2018-06-01_REVISION - C1980007 (3)

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Figure 13: Return on Investment (ROI) 10,000 Trials Frequency View 9,938 Displayed Flaring R01 0.03 300 270 240 210 0.02 180 'n — a 150 m o ri 1za � P1a=116.71% 0.01 so so = sa.a1 so 30 0.0 0 40.00% 60.00% so -00% 100.00% 120.00% 140.00% -Infinity Certainty: 10000 % 1 Infinity pso = Median, there is a 50 percent probability that the project will result in an ROI of 80.56 percent over a 10 -year project life. Pio = There is a 10 percent probability that the project will result in an ROI of 116.71 percent or greater over a 10 -year project life. p90 = There is a 90 percent probability that the project will result in an ROI of 54.41 percent or greater over a 10 - year project life. Summary of Findings: Raven Ridge determined that a gob gas flaring project would be technically and economically viable at the West Elk mine. A similar project located at Oxbow's now shuttered Elk Creek mine began while the mine was active and continues at present as an idled mine methane emission abatement project. The proposed West Elk project would be capable of destroying 634.9 million cubic feet of gas per year amounting to 281.8 thousand tonnes of COze or 76.9 thousand tonnes of carbon. The total capital needs for the project would be $12.54 million USD over a ten-year project life. Assuming a pso forecast of 6.7 billion cubic feet of gas produced through GVBs over a 10 -year period, net total emissions of 2.64 million tonnes of COze would be destroyed over that period, or about 720 thousand tonnes of carbon. The Flaring Project economic indicators are presented in Table 3. 18