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During the recent development (late November, December, 1997) of the 6 Right gateroad inflows were encountered from the Wadge Overburden between cross cut 24 to 27. The initial inflow was measured at • approximately 265 to 275 gallons per minute. Maximum inflow rates have leveled off to 65 gallons per minute (2001 & 2002 monitoring). The source of the water is from the roof. No vertical or horizontal offsets were observed; therefore the inflow was not from fault. TCC enlisted the assistance of a consultant (James G. Nalven Consulting) to obtain a better understanding of the reason for the inflow in this area. This is the most water TCC has encountered form a single area since mining was initiated in the eazly 1980's. Mr. Nalven visited the mine site on December 2°d and 3's, 1997, to investigate the source of the inflow. The flow is coming from an area that is coincident with the Foidel Creek lineament or valley. This portion of the 6 Right gate road also has the lowest overburden (350 to 450 feet) to be mined under in the East Mine District. Also, the area is located were the dip is increasing significantly along the steep (8 to 25% grade) western flank of the Twentymile Park Syncline. These three geologic features can increase fracturing of the rock, open joints, and cause movement along bedding planes thus producing increased permeability. In addition to the flow measurements, field EC readings were obtained to provide insight into the source of the water. The EC readings were recorded at 4000 mmhos/cm. This reading corresponds with the EC values obtained from the adjacent and up dip surface mine spoil water. Previously, TCC has experienced spoil water migrating into the underground workings and elevating the EC levels in the Wadge Overburden. This phenomenon has been recorded in the Annual Mine Inflow studies. Presently, the water is being captured at the face and pumped to a "Shark Tank" and them pumped from the section onto an underground sump. During the 1997 roof and floor samples were obtained form drill holes 97-006 and 97-007. The data for drill hole is presented on tables 20D &, E. A review of the data indicates that it all the parameters, except for boron, are within or below the values previously reported by TCC. The boron concentration is relatively low, a1.57 mg/kg, and should not present any environmental problems. It is especially important note that the data is relatively consistent over the entire mine property. This leads one to believe that further roof and floor sampling is not warranted. • NMD (Panels 12 Right through 16 Right) PR 99-OS The genera] geology and hydrology of the segment of the NMD has been described previously in the original Foidel Creek Mine application, and subsequently updated through permit revision 3 and 4. The 1998 drilling program was used to validate the prior description. TCC did not find any unsuspected geologic conditions that would modify the original descriptions. The 97-013 TM/TC monitoring wells, which were installed on the northern side of the property did locate a fault which was previously projected for this area. The fault had an estimated displacement of 200-250 feet, and this will be used to define the mining boundary for the panels in the second north mining district. No major inflows of water were encountered during the drilling of this well. The location of the well is shown on Map 13A. The expansion of the mine into the Northern Mining District will see the continued development of the reserves located in the Twentymile Park Basin. As presented in PR-04, this is an enclosed ground water basin, which is rimmed by the outcrops of the major lithologic units. Those units are described above. The NMD is located more in the heart of the closed ground water basin. TCC continues to have monitoring wells in the Twentymile Sandstone, Wadge Overburden, Trout Creek Sandstone and Alluvial wells in the alluvium of Foidel, Fish, Middle and Trout Creeks. The hydrologic gradients of the bedrock units continues to be toward the center of the basin. The NMD will mine towards the center of the basin and then up dip from it. As in PR-04, the focus of the hydrologic monitoring program for the bedrock units will focus on the Twentymile and Trout Creek Sandstones. • During the development of the Northeast Mains, TCC will be crossing the same fault thaf was first intercepted in 10 Right gate road. No significant problems are anticipated while driving through this fault. TCC does not anticipate encountering any significant ground water inflows. As with the 7 Right through 2 Right panels, all of the longwall panels will be to the east of the fault. Only the submaining will be driven in through the fault, thus encountering the mining conditions in NMD. PR 03-06 2.04-16.2 05/07/03