2010-05-07_PERMIT FILE - C2009087A (14)

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RULE 2 - PERMITS • Coal Stockpile and facilities pad • • Drainage and Sediment Control Structures • Ponds and pump house During the initial permit term, it is anticipated that coal will be moved from a small on -site storage stockpile to nearby customers by over - the -road tractor- trailer units. A more detailed description of the surface facilities is provided in Section 2.05.3. The PSCM operation under this permit application, including the production schedule and area of underground disturbance, will be dependent on conditions encountered and information gained during mining and the market demand for the coal. The annual production is expected to range from 500,000 to 2,500,000 tons during the initial five -year permit term. If mining conditions, coal availability and markets prove favorable, production could reach up to 12,000,000 tons of coal per year. Operation Description Previous mining operations in the area include the Yoast Mine which adjoins the western boundary of the permit area, and the Seneca II Mine which overlaps the eastern side of the permit area. These surface mines recovered Wadge Seam coal from areas of near - surface reserves along the anticlinal structures bounding the targeted PSCM reserves. The Yoast and Seneca II Mines ceased operations once the economically recoverable near - surface reserves were depleted and have been reclaimed. • The PSCM will develop and mine the deeper Wadge Seam coal reserves in the synclinal basin between the former Yoast and Seneca II mines. Coal development and initial production will be initiated near the eastern portion of the PSCM permit area using surface facilities located in the Little Grassy Creek sub - watershed. Development and mining during the initial five -year permit term will involve excavation of the portal face -up area, construction of limited surface facilities, and exploratory development of mains, sub - mains, and four entry sections. Surface facilities developed for the first five -year permit term will be used to support initial exploratory development and the associated limited coal production and would then also be utilized to support any subsequent future full -scale mining operations. Future permit revisions will be prepared and submitted for CDRMS review and approval to address any expansion and extension of development and mining activities beyond the initial permitted exploratory development activities and for any additional facilities or disturbances required in the future. Map 2.05.2 -M1, Life of Mine Plan Map, outlines the proposed development areas for the initial five -year permit term. New surface facilities in Little Grassy Creek watershed will include the mine portal face -up area, temporary topsoil and overburden stockpiles, a coal stockpile and coal handling facilities, maintenance facilities, roads and parking areas, electric power substation, drainage and sediment control structures, material storage yards, and other ancillary facilities needed to support the mining and related operations. Additional surface and mineral rights were purchased from Grassy Creek, LLC in 2009. Part of the surface property included the facilities that were permitted and used at the Seneca II mining operation. These facilities are shown on Map 2.05.3 -M1B, Mine Facilities Map (North End). These facilities will be used for the life of PSCM. • The temporary topsoil and overburden stockpiles and any other inactive areas will be stabilized through interim reclamation measures, including appropriate drainage controls and reseeding with a PSCM Permit App. 2.05 -5 Revision 03/05/10