />quantity and quality as it related to a subset of adjacent landowner <br />concerns expressed in a Neighborhood Compatibility Meeting held on <br />September 11, 2012. The study report, entitled "BCC Energy King II <br />Coal Mine Hydro Study" is included as Appendix 4(6) of this document. <br />This report concludes: <br />"GCC Energy mines a dry coal resource at the King II Coal Mine. <br />No fluid transport mechanism exists to allow migration of any <br />potential contaminates from the mine. No dewatering systems are <br />employed at King II so there is no impact on local or regional <br />aquifer water tables, including those produced by the ALO water <br />wells identified for this study. Well construction of the ALO water <br />wells has been found by public CDWR record to be typical for <br />domestic water wells. This includes drilling and construction <br />practices that co -mingle multiple water -bearing intervals, including <br />coal seams, to obtain as much permitted water production as <br />would reasonably be desired for a domestic water well. The <br />practice of well completion within a coal seam, whether <br />documented as producing water or not, is not a favorable practice <br />and typically requires substantial mitigation including advanced <br />pumping system design, monitoring and maintenance. Coal fines, <br />methane and H2S gas production and bio -sludge accumulation <br />must be expected with domestic water production at the seven ALO <br />water wells independent of GCC Energy mining operations at the <br />King II Coal Mine." <br />Technical Revision TR -26 has been submitted to the Division to address <br />additional ground water monitoring wells, spring and seep surveys and <br />additional surface water monitoring of the Hay Gulch ditch. The data <br />obtained from these locations will be used to further define the <br />hydrogeology of the area. <br />GCC Energy, LLC <br />Section 2.04.7 <br />Page 3 <br />King II Mine <br />November 30, 2015 (TR -24 AR#2) <br />