2022-04-28_PERMIT FILE - P2022005

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Anticipated water consumption is approximately 2,000-10,000 gallons per 12-hour period,dependent on drilling conditions.Water will be transported to the laydown water storage tank,then to drill sites by the water truck and/or pumps and hose on an as needed basis. Drilling will utilize a sump or portable cuttings tank to retain drill cuttings and water. Where feasible,sumps will be constructed as a temporary pit by an excavator. In the absence of adequate soil cover,a portable cuttings tank will be utilized to efficiently recycle water during the drilling process and collect cuttings.Collected cuttings will be disposed of either in an alternative existing sump (e.g. on another drill pad), or offsite. No hazardous materials will be used for drilling. Careful considerations of topography and slope for surface water runoff and erosion control has been assessed for all proposed drill pad locations and anticipated surface disturbance.The general small and discontinuous nature of the Project footprint should not impact surface water runoff from average rainfall or other normal weather events. Where necessary, Best Management Practices(BMPs)will be used to manage drainage and sedimentation during precipitation and snow melt(e.g., berm installation,sediment logs, use of swales and water bars).An example of a BMP installation on a typical drill pad is illustrate in Attachment 3. Ground and Surface Waters Tarsis does not anticipate the disturbance of either surface or groundwater during the proposed Project based on available public data from the Colorado Department of Water Resources DWR Well Permit Research interface.The project area does not contain any known wells or other points of ground or surface water documentation.The nearest known water wells are along the Highway 141 corridor approximately 2.5 miles to the northeast.The nearest known surface water is Big Gypsum Creek,approximately 0.6 mile to the east of the closest drill pad (PDH-N),and approximately 640 feet below the project area. It is highly unlikely that significant groundwater is encountered during the project. It is important to note that drill holes will be permanently abandoned immediately after completion and prior to rig mobilization to the next drill pad/hole.The permanent abandonment process is designed to prevent the comingling or interaction of surface water and groundwater(e.g., bentonite gel from bottom to within 30ft of surface, followed by an upper cement cap).The limited window during which a drill hole may remain open during drilling(approximately 1 week) minimizes the opportunity for interconnectivity between surface and/or groundwater and dramatically limits risk to water resources in the area. Water Monitoring Ongoing visual inspection of water used during the drilling operations will be conducted regularly to ensure proper capture and flow into the sump and/or cuttings tanks. Each