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Coal analysis as well as analysis of the immediate floor and roof for the upper
<br />seam is included in Appendix 4(1).
<br />Coal analysis as well as analysis of the immediate floor and roof for Drill Hole
<br />N-16 (Federal lease modification area PR-OS) is included in Appendix 4(2).
<br />Coal analysis and analysis of the immediate floor and roof for Federal Lease
<br />COC-60941 will be completed and reported upon entry of the property.
<br />Coal analysis and analysis of the immediate floor and roof for the Tipotsch
<br />Lease will be completed and reported upon entry of the property.
<br />GEOLOGIC HAZARDS
<br />Geologist, David L. Gaskill, of the Conservation Division of the U.S.G.S.
<br />reported no unusual geologic hazards are known that might adversely affect mining
<br />in the upper or lower Menefee coal seams. He noted that ground water tables were
<br />below the seams (See Appendix 4(3)). Mr. Gaskill's report was prepared in February,
<br />1980, for the survey's consideration of National King Coal's application for a new
<br />Federal Lease adjacent to the current lease holdings.
<br />An inspection of the King I Mine workings shows no significant faults or strata
<br />displacements. The coal is strong and pillars are structurally competent showing a
<br />lack of squeezing (crushing) or rib spalling. The mine floor does not buckle due to
<br />stress from the overburden and because the water table is lower than the seams,
<br />pore water pressure is non-existent. The immediate mine roof consists of thinly
<br />laminated shales and sandstones. These beds rise up to the base of the Cliff House
<br />sandstone an average of twenty feet above the coal seam. The thick Cliff House
<br />sandstone provides a great deal of ground stability and generally prevents
<br />subsidence from reaching the surface after pillars are extracted during second
<br />mining. Reports concerning the effects and control of subsidence for the upper
<br />seam are included in Section 2.05.6
<br />STRATIGRAPHIC CROSS-SECTION
<br />A cross-section of the King I Mine shows several coal seams or rider seams at
<br />various depths from the surface (See Appendix 4). The overburden above the King I
<br />Mine (upper Menefee) seam consists exclusively of sandstone and shale. The cross-
<br />section was obtained from an exploratory core drill hole on the mine plan area
<br />(Federal Lease). The information was obtained in 1977. The drill hole is located in
<br />the SE/4 NW/4 of Section 32, and is shown on King I-005. Additional drilling log
<br />data and Colorado Geological Survey data are included in Appendix 4, and locations
<br />of referenced samples are shown on Regional Geology Map King I-004.
<br />The second cross-section shows the basic geology of La Plata County of which
<br />the Hay Gulch area is a part. The section is helpful in visualizing the geology
<br />mentioned above (See Appendix 4).
<br />Data obtained from an exploratory core drill hole within the federal lease
<br />modification area added by Permit Revision PR-05 is included as Appendix 4(2).
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<br />National King Coal, LLC King I Mine
<br />Section 2.04.6
<br />Page 4 February, 2007
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