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U.S. Department of the Interior
Bureau of Land Management Wyoming State Office District Office 1998

INAL nvironm ntallm State nt for the Powder River Coal Lease Application (WYW136142) and Thundercloud Coal Lease Appl lcatlon (WYW136458)

The Bureau of Land Management is responsible for the balanced management of the public lands and resources and their various values so that they are considered in a combination that will best serve the needs of the American people. Management is based upon the principles of multiple use and sustained yield; a combination of uses that take into account the long term needs of future generations for renewable and nonrenewable resources. These resources include recreation, range, timber, minerals, watershed, fish and wildlife, wilderness and natural, scenic, scientific and cultural values.

BLM/WY IPL-98/004+ 1320

FEIS #98-1

United States Department of the Interior
BUREAU OF LAND MANAGEMENT
Wyoming State Office P.O. Box 1828 Cheyenne, Wyoming 82003-1828

In Reply Refer To:

342O(LBA)(930) WYW136142 Powder River WYW136458 Thundercloud

2 3 JAN 1998
Dear Reader: This Final Environmental Impact Statement (EIS) has been prepared pursuant to 40 CFR 15001508 for the Powder River (WYW136142) and Thundercloud (WYW136458) coal lease applications, located in southeastern Campbell County, Wyoming. This copy of the final EIS is provided for your review. It is not a decision document, its purpose is to inform you of the impacts of leasing and mining the Federal coal proposed for lease in two maintenance coal lease applications, and to evaluate alternatives to the proposals. The draft EIS was mailed to the public in August of 1997, and the comment period extended through October 28, 1997. A formal public hearing on the proposed Powder River and Thundercloud coal lease applications was held at 7:00 PM on Wednesday, October 8, 1997, at the Holiday Inn, 2009 S. Douglas Highway, Gillette, Wyoming. The purpose of the hearing was to receive comments on the proposed coal lease sale, on the fair market value, and maximum economic recovery of the Federal coal resources in the proposed Powder River and Thundercloud tracts, and on the draft EIS. Ten comment letters were received on the draft EIS. The final EIS considers these comments, which are included along with BLM's responses, as Appendix H of the final EIS. BLM will make a separate decision for each of the two tracts evaluated in this Final EIS. A separate Record of Decision detailing the BLM decision to lease or not to lease the Federal coal included in each tract will be prepared and distributed following a 30 day Final EIS review period. If you have any questions or comments related to the decision to lease the Federal coal in the Powder River and Thundercloud LBA Tracts, please address them to Bureau of Land Management, Casper District Office, Attn: Nancy Doelger, 1701 East "E" Street, Casper, WY 82601, fax: 307-234-1525, phone: 307-261-7627. Sincerely,

State Director

FINAL
ENVIRONMENTAL IMPACT STATEMENT FOR THE POWDER RIVER COAL LEASE APPLICATION (FEDERAL COAL LEASE APPLICATION WYW136142) AND THE THUNDERCLOUD COAL LEASE APPLICATION (FEDERAL COAL LEASE APPLICATION 136458)

Prepared by Western Water Consultants Sheridan, Wyoming and U.S. Department of the Interior Bureau of Land Management Casper District Office

Cooperating Agencies U.S. Office of Surface Mining Reclamation and U.S. Forest Service and Enforcement

JANUARY 1998

POWDER RIVER COAL LEASE APPLICATION (WYW136142) AND THUNDERCLOUD COAL LEASE APPLICATION (WYW136458) ENVIRONMENTAL IMPACT STATEMENT ABSTRACT [] Draft [X] Final

Lead Agency: U.S. Department of the Interior, Bureau of Land Management Cooperating Agencies: U.S. Department of the Interior, Office of Surface Mining Reclamation and Enforcement U.S. Department of Agriculture, Forest Service Counties That Could Be Directly Affected: Campbell County, Wyoming Converse County, Wyoming Abstract: This Final Environment Impact Statement (FEIS) assesses the environmental consequences of a federal decision to offer two federal coal tracts in southeastern Campbell County, Wyoming for lease at separate, competitive, sealed bid sales, subject to standard and special lease stipulations. The Powder River Lease By Application (LBA) Tract as applied for by Powder River Coal Company includes approximately 4,020 acres containing approximately 515 million tons of federal coal. Powder River Coal Company operates the adjacent North Antelope and Rochelle Mines. The Thundercloud LBA Tract, which is located approximately 9 miles north of the Powder River LBA Tract, was applied for by Kerr-McGee Coal Company, the operator of the adjacent Jacobs Ranch Mine. It includes approximately 3,400 acres containing about 427 million tons of federal coal as applied for. This FEIS describes the physical, biological, cultural, historic, and socioeconomic resources in and surrounding the project area. The focus for impact analysis was based upon resource issues and concerns identified during public scoping. Potential concerns related to development include impacts to groundwater, air quality, and wildlife and cumulative impacts related to ongoing surface coal mining and other proposed development in the Powder River Basin of Wyoming. Other Environmental Review or Consultation Requirements: This PElS, in compliance with Section 7(c) of the Endangered Species Act (as amended), identifies any endangered or threatened species which are likely to be affected by the Proposed Action. Lead Agency Contact: For further information contact Nancy Doelger at: Bureau of Land Management, Casper District Office 170 I East E Street Casper, WY 82601 (307) 261-7627 Date FEIS Made Available to EPA and Public: End of FEIS Availability Period: February 20, 1998

March 23, 1998

Executive Summary EXECUTIVE SUMMARY Wright, Wyoming, and approximately 9 miles north of the Powder River LBA Tract. These lease applications were reviewed by the BLM, Wyoming State Office, Division of Mineral and Lands Authorization, and it was determined that the applications and the lands involved met the requirements of the regulations governing coal leasing on application at Title 43 of the Code of Federal Regulations Part 3425.1 (43 CFR 3425.1). The applications were also reviewed by the Powder River Regional Coal Team (PRRCT) at their public meeting on April 23, 1996, in Cheyenne, Wyoming. At that time, the PRRCT recommended that the BLM process both the Thundercloud and Powder River coal lease applications as LBA's. In order to process an LBA, the BLM must evaluate the quantity, quality, maximum economic recovery, and fair market value of the federal coal and fulfill the requirements of the National Environmental Policy Act of 1969 (NEPA) by evaluating the environmental impacts of leasing and mining the federal coal. To evaluate the environmental impacts of leasing and mining the coal, the BLM must prepare an environmental assessment (EA) or an environmental impact statement (EIS) to evaluate the site-specific and cumulative environmental impacts of leasing and developing the federal coal in each application area. The BLM made a decision to prepare one EIS for both of these lease applications. BLM will use the analysis in this EIS to decide whether or not to hold a public, competitive, sealed-bid coal lease sale for each of the two coal tracts and issue federal coal leases. If the sales are held, the bidding at those sales is open to any qualified bidder; it is not limited to the applicants. If the lease sales are held, a lease would be issued to the ES-l

On March 23, 1995, Powder River Coal Company (PRCC) filed an application with the U.S. Department of the Interior-Bureau of Land Management (BLM) for a maintenance coal lease for federal coal reserves located north and west of PRCC1s existing North Antelope and Rochelle Mines (Figure ES-l). This coal lease application, which is referred to as the Powder River Lease-By-Application (LBA) Tract, was assigned case file number WYW136142. As applied for, this tract includes approximately 4,020 acres and approximately 515 million tons of federal coal. On April 14, 1995, Kerr-McGee Coal Corporation (KMCC) filed an application with the BLM for a maintenance coal lease for federal coal reserves located west of and adjacent to KMCC's Jacobs Ranch Mine (Figure ES-2). This coal lease application, which is referred to as the Thundercloud LBA Tract, was assigned case file number WYW136458. As applied for, it Includes approximately 3,400 acres and approximately 427 million tons of federal coal. The Thundercloud LBA Tract surrounds 40 acres of surface and coal privately owned by the Atlantic Richfield Company (ARCO)(Figure ES-2). Although this coal is not federally owned, it would be logically mined with the federal coal in the Thundercloud Tract. Therefore, for the purposes of the environmental analysis in this EIS, it is assumed that this private coal will be mined in conjunction with the federal coal in the Thundercloud Tract. The lands applied for in these two applications are located in southeastern Campbell County, Wyoming. The Thundercloud LBA Tract is located approximately 38 miles southeast of Gillette, Wyoming, approximately 15 miles east of

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary

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Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary channels or blocked to prevent flooding of the pits. Following reclamation, the average surface elevation would be approximately 43 ft lower at the Thundercloud LBA Tract and 46 ft lower at the Powder River LBA Tract due to removal of the coal. The reclaimed land surface would approximate premining contours and the basic drainage network would be retained, but the reclaimed surface would contain fewer, gentler topographic features. This could contribute to reduced wildlife carrying capacity on the LBA tracts. These topographic changes would not conflict with regional land use, and the postmining topography would adequately support anticipated land use. The geology from the base of the coal to the land surface would be subject to considerable long-term change on the LBA tracts under either action alternative. Mining would permanently remove the coal. The replaced overburden would be a relatively homogeneous mixture compared to the premining layered overburden. Consequences to soil resources from mining the LBA tracts would include changes in the physical, biological, and chemical properties. Following reclamation, the soils would be unlike premining soils in texture, structure, color, accumulation of clays, organic matter, microbial populations, and chemical composition. The replaced topsoils would be much more uniform in type, thickness, and texture. They would be adequate in quantity and quality to support planned postmining land uses (i.e., wildlife habitat and rangeland). Moderately adverse impacts to air quality would occur on the LBA tracts if they are mined. Dust would be visible to the public when mining occurs near Highway 450, Highway 59, and Antelope and Mackey County Roads. Total suspended particulates ES-IO (TSP) concentrations would be elevated in the vicinity of mining operations, but would not violate federal or Wyoming primary and secondary standards, even when combined with emissions from adjacent mines. Concentrations of gaseous emissions would remain within acceptable federal and state standards. Federal and state air quality standards have not been exceeded by all existing industrial development in the southeastern PRB, including the existing mines. This is not predicted to change as a result of mining the LBA tracts. Changes in runoff characteristics and sediment discharges would occur during mining of the LBA tracts, and erosion rates could reach high values on the disturbed areas because of vegetation removal. However, state and federal regulations require that surface runoff from mined lands be treated to meet effluent standards, so sediment would be deposited in ponds or other sediment-control devices. After mining and reclamation are complete, surface water flow, quality, and sediment discharge would approximate premining conditions. Mining the LBA tracts would increase the area of lowered water levels in the coal and overburden aquifers, and the area where the existing coal and overburden aquifers would be replaced by mine backfill. Drawdown in the continuous coal aquifer would be expected to increase roughly in proportion to the increase in area affected by mining, and would extend farther than drawdown in the discontinuous overburden aquifers. The data available indicate that hydraulic properties of the backfill would be comparable to the premining overburden and coal aquifers. Groundwater quality in the backfill can be expected to range from 3,000 to 6,000 mg/L, similar to the premining Wasatch Formation aquifer. This would meet Wyoming Class III standards for use as stock water.

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary Mining would progressively remove the native vegetation on both LBA tracts. Reclamation and revegetation of this land would occur contemporaneously with mining. Re-established vegetation would be dominated by species mandated in the reclamation seed mixtures (to be approved by WDEQ). The majority of these species would be native to the LBA tracts. Initially, the reclaimed land would be dominated by grassland vegetation which would be less diverse than the premining vegetation. Estimates for the time it would take to restore sagebrush to premining density levels range from 20 to 100 years. An indirect impact of decreased big game habitat carrying capacity would be associated with this vegetative change. However, a diverse, productive, and permanent vegetative cover would be established on the LBA tracts within about 10 years following reclamation, prior to release of the final reclamation bond. The decrease in plant diversity would not seriously affect the potential productivity of the reclaimed areas, and the proposed postmining land use (wildlife habitat and rangeland) should be achieved even with the changes in vegetation composition and diversity. In areas of the LBA tracts where surface ownership is private, the private landowners would have the right to manipulate the vegetation on their lands as they desire once the final reclamation bond is released. Mining of the LBA tracts would reduce the acreage of habitat available for wildlife populations; however, the LBA tracts do not contain any unique or crucial big game habitat, and habitat would be disturbed in parcels, with reclamation progressing as new disturbance occurs. Wildlife habitat quality has declined in the PRB due to a continuing trend of landscape fragmentation from roads, rail lines, oil and gas wells, coal mines, and fences. Mining of the LBA tracts would add to this habitat fragmentation. However, since no defined crucial habitat occurs on the LBA tracts and very little crucial habitat occurs in the highly developed corridor involving area coal mines, these consequences are not expected to cause significant impacts. USFS Region 2 sensitive species habitat may be directly or indirectly impacted by changing the surface character of the LBA tracts. If the LBA tracts are leased, the USFS will evaluate the tracts for these sensitive species in a Biological Evaluation prior to any habitat manipulation actions when each lessee files an application for a surface mining permit. Mining the LBA tracts would not be expected to jeopardize the existence of any T&E species, and no known critical habitat for T&E species exists on the LBA tracts. Active mining would preclude other land uses. During mining and reclamation, the public would not have access to approximately 1,240 acres of federal land on the Thundercloud LBA Tract and approximately 2,675 acres of federal land on the Powder River LBA Tract for hunting or other purposes. Following reclamation, the land would be suitable for grazing and wildlife use, which are the historic land uses. Following reclamation bond release, management of the private surface would return to the private surface owner and management of the federal surface would return to the federal surface managing agency (USFS). Mining would also impact existing oil and gas development on the leased lands during active mining. There are active oil and gas wells on both LBA tracts. If some or all of these wells on either tract are still producing at the time that coal removal begins, it would ES-ll

