Steven F. Alder (00033) Kassidy Wallin ( 142bt) Assistants Utah Attorney General 1594 West North Temple St. #300 Salt Lake City, Utah 84118 Telephone 801 538 5348

F I LED JAN 11 2013

SECRETARY, BOARD OF OIL, GAS" MINING

BEFORE THE BOARD OF OIL, GAS, AND MINING DEPARTMENT OF NATURAL RESOURCES

STATE OF UTAH

In the Matter of the Petition of Genwal Resources, Inc. for Review of Division Order DO - lOA, Crandall Canyon Mine

DISCLOSURE OF POTENTIAL WITNESSES

AND EXCHANGE OF PROPOSED EXHIBITS FOR HEARING

Docket No. 2010-026

Cause No. C/015/0032

Pursuant to the Stipulated Order of the Board, the Utah Division of Oil, Gas and

Mining (Division), files this initial disclosure of potential witnesses and provides Genwal

with copies of its proposed exhibits for the evidentiary hearing set for January 23,2013 to

review recent monitoring data for the Crandall Canyon Mine.

The Division anticipates that it will call Ken Hoffman, hydrologists at the

Division of Oil, Gas and Mining as an expert witness to present and discuss the iron

concentrations in the recent water monitoring data from the Crandall Canyon Mine. Mr.

Hoffman will discuss his analysis of the samples that have been submitted by Genwal and

those taken by the Division since the Board's December 2011 hearing and the correlation

of this data with prior monitoring data for the untreated mine water discharging from the

Crandall Canyon Mine. He may also discuss the effects of recent changes in the

12056612.5

sampling methods used by Genwal. A copy of Mr. Hoffman's resume is attached and is

proposed as an exhibit.

The Division submits to Genwal the proposed Division Exhibits 1 through 7

attached hereto. In addition, Mr. Hoffman may present a brief written report discussing

the data and his conclusions based on his analysis. Due to Mr. Hoffman being ill the

report could not be included in this exchange but will be provided to counsel for Genwal

by January 14,20123.

.tk Respectfully submitted this lL~ay of January, 2013.

~Mr1P cill2v-Kassidy Wallin Assistants Utah Attorney General Counsel for Utah Division of Oil Gas and Mining

12056612 ,5

CERTIFICATE OF MAILING

The Undersigned certifies that a true and correct copy of the foregoing Disclousre of Proposed Witnesses and Exchange of Exhibits was sent to the following persons both electronically this JL. day of January, 2013.

Denise Dragoo, Snell & Wilmer 15 West South Temple, Suite 1200 Salt Lake City, Utah 84101; ddragoo@swlaw.com

Mike Jolmson Counsel for Board of Oil, Gas and Mining 1594 West South Temple #300 Salt Lake City, UT 84116 MikeJolmson@Utah.gov

Julie Ann Carter Secretary for Board of Oil, Gas and Mining 15 94 West South Temple # 100 Salt Lake City, UT 84116 JulieAnnCarter@Utah.gov

12056612.5

7.0 Crandall Mine - Total Iron Untreated Minewater

• 6.5

6.0

5.5

• 5.0 • 4.5

~

lie 4.0 E

, . -c 3.5 0 .: "iQ

3.0 .. 0 • ~ • • 2.5

2.0

1.S

1.0

• • . '--. ......... ~ "' """"-:;----------, - - - - - ..... - - - - -~-• o.s • • 0.0 •

2007 2008 2009 2010 2011 2012 2013 2014

• Genwal collected total iron (mg/L) pretreatment sampling results

• Division collected total iron (mg/L) pretreatment sampling results

- - 1.24 mg/L total iron limit

- - Approximate Nov 2011 Genwal"Reasonably plausible decay curve"

- - Approximate Nov 2011 Genwal "Statistical linear regression"

7.0 Crandall Canyon Mine - Untreated Total Iron 6 Month Rolling Averag=e _____ _

• 6.5

6.0 -

5.5

• 5.0 -I

4.5 ~ -QI) 4.0 .§. c 0 3.5 ~

-; ... 3.0 0 I-

2.5

2.0

I 1,\ ~ • 1\ ..

