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EFCI Southfield Mine — 2012 Annual Hydrology Report April 18, 2013 <br />1.0 INTRODUCTION <br />This 2012 Annual Hydrology Report (AHR) summarizes water use, discharges to streams, and <br />ground and surface water hydrologic monitoring results for the reclaimed Southfield Mine and <br />Loadout areas during the 2012 water year, which corresponds to the calendar year. Similar to <br />previous reports, discussion of hydrologic data and comparison of these data with previous <br />reporting periods are incorporated within the report. For the oldest monitoring locations, thirty - <br />three years of monitoring data are included in the database used to produce this report. The AHR <br />was prepared and is submitted in accordance with Exhibit 25, Hydrologic Monitoring Plan, of <br />approved mining and reclamation permit No. C- 1981 -014. <br />Energy Fuels Coal, Inc. ( "EFCI ") is the operator and permittee of the Southfield Mine located <br />approximately 8 miles south of Florence, Colorado, and the associated Loadout facility located <br />approximately 1.5 miles northwest of Florence. EFCI ceased mining, coal processing, and coal <br />sales activities during December 2000 through early 2001. Final reclamation activities for the <br />Mine Area were initiated in August 2001. Underground mine areas were accessible for ongoing <br />mine inflow monitoring through September 2001. Monitoring of underground inflows and seeps <br />continued up until the time of constructing permanent portal seals in December 2001. EFCI <br />discontinued use of the ancillary Loadout Area in 1996, and reclaimed the site in 1997. <br />Water monitoring activities during the 2012 water year were conducted in compliance with the <br />approved monitoring plan. Hydrologic monitoring activities were conducted by George Patterson <br />of EFCI, and all water samples were submitted for analysis to ACZ Laboratories, Inc. of <br />Steamboat Springs, Colorado. Surface water monitoring sites and groundwater monitoring wells <br />for the mine site are shown on Map 12, Mine Area Surface and Groundwater Hydrology included <br />in the approved permit application. Loadout surface water monitoring sites are shown on Map 13, <br />Loadout Monitoring Stations, also included in the permit application. <br />In order to provide a reference for identification and evaluation of any changes in groundwater <br />levels or inflows, surface water flows, or surface and groundwater quality, data collected by the <br />previous (and initial) operator, Dorchester Coal Company (1979 -1985) and subsequent EFCI <br />monitoring data (1985 -2012) is included in the data summaries. Required monitoring data <br />collected and summarized in this report includes the following: <br />2012 AHR text doc <br />Water use <br />Quantity and quality of surface runoff discharges (from ponds) to local streams (if any) <br />Groundwater quality and well levels <br />Stream flow quantity and quality (if any) <br />2.0 GROUNDWATER INFLOWS, WATER USE AND DISCHARGE <br />2.1 Mine Inflows <br />Mine inflow monitoring was discontinued after September 2001, prior to permanently sealing the <br />mine in December 2001. Total mine inflows measured during 2001, the last reporting period, were <br />estimated at 5.2 acre -feet as compared to 10.3 acre -feet during the 2000 reporting period. Prior to <br />2001, mine inflow locations were monitored semi - annually during the spring and fall for each <br />annual reporting period. The 2001 mine inflows represented a decrease from prior years possibly <br />Page 1 <br />