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary be necessary to remove the equipment associated with those wells and to mine through those wells to recover all of the coal. Before this could occur, the coal lessee and the oil and gas well operator would have to negotiate a mutually acceptable agreement regarding the value of the unrecovered oil and gas resources and/or the cost of reestablishing production after mining and reclamation. New drilling would not be possible in areas of active mining, but could potentially take place in areas not being mined, or in reclaimed areas. Potential for development of coal bed methane resources on the tract would be lost with the removal of the coal. Cultural resources on the LBA tracts would be impacted by mining, but adverse impacts would be mitigated through data recovery and/or avoidance of significant properties. Formal Wyoming State Historic Preservation Office (SHPO) consultation is required for concurrence with determination of the eligibility of sites for inclusion on the National Register of Historic Places (NRHP) prior to mining. If eligible cultural properties are found within the LBA tracts and they cannot be avoided, a data recovery program would be implemented. No sites of Native American religious or cultural importance are known to occur on the LBA tracts; if such sites or localities are identified, they will be taken into consideration. No unique or significant paleontological resources have been identified on the LBA tracts, and the likelihood of encountering significant paleontological resources is small. The Powder River LBA Tract and most of the Thundercloud LBA tract would not be visible from any major travel routes and would be partly concealed by surrounding ES-12 terrain. Some areas of the Thundercloud LBA tract would be visible from State Highway 450. Mining would affect landscapes classified by USFS as "common," and the landscape character would not be significantly changed following reclamation. Impacts from noise generated by mining activities on the LBA tracts are not expected to be significant due to the remote nature of the site. No new or reconstructed transportation facilities would be required under the Proposed Action or Alternative 2. Leasing the LBA tracts would extend the length of time that coal is shipped from the permitted North Antelope, Rochelle, and Jacobs Ranch Mines. Active pipelines and utility lines would have to be relocated in accordance with previous agreements, or agreements would have to be negotiated for their relocation. A 1994 University of Wyoming study estimated that the total direct fiscal benefit to the State of Wyoming from coal mining taxes and royalties is $1.lO/ton of coal mined. Using that estimate, the tax and royalty benefit to the State of Wyoming of mining the coal in the LBA tracts under the action alternatives would range from $960 million to $983 million. The total economic impact to the local area from direct, indirect and induced effects would range from $5.24 billion to $5.37 billion. Mine life, and thus employment, would be extended up to 11.1 years at the Jacobs Ranch Mine and up to 7.8 years at the North Antelope and Rochelle Mines. Under the No Action Alternative, the impacts described in the preceding paragraphs to topography and physiology, geology and minerals, soils, air quality, water resources, alluvial valley floors, wetlands, vegetation,

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary wildlife, USFS Region 2 sensitive species, threatened, endangered and candidate species, land use and recreation, cultural resources, Native American concerns, paleontological resources, visual resources, noise, transportation, and socioeconomics would occur on the existing Jacobs Ranch, North Antelope and Rochelle coal leases, but these impacts would not be extended onto the LBA tracts. In the case of surface coal muung, the Surface Mining Control and Reclamation Act (SMCRA) and state law require a considerable amount of mitigation and monitoring. If impacts are identified during the leasing process that are not mitigated by existing required mitigation measures, then BLM or USFS can include additional mitigation measures as stipulations on a new lease. No mitigation or monitoring measures beyond those required by SMCRA or state law have been identified as necessary for the Powder River or Thundercloud tracts at this time. Cumulative impacts result from the incremental impacts of an action added to other past, present, and reasonably foreseeable future actions, regardless of who is responsible for such actions. Cumulative impacts can result from individually minor, but collectively significant, actions occurring over time. Since decertification of the Powder River Federal Coal Region in 1990, the Wyoming State BLM Office has held nine competitive coal lease sales and sold seven federal coal leases containing approximately 1.42 billion tons of coal using the lease-by-application or LBA process. This leasing process has undergone the scrutiny of two appeals to the Interior Board of Land Appeals and one audit by the General Accounting Office. The Wyoming BLM has received applications for five federal coal tracts containing approximately 2.0 billion tons of coal, including the Powder River and Thundercloud LBA tracts. The Powder River Regional Coal Team (PRRCT) has reviewed all of these applications and has recommended processing four of them. At a public meeting held in Casper, Wyoming on April 23, 1997, the PRRCT recommended that the BLM not process the New Keeline lease application for a potential new mine start at this time. The BLM Wyoming State Director subsequently rejected that application without prejudice in a decision signed on June 13, 1997. This decision has been appealed. The four pending LBA' s recommended for processing include approximately 1.3 billion tons of mineable federal coal. The Wyoming and Montana BLM state offices completed a study entitled "Powder River Basin Status Check" in 1996. The purpose of this study was to document actual mineral development impacts in the PRB from 1980 to 1995 and compare them with mineral development impacts that were predicted to occur by 1990 in the five previously prepared PRB regional EIS' s. The status check was updated prior to the 1997 PRRCT public meeting in Casper. Four of the previously prepared regional EIS's evaluated coal development in the PRB in Wyoming. They are: Final Environmental Impact Statement, Eastern Powder River Coal Basin of Wyoming, BLM, October 1974; Final Environmental Impact Statement, Eastern Powder River Coal, BLM, March 1979;

Final EIS, Powder River and Thundercloud Coal Lease Applications

ES-13

Executive Summary Final Environmental Impact Statement, Powder River Coal Region, BLM, December 1981; Draft Environmental Impact Statement, Round II Coal Lease Sale, Powder River Region, BLM, January 1984. For Wyoming, the status check compared actual development in Campbell and Converse counties with predictions in the 1979 and 1981 Final EIS's, and USGS Water Resources Investigations Report 88-4046, entitled "Cumulative Potential Hydrologic Impacts of Surface Coal Mining in the Eastern Powder River Structural Basin," by Martin and others. In 1996, Wyoming produced approximately 278.4 million tons of coal, according to the records of the Wyoming State Inspector of Mines. This is almost a three-fold increase since 1980, when 94 million tons of coal was produced in the state. The increasing state production is primarily due to increasing sales of low-sulfur, low-cost PRB coal to electric utilities who must comply with Phase I requirements of Title III of the 1990 Clean Air Act Amendments. Electric utilities account for 97 % of Wyoming r s coal sales. There are currently 17 operating coal mines in Campbell and northern Converse counties (Figure ES-5). They are located just west of the outcrop of the Wyodak coal, where the coal is at the shallowest depth. These mines produce 85 % to 95 % of the coal produced in Wyoming each year. The actual levels of production from these mines are within the levels predicted in the 1981 EIS. The increasing production will probably result in a continuing demand for federal coal in the Wyoming Powder River Basin, as discussed in the coal leasing demand study that was completed by the BLM Wyoming State Office in 1996 (BLM 1996e). However, ES-14 several mines have announced plans to decrease coal production at this time due to the low coal prices. Oil production has decreased in the Wyoming PRB since 1990. In recent years, more wells have been plugged annually than have been drilled. Natural gas production in the Wyoming PRB has increased since 1990. The increase is primarily due to the development of shallow coal bed methane resources in the area just west of the coal mines, which was not anticipated in the regional EIS's. Since 1992, five EA's and one EIS have been prepared to analyze the impacts of coal bed methane development projects in the Powder River Basin. Only about half of the oil and gas rights in the area of current coal bed methane development interest are federal; the remainder are private and state. Coal bed methane wells can be drilled on private and state oil and gas leases after approval by the Wyoming Oil and Gas Conservation Commission and the Wyoming State Engineer's Office. Wells cannot be drilled on federal oil and gas leases until the BLM analyzes the individual and cumulative environmental impacts of that drilling, as required by NEP A. Water and methane are produced from the coal by coal bed methane wells, and the area of coal bed methane development in the PRB is west of the existing coal mines. Therefore, the potential exists for overlapping groundwater drawdown in the coal if both resources are produced. Currently, there is no coal bed methane production in the vicinity of the LBA tracts, but based on current trends, it is likely that development will continue southward in the direction of the LBA tracts and adjacent mines. If coal bed methane is developed adjacent to the six southern mines, the

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary

North Gilletle Coal Bed Melhane EA study Area (Study Area Ext.erida Beyond Limits 01 This Map)

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Federal

Coal Leases.

Final EIS, Powder River and Thundercloud Coal Lease Applications

ES-15

Executive Summary resulting groundwater withdrawal from the Wyodak coal would cause drawdowns that would extend farther to the west and that would overlap additively with groundwater drawdown in the Wyodak Coal caused by coal mining. Other mineral development levels in the Wyoming PRB are currently lower than predicted in the EIS's. In the 1970's, significant uranium development was anticipated in southwest Campbell County and northwest Converse County. This development did not materialize because the price of uranium dropped in the early 1980's. There are currently three in situ uranium operations in Converse and Johnson counties, but no mines and no mills. Uranium production has been increasing since 1990. The increase is partially due to higher uranium prices, particularly in 1996 and 1997. In addition to the ongoing coal mining, the proposed maintenance coal leasing (the Powder River and Thundercloud LBA Tracts considered in this EIS and the Horse Creek LBA Tract), and the potential coal bed methane development, there are four other projects in progress or planned in the vicinity of the southern group of mines: 1) construction of the North Rochelle Mine facilities and rail loop which began in June of 1997; 2) the ENCOAL Plant, which has been proposed within the rail loop at the North Rochelle Mine; 3) the Two Elk Power Plant, which has been proposed east of the Black Thunder Mine; and 4) the construction of the proposed DM&E Railroad line. The ENCOAL and Two Elk projects could commence in 1998; however, the schedule for both projects is tentative. In a recent press release (Ziegler Coal Holding Company, August 29, 1997), it was announced that the construction contract for the plant had been terminated. The DM&E ES-16 railroad currently proposes to get the necessary permits and start construction by 1999, and complete a new railroad line in 2001. These projects were proposed independently of the LBA tracts and the schedules for some of these projects are uncertain. They are considered in the cumulative impact analysis because, due to their location, the impacts related to these projects could overlap with the impacts related to mining coal on and in the vicinity of the LBA tracts. The existing and proposed development in the PRB has and will continue to result in the introduction of additional roads, railroads, power lines, fences, mine structures, and oil and gas production equipment. This area has already undergone change from a semiagriculturally based economy to a coal mining and oil and gas economy. Environmentally, the open, basically treeless landscape has been visibly altered by construction, equipment, and human activities. Leasing of the LBA tracts would increase the total area that would be affected by mining but would not cause a significant cumulative change in daily impacts because mining disturbance is progressive, and reclamation proceeds contemporaneously. Cumulative impacts vary by resource and range from being almost undetectable to being substantial. Cumulative impacts on air quality, groundwater quantity and wildlife habitat (particularly antelope) have created the greatest concern. Figure ES-6 shows modeled average annual PMIO concentrations in 2001 at Jacobs Ranch, Black Thunder, North Rochelle, North Antelope, and Rochelle Mines. Figure ES-7 shows modeled and extrapolated worst -case coal aquifer drawdown as a result of mining at these same mines. Monitoring of backfill areas indicates that reclaimed areas are being recharged with water generally suitable for livestock use (the premining use). Wildlife

Final EIS, Powder River and Thundercloud Coal Lease Applications

Executive Summary

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Modeled Average Annual PMlO Concentrations in 2001 Resulting from Removal of 140 Million Tons of Coal at Jacobs Ranch, Black Thunder, North Rochelle, North Antelope and Rochelle Mines.

Final EIS, Powder River and Thundercloud Coal Lease Applications

ES-17

Executive Summary

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LEGEND
Impacts for Proposed 2 are Equal. Jacobs Ranch, Black Thunder and North Rochelle Modeled Worst-Case Drawdowns without Thundercloud LBA Tract Jacobs Ranch, Black Thunder and North --Rochelle Modeled Worst Case Drawdowns with Thundercloud LBA Tract North Antelope and Rochelle Worst Case • • • • • . . • Drawdown without Powder River LEA Tract __________ North Antelope and Rochelle Worst Case Drawdown with Powder River LBA Tract Cumulative Worst-Case Drawdowns, Jacobs Ranch, North Antelope and Rochelle Mines !Including Thundercloud and Powder River LBA Tracts) along with Black Thunder and North Rochelle Mines __ __ Extent of Drawdown due to all anticipate mining. Source: USGS CHIA Study Martin et al, 1988

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Modeled and Extrapolated Worst-Case Coal Aquifer Drawdown Scenarios Showing Extent of Actual 15-Year Drawdowns and USGS Predicted Cumulative Drawdowns.

Powder River and Thundercloud Coal Lease Applications

Executive Summary monitoring indicates that wildlife are using reclaimed areas. This EIS presents the BLM S analysis of environmental impacts under authority of the National Environmental Policy Act (NEPA) and associated rules and guidelines. The BLM will use this analysis to make a leasing decision. The decision to lease these lands is a necessary requisite for mining, but is not in itself the enabling action that will allow mining. The most detailed analysis prior to mine development would occur after the lease is issued, when the lessee files an application for a surface mining permit and mining plan approval, supported by extensive proposed mining and reclamation plans, to the Wyoming Department of Environmental Quality (WDEQ).
I

EIS, Powder River and Thundercloud Coal Lease Applications

ES-19

Table of Contents

TABLE OF CONTENTS
EXECUTIVE SUMMARY 1.0 INTRODUCTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.1 Purpose and Need for Action . . . . . . . . . . . . . . . 1.2 Regulatory Authority and Responsibility . . . . . . . . 1.3 Relationship to BLM Policies, Plans, and Programs 1.4 Conformance with Existing Land Use Plans. . . . . . 1.5 Consultation and Coordination . 2.0 PROPOSED ACTION AND ALTERNATIVES 2.1 Proposed Action 2.2 Alternative 1 . . . . . . . . . . . . . . . . . . . 2.3 Alternative 2 . . . . . . . . . . . . . . . . . . . 2.4 Alternatives Considered but Not Analyzed 2.4.1 Alternative 3 . . . . . . . . . . . . . . 2.4.2 Alternative 4 . . . . . . . . . . . . . . 2.5 Comparison of Alternatives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. .. .. .. ES-1 1-1 1-7 1-10 1-12 1-12 1-13

. . . . . . . . . . . . in Detail . . . . . . . . . . . . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2-1 2-4 . . . . .. 2-9 . . . . .. 2-9 2-10 . . . .. 2-10 . . . .. 2-11 . . . .. 2-11 3-1 3-1 3-1 3-3 3-10 3-12 3-17 3-17 3-24 3-28 3-29 3-30 3-31 3-35 3-51 3-56 3-59 3-60 3-61 3-61 3-63 3-63 3-66 3-66 3-67 3-67

3.0 AFFECTED ENVIRONMENT 3.1 General Setting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.2 Topography and Physiography. . . . . . . . . . . . . . . . . . . . . . . . . . 3.3 Geology. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.4 Soils . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.5 Air Quality. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. 6 Water Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.6.1. Groundwater . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.6.2 Surface Water. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.6.3 Water Rights 3.7 Alluvial Valley Floors 3.8 Wetlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.9 Vegetation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.10 Wildlife . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 .11 Ownership And Use of Land 3.12 Cultural Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.13 Native American Consultation 3.14 Paleontological Resources . . . . . . . . . . . . . 3 .15 Visual Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.16 Noise 3.17 Transportation Facilities 3.18 Socioeconomics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3. 18.1 Population . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.18.2 Local Economy 3.18.3 Employment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.18.4 Housing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Final EIS, Powder River and Thundercloud Coal Lease Applications

. . . . . . . .

