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faults or strata displacements. The coal is strong and pillars are structurally <br />competent showing a lack of squeezing (crushing) or rib spalling. The mine floor does <br />not buckle due to stress from the overburden and because the water table is lower <br />than the seams, pore water pressure is non-existent. The immediate mine roof <br />consists of thinly laminated shales and sandstones. These beds rise up to the base <br />of the Cliff House sandstone an average of twenty feet above the coal seam. The thick <br />Cliff House sandstone provides a great deal of ground stability and generally prevents <br />subsidence from reaching the surface after pillars are extracted during second <br />mining. <br />STRATIGRAPHIC CROSS-SECTION <br />Regional and project area cross sections are shown on Map King II -004 and King II - <br />008, and contained in the NEDO Project Geologic Report excerpts (Appendix 4). <br />EXPLORATION CORE DRILLING <br />During summer, 2015, GCC drilled 8 exploration holes, numbered GCC 15-14 thru <br />GCC 15-21 as shown Map King II -004, within the existing permit area. One additional <br />hole (GCC -15-22) approved in TR -22, was not drilled because the data from previous <br />holes in this series rendered potential data from this hole unnecessary. Holes were <br />rotary -drilled, nominally 5 to 6 inches in diameter, to predetermined core points. The <br />total depth of each borehole was about 320 feet. The predetermined core zone was <br />cored by PQ wireline methods. Drilling was with air, air with water injection, or <br />water. Cuttings pits were necessary at all locations (see drawing at Appendix 4(4). <br />Cuttings pits were excavated by a back -hoe and were approximately 6 feet wide by <br />approximately 10 feet long. The pits were unlined and constructed the same for all <br />drilling methods used. <br />All 8 boreholes utilized the already disturbed area of the existing roadway, <br />minimizing the foot print. Drill holes were sealed by filling with cement to an <br />elevation above the coal seam encounter, then replacing cuttings or other suitable <br />media in the hole and placing a suitable plug 10 feet below the ground surface for <br />support of a cement plug to within 3 feet of the ground surface. The plug was covered <br />with like material, such as road base or topsoil, depending which was present. Tracks <br />were raked or brushed to remove obvious signs of activity. Water bearing strata were <br />not encountered in the 8 drill holes. Drilling was accomplished with a truck- <br />mounted core rig accompanied by a water truck typically of 3,000 gallon capacity; a <br />flat-bed service truck; and smaller pickup trucks as necessary for service and <br />transportation to and from the drilling sites. Water was provided to drill sites GCC 15- <br />14 thru GCC 15-21 from the mine supply at the main plant. <br />CC Energy, LLC <br />Section 2.04.6 <br />Page 6 , <br />King II Mine <br />September 14, 2016 (MR -41) <br />