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RULE 6.5: GEOTECHNICAL STABILITY EXHIBIT <br /> Two categories of geotechnical stability exist for the Young Ranch Resource: the impact of <br /> faults on mining highwalls and the slope stability of the mining areas and waste rock landform in <br /> their final condition. <br /> 1. Area Faults <br /> United States Geologic Survey mapping for the Black Hawk quadrangle shows an unnamed fault <br /> passing through the eastern mining area. This fault is shown in Figure 15. The fault is not visible <br /> on the surface within the mining area. According to the USGS quadrangle it appears to be a <br /> vertical fault. In such case, the primary risk to slope stability would be if the fault orientation was <br /> parallel to the anticipated hard rock benches. In this case, the fault strikes at a roughly NW-SE <br /> orientation, which is at an angle to the north facing highwall during Phase 1 and does not <br /> intersect any Phase 2 highwalls. Phase 3 and Phase 4 highwalls intersect and are even <br /> perpendicular to the anticipated fault providing easy visual control. Initial stripping in Phase 1 <br /> will expose any observable portion of this fault. At that point, a geotechnical analysis of the fault <br /> and its orientation with regards to Phase 1 mining can be produced and its insights incorporated <br /> into the permit. At the point that the mine begins into the intact hard rock, the Young Ranch <br /> Resource will begin submitting annual geotechnical reports based on observations of geology <br /> that will then be visible, similar to other quarries. <br /> Young Ranch Resource <br /> December 2021 RULE-6.5 ® Lewicki & Associates <br />