~ J r '-. ~ ~ •

~ ........

... '~ • • • -- ~- .- :....-- - .... ~....., ~ ~ ~ .. • • ~ ~ .~ ....... ......, ~ • ~ -. ~ • ~ ..... ... - ... • ~ '\

"- I-~.- • . - - . • -1.5

1.0

---L ,---------------------0.5

0.0 1 January 2010 July 2010 January 2011 July 2011 January 2012 July 2012 January 2013

_ Genwal collected total iron (mg/L) pretreatment sampling results

• Division collected total iron (mg/L) pretreatment sampling results

~ Pretreatment 6 month rolling average of monthly median (one standard deviation error bars shown)

- - 1.24 mg/L total iron limit

7.0 -r-____ ....;:C=ra=n=d=a=I..:..,.1 C=a=n~yon Mine - Genwall Untreated Total Iron Prediction Curves

6.5

6.0

5.5

5.0

4.5 ~ -lID 4.0 E c 0 3.5 ..!: iii .... 3.0 0 ....

2.5

2.0

1.5

1.0 I--------~---~~--------

0.5

0.0 ~!--------------~------------~~------------~--------------~------------_+--------------~ January 2010 July 2010 January 2011 July 2011 January 2012 July 2012 January 2013

~ Pretreatment 6 month rolling average of monthly median (one standard deviation error bars shown)

- - 1.24 mg/L total iron limit

- - Approximate Nov 2011 Genwal "Reasonably plausible decay curve"

- - Approximate Nov 2011 Genwal "Statistical linear regression"

r Crandall Canyon Mine - Untreated Minewater Total Iron Monthly Medians - I I 4.50 I

:::---ell e '-'

= e .... :s ~

4.00 •

3.50 I •

3.00 I ••

y = -0.0009x + 40.73 R2 = 0.0675

• 2.50 ... ... ... ..... ... ... ... ... ... ... ... ... ... .. ~---~~==~:::--=~~==--===--=~~==--==-------­~ . .... •

• 2.00 -r------------------------------

1.50 •

1.00 -,-----------------------------------

0.50 -;--------------------------------------

0.00 ~----___,r___----__._-----.....,..._-----,..__----___,r__----__,_--

July 2011 October 2011 January 2012 Apri12012 July 2012 October 2012 January 2013

I

Genwal collected Division collected Pretreatment 6 month

total iron (mg/L) total iron (mg/L) Monthly rolling average of

pretreatment pretreatment Median sampling results sampling resul ts

monthly averages

total iron (mg/L)

1/8/2007 0.012

2/6/2007 0.Q15

3/7/2007 0.033

4/18/2007 0.013

5/1/2007 <.005

6/13/2007 0.012

7/16/2007 <.01

8/30/2007 0.64

9/11/2007 0.073

10/15/2007 no flow

11/15/2007 no flow

12/15/2007 no flow

1/10/2008 0.937

1/28/2008 1.491

2/11/2008 0.765

2/18/2008 0.668

3/3/2008 1.846

3/17/2008 0.626

4/1/2008 0.653

4/15/2008 0.491

5/5/2008 0.433

5/14/2008 0.457

6/1/2008 0.448

7/16/2008 0.434

8/14/2008 0.546

9/9/2008 0.775

10/10/2008 1.335

11/15/2008 0.141

12/9/2008 1.569

1/7/2009 1.783

2/3/2009 2.454

3/4/2009 2.23

4/6/2009 2.455

5/6/2009 2.331

6/3/2009 2.501

7/29/2009 2.924

8/24/2009 5.151

9/3/2009 3.012

10/28/2009 8.03

11/18/2009 3.927

12/16/2009 3.102

1/28/2010 3.2

8/24/2009 5.151 5.15

9/3/2009 3.012 3.01

10/28/2009 8.03 8.03 11/18/2009 3.927 3.93

12/16/2009 3.102 3.10 1/28/2010 3.000 3.00 4.37

2/23/2010 3.300 3.30 4.06

3/26/2010 3.709 3.71 4.18

4/21/2010 4.268 4.27 3.55

Genwal collected Division collected Pretreatment 6 month

total iron (mg/L) total iron (mg/L) Monthly rolling average of

pretreatment pretreatment Median sampling results sampling results

monthly averages

total iron (mg/L)

