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1988 MINING PROJECTIONS <br />.L <br /> Coal shipments of an estimated 180,000 tons are projected for energy require- <br /> ments by Colorado Westmoreland Inc.'s customer for the year 1988. Currently, we <br /> do no[ anticipate that a change in take from this customer or additional spot <br /> market sales would occur. Production rates will proceed and generally coincide <br /> with the take as d ictated by the current customer. <br />The poor market situation and customer perogative has caused the postponement of <br />the Rock Slopes construction. A minor revision for a ventilation shaft was sub- <br />min ed and approved during the Spring of 1988. Without the Rock Slopes, this <br />shaft will serve as an alternative for interim ventilation requirements. Spon- <br />taneous combustion and self heating of the coal in the Orchard Valley West Mine <br />portal area is a mine threatening issue that the proposed ventilation shaft will <br />substantially decrease or entirely eliminate. Construction of the shaft will be <br />in May and June of 1988. <br />Mining locations in 1988 will primarily consist of the advancement of Panel G <br />north ofE the Second West Submains. Panel G advance will proceed after the in- <br />terim conclusion of development of the Second WesC Submains. Pillar extraction <br />is not anticipated in 1988 at the Orchard Valley West Mine. <br />• <br />• <br />