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The topography is gently sloping with a few small ridges and shales . Most of <br /> the land surrounding the permit area is agricultural and is used primarily for <br /> irrigated and non-irrigated farmland which produces alfalfa and pasture <br /> grasses . The New Horizon Mine 1 area has been reclaimed and therefore is <br /> being returned to pastureland and/or wildlife habitat. <br /> The mine is located within the southeast portion of the Colorado Plateau. The <br /> region is characterized by broad, fairly smooth surfaced plateaus and mesas <br /> with gently dipping slopes dissected by steep canyons . Surface elevations at <br /> the New Horizon Mine 1 range from a high of 5,767 feet (MSL) in the northwest <br /> part of the permit area to a low of slightly less than 5,672 feet on the <br /> southeast part of the permit area along Tuttle Draw (see the attached Index <br /> Map Figure 1 ) . Total topographic relief for the New Horizon 1 area is about <br /> 95 feet. Surface elevations at the New Horizon Mine 2 area range from a high <br /> of 5,760 feet (MSL) in the northwest part to a low of 5,642 feet in the <br /> southeast part along Calamity Draw for a total relief of about 110 feet. <br /> Climate <br /> The regional climate of the New Horizon area is typical of intermountain <br /> regions . It is characterized by cold winters , hot summers , low rainfall , and <br /> short growing seasons . The mine receives approximately 12 inches of <br /> precipitation in an average year. The majority of the precipitation falls <br /> between October and May. <br /> Regional Geology <br /> The New Horizon Mines are located near the axis of the Nucla Syncline <br /> (San Miguel Syncline) , a shallow, broad synclinal fold running northwesterly <br /> for 65 miles . No evidence of faults has been observed in drill holes at <br /> New Horizon Mine 2 or at the New Horizon Mine 1 area. The Nucla Syncline is <br /> 10 to 15 miles southwest of the major regional geologic feature of the area, <br /> the Uncompahgre uplift. The region lies in the Dolores River basin. The <br /> mines are located two to four miles northeast of the San Miguel River. Gently <br /> rolling terrain traverses the area and the mines occupy a predominantly <br /> southwestern exposure. <br /> The mines are located in the Nucla-Naturita coal field. The coal is found in <br /> late Cretaceous sediments . The youngest Cretaceous rocks in the area consist <br /> of Mancos shale , a dark grey marine shale, present only on isolated hilltops <br /> south of the town of Nucla. Two hundred feet of Dakota sandstone outcrops <br /> extensively along the axis of the Nucla syncline. This formation consists of <br /> a yellowish-gray, fissile sandstone and conglomeratic sandstone interbedded <br /> with dark grey shale and coal . There are two coal seams within 100 feet of <br /> the base of the Dakota (Figure 2) . The lower Cretaceous unit in the area, the <br /> Burro Canyon Formation, is separated from the Dakota by an unconformity. The <br /> Burro Canyon is comprised of white, grey and light brown sandstones and <br /> conglomerates interbedded with green and purplish shales , siltstones , <br /> mudstones and thin beds of limestone. This formation has a maximum thickness <br /> of 200 feet and outcrops on rims of canyons west and northwest of the mine . <br /> This formation is difficult to differentiate from the Dakota in this area and <br /> is commonly considered hydrogeologically similar. The Jurassic Morrison <br /> Formation is composed of 250 feet to 600 feet of varicolored siltstones and <br /> mudstones with beds of limestone and sandstone. <br /> -4- <br />