. .. . .. . .. .. .. " .. ..

. . .. . . .. . . .. . . .. . . .. . . ..

. . .. . . .. . . .. . . ..

Table of Contents 3.18.5 Local Government Facilities and Services . . .. 3.18.6 Social Conditions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 3.18.7 Environmental Justice . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.0 ENVIRONMENTAL CONSEQUENCES 4.1 Direct And Indirect Impacts Of Action Alternatives. . . 4.1.1 Topography and Physiography . . . . . . . . . . . . 4.1.2 Geology and Minerals 4.1.3 Soils . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.1.4 Air Quality 4.1. 5 Water Resources . . . . . . . . . . . . . . . . . . . . . 4.1.6 Alluvial Valley Floors 4.1. 7 Wetlands . . . . . . . . . . . . . . . . . . . . . . . . . . 4.1.8 Vegetation . . . . . . . . . . . . . . . . . . . . . . . . . 4.1. 9 Wildlife . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.1.10 Threatened, Endangered, and Candidate Species 4. 1.11 Land Use and Recreation. . . . . . . . . . . . . . . 4. 1.12 Cultural Resources . . . . . . . . . . . . . . . . . . . 4.1.13 Native American Concerns 4.1.14 Paleontological Resources . . . . . . . . . . . . . . 4.1.15 Visual Resources . . . . . . . . . . . . . . . . . . . . 4.1. 16 Noise 4.1.17 TransportationFacilities 4.1.18 Socioeconomics . . . . . . . . . . . . . . . . . . . . . 4.1.19 Hazardous and Solid Waste 4.2 No-Action Alternative 4.3 Regulatory Compliance, Mitigation, and Monitoring. . . . 4.3.1 Topography and Physiography 4.3.2 Geology and Minerals 4.3.3 Soils. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.3.4 Air Quality 4.3.5 Water Resources. . . . . . . . . . . . . . . . . . . . . 4.3.6 Alluvial Valley Floors 4.3 .7 Wetlands . . . . . . . . . . . . . . . . . . . . . . . . . . 4.3.8 Vegetation . . . . . . . . . . . . . . . . . . . . . . . . . 4.3 .9 Wildlife . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.3.10 Threatened, Endangered, and Candidate Species. 4.3.11 Land Use and Recreation. . . . . . . . . . . . . . . 4.3.12 Cultural Resources . . . . . . . . . . . . . . . . . . . 4.3.13 Native American Concerns 4.3.14 Paleontological Resources 4.3.15 Visual Resources . . . . . . . . . . . . . . . . . . . . 4.3.16 Noise 4.3.17 TransportationFacilities 4.3.18 Socioeconomics 4.4 Residual Impacts . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.4.1 Topography and Physiography. . . . . . . . . . . . ii 3-68 3-68 3-68 4-1 4-3 4-3 4-4 4-5 4-5 4-6 4-9 4-9 4-9 4-11 4-14 4-14 4-15 4-15 4-15 4-16 4-16 4-16 4-17 4-18 4-19 4-20 4-20 4-20 4-20 4-20 4-21 4-22 4-22 4-22 4-22 4-23 4-23 4-23 4-24 4-24 4-24 4-24 4-24 4-24 4-24 4-24

. . . . . . . . . . . .. . . . . . . . . . . . .. . . . . . . . . . . . .. . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . .. .. .. .. ..

. . . . . . . . . . .. . . . . . . . . . . ..

. . . . . . . . . . ..

. . . . . . . . . . .. . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .. .. .. .. ..

. . . . . . . . . . ..

. . . . . . . . . . .. . . . . . . . . . . ..

Final EIS, Powder River and Thundercloud Coal Lease Applications

Table oj Contents 4.4.2 Geology and Minerals .. ,.......................... 4.4.3 Soils . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.4 Air Quality 4.4. 5 Water Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.6 Alluvial Valley Floors . . . . . . . . . . . . . . . . .. 4.4. 7 Wetlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.8 Vegetation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.9 Wildlife. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.10 Threatened, Endangered, and Candidate Species. . . . . . . . . . .. 4.4 .11 Land Use and Recreation . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.12 Cultural Resources. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.13 Native American Concerns 4.4.14 Paleontological Resources . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.15 Visual Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.16 Noise 4.4.17 Transportation Facilities . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.4.18 Socioeconomics. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5 Cumulative Impacts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.1 Topography and Physiography 4.5.2 Geology and Minerals 4.5.3 Soils. . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.4 Air Quality 4.5.5 Water Resources 4.5.6 Alluvial Valley Floors . . . . . . . . . . . . . . . . . . . . . . .. 4.5. 7 Wetlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.8 Vegetation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.9 Wildlife. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.10 Threatened, Endangered, and Candidate Species. . . . . . . . . . .. 4.5.11 Land Use and Recreation. . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.12 Cultural Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.13 Native American Concerns 4.5.14 Paleontological Resources 4.5.15 Visual Resources. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 4.5.16 Noise 4.5.17 Transportation Facilities 4.5.18 Socioeconomics 4.6 The Relationship Between Local Short-term Uses of Man's Environment and the Maintenance and Enhancement of Long-term Productivity . . . .. 4.7 Irreversible and Irretrievable Commitments of Resources . . . . . . . . . .. 5.0 CONSULTATION 6.0 REFERENCES AND COORDINATION 4-24 4-24 4-24 4-24 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-25 4-33 4-33 4-34 4-34 4-36 4-46 4-46 4-47 4-48 4-50 4- 50 4-51 4-52 4-52 4-52 4-52 4-53 4-53 4-55 4-56 5-1 6-1

CITED

Final EIS, Powder River and Thundercloud Coal Lease Applications

iii

Table of Contents

LIST OF TABLES
Table ES-l Summary Comparison of Coal Production, Surface Disturbance, And Mine Life for Powder River LBA Tract and North Antelope and Rochelle Mines Summary Comparison of Coal Production, Surface Disturbance, And Mine Life for Thundercloud LBA Tract and Jacobs Ranch Mine Wyoming Powder River Basin Coal LBA's Sold. . . . . . . . . . . .. Pending and Rejected LBA's in the Wyoming Powder River Basin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. Summary Comparison of Coal Production, Surface Disturbance, and Mine Life for Powder River LBA Tract and North Antelope and Rochelle Mines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. Summary Comparison of Coal Production, Surface Disturbance, and Mine Life for Thundercloud LBA Tract and Jacobs Ranch Mine . . . . . . . . . . .. Summary Comparison of Magnitude and Duration of Direct and Indirect Impacts for the Proposed Action, Alternative 2, and the No-Action Alternative for the Thundercloud and Powder River LBA Tracts Summary Comparison of Magnitude and Duration of Cumulative Impacts Acres of Topsoil Available for Reclamation within the Powder River LBA Tract Lease Area and the Entire Area Which Would Be Disturbed by Mining Activities . . . . . . . . . . . . . . . . . . . . . .. Acres of Topsoil Available for Reclamation within the Thundercloud LBA Tract Lease Area and the Entire Area Which Would Be Disturbed by Mining Activities Regulated Air Emissions for Wyoming . . . . . . . . . . . . . . . . .. Maximum Allowable Increases for Prevention of Significant Deterioration of Air Quality: Particulates Summary of WDEQ/ AQD Report on Air Quality Monitoring in Wyoming's Powder River Basin, 1980-1988 Acreage Tabulations for Vegetation Types Identified Within the Powder River LBA Tract and the Total Disturbance Area Acreage Tabulations for Vegetation Types Identified Within the Thundercloud LBA Tract and the Total Disturbance Area. . . . .. MBHFI Status in Northeast Wyoming and Expected Occurrence on or near the Powder River LBA Tract .... . . . . . . . . . . . . . .. MBHFI Status in Northeast Wyoming and Expected Occurrence on or near the Thundercloud LBA Tract .... . . . . . . . . . . . . . .. Sites Recorded in the Class III Cultural Resource Inventory of the Powder River LBA Tract and Buffer Zone
0 0 0 0 0 0 • 0 • • • • • • • • • • • • • • • • • • • • ••

ES-8

Table ES-2

•

••

Table 1-1 Table 1-2 Table 2-1

ES-9 1-3 1-4

2-13

Table 2-2

2-14

Table 2-3

2-15 2-19

Table 2-4 Table 3-1

3-11

Table 3-2

Table 3-3 Table 3-4 Table 3-5 Table 3-6

3-11 3-12 3-15 3-16

3-33 3-33 3-42 3-49 3-58

Table 3-7 Table 3-8 Table 3-9 Table 3-10

Final EIS, Powder River and Thundercloud Coal Lease Applications

Table of Contents Table 3-11 Table 3-12 Table 4-1 Table 4-2 Table 4-3 Table 5-1 Table 5-2 Table 5-3 Sites Recorded in the Class III Cultural Resource Inventory of the Thundercloud LBA Tract. . . . . . . . . . . . . . . . . . . . . .. Fiscal Revenues from Coal Production in Campbell County ..,. Comparison of Impacts of Alternative LBA Tracts on Mine Disturbance Area . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. Coal Production & Development Levels, Campbell and Converse Counties, Wyoming Predicted and Actual Coal Mine Disturbance and Reclamation, Campbell and Converse Counties, Wyoming .. Other Federal, State, and Local Governmental Agencies Consulted In EIS Preparation List of Preparers Distribution List . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..

3-59 3-67 4-2 4-29 4-32 5-2 5-3 5-5

LIST OF FIGURES
Figure ES-l Figure ES-2 Figure Figure Figure Figure ES-3 ES-4 ES-5 ES-6 North Antelope Mine and Rochelle Mine Coal Leases and the Powder River LBA Tract As Applied For ES-2 Jacobs Ranch Mine Coal Leases and the Thundercloud LBA as Applied For. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. ES-3 Powder River LBA Tract Configurations. . . . . . . . . . . . . . . .. ES-5 Thundercloud LBA Tract Configurations . . . . . . . . . . . . . . . .. ES-6 Existing and Proposed Federal Coal Leases . . . . . . . . . . . . .. ES-15 Modeled Average Annual PMlO Concentrations in 2001 Resulting From Removal of 140 Million Tons of Coal at Jacobs Ranch, Black Thunder, North Rochelle, North Antelope and Rochelle Mines . ES-17 Modeled and Extrapolated Worst-Case Coal Aquifer Drawdown Scenarios Showing Extent of Actual 15-Year Drawdowns and USGS Predicted Cumulative Drawdowns ES-18 General Location Map with Federal Coal Leases. . . . . . . . . . . .. 1-2 North Antelope Mine and Rochelle Mine Coal Leases and the Powder River LBA Tract As Applied For . . . . . . . . . . . . . . . .. 1-6 Jacobs Ranch Mine Coal Leases and the Thundercloud LBA Tract As Applied For 1-8 Powder River LBA Tract Configurations. . . . . . . . . . . . . . . . .. 2-2 Thundercloud LBA Tract Configurations. . . . . . . . . . . . . . . . .. 2-3 General Analysis Area . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. 3-2 North-South and East-West Geologic Cross Section, Thundercloud LBA Tract. . . . . . . . . . . . . . . . . . . . . . . . . . .. 3-5 North-South and East-West Geologic Cross Section, Powder River LBA Tract 3-6 Stratigraphic Relationships and Hydrologic Characteristics of Latest Cretaceous and early Tertiary and Recent periods. Powder River Basin, Wyoming 3-7

Figure ES-7

Figure 1-1 Figure 1-2 Figure 1-3 Figure Figure Figure Figure 2-1 2-2 3-1 3-2

Figure 3-3 Figure 3-4

Final E18, Powder River and Thundercloud Coal Lease Applications

Table of Contents Figure 3-5 Figure 3-6 Figure 3-7 Figure 3-8 Figure 3-9 Figure 3-10 Figure 3-11 Figure 3-12 Figure 3-13 Figure 3-14 Figure 3-15 Figure 3-16 Figure 3-17 Figure 3-18 Figure 4-1 Figure 4-2 Wind Rose, Air Quality, and Meteorological Stations at the North Antelope and Rochelle Mines . . . .. Wind Rose, Air Quality and Meteorological Station at the Jacobs Ranch Mine. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. Coal Production vs. Ambient Particulates for Jacobs Ranch, North Antelope and Rochelle Mines .. Monitoring Well Locations Within the Powder River LBA Tract. Monitoring Well Locations Within the Thundercloud LBA Tract. Surface Water Features Within and Adjacent to the Powder River LBA Tract Surface Water Features Within and Adjacent to the Thundercloud LBA Tract Raptor Nest Sites and Sage Grouse Leks Within and Adjacent to the Powder River LBA Tract. . . . . . . . . . . . . . . . . . . . . .. Raptor Nest Sites and Sage grouse Leks Within and Adjacent to the Thundercloud LBA Tract. . . . . . . . . . . . . . . . . . . . . . . . . .. Surface Ownership Within the Powder River LBA Tract Surface Ownership Within the Thundercloud LBA Tract Relationship Between A-scale Decibel Readings and Sounds of Daily Life . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. Transportation Facilities Within and Adjacent to the Powder River LBA Tract Transportation Facilities Within and Adjacent to the Thundercloud LBA Tract Existing and Proposed Federal Coal Leases . . . . . . . . . . . . . .. Modeled Average Annual PMIO Concentrations in 2001 Resulting from Removal of 140 Million Tons of Coal at Jacobs Ranch, Black Thunder, North Rochelle, North Antelope and Rochelle Mines .. Modeled and Extrapolated Worst-Case Coal Aquifer Drawdown Scenarios Showing Extent of Actual 15-Year Drawdowns and USGS Predicted Cumulative Drawdowns . . . . . . . . . . . . ..

3-13 3-14 3-18 3-20 3-21 3-25 3-26 3-39 3-47 3-52 3-53 3-62 3-64 3-65 4-28

4-35

Figure 4-3

4-40

LISTS OF APPENDICES
Federal and State Permitting Requirements and Agencies Unsuitability Criteria for the Powder River and Thundercloud LBA Tracts Coal Lease-by-Application Flow Chart BLM Special Coal Lease Stipulations, Forest Service Stipulation, and Form 340012 Coal Lease Appendix E. Groundwater Rights Affected by the North Antelope and Rochelle Mines Appendix F. U.S. Forest Service, Region 2, Sensitive Species Appendix G. Selected Plates from "A Study of Techniques to Assess Surface and Groundwater Impacts Associated with Coal Bed Methane and Surface Coal Mining, Little Thunder Creek Drainage, Wyoming" Appendix H. Comment Letters and Responses Appendix Appendix Appendix Appendix A. B. C. D.

Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction

1.0 INTRODUCTION
On March 23, 1995, Powder River Coal Company (PRCC) filed an application with the U.S. Department of the Interior-Bureau of Land Management (BLM) for a maintenance . coal lease for federal coal reserves located north and west of PRCC S existing North Antelope and Rochelle Mines. This coal lease application, which is referred to as the Powder River Lease-By-Application (LBA) Tract, was assigned case file number WYW136142. On April 14, 1995, KerrMcGee Coal Corporation (KMCC) filed an application with the BLM for a maintenance coal lease for federal coal reserves located west of and adjacent to KMCC's Jacobs Ranch Mine. This coal lease application, which is referred to as the Thundercloud LBA Tract, was assigned case file number WYW136458. The lands applied for in these two applications are located in southeastern Campbell County, Wyoming. The Thundercloud LBA Tract is located approximately 38 miles southeast of Gillette, Wyoming, approximately 15 miles east of Wright, Wyoming, and approximately 9 miles north of the Powder River LBA Tract (Figure 1-1).
I

is a federal/state advisory board established to develop recommendations concerning management of federal coal in the region. Although the Powder River Federal Coal Region was decertified in January 1990, the PRRCT has retained oversight of the federal coal leasing activities in the region. Since decertification, seven successful lease sales have been held in the Wyoming portion of the Powder River Federal Coal Region (Table 1-1). Five additional applications, including the Powder River and Thundercloud applications, are pending or have been rejected (Table 1-2). At their 1996 meeting, the PRRCT recommended that the BLM process both the Thundercloud and Powder River coal lease applications as LBA' s. In order to process an LBA, the BLM must evaluate the quantity, quality, maximum economic recovery, and fair market value of the federal coal and fulfill the requirements of the National Environmental Policy Act of 1969 (NEP A) by evaluating the environmental impacts of leasing and mining the federal coal. To evaluate the environmental impacts of leasing and mining the coal, the BLM must prepare an environmental assessment (EA) or an environmental impact statement (EIS) to evaluate the site-specific and cumulative environmental impacts of leasing and developing the federal coal in each application area. The PRRCT recommended that BLM request comments from the public during the scoping process on whether NEP A would best be satisfied by preparing separate NEP A documents for each lease application or by preparing one NEP A document for both lease applications. Scoping for both applications was conducted in July 1996. After reviewing the requirements of NEP A and the scoping comments, the BLM Wyoming State Director, who is also the 1-1

These lease applications were reviewed by the BLM, Wyoming State Office, Division of Mineral and Lands Authorization, and it was determined that the applications and the lands involved met the requirements of the regulations governing coal leasing on application under Title 43 of the Code of Federal Regulations Part 3425.1 (43 CFR 3425.1). Since these federal coal lands are within the decertified Powder River Federal Coal Region, the applications were also reviewed by the Powder River Regional Coal Team (PRRCT) at their public meeting on April 23, 1996, in Cheyenne, Wyoming. The PRRCT

Final £18, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction

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Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction

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Final EIS, Powder River and Thundercloud Coal Lease Applications

1-3

1.0 Introduction

1-4

Final EIS, Powder River and Thundercloud Coal Lease Applications

i.O introduction Chairman of the PRRCT, made a decision to prepare one EIS for the two lease applications. BLM will use the analysis in this EIS to decide whether or not to hold a public, competitive, .sealed-bid coal lease sale for each of the two coal tracts and issue federal coal leases. If the sales are held, the bidding at those sales is open to any qualified bidder; it is not limited to the applicants. If the lease sales are held, a lease will be issued to the highest bidder at each sale if a federal sale panel determines that the high bid at that sale meets or exceeds the fair market value of the coal as determined by BLM's economic evaluation and if the U. S. Department of Justice determines that there are no antitrust violations if a lease is issued to the high bidder at each sale. PRCC and KMCC each previously applied for federal coal under the LBA process, each was the successful high bidder when a competitive lease sale was held, and, in 1992, each was issued a maintenance lease adjacent to these same mines (see Jacobs Ranch and North Antelope/Rochelle LBA' s, Figure 1-1 and Table 1-1). Other agencies, including cooperating agencies on this EIS (the U.S. Forest Service [USFS] and the Office of Surface Mining Reclamation and Enforcement [OSM]), will also use this analysis to make decisions related to leasing and mining the federal coal in these tracts. Powder River LBA Tract The Powder River LBA Tract includes approximately 4,023 acres and contains approximately 515 million tons of mineable coal. The Powder River LBA Tract as applied for and the existing federal coal leases in the adjacent North Antelope and Rochelle Mines are shown in Figure 1-2. After mining, the land would be reclaimed for livestock grazing and wildlife use as is the current practice at the North Antelope and Rochelle Mines. If PRCC acquires a federal coal lease for these lands, the coal will be mined, processed, and distributed as part of PRCe's permitted North Antelope Mine, which comprises 7,152 acres and originally contained 359 million tons of mineable coal, and Rochelle Mine, which comprises 10,910 acres and originally contained 817 million tons (652 million tons permitted and 165 million tons unpermitted) of mineable coal. The Powder River LBA Tract is contiguous with the North Antelope and Rochelle Mines. The area applied for is substantially similar to the adjacent mines for which detailed sitespecific environmental data have been collected and for which environmental analyses have previously been prepared to secure the existing leases and the necessary mining permits. The surface of the Powder River LBA Tract is owned by the State of Wyoming, the United States of America, PRCC, the Bridle Bit Ranch Company, and the Dilts Brothers. The federally owned surface is part of the Thunder Basin National Grassland, administered by the USFS. As applied for, the Powder River LBA Tract coal resources would be mined as a maintenance tract to extend mine life at the North Antelope Mine and the Rochelle Mine. The mining method would be a combination of truck and shovel and drag line , which are the mining methods currently in use at these two mines.

Final EIS, Powder River and Thundercloud Coal Lease

1.0 Introduction

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1-6

Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction Thundercloud LBA Tract The Thundercloud Tract includes aproxmately 3,396 acres and contains approximately 427 million tons of mineable coal. A 40-acre tract of privately owned coal located inside the tract boundaries containing approximately 5 million tons of mineable coal is excluded from this acreage (and the estimate of mineable coal reserves). This private coal is not included in the tract that would be leased by the federal government, and it is not included in the calculations of federal royalty payments. For the purpose of the impact analysis in this EIS, however, it is assumed that if there is a competitive sale, the successful bidder will obtain the mining rights from the private coal owner and this coal will be mined with the federal coal in the Thundercloud LBA Tract. The Thundercloud LBA Tract as applied for and the existing federal coal leases in the adjacent Jacobs Ranch Mine are shown in Figure 1-3. The Thundercloud LBA Tract is contiguous with both the Jacobs Ranch Mine and the Black Thunder Mine, operated by the Thunder Basin Coal Company, a subsidiary of ARCa (Figure 1-1). The current Thundercloud LBA Tract is part of a tract that was previously delineated for potential sale in a proposed 1984 federal coal sale that did not take place. The original Thundercloud Tract is described in a 1983 BLM document entitled "Powder River Coal Region Tract Summaries" . The area applied for is substantially similar to the adjacent mines for which detailed sitespecific environmental data have been collected and for which environmental analyses have previously been prepared to secure the existing leases and the necessary mining permits. If KMCC acquires the federal coal lease for these lands, the coal would be mined, processed, and distributed as part of KMCC's permitted Jacobs Ranch Mine, which comprises 9,198 acres and prior to mining contained 538 million tons of leased coal. Currently, the surface of the Thundercloud LBA Tract is owned by the United States of America, KMCC, Atlantic Richfield, and the Gladys K. Norwood estate. The federally owned land is part of the Thunder Basin National Grassland, administered by the USFS. Current land uses of the area within the tract include grazing by domestic animals and wildlife and oil and gas production. The proposed addition of the coal in the Thundercloud LBA Tract would allow KMCC to maintain and expand existing contracts and would extend the life of the current mining operations. The Jacobs Ranch Mine is a truck and shovel surface mining operation, and the Thundercloud Tract would be mined using this same mining method if KMCC acquires the tract. The coal would be used primarily for electric power generation, which is the primary use of the coal in the existing mine. After mining, the land would be reclaimed for livestock grazing and wildlife use as is the current practice at the Jacobs Ranch Mine.

1.1

Purpose and Need for Action

Under the original homestead laws, ranchers and farmers were granted both the surface and mineral rights to their land. The homestead laws were amended in the early 1900's to convey only the surface rights to private parties, while the federal government began to retain the subsurface mineral rights. Since the passage of the Mineral Leasing Act in 1920, the U.S. Department of the Interior (USDI), through its implementing agency the BLM, has been charged with administering a

Final EIS, Powder River and Thundercloud Coal Lease Appllcations

1.0 Introduction

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1-8

Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction leasing program that would allow the private sector to mine federally owned coal reserves. A federal coal lease grants the lessee the exclusive right to obtain a mining permit for, and to mine coal on, the leased tract subject to the terms of the lease, the mining permit, and applicable state and federal laws. In return for receiving a lease, a lessee must make a bonus payment to the federal government when the coal is leased, make annual rental payments to the federal government, and make royalty payments to the federal government when the coal is mined. Federal bonus and royalty payments are split with the state in which the lease is located. The federal coal leasing program allows for the designation of new production tracts (a lease to open a new mine), bypass tracts (a lease needed to prevent leaving "islands" of unmined coal), and maintenance tracts (a lease needed to continue operations at an existing mine). The leasing program provides for competitive leasing of federal coal to promote the timely and orderly development of publicly owned coal resources. PRCC currently has 204 million tons of permitted recoverable coal left at the North Antelope Mine and 461 million tons of permitted recoverable coal at the Rochelle Mine. It would take approximately 10 years to mine this combined total of 665 million tons of recoverable coal, if it was mined at the combined permitted rate of 65 million tons per year. However, PRCC's evaluation of this remaining leased reserve has indicated that not all of this permitted recoverable coal is marketable due to problems with the quality of some of the coal. Approximately 310 million tons of the currently leased recoverable coal could not be marketed without blending with higher quality reserves. PRCC intends to combine the higher quality coal in the Powder River LBA Tract with this lower quality coal to produce a marketable product. Without the additional reserves in the Powder River LBA Tract, PRCC may not be able to sell all of this 310 million tons of currently leased recoverable coal. By blending high quality and low quality coal at the planned combined production rate of 65 million tons per year, PRCC anticipates that the available leased high quality reserves would be exhausted in 2002 or 2003. If additional high quality reserves are not leased and permitted by this time, about 245 million tons of low quality coal that could not be blended to meet customer specifications could be left in the ground. The Rochelle Mine was originally permitted to supply coal to the proposed WyoCoal Gas Project in Douglas, Wyoming for 40 years at 11.0 million tons per year from federal coal lease WYW -0321779. The northern part of lease WYW-0321779 (see Figure 1-2) was not permitted because the coal in that part of the lease was not marketable at the time due to low calorific values and unattractive overburden-to-coal ratios. The unpermitted reserves are also located a great distance from the existing coal crushing and loading facilities, which reduces the feasibility of mining the coal with the existing Rochelle Mine facilities. As a result, the company envisioned developing a new mine facility in the northern section of the lease with a new railroad loop and loading facilities if a market developed for that coal. Through the years, coal quality has become an even larger issue than it was in the early 1980's. Today utilities are demanding a high Btu, low sulfur product with tight requirements on sodium. The low Btu, high sodium content of the unpermitted reserves is even less attractive in today's market. For all of these reasons, PRCC made the business 1-9

Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction decision to apply for quality marketable reserves closer to the existing infrastructure and hold the currently unmarketable unpermitted coal for future mining. PRCC applied for the coal reserves in the Powder River LBA Tract so they could negotiate new coal contracts to replace existing contracts. If they acquire the lease, they propose to blend the coal from the LBA tract with lower quality reserves in the existing permit area to fulfill quality requirements in existing and future contracts. In order to mine the lower quality unpermitted portion of lease WYW -0321779 in the future, the company anticipates that they will need to lease additional high quality reserves for the purpose of blending to meet market quality requirements. It has been projected that the passage of the 1990 Clean Air Act Amendments, with incentives for use of low-sulfur coal, will lead to increased demand for Powder River Basin (PRB) coal, and coal production has steadily increased in the PRB since 1992. If the LBA tracts are leased to the applicants as maintenance tracts, the permit areas for the adjacent mines would have to be amended to include the new lease areas before they can be disturbed. This process takes several years to complete. PRCC and KMCC are applying for federal coal reserves now so that they can negotiate new contracts and then complete the permitting process in time to meet these new contract requirements. This EIS analyzes the environmental impacts of issuing federal coal leases and mining the federal coal in the PRCC and KMCC lease applications as required by NEPA and associated rules and guidelines. The decision to hold competitive sales and issue leases for the lands in these applications is a prerequisite for mining the Thundercloud LBA Tract and the Powder River LBA Tract 1-10 but is not in itself the enabling action that will allow mining, as discussed above. The most detailed analysis occurs after a lease has been issued but prior to mine development, when the lessee files a permit application package with the Land Quality Division (LQD) of the Wyoming Department of Environmental Quality (WDEQ) and OSM for a surface mining permit and approval of the mining plan. Authorities and responsibilities of the BLM and other concerned regulatory agencies are described in the following sections.

