2009-02-26_REPORT - C1982057 (10)

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noted, the upstream Well WHAL10 has TDS values below its predicted value. - Wadge Overburden. Three wells monitor the Wadge overburden. North area Well WOV14 exhibits an increasing TDS trend. Middle area Well WOV17 overall exhibits a decreasing TDS trend, but with an unusually high value this year. South area Well WOV25 was drilled in September 2004. It displays a decreasing TDS trend. The Seneca II-W PHC predicts annual average TDS values at various Wadge overburden wells. For Well WOV14, a value of 4385 mg/l was predicted, while a value of 4430 mg/l (4120 mg/l calculated) was observed this year. For Well WOV17, a value of 4295 mg/l was predicted, while a value of 7410 mg/l was observed in 2007. The predicted value for Well WOV17 was predicated on a 5.5% increase of the premining value of 4072 mg/l, which is an average of several overburden wells. However, Well WOV17 exhibited a premining TDS average value of 8043 mg/1, while the next highest TDS Wadge overburden well (WOV15) had a baseline TDS average of 3741 mg/l. Well WOV17 also exhibited a high degree of baseline TDS variability (min. = 6860, max. = 8586 mg/1). The TDS value in 2007, 7410 mg/1, was below the PHC prediction using the average baseline value (8043 + 5.5% _ 8485 mg/1), and is also below a 5.5% increase of the maximum baseline TDS value (8586 + 5.5% = 9058 mg/1). Also, as explained previously in the alluvium section, calculated TDS values are often preferable to measured TDS values. The calculated TDS value in 2007 was 6725 mg/l. In 2008, an unusually high TDS value of 16,700 mg/l was observed at this well. This value is over twice the historic average, 7736 mg/1, for this well. More data will be needed to determine if this value was an anomaly. - Wadge Coal. Three wells monitor the Wadge coal seam. North area Well WW14 recently exhibits a stable TDS trend (SF=0.5), with TDS values peaking in 2001. Middle area Well WW17 exhibits a nearly level TDS 6