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RULE 2 PERMITS <br />Starting on the north end of the permit area, the Axial Basin anticline is an asymmetrical fold, the axis of <br />which trends north 60° west, with strata dipping (inclining) steeper on the south side of the axis than on <br />the north. The rocks of the broad anticline have not been stressed sufficiently to cause them to break <br />severely, but a few discontinuous normal faults trending primarily parallel to the anticlinal axis are found <br />in the area. The south flank of the anticline has several secondary folds trending subparallel and at <br />approximate right angles to the main anticlinal axis. <br />The axis of the Collom syncline, a downward fold approximately parallel with the Axial Basin Anticline, <br />passes north of the existing Colowyo mine and permit revision area. Bedding orientation, as measured on <br />surface outcrops, has a strike of around N 70° W. Dips on the shared limb with the Axial Basin anticline <br />can exceed 45°, but are normally between 25° and 35° and dip to the south. The south flank of the <br />syncline has dips between 5° and 20° to the north (Map 7A). <br />Near the county line of Moffat and Rio Blanco Counties (which traverses the southern portion of the <br />permit revision area), a small anticline trending northeast is present. This unnamed anticline is an <br />offshoot of the Danforth Hills anticline and Wilson Creek Dome to the south and west. Dips on the south <br />flank of this small anticline are between 3° and 20° to the southeast. This anticline is associated with a <br />small syncline located between it and the Danforth Hills anticline. The synclinal axis is located in the <br />West Fork of the Good Springs Valley. <br />South and west of the permit revision area is the Wilson Creek Dome, part of the Danforth Hills anticline. <br />A producing petroleum reserve, the dome is capped by the Iles Formation. This uplift has caused the <br />Lower Wilson area to be uplifted and only the bottom 700 feet of the Williams Fork is present. The beds <br />in this area have a strike to the northwest with dips to the northeast of approximately 7°. <br />The existing mine and permit revision area are affected on the east by an unnamed syncline that is aligned <br />with the West Fork of Good Spring Creek. This fold has a northeast strike and the western flank of the <br />syncline causes the beds on the east side of the South Taylor and existing mine area to dip to the <br />southeast. These beds increase their dip as the axis of the syncline is approached in the South Taylor <br />area. <br />During past photogeological studies and field activities, the possibility of faulting in the rock units of the <br />Lower Wilson area has been identified, but no faults have been identified in the field or during drilling. <br />Linear features, which are controlled by the Wilson Dome, are also observed on aerial photographs of the <br />Lower Wilson area property. Such lineations are related to joints (fractures without appreciable <br />movement) in the rock. Three major joint trends that generally coincide with these lineations were <br />observed within the mining areas. These are nearly vertical or vertical and strike approximately north 70° <br />west, north 45° west, and north 30° east. In surface exposures, the sandstone outcrops exhibit these joints <br />more readily than the highly oxidized and weathered coal beds. However, both have undergone similar <br />stresses and have developed similar readjustment features that are apparent in the subsurface. <br />South Tavlor/Lower Wilson — Rule 2, Page 13 Revision Date: 4/7/17 <br />Revision No.: RN -07 <br />