1.2

Regulatory Authority and Responsibility

The PRCC and KMCC coal lease applications were submitted and will be processed and evaluated under the following authorities: the Mineral Leasing Act of 1920 (MLA), as amended; the Multiple-Use Act of 1960; Sustained Yield

the National Environmental Policy Act of 1969 (NEPA); the Federal Amendments (FCLAA); Coal Leasing Act of 1976

the Federal Land Management Act (FLPMA); and

Policy and of 1976

the Surface Mining Control and Reclamation Act of 1977 (SMCRA). The BLM is the lead agency responsible for leasing federal coal lands under the MLA as amended by FCLAA and is also responsible

Final EIS, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction for preparation of this EIS to evaluate the potential environmental impacts of issuing leases. For the PRCC and KMCC applications, the BLM must decide whether to 1) not offer one or both tracts for sale, 2) modify one or both tract configurations and hold a competitive, sealed-bid lease sale for each tract, 3) hold a competitive sealed-bid lease sale for each tract as applied for, or 4) delay the competitive coal lease sale for one or both tracts. Each of these options must be analyzed for potential environmental impacts. The USFS is a cooperating agency on this EIS because it manages the federal surface lands in the Thunder Basin National Grassland, and these lease applications include some of those lands. Prior to the BLM making a leasing decision on either tract, the USFS must consent to holding the lease sale. OSM is also a cooperating agency. After a coal lease is issued, SMCRA gives OSM primary responsibility to administer programs that regulate surface coal mining operations and the surface effects of underground coal mining operations. Pursuant to Section 503 of SMCRA, the WDEQ developed, and in November 1980 the Secretary of the Interior approved, a permanent program authorizing WDEQ to regulate surface coal mining operations and surface effects of underground mining on nonfederal lands within the state of Wyoming. In January 1987, pursuant to Section 523(c) of SMCRA, WDEQ entered into a cooperative agreement with the Secretary of the Interior authorizing WDEQ to regulate surface coal mining operations and surface effects of underground mining on federal lands within the state. Pursuant to the cooperative agreement, a federal coal lease holder in Wyoming must submit a permit application package to OSM and WDEQ/LQD for any proposed coal mining and reclamation operations on federal lands in the state. WDEQ/LQD reviews the permit application package to insure the permit application complies with the permitting requirements and the coal mining operation will meet the performance standards of the approved Wyoming program. OSM, BLM, the USFS and other federal agencies review the permit application package to insure it complies with the terms of the coal lease, the MLA, NEPA, and other federal laws and their attendant regulations. If the permit application package does comply, WDEQ issues the applicant a permit to conduct coal mining operations. OSM recommends approval, approval with conditions, or disapproval of the mining plan to the Assistant Secretary of the Interior, Land and Minerals Management. Before the mining plan can be approved, the BLM and the USFS must concur with this recommendation. If the proposed LBA tracts are leased to existing mines, the lessees would be required to revise their coal mining permits prior to mining the coal, following the processes outlined above. As a part of that process, a new mining and reclamation plan would be developed showing how the lands in the LBA tracts would be mined and reclaimed. Specific impacts which would occur during the mining and reclamation of the LBA tracts would be addressed in the mining and reclamation plans, and specific mitigation measures for anticipated impacts would be described in detail at that time. WD EQ enforces the performance standards and permit requirements for reclamation during a mine's operation and has primary authority in environmental emergencies. OSM retains oversight responsibility for this enforcement. BLM has authority in those emergency situations where WDEQ or OSM 1-11

Final EIS, Powder River and Thundercloud Coal Lease Applications

1. 0 Introduction cannot act before environmental harm and damage occurs. BLM also has the responsibility to consult with and obtain the comments of other state or federal agencies which have jurisdiction by law or special expertise with respect to potential environmental impacts. Appendix A presents other federal and state permitting requirements that would be required to mine these LBA tracts. and Resource Management Plan (LRMP) (USFS 1985) governs and addresses the management of USFS (public) lands in the area. All management decisions concerning these respective lands must comply with these plans. Coal land use planning involves four planning screens to determine whether the subject coal is acceptable for further lease consideration. The four coal screens are: development potential of the coal lands; unsuitability criteria application; multiple land use decisions that eliminate federal coal deposits; and surface owner consultation. Only those federal coal lands that pass these screens are given further consideration for leasing. For the RMP's, only in-place coal with beds at least 5 ft thick, stripping ratios of 15: 1 or less, and less than 500 ft of overburden were addressed and carried forward. The lands in these coal lease applications pass this test and were addressed in the Thunder Basin National Grassland LRMP. The coal leasing unsuitability criteria listed in the federal coal management regulations (43 CFR 3461) have been applied to high to moderate coal potential lands in the Thunder Basin National Grassland. This analysis is contained in Appendix F of the LRMP Final EIS (USFS 1985). Appendix B of this EIS summarizes the unsuitability criteria, describes the findings for the Thunder Basin National Grassland, and presents a validation of these findings for the KMCC and PRCC applications. As indicated in Appendix B, the lands in the Thundercloud Tract within the BN/C&NW

1.3

Relationship to BLM Plans, and Programs

Policies,

In addition to the federal acts listed under
Section 1.2, guidance and regulations for managing and administering public lands, including the federal coal lands in the KMCC and PRCC applications, are set forth in 40 CPR 1500 (Protection of Environment), 43 CPR 1601 (Planning, Programming, Budgeting), and 43 CFR 3400 (Coal Management) . Specific guidance for processing applications follow BLM Manual 3420 (Competitive Coal Leasing, BLM 1989) and the 1991 Powder River Regional Coal Team Operational Guidelines For Coal Lease-By-Applications (BLM 1991). The National Environmental Policy Act Handbook (BLM 1988) has been followed in developing this EIS.

1.4

Conformance with Existing Land Use Plans

FCLAA requires that lands considered for leasing be included in a comprehensive land use plan and that leasing decisions be compatible with that plan. The resource management plan (RMP) for the BLM Buffalo Resource Area (BLM 1985) governs and addresses the leasing of federal coal in this area. The Medicine Bow National Forest and Thunder Basin National Grassland Land 1-12

Final £13, Powder River and Thundercloud Coal Lease Applications

1.0 Introduction right-of-way are unsuitable for mining under Unsuitability Criterion Number 2. These lands are included in the LBA tract to allow recovery of all of the mineable coal outside of the railroad right-of-way and to comply with the coal leasing regulations which do not allow leasing of less than 10-acre aliquot parts. A stipulation stating that the portion of the lease within the BN/C&NW right-ofway cannot be mined will be added to the lease when it is issued. The exclusion of the coal underlying the railroad right-of-way from mining activity by lease stipulation honors the finding of unsuitability for mining under Unsuitability Criterion Number 2 for the BN/C&NW right-of-way. Surface owner consultation was completed during preparation of the 1985 LRMP, and qualified private surface owners' with land over federal coal were provided the opportunity to have their views considered by the USFS during land use planning. The lands in this application were addressed in the LRMP and carried forward as acceptable for further lease consideration based on satisfactory surface owner consultations at that time. Based on updated surface ownership provided by KMCC, the surface on the Thundercloud LBA Tract is owned by the United States of America, KMCC, Atlantic Richfield, and the Gladys K. Norwood estate. The federally owned land is part of the Thunder Basin National Grassland, administered by the USFS. Data provided by PRCC indicate the surface on the Powder River LBA Tract is owned by the United States of America, the State of Wyoming, PRCC, the Bridle Bit Ranch Company, and the Dilts Brothers. Again, the federally owned land is part of the Thunder Basin National Grassland, administered by the USFS. All federal coal lands in both applications were determined acceptable for further lease consideration, with the consent of the surface owners. As part of the coal planning for the Thunder Basin National Grassland LRMP and Buffalo Resource Area RMP, a multiple land use conflict analysis was completed to identify and "eliminate additional coal deposits from further consideration for leasing to protect resource values of a locally important or unique nature not included in the unsuitability criteria," in accordance with 43 CFR 3420 .1-4e(3). The multiple use conflict evaluation concluded that there were no serious surface resource use conflicts on Thunder Basin National Grassland and that any conflicts which do arise can be mitigated on a case-by-case basis. All of the lands in the application areas were subjected to this multiple use conflict analysis and determined to be acceptable for further lease consideration (USFS 1985). In summary, all of the lands in the PRCC and KMCC coal lease applications have been subjected to the four coal planning screens and determined acceptable for further lease consideration. Thus, a decision to lease and mine the federal coal lands in these applications would be in conformance with both the BLM Buffalo Resource Area RMP and USFS Thunder Basin National Grassland LRMP.

The natural person or persons (or corporation, the majority stock of which is held by a person or persons) who I) hold legal or equitable title to the land surface, 2) have their principal place of residence on the land or personally conduct farming or ranching operations upon a farm or ranch unit to be affected by surface mining operations, or receive directly a significant portion of their income, if any, from such farming or ranching operations, and 3) have met the conditions of 1 and 2 for a period of at least 3 years prior to granting of any consent to mining of their lands.

1.5

Consultation and Coordination Initial Involvement

The PRCC and KMCC lease applications were initially reviewed by the BLM,

Final EIS, Powder River and Thundercloud Coal Lease Applications

1-13

i.O introduction Wyoming State Office, Division of Mineral and Lands Authorization. The BLM ruled that the application and lands involved met the requirements of regulations governing coal leasing on application (43 CFR 3425). The BLM Wyoming State Director notified the Governor of Wyoming on May 5, 1995 that PRCC had filed a lease application with BLM for the Powder River LBA Tract. The Governor of Wyoming was notified on August 23, 1995 that KMCC had filed a lease application with BLM for the Thundercloud LBA Tract. A notice announcing the receipt of both the PRCC and KMCC coal lease applications was published in the Federal Register on March 12, 1996. Copies were sent to voting and nonvoting members of the PRRCT, including the governors of Wyoming and Montana, the Northern Cheyenne Tribe, the Crow Tribal Council, the USFS, OSM, United States Fish and Wildlife Service (USFWS), National Park Service, and USGS. Both lease applications were reviewed by the PRRCT at their April 23, 1996 public meeting in Cheyenne, Wyoming, at which time PRCC and KMCC presented information about their existing mines and pending lease applications to the PRRCT. The PRRCT recommended that BLM process both coal lease applications as lease-byapplications. The major steps in processing an LBA are shown in Appendix C. The BLM filed a Notice of Scoping in the Federal Register on June 20, 1996. The filing served as notice that the KMCC and PRCC coal lease applications had been received and public comment was requested. A public scoping meeting was held on June 27, 1996 in Gillette, Wyoming. At the 1-14 public meeting, both companies orally presented information about their mines and their need for the coal. These presentations were followed by a question and answer period, during which several oral comments were made. BLM received nine written comments during the scoping period. A Notice of Intent to prepare a joint EIS was published in the Federal Register on December 9, 1996. Public comments were again requested in this notice, but no additional comments were received. Chapter 5.0 provides a list of other federal, state, and local governmental agencies that were consulted in preparation of this EIS (Table 5-1) and the distribution list for this FEIS (Table 5-3). Issues and Concerns Issues and concerns expressed by the public and government agencies relating to the KMCC and PRCC coal lease applications included: cumulative impacts on air quality; cumulative impacts on wildlife; impacts on endangered species; impacts on raptors; wetland impacts; water quality impacts and effects on fisheries, migratory birds, and threatened or endangered species; short- and long-term impacts on fish and wildlife; impacts to surface- and groundwater quantity and quality;

Final £i8, Powder River and Thundercloud Coal Lease Applications

t.o introduction
acreage disturbed claimed; vs. acreage re-

Final EIS and Future Inyolvement
Availability of the FEIS has been published in the Federal Register by the BLM and the EPA. After a 30-day availability period, BLM will make separate decisions to hold or not to hold a competitive lease sale and issue a lease for the federal coal for each tract. A separate public Record of Decision (ROD) for each tract will be mailed to parties on the mailing list and others who commented on these LBA' s during the NEP A process. The USFS must consent or not consent to the surface use of the USFS lands in each LBA tract for coal mining before BLM can sign either ROD. Both the public and the applicant can protest the USFS decision (to consent or not to consent) and the BLM decision (to hold a competitive sale and issue a lease for each tract). The USFS decision to consent or not to consent must be appealed within 45 days after it is signed by the Regional Forester and published in the Denver Post. The decision can be implemented 5 days following the appeal period if no appeal is received. If an appeal of the USFS decision is received, 45 days are afforded to resolve the appeal; and 15 days following the resolution, the decision can be implemented. The BLM decision to hold a competitive sale and issue a lease or not hold a competitive sale and issue a lease must be appealed within 30 days after the BLM decision is signed. The decision can be implemented at that time if no appeal is received. If a competitive lease sale is held, the lease sale will follow the procedures set forth in 43 CFR 3422, 43 CFR 3425, and BLM Handbook H-3420-1 (Competitive Coal Leasing).

impacts on recreational wildlife-related recreation;

use

and

impacts on Native American cultural resources; impacts on existing oil and gas wells and gas-gathering systems; potential overlapping impacts of coal bed methane development and surface coal mining; and loss of natural resources.

Draft EIS
Parties on the distribution list were sent copies of the DEIS, and copies were available for review at the BLM offices in Casper and Cheyenne. A notice announcing the availability of the DEIS was published in the Federal Register by the Environmental Protection Agency (EPA) on August 22, 1997. The BLM published a Notice of Availability/Notice of Public Hearing in the Federal Register on August 29, 1997. The comment period on the DEIS commenced with publication of the Notice of Availability and ended on October 28, 1997. The BLM Federal Register notice announced the date and time of the public hearing and solicited public comments on the DEIS and on the fair market value, the maximum economic recovery, and the proposed separate competitive sales of coal from the two LBA tracts. A formal public hearing was held at 7:00 p.m. on October 8, 1997 at the Holiday Inn in Gillette, Wyoming. All comments received on the DEIS are included, with responses, in this FEIS (Appendix H).

Final £i8, Powder River and Thundercloud Coal Lease Applications

1-15

i.O introduction

Attorney General Consultation
After the competitive coal lease sales, but prior to issuance of the leases, the BLM will solicit the opinion of the Attorney General on whether the planned lease issuances create a situation inconsistent with federal anti-trust laws. The Attorney General is allowed 30 days to make this determination. If the Attorney General has not responded in writing within the 30 days, the BLM can proceed with issuance of the leases.