5/18/2010 3.119 3.12 3A2

6/23/2010 5.312 5.31 3.78

7/21/2010 3.970 3.97 3.95

8/27/2010 3.230 3.23 3.93

9/29/2010 3.470 3.47 3.89

10/29/2010 2.810 2.81 3.65

11/22/2010 3.190 3.19 3.66

12/17/2010 3.290 3.29 3.33

1/24/2011 2.930 2.93 3.15

2/23/2011 2.410 2.41 3.02

3/10/2011 2.340 1.98

3/17/2011 2180 2.06

3/24/2011 2.390 2.28 2.28 282

3/28/2011 2310

3/30/2011 2360 2.04

4/7/2011 2.390 2.15

4/14/2011 2.250 2.11

4/19/2011 2.620 2.43 2.43 2.76

4/26/2011 2.550

4/27/2011 6.680 5.00

5/3/2011 2.050 2.02

5/12/2011 2.160 2.00

5/17/2011 2.560 2.33 2.10 257

5/25/2011 2.07 5/31/2011 2.130

6/27/2011 2.270 2.27 2.57

7/2112011 2.660 2.53 2.34

7/25/2011 2.400

8122/2011 2.600 2.60 2.37

9130/2011 2.790 279 2.45

10124/2011 1.750 269 2.50

10/25/2011 3.62 11/2812011 2.470 2.47 2.56

12128/2011 3.250 3.25 2.72

1/12/2012 2.29 2.29 2.68

2/15/2012 1.58 1.58 2.51

3/7/2012 3.00 2.98 258

3/23/2012 2.96

4/17/2012 2.45 2.45 2.50

5/15/2012 2.73 2.90 2.82 2.56

6/12/2012 4.02 4.02 2.69

7/30/2012 2.99 2.99 2.81

8/31/2012 2.72 2.72 3.00

9/30/2012 2.09 2.09 285

10/30/2012 1.77 1.77 2.73

11/30/2012 1.99 1.99 2.60

12/20/2012 1.90 1.90 2.24

Table: Mann-Kendall Trend Analysis: July 2011 to Current Contaminant: Tolallron

ElI4tu.rJon

V(S) 2'2.666667

ZWel! -2.19432154

Level of Significance 95%

Zalpha 1_645

SlablelNa TrendlExp Decreasing

Miilnn-KenCU_U T~nd:: Soilm les::> 10

Month Ju~111 Aug-' 1 Sep-" Oct-11 Nov-11 Oec-11 Ja".,2 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Ju~12 Aug-12 Sep-12 OCt-'2 Nov-12 OecemD.e,20

Month Data 2.531 2.60 2.79 2.69 2.47 3.25 2.29 ,.58 2.98 2.45 2.82 4.02 2.99 2.72 2.09 1.77 1.99 1.90

July 201' 2.53 1 0.07 0.26 0.155 -0.06 0_72 .{)-'!4 -0.95 0.45 -Il.oe O-'!9 1.49 0.48 0.19 -0,44 -0.76 -0.54 -0.63

Augusl2011 2 .60 019 O.OBS -0.13 0.65 -0.31 -1 .02 0.38 -0.15 0.22 1.42 0.39 0.12 -0.51 -0.83 -0.6' -0.7

September 2011 2.79 -0. '05 -0.32 0_48 -0.5 -' .21 019 -0.34 0,03 ,23 0.2 -0.07 -0.7 -1 .02 -0.8 -0.89

OClober 2011 2.69 -0.215 0.565 -0.395 -1 .105 0-'!95 -0.235 0.135 1.3lS 0.305 OJ)35 -0.595 -0.915 -0.695 -0.7BS

November 2011 2.47 0.78 -0.'8 -0.B9 0.51 -0.02 0.35 1.55 0.52 0.25 -0.38 -0.7 -O.4B -0.57

December 2011 325 -0.96 -1.67 -02.7 -O.B -0.43 0.77 -0.26 -0.53 -U6 -1.4B -1.26 -1 .35

