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2.02 -1 <br />TR-21 Revised: 2/17/2021 <br />2.02 GENERAL REQUIREMENTS FOR COAL EXPLORATION <br /> <br />2.02.1 Scope <br /> <br />A.P. Maxwell (50 percent owner of LCC) conducted coal exploration during 1996 under Notice <br />of Intent number X-96-218-00. This permit is no longer active. <br /> <br />In 2020, New Elk Coal Company LLC operator of the Lorencito Canyon Mine filed for a Notice <br />of Intent number X-2020-232-03. The permit is still active with drilling to begin and be <br />completed in 2021. <br /> <br />Should future coal exploration activity be required within the permit area, the appropriate permit <br />revisions will be obtained. Likewise, for activities outside the permit boundaries, the appropriate <br />Notice of Intent shall be filed . <br /> <br />2.02.2 Exploration Involving Removal of 250 Tons or Less of Coal <br /> <br />As part of the 2021 drill program NECC will conduct one exploratory drill hole location within <br />the current Lorencito Canyon Mine Active Permit Area. <br /> <br />In the area proposed for exploration the surface is owned by Hill Ranch and coal ownership is <br />held jointly by Hill Ranch, F.E. Hill Company, and MGP Enterprises as described in Section <br />2.03.4. Ownership is indicated on Map 2.03.4-1. Right of entry for the lease is explained in <br />Section 2.03.6 of this Permit Application Package. The location and approximate depths of the <br />drill hole are described below. The location of the drill is shown on Map 2.04.6-1. <br /> <br />Drill Number Easting* Northing* Elevation Approximate Depth (feet) <br />LC -17-20 3,202,758 1,165,165 7,130 610 <br /> *State Plane 0503 <br /> <br />Exploration activities will primarily consist of drilling and associated drill site construction. <br />Limited road construction will take place due to the extensive existing road network used in gas <br />exploration and production. The equipment to be used includes two truck mounted rotary drills, <br />one truck to haul pipe, two water trucks, one backhoe, one bull dozer, a road maintainer, and a <br />logging truck. 4 wheel drive pickups will be used on a daily basis to access the sites. <br /> <br />Construction activities will be minimized. Existing roads will be used wherever possible. Any <br />road spurs required will be constructed in such a manner as to minimize erosion and disturbance <br />to the land surface using a dozer and/or track mounted excavator. Brush will be disposed in <br />accordance to the agreement with the landowners. The amount of surface disturbance necessary