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Colowyo Coal Company <br />2010Annual Reclamation and Hydrology Report <br />Colowyo currently samples each ground water site for a variety of quality parameters. <br />Of all the parameters that are analyzed for, several key indicator parameters are <br />identified. These are lab pH, lab conductivity, TDS, sulfate, calcium, iron, magnesium, <br />sodium and elevation. Statistical analysis is completed and illustrates historical trends <br />for each parameter in Exhibit 2B. <br />Elevated values for Total Suspended Solids (TSS) and Iron were reported in May 2010 <br />from three surface water monitoring locations, New Upper Good Springs Creek <br />(NUGSC), Upper West Fork Good Springs Creek (UWFCSC) and Lower Good Springs <br />Creek (LGSC). <br />Elevated levels at NUGSC are a directly related to spring runoff events from native <br />areas and did not receive any discharge from Outfall 012A during 2010. Due to the <br />fact that this location received natural runoff and precipitation, elevated levels of TSS <br />and Iron are directly linked to spring runoff events that occurred in May 2010. <br />Elevated levels at UWFGSC are directly related to spring runoff conditions as this is <br />an upstream site location and is representative of natural conditions in the area. <br />LGSC is located downstream of mining and receives discharges from three outfall <br />locations along Good Springs Creek. The three outfall locations are 001A, 004A, and <br />007A respectively. Review of lab analysis from outfall discharges that occurred <br />during May of 2010 indicate extremely low levels of TSS and Iron discharges from <br />Outfalls 001A and 007A. One sample for Outfall 007A exhibited higher levels of Iron, <br />however, precipitation data indicates that this higher level was in direct response to a <br />precipitation and melting event. Outfall 004A did not discharge at any time during <br />the 2nd Quarter of 2010. With water quality analysis indicating extremely low TSS <br />and Iron from three outfall locations it can be determined that outfall discharge water <br />quality was better than the receiving streams. <br />The surface water quality in the general area is highly variable and is a direct function <br />of the precipitation, streamflow and climate patterns. Other influences on water <br />quality constituents are surrounding irrigation and existing roads. Surface water <br />quality analysis show variable quality fluctuations due to all of these factors, with <br />minimal impacts from mining. <br />GENERAL TRENDS FOR GROUND WATER <br />Ground Water Data - The RI value for linear regression is indicated below. <br />• <br />Page 2-5