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2. Groundwater Effects Natural springs in, or adjacent to, the Bear No. 3 Mine permit area are not expected to be affected by mining at the $ear Mine. A spring survey conducted at the Bear Mine located three natural springs in the permit area. At the time that this survey was conducted, no perennial springs existed on the property. A spring survey conducted by MCC did locate several seasonal and perennial seeps in the adjacent area. Mining activities at the Bear No. 3 Mine could reduce spring flows or eliminate springs by intercepting the groundwater or colluvial flows that supply the springs. Groundwater may be intercepted by dewatering of the coal seam and adjacent roof and floor rock. Groundwater in strata several hundred feet above the extracted coal seam maybe intercepted by vertical fractures created by subsidence. As previously discussed, beginning in June, 1995, personnel at the Bear Coal Company discovered inflow to the 3rd West Section of the Beaz No. 3 Mine. This inflow was measured at approximately 18 gpm. The source of the mine water inflow has not been determined. Because the Bear No. 3 Mine has ceased operations and has been sealed, no additional information is currently available on inflow to the mine. Prior to June, 1995, the Bear No. 3 Mine reportedly never intercepted any significant amounts of groundwater. As described below, small amounts of water may have entered recently mined areas through the walls, roof, and floor. Effects to groundwater resources (if any) resulting from the mine inflow reported at the Bear No. 3 mine have not been determined. Groundwater monitoring of the Lower Coal Member of the Mesaverde Formation in the vicinity of the Bear No. 3 Mine may be deemed appropriate until the source of the mine inflow is ever determined. To date, there has been no recorded discharge from the Beaz No. 3 Mine. On November 17, 1997, Beaz Coal Company personnel noted water flowing from an area located immediately west of the sealed Edwards Mine Portal. This spring is continuing to flow at approximately 37 gpm. Prior to this time, the abandoned Edwards Mine had not discharged mine water since its opening in 1934. It has not been determined if this recent discharge is in anyway associated with the mine inflows reported at the Bear No. 3 Mine, The effect that this dischazge may have on groundwater resources cannot be determined until the source of the water has been identified. Bear Coal Company is not expected to disturb the aquifers that supply springs adjacent to the permit azea. The springs adjacent to the permit area are primarily associated with sandstones in the Barren Member of the Mesaverde Formation. These sandstones will not be affected by subsidence fractures. Rubblization above the Bear No. 3 Mine workings is expected to extend several hundred feet above the extracted B- and C-Seams. No fractures are expected to extend above the sandstone at the top of the lower Coal Bearing Member. The limited vertical 20