1-16

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives 2.0 PROPOSED ACTION AND ALTERNATIVES This EIS addresses the Proposed Action of holding two separate competitive coal lease sales and issuing maintenance leases to the successful bidders (either the applicants or other qualified bidders) for the Powder River and Thundercloud LBA Tracts as applied for. Additional alternatives considered include: Alternative 1: No Action (not leasing either tract); Alternative 2: Configuring one or both tracts differently (adding or subtracting coal from one or both of the tracts, based on geologic, engineering, and/ or economic considerations), holding two separate competitive coal lease sales, and issuing maintenance leases to the successful bidders (either the applicants or other qualified bidders) for each tract; Alternative 3: Holding a competitive coal lease sale and issuing a lease to the successful bidder (not the applicant or an adjacent existing mine) for development of one or both tracts as a new, stand-alone mine; and Alternative 4: Delaying the competitive coal lease sale for one or both tracts. The Powder River and Thundercloud LBA Tract configurations as applied for (Proposed Action), and tract configurations as amended by BLM (Alternative 2), are shown on Figures 2-1 and 2-2, respectively. Lease-by-application tracts are nominated for leasing by companies with an interest in acquiring them, but as discussed in Chapter 1.0, the LBA process is, by law and regulation, an open, public, competitive sealed-bid process. Thus, if the decisions reached as a result of this EIS are to hold separate lease sales, the applicants (PRCC and KMCC) may not be the high bidders. Nonetheless, the analysis presented in this EIS assumes the applicants would be the successful bidders if a competitive sale is held, and KMCC and PRCC would mine the lands as maintenance tracts with the permitted Jacobs Ranch Mine and North Antelope and Rochelle Mines, respectively. The Thundercloud LBA Tract is also located adjacent to the Black Thunder Mine, operated by Thunder Basin Coal Company, LLC (TBCC), currently owned by Atlantic Richfield Company (ARCO). TBCC is also in a position to mine the tract as a maintenance lease. If TBCC acquires the tract, the rate of coal production, mining sequence, equipment, and facilities would be different than if KMCC acquired the tract. However, the impacts of TBCC mining the tract would be similar to the impacts of KMCC mining the tract, and companyspecific mining and reclamation plans would not significantly alter the disturbed acreage and would not substantially alter the enviromnental analysis conducted in this EIS. If a decision is made to hold competitive lease sales and there are successful bidders, mining and reclamation plans must be developed by the successful bidders and approved before mining can begin on the tracts. As part of the approval process, a mining and reclamation plan undergoes detailed review by state and federal agencies. This plan may differ from the plan summarized here, but changes to the mining plan used for this analysis would not be expected to significantly change the impacts described in this EIS. Those changes would typically be related to the details of mining 2-1

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives

R71W

R70W

R69W

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Figure 2-1.

Powder River LBA Tract Configurations.

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives

Proposed

Action
R71W R70W

RANCH LEASES
38

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31

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Figure 2-2.

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Final £18, Powder River and Thundercloud Coal Lease Applications

2-3

2.0 Proposed Action and Alternatives and reclaiming the tracts, and major issues such as tons of coal mined, acres disturbed, and other environmental impacts would not be significantly different. T41N, R70W Section 6, Lots 10-13 and 18-21 308.42 acres Section 7, Lots 6, 11, 14, 19 160.42 acres Section 18, Lots 5, 12, 13, 20 158.61 acres T42N, R70W Section 31, Section 32, Section 33, Section 34, Section 35,

2.1 Proposed Action
Under the proposed action, the Powder River LBA Tract and the Thundercloud LBA Tract, as applied for by PRCC and KMCC, respectively, would be offered for lease at separate competitive sales, subject to standard and special lease stipulations developed for the PRB (Appendix D). The boundaries of the tracts would be consistent with the tract configurations proposed in the Powder River and Thundercloud LBA Tract lease applications (see Figures 2-1 and 2-2). The Thundercloud LBA Tract configuration contains 40 acres of privately owned surface and coal owned by ARCa. Although this coal is not federally owned, it would be logically mined with the federal coal in the Thundercloud Tract. Therefore, for the purposes of the environmental analysis in this EIS, it is assumed that this coal will be mined in conjunction with the federal coal in the Thundercloud Tract. The proposed action assumes that PRCC will be the successful bidder on the Powder River Tract, if it is offered for sale, and that KMCC will be the successful bidder on the Thundercloud LBA Tract if it is offered for sale.

Lots Lots Lots Lots Lots

5-20 1-16 1-16 1-16 1-16

587.53 657.29 656.16 664.43 669.36

acres acres acres acres acres

Total surface area applied for: 4,023.46 acres Land descriptions and acreage are based on the BLM Status of Public Domain Land and Mineral Title, approved Coal Plats as of January 12, 1995 and February 28, 1995. The tract contains an estimated 515 million tons of coal. This estimate of coal resources is based on information provided by the applicant. BLM will independently evaluate the volume of the coal reserves included in the tract as part of the fair market value determination process. This reserve estimate will be included in the sale notice if the tract is offered for sale. The Powder River LBA Tract will be mined as an integral part of the North Antelope Mine and the Rochelle Mine under the Proposed Action. The North Antelope Mine and Rochelle Mine are already operating under approved mining permits. The permits will require amendment to include the LBA tract. Since the Powder River LBA Tract would be an extension of the existing North Antelope/Rochelle Mines, the facilities and infrastructure will be the same as those identified in the WDEQ/LQD Mine Permit 532 Term T5 approved February 1, 1996 for

Powder River LBA Tract
The legal description of the proposed Powder River LBA Tract coal lease lands as applied for by PRCC under the Proposed Action is as follows: T41N, R71W, 6th P.M., Campbell County, Wyoming Section 1, Lots 5,6, 11, 12 161. 24 acres 2-4

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives the North Antelope Mine, Permit 569 Term T4 approved August 31, 1994 for the Rochelle Mine; the BLM Resource Recovery and Protection Plans, approved February 1, 1986 and January 9, 1997 for the North Antelope and Rochelle Mines, respectively, and the BLM logical mining unit approved November 25, 1986 for the North Antelope Mine. The Rochelle Mine does not have a logical mining unit. PRCC has an air quality permit approved by the Air Quality Division of the Wyoming Department of Environmental Quality (WDEQ/ AQD) to mine up to 35 million tons of coal per year at the North Antelope Mine and 30 million tons per year at the Rochelle Mine. In 1996, the North Antelope and Rochelle Mines produced 28.6 million tons and 26.2 million tons respectively (Wyoming Coal Information Committee 1997). The Powder River LBA Tract will extend the life of these existing mines, allowing them to maintain the combined permitted coal production level of 65 million tons per year. A total of 1,129 million tons would be mined from the proposed combined permit areas after 1997, with an estimated 489 million tons from the Powder River LBA Tract. The 489 million tons of coal is based on a recovery of 95 % of the in-place reserve as determined by operational experience to date. A total estimated 3,045 million bank cubic yards of overburden will be excavated. Prior to the end of 1997, 291 million tons of coal and 459 million bank cubic yards of overburden will have already been excavated from within the current permitted area of the two mines. Topsoil removal with scrapers, usmg a combination of company-owned and contractor equipment, will proceed ahead of

Typical dragline operation showing overburden removal (left) and backfill placement (right). Final EIS, Powder River and Thundercloud Coal Lease Applications 2-5

2.0 Proposed Action and Alternatives overburden removal. Whenever possible direct haulage to a reclamation area will be done, but due to scheduling, some topsoil will be temporarily stockpiled. As the reclamation plan requires, scrapers again will be used to haul and distribute the stockpiled topsoil. Mining will be accomplished in three separate pits identified as West Pit, Middle Pit, and East Pit. Trucks and shovels will be used for overburden removal at the West and Middle Pits; a 64-yard dragline will remove overburden at the East Pit. Most overburden and all coal will be drilled and blasted to facilitate efficient excavation. As overburden is removed, most will be directly placed into areas where coal has already been removed. Elevations consistent with an approved post-mining topography (PMT) plan will be established as quickly as possible. Under certain conditions, the PMT may not be immediately achievable. This will occur when there is an excess of material which may require temporary stockpiling; when there is insufficient material available from current overburden removal operations; or when future mining could redisturb an area already mined. Coal will be loaded with electric shovels (45 cubic yard to 80 cubic yard capacity) and rubber tired loaders into 240-ton off-highway trucks for transport to crushing facilities. Coal haul roads will be temporary structures built within the mining areas. There are three existing crushing facilities within the permit area that together provide capacity to produce at the permitted level. The three facilities all employ one-stage crushing to size coal to a nominal 2-inch product. There is a total of five storage silos, each with a batch-weigh loadout and a covered storage slot. All facilities have either bag houses or stilling sheds to control coal dust emissions. While sufficient capacity exists, future changes in facilities may be constructed to improve operating efficiencies. Current full-time employment at the two mines is 640. Projected future employment will increase to 860 if the LBA tract is acquired. Existing shop, office and change facilities will be utilized. As employment and equipment increase, minor additions to these facilities may be required.

Thundercloud LBA Tract
The legal description of the proposed Thundercloud LBA Tract coal lease lands as applied for by KMCC under the proposed action is as follows: T43N, R70W, 6th P.M., Campbell County, Wyoming Section 4, Lots 8,9,15-18 235.80 acres Section 5, Lots 5-20 663.71 acres Section 6, Lots 8-23 645.99 acres Section 7, Lots 5-7, Nl/2 Lot 8, Lots 9-12, Nl/2 and SEl/4 Lot 13, and NEl/4 Lot 19 347.501 acres Section 8, Lots 1-16 660.84 acres

Section 9, Lots 3-6 and 11-14 325.06 acres T43N, R71W, 6th P.M., Campbell County, Wyoming Section 1, Lots 5-15, 19 and SE1/4 NEl/4 517.01 acres Total surface area applied for: 3,395.91 acres

IThe NW1l4 NE1I4 Section 7 surface and coal are owned by ARea and are not included as part of the area or volume of coal being considered for leasing in the Thundercloud LBA Tract.

Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives Land descriptions and acreage are based on the BLM Status of Public Domain Land and Mineral Title, approved Coal Plats as of January 12, 1995 and February 28, 1995. Approximately 89 acres containing 11 million tons of coal within the Thundercloud LBA Tract are unsuitable for mining due to the presence of the BN/C&NW railroad right-of-way. Although these lands would not be mined, they are included in the tract to allow recovery of all the mineable coal outside of the right-of-way and to comply with the coal leasing regulations which do not allow leasing of less than 10 acre aliquot parts. The Thundercloud LBA Tract contains approximately 427 million tons of coal, after the area beneath the railroad right-of-way is eliminated. This estimate of coal resources is based on information provided by the applicant. BLM will independently evaluate the volume of the coal reserves included in the tract as part of the fair market value determination process. This reserve estimate will be included in the sale notice if the tract is offered for sale. If KMCC acquires the federal coal lease for these lands, the coal would be mined, processed, and distributed as part of KMCC's permitted Jacobs Ranch Mine, which comprises 9,198 acres and originally contained 538 million tons of coal. The proposed addition of the Thundercloud LBA Tract reserves would allow KMCC to maintain and expand existing contracts. The additional reserve base will also extend the life of the current mining operations and preserve the long-term job stability of mine employees. Due to its location and configuration, the Thundercloud LBA Tract is a logical extension of the operations at the Jacobs Ranch Mine and would be mined as an integral part of the permitted mining operation using the same mining methods. The mining method to be used is a truck and shovel surface mining operation. The mine has an air quality permit approved by WDEQI AQD to mine up to 35 million tons of coal per year. The mine produced 24.5 million tons in 1996 and plans to increase production to the permitted maximum by 2002. The intended use of the coal is primarily for electrical power generation, the same use as for the coal currently being mined at the Jacobs Ranch Mine. The Jacobs Ranch Mine is one of several coal mines currently operating in the PRE where the coal seams are notably thick and the overburden is relatively thin. The truckshovel mining method is the sole means of overburden stripping and coal mining at Jacobs Ranch Mine. Based on experience to date, KMCC projects a 90% recovery factor for the coal in the Thundercloud Tract. The truck -shovel mining method is used to remove overburden from above the coal seam(s) and place it into the backfill. The overburden is excavated and loaded into trucks by electric power shovels with dipper capacities ranging from 27 to 54 cubic yards. Most of the overburden is drilled and blasted prior to removal. Other equipment used during overburden removal and backfilling includes water trucks, motor graders, track and wheel dozers, scrapers, hydraulic excavators, front-end loaders, and belt loaders. To maintain a safe bench height in overburden which is up to 180 ft thick, a multiple bench system is used. These benches, which are 20-60 ft high and normally more than 200 ft wide, extend along the advancing face of the operating pit.

Final EIS, Powder River and Thundercloud Coal Lease Applications

2-7

2.0 Proposed Action and Alternatives

Typical truck-shovel operation showing overburden removal (left) and backfill (right). The floor of each bench is used as a roadway by the haulage equipment, and some of these haulroads extend outside the immediate pit area. Pits are developed by opening an initial rectangular box cut and hauling the overburden to out -of-pit overburden piles. The volumes of the resulting voids created by overburden and coal removal are sufficient to enable a direct haulback system of the overburden from the advancing face to an inpit backfill and can be used for virtually the life of the mine. No box cut would be required under the Proposed Action, in which the Thundercloud LBA Tract would be mined as an extension of the Jacobs Ranch Mine. The exposed coal is drilled and blasted prior to removal. After blasting, the coal is removed by either electrically powered shovels with bucket capacities from 25 to 50 cubic yards or large front -end loaders with bucket capacities up to 27 cubic yards. A belt loader may also be employed for use in mining coal. The 240-ton end-dump haul trucks are used with the shovels while 1702-8 ton end-dump trucks are used with the other loading equipment or the shovels. The shovels are operated on benches 10-60 ft high by 200 ft wide, similar to the overburden benches. In cases where the bottom few feet of the seam are extremely wet and soft, due to water in the coal seeping to the bottom of the seam, dozers are used to push the wet coal into piles so that the water can drain. After the coal has dried sufficiently, it is loaded into the haulage trucks and taken to the preparation plant. There are three existing crushing facilities within the permit area that provide the capacity to produce at the permitted level. The three facilities employ one-stage crushing to size coal to a nominal 2-inch product. There are a total of 7 storage silos. While sufficient capacity exists, future facilities may be constructed to improve operating efficiencies. KMCC recently applied to WDEQ/ AQD for a modification to the Jacobs Ranch Mine Air Quality Permit to open an additional production facility by the end of 1997 in order to increase its capacity to over 39 million tons per year (Wyoming State Geological Survey, June 1997, p. 27).

