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0 2 05.3 Operation Plan - Permit Area <br />Production Methods and Equipment <br />The proposed Northfield Mine is located in an area of gently sloping <br />sedimentary deposits which are overlain by sandstone bluffs and <br />surficial colluvial /alluvial materials. All of the surrounding sedimentary <br />formations have been tilted by the nearby Wet Mountain uplift which <br />produced a westerly dip in the strata within the permit area. At least <br />six coal seams of significance exist in this area although only the <br />Ocean Wave seam has been identified as being economically <br />recoverable under current market conditions. Previous mining has <br />occurred in several of the seams in and adjacent to the proposed <br />permit area. Apart from the Ocean Wave, the other seams are of <br />limited extent or are too thin to be mined. A detailed geologic <br />description of the proposed permit and adjacent areas is presented in <br />Section 2.04.6, Geology Description. <br />Northfield's estimated annual coal production will be approximately <br />400,000 tons per year for the initial and subsequent permit terms. The <br />actual annual production will depend on contracts yet to be obtained <br />for the anticipated high BTU coal product. Most of the coal will be <br />supplied to industrial customers requiring a 2 x 0 inch size product, <br />and additional sales are anticipated for a sized stoker coal product. The <br />mine will operate on a two -shift per day, five day per week production <br />schedule on a year round basis to achieve the projected annual <br />production. A third shift per day will allow time for equipment <br />maintenance as well as mine maintenance and necessary underground <br />construction activities in the active working areas. <br />The proposed room and pillar mining methods at Northfield will utilize <br />modern mining equipment including continuous miners, shuttle cars, <br />roof bolters, power centers, and feeder breakers. Each specific area in <br />the mine where the equipment is located and producing coal is called a <br />working section. A working section generally requires at least one of <br />each of the above described pieces of equipment to operate, with the <br />exception of shuttle cars. Two shuttle cars are utilized to haul coal in a <br />section, and in some instances a third shuttle car can be operated in <br />the mining cycle. Additional mobile equipment will be utilized for <br />support including maintenance, personnel transport, and clean -up of <br />mine areas. Northfield anticipates starting mine operations with <br />sufficient equipment necessary to run one section, and subsequently <br />adding equipment to operate a second section, though some pieces of <br />equipment may not need to be duplicated since they can be moved <br />and utilized in both sections. A complete list of underground <br />equipment, showing the machines required to run two separate mining <br />2.05.3 -1 Revised 12/04/09, TR -01 <br />