January 2012 229 -0.71 0.69 0.16 0.53 '.73 0.7 0.43 -02 -0.52 -0.3 -0.39

Februal)' 2012 1.58 1,4 0,87 1.24 2.44 1,41 1.14 0.51 0.19 0.41 0.32

March 2012 2.98 -0_53 -0. 16 1.04 0.01 -0.26 -O.8S -1.21 -0.99 -1.08

April 2012 2.45 0.37 1.57 054 027 -0.36 -0.68 -0.48 -0.55

May 2012 2.82 1.2 0.17 -0.1 -0.73 ·1.05 -0.83 -0.92

June 2012 4.02 -1.03 -1 .3 -1.93 -2.25 -2.03 -2.12

July 2012 2.99 -0.27 -0.9 -1 ,22 -1 -1 .09

AUQust2012 2.72 -0.63 ·0.95 -0.13 -0.82 September 2012 2.09 -0.32 -0.1 '0.19

October 2012 1.77 022 0.13

November 2012 1.99 -0.09

December 2012· 1.90

I~os 01 01 01 01 01 01 01 01 01 01 01 01 or--O]--r=-Y1- - Jl]

• - All data for December 2012 has not yet been received by the Division to be included in analysis. However. additional data is not anticipated to be substantally different.

EDUCATION

EXPERIENCE Hydrologist

Civil Engineer

Civil Engineer

Drafter

Research Assistant

Engineer Aid

Civil Engineer Technician

CERTIFICATION

Kenneth M. Hoffman, PE (CA 68367)

Civil and Environmental Engineering M.S., California Polytechnic State University, Environmental Engineering B.S. California Polytechnic State University,

San Luis Obispo, CA

San Luis Obispo, CA

State of Utah Division of Oil, Gas, and Mining, Salt Lake City, UT lOlli-Current Analyze data and prepare water quality reports on coal mines to confirm compliance with the Surface Mining Control and Reclamation Act, including groundwater, surface water, and mine water discharge. Perform site inspections for compliance with SMCRA. Review amendments to Mining and Reclamation Plans for compliance with SMCRA.

Los Angeles County Sanitation Districts, Whittier, CA 7/07-7/10 Sewage and recycled water spill coordinator, assist operations response, develop sampling plan, coordinate with laboratory for sample analysis, and contact with regulators on sample results. Report generation in compliance with NPDES requirements for water reclamation plants. Oversaw four engineering technicians, responsible for work assignments, productivity tracking, time off approval, and problem resolutions. Tracking and commenting on new regulations such as new and draft total maximum daily loads, court cases being ruled upon, and new or amendments to waste discharge requirements. Attendance of monthly California Regional Water Quality Control Board meetings.

Los Angeles County Sanitation Districts, Whittier, CA 9/03-7/07 Analyze data and prepare water quality reports on solid waste facilities for the California Regional Water Quality Control Board, including monitoring of groundwater and surface water runoff and use of reclaimed water. Project manager for the in place closure of an underground storage tank at Palos Verdes Landfill. Project manager to improve all Districts solid waste facilities, surface water best management practices for improved suspended solids control for compliance with future permit change. Managed environmental consultants and worked with site engineers to develop best management practices.

Secor International Inc., San Luis Obispo, CA 1/03-6/03 Create site maps, vicinity maps, boring logs and excavation plans.

California Polytechnic State U., San Luis Obispo, CA 6/01-8/03 Researched phytoremediation by Arroyo Willows of a long chain hydrocarbonspill in a sand dune. Presented results to UNOCAL and at conferences.

City of Santa Maria, Santa Maria, CA 6/00-9/00 Revision of the city water atlas in AutoCAD. Project management of the cleaning of the city's wastewater treatment plant digester from RFP to completion.

San Juan National Forest, Durango, CO 6/99 - 9/99 Lassen National Forest, Susanville, CA 6/98 - 9/98 Completed site surveys by operation of a total station survey gun to collect data points for creation of topographical site maps in AutoCAD.

California Professional Civil Engineering License #68367

OTHER ACTIVITES Camp Emerald Bay, Boy Scouts of America-Team member for upgrade of septic system with consideration of use of recycled water and cost analysis.