Final £18, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives Since the Thundercloud LBA Tract would be an extension of the existing Jacobs Ranch Mine operations under the Proposed Action, the facilities and infrastructure will be the same as those identified in the WDEQ/LQD Mine Permit 271 for Term T3 approved August 30, 1994; the BLM R2P2 approved February 1995; and the BLM logical mining unit approved in April 1995. Mining facilities and transportation systems, including maintenance and office buildings, the railroad loop, and the coal crushing, storage, and loading facilities, are located off of coal. Access corridors for roads, utilities, and the railroad are combined as much as possible to restrict surface disturbance and coal losses. Currently there are 375 full-time employees at the Jacobs Ranch Mine. Projected future employment will increase to 420 if the LBA tract is acquired and production is increased to the maximum permitted level. For purposes of this analysis, it is assumed that if the No-Action Alternative is selected neither LBA tract would be mined in the foreseeable future. Selection of this alternative would not preclude leasing of these tracts in the future; however, this assumption allows a comparison of the economic and environmental consequences of mining these lands versus not mining them. If this alternative is chosen, this assumption would become more likely if leasing does not occur in time for these tracts to be mined as extensions of existing operations.

2.3

Alternative 2

2.2

Alternative 1

Under Alternative 2, the BLM would reconfigure the Powder River and Thundercloud LBA Tracts. Reconfiguration of the tracts 1) makes both tracts more attractive to potential bidders, 2) minimizes the risk of bypassing federal coal that would then become economically unrecoverable, and/or 3) enhances the fair market value of remaining unleased federal coal in the area. Alternative 2 is the preferred alternative of the BLM. The BLM determined that the Powder River LBA Tract could be reconfigured to prevent bypass of currently unleased federal coal and enhance the value of remaining unleased federal coal. The original configuration of the Powder River LBA Tract as applied for would be partially reconfigured by removing the following acreage from the tract: T41N, R71W Section 1, Lots 5, 6, 11, and 12 Total: 161. 24 acres

Alternative 1 is the No-Action Alternative. Under the No-Action Alternative, both PRCC's and KMCC's coal lease applications would be rejected, the Powder River and Thundercloud LBA Tracts would not be offered for competitive sale, and the coal contained within the tracts would not be mined. Rejection of the applications would not affect permitted mining activities on existing leases at the Jacobs Ranch, North Antelope, and Rochelle Mines. Approximately 6,955 acres are currently leased at Jacobs Ranch, and about 8,122 acres will eventually be affected. At North Antelope and Rochelle, the total current lease holdings are 11,434 acres and about 11,948 acres will eventually be affected. Portions of the surface of both LBA tracts would probably be disturbed due to overstripping to allow coal to be removed from existing, contiguous leases.

The Powder River LBA Tract would be further reconfigured by adding the following acreage: 2-9

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives T41N, R70W Section 19, Lot 5, Nl/2 Lot 12 Section 20, Lots 1-4 and Nl/2 Lots 5-8 Section 21, Lot 4 and N 1/2 Lot 5 Total: 362.01 acres Under Alternative 2, the federal coal tracts, with amended boundaries, would be offered for competitive sale subject to the standard coal lease stipulations and to special coal lease stipulations developed for the Wyoming PRB (Appendix D). Alternative 2 also assumes KMCC and PRCC are the successful bidders on the tracts and the coal would be mined as previously described. As with the Proposed Action, if another mine acquires the amended tracts as maintenance tracts, the mining rate and/or sequence may differ from the mining plan used in this analysis. However, the impacts of mining the coal would not be expected to be significantly different.

The net increase to the Powder River LBA Tract would be 200.77 acres containing about 19 million tons of coal. The reconfiguration results in a lease comprising 4,224.2 acres containing approximately 532 millions tons of coal, or 505 million tons of recoverable coal at 95 % according to the information provided by the applicant. Subsequent to conducting a geologic review of the Thundercloud LBA Tract as applied for, the BLM identified an area northeast of the railroad in T43N, R71W, Sections 1 and 12 that contains approximately 5 million tons of mineable coal that would be bypassed if not added to the Thundercloud LBA Tract. This does not include about 11 million tons of coal within the area added under Alternative 2 that are within the railroad right of way and buffer area that are unsuitable for mining. The reconfiguration results in a lease comprising 3,545.5 acres containing approximately 432 million tons of coal according to the information provided by the applicant. Using KMCC's projected recovery factor of 90 %, the reconfigured tract would contain about 389 million tons of recoverable coal. Under Alternative 2, the following area would be added to the Thundercloud LBA Tract as applied for and described in Section 2.1: T43N, R71W Section 1, N 1/2 Lot 16, Lots 17 and 18 Section 12, Lot 1 and NEl/4 Lot 2 Total: 2-10 149.59 acres

2.4

Alternatives Considered but Not Analyzed in Detail
Alternative 3

2.4.1

Under Alternative 3, BLM would hold separate competitive coal lease sales and issue separate leases to the successful bidders, one or both of whom is not the applicant and who propose(s) to develop a new stand-alone mine on one or both LBA tracts. Both the Powder River and Thundercloud LBA tracts potentially contain sufficient coal resources that a new mine could be opened on either tract. If one or both competitive coal sales are held, the successful bidder on either tract could potentially be a party other than the applicant who proposes to start a new coal mine. A new stand alone mine would require considerable initial capital expenses, including the construction of new surface facilities (i.e., offices, shops, warehouses, coal processing facilities, coal loadout facilities, and rail spur), extensive baseline data collection, and development of a mining

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives and reclamation plan. A company acquiring this coal would have to compete for customers with established mines in a competitive market that is currently characterized by low prices. At this time it is unlikely that these tracts would attract bidders interested in starting new mines. Therefore, Alternative 3 is not being considered by BLM and is not analyzed in detail in this EIS. The environmental impacts of developing a new mine to recover the coal resources in one or both of the LBA tracts would be greater than under the Proposed Action, the No Action Alternative, or Alternative 2 because of the need for new facilities, a new rail line, new employment, and the creation of additional sources of dust and blasting. 2.4.2 Alternative 4 leasing and mining of federal coal: 1) a bonus bid paid at the time the coal is leased, and 2) a 12.5% royalty collected when the coal is sold. The royalty payment is the larger of the two income sources. Since the royalty payment is collected when the coal is sold, government revenues increase if prices rise. Although postponement of the lease sale until prices rise could conceivably result in higher bonus payments for the tracts, it would not necessarily result in higher royalty payments. It takes several years to lease and permit a coal tract, and coal prices would not necessarily remain high until the coal is actually mined if a sale is postponed until the price increases. If the coal is already leased when prices increase, the company might be able to negotiate longer term contracts at the higher prices. If leasing is delayed too long, adjacent mining operations may be completed. If that occurs, the LBA tracts may only be mineable as new mines. Because of the high cost of starting a new mine, the value of the tracts as new mines may be less than their value as production maintenance tracts. This alternative was not analyzed in detail because the potential impacts to economic benefits are not predictable and the environmental impacts of mining coal at a later time would be expected to be similar and about equal to the Proposed Action or Alternative 2.

Under Alternative 4, sale of both the Powder River and Thundercloud LBA tracts would be postponed or the sale of one of the tracts would be postponed until PRB coal prices increase. A price increase could potentially increase the fair market value of the coal resources in the LBA tracts, which could increase the bonus bid when the coal is leased. The Clean Air Act of 1990 includes provisions that encourage the use of low sulfur coal. As a result, PRB coal production has increased by more than 10% annually since 1992. However, an increase in coal prices has not accompanied this increased demand. With the expiration of older contracts with guaranteed prices, and the market shift to spot sales of coal, the average price paid for coal from northeastern Wyoming has decreased by more than $1.00 per ton since 1992. There are two major sources of revenue to state and federal governments from the

2.5 Comparison of Alternatives
The locations of the Proposed Action and Alternative 2 for the Powder River and Thundercloud LBA Tracts are shown on Figures 2-1 and 2-2. A summary comparison of coal production, surface disturbance, mine life, and projected federal and state revenues for the Proposed Action and Alternatives 1 and 2 for the Powder River LBA Tract and

Final EIS, Powder River and Thundercloud Coal Lease Applications

2-11

2.0 Proposed Action and Alternatives the Thundercloud LBA Tract are presented in Tables 2-1 and 2-2, respectively. Table 2-3 presents a comparative summary of the direct and indirect environmental impacts of implementing each alternative as compared to the No-Action Alternative. The NoAction Alternative assumes completion of currently permitted mining at the Jacobs Ranch Mine for comparison to the Thundercloud LBA Tract and completion of mining at the North Antelope and Rochelle Mines for comparison to the Powder River Tract. Table 2-4 presents a comparative summary of cumulative environmental impacts of implementing each alternative. The environmental consequences of the Proposed Action and both alternatives are analyzed in Chapter 4.0. These summary impact tables are derived from the following explanation of impacts and magnitude. NEP A requires all agencies of the federal government to include, in every recommendation or report on proposals for legislation and other major federal actions significantly affecting the quality of the human environment, a detailed statement by the responsible official on: the environmental impact of the proposed action, (ii) any adverse environmental effects which cannot be avoided should the proposal be implemented, (iii) alternatives to the proposed action, (iv) the relationship between local shortterm uses of man's environment and the maintenance and enhancement of long-term productivity, and (v) any irreversible and irretrievable commitments of resources which would be involved in the proposed action should it be implemented (42 USC § 4332[C]). (i) Impacts can be beneficial or adverse, and they can be a primary result of an action (direct) or a secondary result (indirect). They can be permanent, long-term (persisting beyond the end of mine life and reclamation) or short-term (persisting during mining and reclamation and through the time the reclamation bond is released). Impacts also vary in terms of significance. The basis for conclusions regarding significance are the criteria set forth by the Council on Environmental Quality (40 CFR 1508.27) and the professional judgement of the specialists doing the analyses. Impact significance may range from negligible to substantial; impacts can be significant during mining but be reduced to insignificance following completion of reclamation.

2-12

Final EIS, Powder River and Thundercloud Coal Lease Applications

2.0 Proposed Action and Alternatives

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2-13

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Final EIS, Powder River and Thundercloud Coal Lease Applications

3-5

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3-6

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment
Geologic Unit Hydrologic Characteristics Typically fine grained and poorly sorted in intermittent drainages. Occasional very thin, clean interbedded sand lenses. Low yields and excessive dissolved solids generally make these aquifers unsuitable for domestic, agricultural and livestock usage. Low infiltration capacity unless covered by sandy eolian blanket. Baked and fused bedrock resulting from burning coal seams on the outcrop from lighting, manmade fires or spontaneous The reddish clinker (locally called scoria, red dog, etc.) melting, partial fusing from the burning coal. The baked greatly in the degree of alteration; some is dense and glassy is vesicular and porous. It is commonly used as a road material and is an aquifer wherever saturated. which ignite combustion. formed by rock varies while some construction

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The Lebo Member, also referred at as "The Lebo Confining Layer" has a mean thickness of 711 feet in the PRB and a thickness of about 400 feet in the vicinity of Gillette (Lewis and Hotchkiss, 1981). The Lebo typically yields small quantities of poor quality groundwater. Where sand content is locally large, caused by channel or deltaic deposits, the Lebo may yield as much as 10 gpm (Lewis and Hotchkiss, 1981). The Tullock Member has a mean thickness of 785 feet in the PRB and a mean sand content of 53 percent which indicates that the unit generally functions well as a regional aquifer. Yields of 15 gallons per minute are common but vary locally and may be as much as 40 gpm. Records from the SEO indicate that maximum yields of approximately 300 gpm have been achieved from this aquifer. Water quality in the Tullock Member often meets Class I standards. The extensive sandstone units in the Tullock Member are commonly developed regionally for domestic and industrial uses. The City of Gillette is currently using eight wells completed in this zone to meet part of its municipal water requirements. Sandstone and interbedded sandy shales and claystone provide yields generally of less than 20 gpm. Higher yields are sometimes achieved where sand thicknesses are greatest. Water quality is typically fair to good. Sandstone and sandy shales yield up to 200 gpru, however, yields are cornmonly significantly less. The water quality of the Fox Hills is generally good with TDS concentrations commonly less than 1000 mg/l. This unit is comprised predominantely of marine shales with only occasional local thin sandstone lenses. Maximum yields are minor and overall the unit is not water bearing. Water obtained from this unit is poor with high concentrations of sodium sulfate as the predominant ions in solution. A

= WYODAK COAL;

= ANDERSON COAL;

= CANYON COAL

Figure 3-4.

Stratigraphic relationships and hydrologic characteristics of latest Cretaceous and early Tertiary and Recent periods. Powder River Basin, Wyoming. 3-7

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment depths, i. e., nearest the outcrop. An 18th active mine (Dave Johnston) is located near Glenrock, Wyoming, about 25 miles southwest of the Antelope Mine. The Wyodak coal seam is subbituminous and is generally' a low-sulfur, low-ash coal. Based on 59 analyses taken in the Gillette area, this coal seam has an average heating value of approximately 8,220 British thermal units (Btu's) per pound and contains an average of 6% ash, 0.5% sulfur, 30.7% volatile matter, 33.5 % fixed carbon, and 29.8% moisture (Glass and Jones 1992). In general, the Wyodak coal in the southern PRB, including these LBA tracts, has a higher heating value than in the area north of Gillette and commands a slightly higher market price. In 1994, the average delivered quality of the coal at North Antelope Mine was as follows: 8,839 Btu/lb, 4.6% ash, 0.23% sulfur, and 0.511bs sulfur dioxide per million Btu (lbs/mmBtu). At Rochelle Mine, the 1994 average delivered quality of the coal was 8,738 Btu/lb, 4.53% ash, 0.21 % sulfur, and 0.48 lb/mmlltu sulfur dioxide. For Jacobs Ranch Mine, the respective values are 8,628 Btu/lb, 4.48 % ash, 0.45 % sulfur, and 1.05 lb/mm Btu sulfur dioxide (Vogler, Larsen and Mehring 1995). Other coal seams in the LBA tracts are either too thin and discontinuous or too deep to be of economic value. Oil and Gas. Although the PRB is primarily an oil-producing province, large quantities of natural gas are associated with the crude oil. Oil and gas have been produced in the region from reservoir beds that range in age from Pennsylvanian to Oligocene (DeBruin 1996). There are approximately 500 fields that produce oil and/or natural gas from a number of formations of varying geologic ages in the PRB. The estimated mean amount of undiscovered hydrocarbons in the basin are 1.94 billion barrels of recoverable oil and 3-8 1.60 trillion ft' of gas (USGS 1995). Depth to oil-bearing strata is generally between 4,000 ft and 13,500 ft, but some of the older wells are as shallow as 400 ft. Both LBA tracts overlie geologic structures that contain producible quantities of oil and gas. The Thundercloud LBA Tract overlies a portion of the Hilight Field, which was discovered in 1969. The main zone of production at the Hilight Field is the Early Cretaceous Muddy Sandstone, which lies approximately 9,000 feet below the surface in this area. The Powder River LBA tract overlies part of the Porcupine Field, discovered in 1972, and the Payne Field, discovered in 1969. The primary zones of production in these fields are the Late Cretaceous Turner and Sussex Sandstones, which lie between 7,000 and 8,000 feet below the surface. See Section 3.11 for further discussion of wells that are currently producing and associated facilities. Coal Bed Methane. The generation of methane gas from coal beds occurs as a natural process. Methane produced by coal may be trapped in the coal by overburden pressure, by the pressure of water in the coal, or by impermeable layers immediately above the coal. The methane may also migrate upward and be trapped in shallower rocks (like sandstone), or it may disperse to the atmosphere. Deeper coal beds have higher pressures and generally trap more gas. Under favorable geologic conditions, methane can be trapped at shallow depths in and above coal beds, and this seems to be the case in the PRB. The geologic conditions that can enhance methane entrapment at shallow depths include low matrix porosity and permeability in the coals, association of the gas with structurally high features in structurally deformed areas, and the existence of effective seals (Law and others

