2018-02-21_REVISION - M2008017 (7)

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Derr Pit Project DRMS 112 Permit A three foot difference in the depth to groundwater from the seasonal groundwater levels in two or more piezometers as observed in the previous years monthly measurements for two consecutive months. Broken Arrow Investments, LLC proposes that the groundwater elevations be monitored through onsite wells before, during, and after the mining and reclamation is complete so that impacts to the groundwater table, from this mining operation, can be identified and addressed. It is the intent of Broken Arrow Investments, LLC to operate responsibly and to mitigate damages to wells that are directly attributable to the mining and reclamation of this site. For more specific information please refer to the well owner agreements and narrative included in Exhibit G. Reclamation – Approximate Time Table The proposed rate of production for the mine is 300,000 to 600,000 tons per year. The total time frame to mine every phase is approximately 12 to 24 years which allows for years where the 300,000 to 600,000 tons per year production rate is less. The following table shows the approximate time frame to finish each phase of mining: Mine Phase and Acreage Time Frame to Complete and Reclaim Phase Phase 1 – 6.92 acres 2 years and 7 months Phase 2 – 6.81 acres 2 years and 7 months Phase 3 – 8.21 acres 3years and 3 months Phase 4 – 9.90 acres 3 years and 10 months Phase 5 – 16.71 acres 4 years and 8 months Phase 6 – 11.69 acres 3 years and 3 months Phase 7 – 14.71 acres 4 years and 1 months The assumed maximum production rate is 300,000 to 600,000 tons for processed material leaving the mine each year. An average production rate of 300,000 tons per year was used to calculate the reclamation time table. The size and area of reclamation varies for each phase but generally consists of the outside mining slope being reclaimed at a 3H:1V slope with the addition of overburden, topsoil, and revegetation. For more information on sequencing and size of the reclamation activities refer to Exhibit L financial warranty calculations. Reclamation Plan and Alternate Reclamation Plan The reclamation plan attached in Exhibit F depicts the reclaimed reservoir(s) with an existing oil/gas well in the center of the reservoir with setbacks recommended per the existing slope stability study, for the area that was originally permitted, that will be implemented if an agreement with the oil/gas companies cannot be reached to re-locate the existing well. All the additional areas in the amendment will not be mined within 200 feet until an agreement with the oil/gas companies, property owner(s), or utility owner(s) can be executed or a slope stability analysis can be performed if an agreement cannot