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2.06.8 - ALLUVIAL VALLEY FLOORS <br /> Hay Gulch has been determined to be an alluvial floor by geologist Fred <br /> M. Johnson, the Colorado Geological Survey, and the Colorado Division <br /> of Reclamation, Mining & Safety in findings related to the permitting of <br /> the King I Mine. <br /> The operations of the King II Mine do not propose to affect the Hay Gulch <br /> alluvial valley floor. The only mining related features in the AVF are <br /> monitoring wells. At the end of mining, and with the approval of the <br /> Division of Reclamation, Mining & Safety, the wells will be reclaimed in <br /> accordance with the requirements of Rule 4.07 or transferred to another <br /> party. <br /> Measures have been taken, as described previously, to protect the <br /> alluvial valley floor from adverse effects of mining. Currently, surface <br /> water reaches Hay Gulch Ditch via a native channel from the project <br /> area. Water from the Hay Gulch Ditch is used downstream to irrigate <br /> pasture land. Mining operations will continue to ensure water from up- <br /> slope areas are diverted around all disturbed areas to the Hay Gulch <br /> drainage or contained within the disturbed areas. Water monitoring will <br /> insure that protection of the alluvial valley floor is maintained. <br /> There will be no auger mining employed at the King II Mine (Rule 2.06.9). <br /> There will be no coal processing plants or support facilities not located <br /> within the permit area (Rule 2.06.10). <br /> There will be no in situ processing employed at the King II Mine (Rule <br /> 2.06.11). <br /> There will be no removal of coal from coal refuse piles at the King II Mine <br /> (Rule 2.06.12). <br /> GCC Energy, LLC King II Mine <br /> Section 2.06.8 <br /> Page 1 July 11, 2017 (RN-07) <br />