2008-05-01_REPORT - C1996083 (7)

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Bowie Resources, LLC April 30, 2008 Bowie No. 2 Mine 2007 Annual Hydrology Report North Fork Alluvium Monitoring Wells Alluvial monitoring wells AW-1 through AW-6 are located near the mine entrance along the north side of Highway 1336. These wells are monitored quarterly for field parameters and semi-annually for full suite laboratory parameters during the second and fourth quarters in accordance with the permit application. Alluvial monitoring wells AW-7 through AW-9 are located near the mine entrance along the south side of Old State Highway 133. AW-10 cannot be reliably sampled due to a collapse of the casing, and will be eliminated from the monitoring plan. These wells were installed as a requirement of PR-03 which allowed the mine operator to relocate Sediment Pond B to the south side of the highway. Alluvial Wells 11 through 13 were installed during the fall of 2000 to monitor the alluvium in the area where the new coal loadout (PR-06) was constructed. Alluvial well 13 was eliminated by the construction of the unit train loadout. Alluvial well 14 was installed during 2003 west of Pond K. Alluvial wells 15 through 17 were installed during the fourth quarter of 2003 and are located north of State Highway 1336 below the coal mine waste disposal area. The 2007 sampling season provides results consistent with baseline information provided in the permit application, showing no adverse impact to groundwater during the construction of the mine. ~ Surface Water Monitoring Stations: PONDS Ponds were sampled for water quality when discharging or inflows/outflows were occurring. Ponds are typically spring-fed or seep-fed and exhibit diffuse non- concentrated areas of inflow. Often the pond outlets present the only point of concentrated flow at which flow measurements and field parameters can be obtained. Where possible, quality measurements are obtained at the pond inlet. Stagnant water in ponds is not sampled since water quality results would show the effects of evaporation and stock use and could not be used to evaluate potential mine affects. Stock Ponds P-1 through P-6 and P32-3, P33-3, P33-7, P33-10 and P33-11 are monitored quarterly for inflow or outflow and water level. Water level is measured as freeboard above spillway outlet or depth of water in the pond measured from the bottom of the pond. Field data collected during the 2007 sampling season is consistent with baseline information provided in the permit application. Surface Water Monitoring Stations: SPRINGS Fifty six springs within the permit boundary were monitored during the 2007 monitoring season in accordance with the Hydrologic Monitoring Plan. This plan indicates that identified springs will be inspected quarterly for field parameters with full suite laboratory parameters required on springs with flows greater than five (5) gallons per minute. During the construction phase of the mine, four (4) springs (S-6, S-7, S-9 and S-15) were eliminated by road and portal bench construction activities. The 2007 field 4