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• 2.04.6 <br />(3)(a)(i) The coal bearing member of the Mesaverde formation is stratigraphically <br />between the Rollins sandstone and the barren member, with the approximate <br />700 ft. thickness completely present, except nearthe outcrop area. The coal <br />seams which comprise the Bowie No. 2 Mine reserve occur in the Bowie and <br />Paonia Members of the MesaverdeFormation. A total of eight separate coal <br />seams have been correlated and measured. The B -2 Seam, D -2 Seam, in <br />ascending order, from the top of the Rollins sandstone have been found to <br />be potentially commercially viable for mining by underground methods. <br />The A -Seam directly overlies the Rollins sandstone with a thickness range <br />from 3 to 5 feet. The area where the seam does achieve a mineable <br />thickness does not comprise a reserve of adequate areal extent to be <br />considered a coal resource. <br />The B -1 Seam, lower B -Seam, meets the minimum physical criteria to be <br />considered a coal resource. The B -1 Seam thickness ranges from 5 to 16 <br />feet. The B -2 Seam, upper B -Seam, meets the minimum physical criteria to <br />be considered a coal resource. The B -2 Seam thickness ranges from 9 to 22 <br />feet. <br />Because of inadequate interburden between the B -2 Seam and the B -1 <br />Seam, only one of the seams at a particular location can be considered a <br />coal resource. The interburden between the seams ranges from a few feet <br />to about 70 feet. The seams are separated by as much as 50 feet of <br />interburden in only a small portion of the property. In orderfor a seam to be <br />considered a coal resource the interburden between seams must be at least <br />50 feet. The B -1 Seam overlies the A -Seam by 86 to 106 feet. <br />The C -Seam overlies the B -2 Seam by 38 to over 114 feet. The seam does <br />not meet the minimum physical criteria to be considered a coal resource. <br />The C -Seam thickness ranges from 2 to 7 feet. The areas where the seam <br />does achieve a mineable thickness are laterally discontinuous and do not <br />comprise a reserve of adequate areal extent to be considered a coal <br />resource. <br />• <br />PR -12 2.04-18- 02/10 <br />