2012-10-01_REVISION - M1977306 (20)

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Exhibit G Water Information JD -9 Mine Permit Amendment M- 1977 -306 There are no tributary water courses, wells, springs, stock water ponds, reservoirs, or ditches that will be affected by mining operations at the JD -9 site. Poor water quality and limited amounts of water available from the Salt Wash sandstones combined with the remoteness of the region result in no significant environmental impacts to the limited water resources in the area. Detailed descriptions of the area aquifers are presented in Exhibit U. A general description of area "aquifers" is provided in this exhibit. The Dakota/Burro Canyon Formations form the highland areas surrounding the JD -9 mine site and provide limited amounts of groundwater. Vents that penetrate these formations are estimated to seep 1 to 2 gallons per minute into the mine workings. Portions of the Salt Wash sandstones are saturated in the area but the low permeability limits water yields in the area. Based on hydraulic data from across the Colorado Plateau and the lack of direct information in the area, the Entrada Formation does not appear to be an important aquifer in the area. A spring located west of the mine site at the contact of the Navajo Sandstone and the underlying Kayenta Formation indicates that the Navajo Sandstone could be a viable aquifer in the area. Across the Colorado Plateau, the Navajo Sandstone is an important source of water in the arid environment. There is no information available on the Wingate Formations to determine the viability of the formation to produce domestic or industrial amounts of groundwater. Dewatering of the JD -9 mine is required during mining. It is estimated that 8 gallons per minute will require treatment during mining operations. Water pumped from the mine is treated in lined ponds located on the mesa above the mine. Details of the water treatment system including the chemicals used in the process are provided in Sections (5) and (6) of the Environmental Protection Plan (Exhibit U). Post treatment mine water is sampled on a routine basis before being discharged to the environment as required by the discharge permit regulated by the CDPHE. Water needed for the mining operation (e.g. drill water, water for wetting down blasted material and for fugitive dust control) will be hauled to the site from a legal source (e.g. purchased from the town of Naturita, Colorado). Water consumption will be less than 1,000 gallons per working day. A detailed Drainage Design Plan is presented in Appendix II. The approach used in this plan is to prevent offsite run -on from entering the active surface mining area by diverting offsite surface flows above the stockpile areas via berms or diversion ditches, and to prevent onsite runoff from leaving the site or containing it long enough to allow sediment to settle in retention ponds. Additional details on the groundwater and surface water systems of the JD -9 mine site are provided in the Environmental Protection Plan (Exhibit U). G -1