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Exhibit 4 0 - Rail Loadout at Jansen <br />Land Use <br />The site is located in an industrial park consisting of several operations including the BNSF <br />Railroad; N/F Pense Brothers, LLC; Malespini Company to the north (Figure 2). Ranch pasture <br />land boarders the site to the south. Railroad operations associated with the rail spur to the New <br />Elk Mine border the site to the east and west. <br />Geology <br />The existing geology of the loadout site consists of alluvial deposits of the Purgatoire River <br />valley deposited on deep bedrock formations. These alluvial deposits have been modified <br />slightly by construction of the loadout site and surrounding property to promote operations on <br />flat pad sites and control surface drainage. <br />Hydrology <br />The site lies in the Purgatoire River valley. The river is located approximately 800 feet to the <br />southeast. No perennial, intermittent or ephemeral drainages cross the site. An intermittent <br />drainage, known as Colorado Canyon Arroyo, borders the site on the eastern boundary. This <br />Arroyo flows during late winter and spring as a result of snowmelt and during the summer as a <br />result of heavy thunderstorms. <br />Ig Shallow alluvial groundwater in the Purgatoire River alluvium can be found in the area of the site <br />at depths of approximately 15 to 20 feet below the surface. Residents of the area utilize alluvial <br />water for irrigation and livestock water. Potable water is supplied by the City of Trinidad through <br />their water delivery system. <br />Air Quality and Climate <br />Climate of the site consists of the typical four seasons of Front Range locations. Winters are <br />mild, however, Pacific weather systems can produce temperatures below 0 degrees Fahrenheit <br />and significant quantities of snow. Summers are warm with temperatures commonly in the 90s <br />and from time to time in the 100s. Summer thunderstorms can produce heavy rains, sometimes <br />in excess of one inch of precipitation. Average annual precipitation is approximately 16 inches. <br />Soils <br />The entire permit area is disturbed for previous loadout operations. As a result, all natural soils <br />on the site have been disturbed and covered with gravel or fill material. There are no prime or <br />unique soils found on the site. <br />Vegetation <br />All natural vegetation within the permit area has been removed by previous loadout operations. <br />Weed and volunteer species occur on the boarders of the property. <br />January 2011 5 <br />