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RULE 2 PERMITS <br />As discussed during the permitting of the South Taylor Mining Area (PR -02), as long as the total <br />percentage does not exceed 15% of the total truck/shovel sequence for each drill hole, suitability should <br />not be an issue based upon the upper overburden seam quality and the expected dilution of lower <br />overburden materials (more likely to exhibit elevated parameter levels) through mixing as part of the <br />logical mining sequencing of overburden and coal removal in the Collom area. <br />In the following analysis, Colowyo demonstrates the likelihood spoil material placed near the surface of <br />reclamation final regraded overburden areas will exceed the suitability range for overburden criteria (as <br />described within Table 2.04.6 -5) is low. This demonstration was completed by showing the total <br />percentage of unsuitable material as it relates to the drill hole data shown in Volume 17, Exhibit 6 Item 9 <br />for the sources of the majority of overburden to be generated in the area. A review of the analysis <br />spreadsheet for drill hole C -04 -04 shows that the source of all elevated SAR levels (> 15.0) originates <br />from the bottom 121 feet of overburden from the bore hole. Normal overburden haulage and sequencing <br />will ensure this material will not contribute to elevated SAR levels on the reclaimed surface post- mining <br />in the Collom expansion area. <br />Drill Hole C -04 -14 <br />Unsuitability range in feet: <br />SAR > 15 = 27.6 feet <br />Se > 0.3 = 7.3 feet <br />B > 5.0 = 0 feet <br />Sat <25 or >80 = 45.35 feet <br />Mo> 1.0 =0feet <br />10 Total Drill Hole Depth = 354.3 feet <br />Total Percentage of unsuitable material: <br />SAR = 27.6 feet/354.3 feet = 7.7900084674% <br />Se = 7.3 feet /354.3 feet = 2.0606007903% <br />B = N/A <br />Sat = 45.35 feet /354.3 feet = 12.799887101% <br />Mo = N/A <br />Drill Hole C -04 -25 <br />Unsuitability range in feet: <br />SAR > 15 = 69.6 feet <br />Se > 0.3 = 15.15 feet <br />B > 5.0 = 0 feet <br />Sat <25 or >80 = 83.8 feet <br />Mo> 1.0 =0feet <br />Total Drill Hole Depth = 639.7 feet <br />Total Percentage of unsuitable material: <br />SAR = 69.6 feet/639.7 feet = 10.880100047% <br />Se = 15.15 feet/639.7 feet = 2.3682976395% <br />B = N/A <br />Sat = 83.8 feet /639.7 feet = 13.099890574% <br />Mo = N/A <br />0 Drill Hole C -04 -04 <br />Unsuitability range in feet: <br />Collom - Rule 2, Page 96 Revision Date: 1/23/09 <br />Revision No.: PR -03 <br />