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• Bowie Resources Limited <br />Bowie No. 2 Mine <br />Annual Subsidence Report <br />Introduction <br />This report covers the 1998 calendar year. Mine Construction of the Bowie No. 2 Mine began <br />during May of 1997, with coal production beginning during August 1997. <br />The mining permit application for the Bowie No. 2 Mine requires the operator to submit the <br />resuhs of the hydrologic monitoring and a visual inspection of known modem and historic <br />landslides within the permit and adjacent area for stability in June and November of each year and <br />report these resuhs to the Division by the end of April each year for the precedmg year. <br />The operator is also required to inspect these landslides, both modern and historic monthly for six <br />months immediately after retreat mining occurs. This same inspection routine is applied to any <br />spring or pond in the immediate proximity of retreat mining. <br />Hydrologic Monitoring <br />The 1998 Annual Hydrology Report is attached to this Subsidence Report. No indications of <br />• subsidence are apparent or referenced in this report. All ponds and springs were found to exhrbit <br />characteristics, both in a visual and chemical perspective in accord with the baseline information <br />supplied in the permit application. <br />Visual Inspection of known historic and modern landslides. <br />A visual inspection of all known historic and modem landslides was conducted during June and <br />November 1998 by David A. Jenkel, 2768 Compass Drive, Suite 101, Grand Junction, CO 81506. <br />No new or rejuvenated landslides were found during this inspection. <br />Increased Inspection activity associated with retreat mining. <br />No ponds, springs or landslides were affected by retreat mining during 1998 and therefore no <br />increasedmspection activity occurred. <br />• <br />Page t <br />