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• Red Canyon Mine - 1998 AHR Page 2 • Ward Creek has been sampled for TDS and SAR from 1994 through 1997 during the low flow period The following table presents the results of the four years of monitoring: Total Dissolved Solids (mg/I) Sodium Adsorption Ratio Measured Predicted Measured Predicted U/S Ward 9/94 60 214 0.67 0.90 UIS Ward 9/95 66 214 0.67 0.90 U/S Ward 10/96 78 214 0.69 0.90 U/S Ward 9/97 72 214 0.73 0.90 D/S Ward 9/94 105 214 1.02 0.90 D/S Ward 9/95 90 214 0.69 0.90 D/S Ward 10/96 112 214 0.72 0.90 D/S Ward 9/97 112 214 0.96 0.90 This sampling confirms that the Red Canyon Mine has not had an adverse impact on the quality of water in Ward Creek. Spring SP-3 was monitored in May. SP-1 was inaccessible due to high water (142.5 cfs) in Ward Creek. In May the field conductivity of SP-3 was 590 uhmos/cm. This value is essentially equal to its historical average of 591 uhmos/cm. The hydrologic monitoring program provides for monitoring to determine if run-off from the mine site has any impact on the water quality in the Carbon Ditch. SP-D is the upstream monitoring point and SP-DA is the downstream monitoring point on the Carbon Ditch. SP- D is located on the Carbon Ditch at a point that would not be impacted by surface run-off from the mine site. SP-DA is located downstream on the Carbon Ditch at a point that could be impacted by surface run-off from the mine site. Both points are monitored during May and September for field parameters and total suspended solids, (TSS). In May the TSS for SP-D and SP-DA was 620 and 470 respectively. In September the TSS for SP-D and SP-DA was 95 and 110 respectively. The TSS measurements indicate that no significant degradation of the quality of water occurred on this stretch of the Carbon Ditch. During the year the return irrigation flow was allowed to accumulate in the pond to again demonstrate this was an adequate source of water for the pond. •