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AA Natural Soda LLC 2016 Project Status Report & Annual Plan of Development <br /> 1 <br /> 1 .0 Introduction and Project Summary <br /> 1 This 2016 Project Status Report and Annual Plan of Development is submitted to fulfill <br /> the requirements of BLM sodium leases, COC-00118326, COC-00118327, COC- <br /> 0119986, and COC-37474 as stated in Federal Regulations 43 CFR, Subpart 3591 and <br /> 1 3592 and project Record of Decision dated January 20, 1987. This report is also <br /> submitted to the Colorado Division of Reclamation Mining and Safety (DBMS) to meet <br /> the requirements for an Annual Report per State permit number M-1983-194, and in <br /> 1 part to meet the requirements contained in the EPA UIC Class III Area Permits: <br /> C030358-00000 and C032169-00000. <br /> 1 This report summarizes NS 2016 process operations, production activities, reclamation <br /> status, geotechnical and environmental monitoring results, as well as, the status of all <br /> surface facilities and wells. Proposed operations for 2017 will be described in this <br /> 1 report, including drilling the 16H production well pair, the conversion of the O-GMW-A <br /> well into a Water Supply Well (WSW-5), the 2017 Plugging and Abandonment Program, <br /> 1 and the 2017 Nahcolite Resource Drilling Program. <br /> 2.0 Description of Project Area <br /> 1 2.1 Location and Regional Setting <br /> The four NS sodium leases are located in the Piceance Creek Basin in Rio Blanco <br /> County in northwestern Colorado (Figures 1 and 2). The sodium leases are located <br /> primarily between the Yellow Creek and Piceance Creek drainages, approximately <br /> 41 miles from Meeker, Colorado and 53 miles from Rifle, Colorado. The climate is <br /> 1 semi-arid with annual precipitation averaging 12-14 inches. Precipitation generally <br /> occurs as snow from November to March and as rain during the remainder of the year. <br /> The vegetation is predominantly pinyon pine, sagebrush, Utah juniper, western <br /> 1 wheatgrass, and needle-and-thread grass. The total area contained within the four <br /> sodium leases is 8,379 acres more or less. The principle area of operation is located in <br /> and around Section 26, T1 S, R98W, 6t" Principal Meridian. Figure 1 shows the NS <br /> 1 leases and regional map setting. Figure 2 shows sodium leases within the Piceance <br /> Creek Basin. Figure 3 and Figure 4 show the NS well locations, and proposed well <br /> locations. <br /> 1 <br /> i <br /> 1 <br /> 1 <br /> 1 <br /> 1 DAUB&ASSOCIATES, INC. January 2017 <br />