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In preparation for future mining in the WMD, TCC will proceed with initial (Phase I) and Phase II development of
<br />the main and submain entries for Panels 13-Left through 17-Left, as shown on the Mine Plan Map, Map 23.
<br />Development will extend to the limits of the pending (lease application submitted 04/08) Federal coal lease at the
<br />western edge of the WMD. Alignment of development entries may be adjusted, as necessary, to address geologic
<br />conditions. Main and submain entries will be developed by continuous miner, as is current practice.
<br />~2) Operation description. A general description and appropriate map(s), prepared in accordance with 2.10,
<br />describing the area of land to be affected over the life of operation, according to the anticipated sequence of mining
<br />and reclamation, and identifying each area of land for which it is anticipated a new, separate, five-year permit will
<br />be obtained and a performance bond will be posted throughout the operation and any change in a facility or feature
<br />shown under 2.10, which would result from the proposed operations.
<br />The general operation plan for the Foidel Creek Mine is shown on Map 23, Mine Plan. This map shows the
<br />planned schedule for the mine advance throughout the life of the mine. Separate five-year renewals will be
<br />obtained and incremental performance bond will be posted, as necessary and appropriate. The permit area
<br />associated with the underground coal mine encompasses approximately 22,447 acres. Total disturbance acreage is
<br />approximately 498 acres (refer to 2007 Annual Reclamation Report).
<br />As shown on Maps 1 and 2, there are two remaining parcels of unleased federal coal within the mine Permit Area.
<br />These parcels are located in portions of Sections 22 and 27 of TSN, R87W, and portions of Section 33, T6N,
<br />R86W. The BLM controls the coal within both areas, and the surface of the parcel of land located in the SW'/
<br />SW'/ Section 33, T6N, R86W. It is not anticipated that the federal coal in Section 33, T6N, R86W will be mined,
<br />since it is in an area where the coal seam dips steeply upward on the edge of the synclinal basin. In April 2008,
<br />TCC submitted a lease application to the BLM for the unleased federal coal in Sections 22 and 27 of TSN, R87W,
<br />and anticipates incorporating final Phase III mine development and longwall mining into the proposed mining plans
<br />upon issuance of the federal coal lease.
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<br />~` ~ Map 23A presents previously mined, active, and planned future mining areas at a more detailed scale. Evaluations
<br />of projected subsidence and related effects, initially based on subsidence modeling, and subsequently confirmed by
<br />actual mining and subsidence monitoring experience, indicate that subsidence would not significantly impact the
<br />designated AVF or related environmental values. For actual and potentially impacted portions of the designated
<br />Fish Creek AVF, the subsidence evaluation approach and conclusions are documented by Exhibits 7B, 7C, 45 and
<br />46 and by appropriate revisions to Exhibit 14.
<br />The proposed subsidence monitoring network for the longwall area is shown on Map 23A. Mapped subsidence
<br />survey lines include the supplemental monitoring stations to be established for evaluation of potential subsidence
<br />impacts in the effected portion of the designated Fish Creek AVF.
<br />SOUTHWESTERN MINING DISTRICT
<br />TCC, through the acquisition of the unleased federal coal reserves located in the SWMD, added additional
<br />recoverable reserves to its existing mine plan. The SWMD lease application was submitted to the BLM on January
<br />27, 1992, and was subsequently approved.
<br />The lease application area is located in the Nl/2 of Section 36, TSN, R87W, and the W/2NR/4 and the NW/4 of
<br />Section 31, TSN, R86W. The lease application comprises approximately 537 acres. The surface of this coal is
<br />controlled by three different landowners, TCC, Robert Perry, and Robert Perry et al.
<br />TCC extended the 2- and 3-Southwest Panels to the west. The 2-Southwest Panel was extended approximately 300
<br />feet to the west and the 3-Southwest Panel was extended approximately 700 feet to the west. The modified mine
<br />projections are shown on Maps 23 and 23A, Mine Plan. The panel extensions allowed for the recovery of
<br />additional reserves in the newly acquired federal lease.
<br />TR08-64 2.05-3 06/17/08
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