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment 1991). Without the existence of one or more of these conditions which act to trap the gas in shallow coals or in adjacent sandstones, the gas escapes to the atmosphere. It is likely that much of the methane generated by the coal beds in the PRB has gradually escaped into the atmosphere because of the relatively shallow coal burial depths in the basin. However, a large amount also remains in the coal, probably due primarily to the presence of effective seals in the sediments overlying the coal. Historically, methane has been reported flowing from shallow water wells and coal exploration wells in parts of the PRB. According to DeBruin and Jones (1989), most of the documented historical occurrences have been in the northern PRB. Olive (1957) references a water well in T54N, R74W. which began producing gas for domestic use in 1916. Coal bed methane has been commercially produced since 1989 at Rawhide Butte Field, west of the Amax Eagle Butte Mine. Since that time, the production area has been expanded. In August 1997, coal bed methane was produced from 206 wells in an area that extends from north of Gillette almost to Wright (see Figure 1-1). There were 73 additional wells in that area that have produced coal bed methane in the past but did not produce in August 1997. There is no coal bed methane production in the vicinity of the Thundercloud and Powder River LBA Tracts at this time, Coal bed methane projects are, however, in testing or commercial stages between Gillette and Wright (BLM 1992a; BLM 1995), and production is now reported as far south as T45N, R71W. The BLM recently evaluated additional development of coal bed methane on federal oil and gas leases south of Gillette in an EIS (BLM 1997). There are currently no proposals or applications to develop coal bed methane on the Powder River LBA Tract. On the Thundercloud LBA Tract, the current operator of the Hilight Oil and Gas Field has indicated that coal bed methane development may take place by perforating existing deeper gas wells. If coal bed methane resources can be economically developed in and near the LBA tracts, then exploration is likely to continue. In the PRB, methane is typically recovered by the drilling and completion of wells similar to, but generally shallower than, conventional oil and natural gas wells. Bentonite. Layers of bentonite (decomposed volcanic ash) of varying thickness are present throughout the PRB. Some of the thicker layers are mined where they are near the surface, mostly around the edges of the basin. Bentonite has a large capacity to absorb water, and because of this characteristic it is used in a number of processes and products, including cat litter and drilling mud. No mineable bentonite reserves have been identified on the LBA tracts. Uranium. Uranium exploration and mining were very active in the 1950's, when numerous claims were filed in the PRB. A decreased demand combined with increased foreign supply decreased uranium mining activities in the early 1980's; however, substantial uranium reserves exist in southwestern Campbell and northwestern Converse Counties. There are currently two in- situ leach operations in the PRB, and the recent price increase in uranium has raised interest in developing additional sites in the PRB and elsewhere in Wyoming (WSGS 1996). No known uranium reserves exist on the LBA tracts. Scoria. Scoria or clinker has been and continues to be a major source of gravel for 3-9

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment road construction in the area. Scoria is present along the exposed outcrop of the Wyodak coal seam located along the east sides of the mines, although scoria is not present on the LBA tracts. Forkwood Loam Haverdad Loam (hydric) Heldt Clay Loam (hydric in depressions) Hiland Sandy Loam Kishona Sandy Loam Olney Rock Outcrop Parmleed Clay Loam Pugsley Fine Sandy Loam Rauzi Sandy Loam Renohill Clay Loam Samday Clay Loam Samsil Shingle Clay Loam Shingle-Rock Outcrop Complex Shingle-Samday-Rock Outcrop Taluce Sandy Loam Taluce-Rock Outcrop Complex Terro Sandy Loam Theedle Loam Turnercrest Sandy Loam Variant DIm Clay Loam (hydric) Vona Very Fine Sandy Loam Vonalee Sandy Loam Worf Sandy Loam The identified map units comprised either a single soil series, series phase, variant, tax adjunct or a combination of the above. Table 3-1 provides the extent of five depth classes of suitable topsoil within the Powder River LBA Tract and the proposed overstrip area. Table 3-2 provides the extent of five depth classes of suitable topsoil within the Thundercloud LBA Tract and proposed disturbance area. The most suitable topsoil is planned to be salvaged and used for reclamation. An average of 18 to 24 inches of topsoil will be redistributed on all disturbed acres. Areas of unsuitable soils include sites disturbed by oil and gas development and soils with high alkalinity, salinity or clay content.

3.4 Soils
The soils on the LBA tracts are typical of the soils that occur on the adjoining Jacobs Ranch and North Antelope/Rochelle Mines. Both LBA tracts and adjacent areas have been covered by Order 1-2 soil surveys. All soil surveys were completed in accordance with WDEQ/LQD Guideline No.1 which outlines required soils information necessary for a coal mining operation. The inventories included field sampling and observations at the requisite number of individual sites, and laboratory analysis of representative collected samples. The following is a list of the soil series that comprise the various map units delineated on the Thundercloud and/or Powder River LBA Tracts and proposed affected area. The soils considered hydric are so noted (Soil Conservation Service 1991). Absted Loam Absted-Openay-Arvada Complex (hydric in depressions) Abstinate Aerie Haplaquepts Arvada Loam (hydric in depressions) Bidman Loam Bowbac Sandy Loam Briggsdale Loam Briggsdale-Cushman Complex Cambria Clay Loam Cushman Fine Sandy Loam Decolney Sandy Loam Felix Clay (hydric in depressions)

3-10

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment

o
o
\D
I "O-1

L
.. 31

cJA

& B

-,
..
~

NORTH ANTELOPE MINE
Campbell Converse County County

..
36

-r... - ....- .. - \- _ .. _ .. ....;.,
BN & UP Rail

.. --- +..
..
I
T41N

WIND ROSE

!;!

LEGEND

T40N

===c=c:=[]
1 8 12 19 24 &

KEY

Powder River LEA Tract As Applied For

2. O. 8% 6%

MPH

Area Added to LBA Tract BLM Alternative 2 Area Subtracted From Under ELM Alternative

Under

J:
F'~'
J."

LEA Tract 2 Locations

,4%\ ~

NA-60

Air Quality Meteorological

Sampling Station

./.

"",

l,JJ

PRCC-l.

-V ~~~
5000
~ ••••1IIlIIi
MIl

GRAPHIC SCALE
0 5000
;

10000
;

20000

I
( FEET )

Fi g ure

3-5.

~ and Meteorological Wind Rose, Air Qualit North Antelope and Irochelle Mines.

Stations

at the

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-13

3.0 Affected Environment

R71W R70W

R70W R69W

Tract

T44N T43N

I...•

Ranch Mine
I

T43N

WIND
N

ROSE

LEGEND

T42N

D
~ ~ 10 •

Thundercloud LBA Tract As Applied For Area Added to LBA Tract Under BLM Alternative 2 Air Quality Meteorological Sampling Station Locations

=e=c::J
o

KEY

4.0 7.4 12.1 19.0 25.8 & >

GRAPHIC
5000
;

SCALE
10000
;

20000

I
( FEET )

MPH Figure 3 6.

Wind Rose, Air Quality Jacobs Ranch Mine.

and

Meteorological

Stations

at the

3-14

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment The basic regulatory framework governing air quality in Wyoming is the Wyoming Environmental Quality Act, the accompanying Air Quality Standards and Regulations promulgated by the Wyoming Environmental Quality Council, and the State Implementation Plan approved by the EPA under the Clean Air Act. This regulatory framework includes state air quality standards, which must be at least as stringent as National Ambient Air Quality Standards, and allowable increments for the prevention of significant deterioration (PSD) of air quality. The PSD program is designed to protect air quality from significant deterioration in areas already meeting state standards. In other words, an increase in ambient air pollutant concentrations, above the area baseline, is allowable if the state standard increment for the pollutant is not exceeded for the area. The increment allowable under PSD depends on the area s designation as Class I, II, or III. Class I areas are allowed the smallest increment and Class III the largest. The area the coal mines are located in is Class II, as is all of Wyoming outside the national parks and wilderness areas. The Class I area that is closest to the Thundercloud and Powder River LBA Tracts is Wind Cave National Park in southwestern South Dakota. This national park is approximately 80 miles east
I

of the Thundercloud and Powder River LBA Tracts. Wyoming's PSD standards for particulates are identical to federal standards, except that Wyoming has not adopted Class III standards (see Table 3-4). Coal mining around the Thundercloud and Powder River LBA Tracts is not currently affected by the PSD regulations because surface coal mines are not one of the 28 EPA-listed major emitting facilities for PSD regulation, and point-source emissions from these mines do not exceed the PSD emissions threshold for applicability of 250 tons per year. Particulates are the major emissions at surface coal mines. The large areas of disturbed land, blasting, crushing, loading, and hauling of coal associated with mining all produce dust. Wyoming's ambient air standards for particulate matter include standards for both PMIO, which includes particles 10 micrometers or less in diameter, and for TSP, which refers to total suspended particulates. The current PMIO standards in Wyoming are an annual average of 50 {lg/m3 and a 24-hour average of 150 {lg/m3. The current Wyoming TSP standard is a 24-hour average of 150 {lg/m3. The 24-hour standards are not to be exceeded more than once per year.

Table 3-4.

Maximum Allowable Increases for Prevention of Significant Deterioration of Air Quality: Particulates Maximum Allowable Increments of Deterioration
({lg/m3)

Emission

Averaging Time

Class I

Class II

Class III

Annual Mean 5 19 37 Total Suspended 1 Particulates (TSP) 24-hour 10 37 75 1 Maximum allowable increment may be exceeded once per year at any receptor site.

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-15

3.0 Affected Environment The various motor vehicles used in mining and transporting coal and people produce carbon monoxide, nitrogen oxides, sulfur dioxide and, by secondary processes, ozone. However these pollutants are seldom emitted at levels to cause regulatory concerns at Wyoming's surface coal mines (Table 3-3). WDEQ/ AQD has presented testimony in public hearings documenting that the air quality resource in the region including the Thundercloud and Powder River LBA Tracts did not diminish from 1980 through 1988, although coal production in the region increased substantially during that period. Air quality particulate data from that report is summarized in Table 3-5. To summarize the monitoring data in comparative form, averages of the geometric means from all sites were calculated for each calendar year. The averages ranged from a high of 30.8 Table 3-5.
I1g/m3 in 1980 to a low of 20.5 I1g/m3 in

1986. During the period covered in Table 35, the number of mines producing coal in the Wyoming portion of the PRE increased from 10 to 16 (considering North Antelope and Rochelle as one mine), while annual coal production escalated from 58.8 million tons to 139.1 million tons. The number of mines monitoring air quality increased from 12 to 16. The number of actual monitoring sites varied from a low in 1980 of 29 to a high of 46 in 1986. In 1988 there were 45 operating sampler sites. (Some sites included more than one sampler, so the number of samplers is greater than the number of monitoring sites.) Over 23,000 samples are represented in Table 3-5. The information presented by the WDEQ/ AQD shows that air quality in the Wyoming portion of the PRB did not deteriorate while coal production increased nearly 2.5 times in the 1980-1988 period. in Wyoming's

Summary of WDEQ/AQD Report on Air Quality Monitoring Powder River Basin, 1980-1988 Number of Mines Producing/ Monitoring 10/12 11/13 11/15 13/15 14/15 16/15 16/16 16/16 16/16

Year 1980 1981 1982 1983 1984 1985 1986 1987 1988 Notes:

# Sites 29 34 43 41 44 45 46 45 45

Coal Produced (MMTPy1) 58.8 68.9 81.4 88.0 106.8 113.8 114.6 124.6 139.1

Overburden (MMBCyl) 93.2 108.0 120.7 157.2 166.6 196.3 169.6 180.9 209.8

TSP Average of All Geometric Means
(l1g/m3)

30.8 30.4 23.1 24.3 24.3 24.3 20.5 25.6 29.3

1. Mines include Buckskin, Rawhide, Eagle Butte, Fort Union, Clovis Point, Wyodak, Caballo, Belle Ayr, Caballo Rojo, Cordero, Coal Creek, Jacobs Ranch, Black Thunder, North Antelope/Rochelle, Antelope, and North Rochelle. 2. From WDEQ/AQD 1989 (This study has not been updated). MMTPY = million tons per year, MMBCY = million bank cubic yards

3-16

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment This is due in part to the conditions attached to air quality permits. These conditions stipulate control measures that must be implemented by the mine operators to meet air quality standards. These measures include increased sprinkling, use of approved chemicals to control dust, limiting the amount of disturbed area, temporary vegetation of disturbed areas, and contemporaneous reclamation. In the mining areas immediately adjacent to the Thundercloud and Powder River LBA Tracts, historical particulate ambient air quality data shows the same result for the Jacobs Ranch, North Antelope, and Rochelle mines as described above for the PRE as a whole. Figure 3-7 presents particulate ambient air data and mine coal and overburden quantities for the years 1991 through 1995 for those mines. As the figure illustrates, substantial increases of coal production and overburden handled by the mines have not been accompanied by any similar increase in ambient concentrations of TSP and PMIO• Before adoption of the current annual PMIO standard, the annual particulate standard was 60 p,g/m3 of TSP (geometric mean). As Figure 3-7 shows, the annual TSP averages are well below this former standard. Assuming that PMIO (which was not monitored during all the years at all the sites shown in the figure) was about 30% of the TSP values (as determined by the WDEQ/AQD based on many years of results from co-located TSP and PMIO samplers), and assuming that the geometric and arithmetic means of TSP data are similar, it can be inferred from Figure 3-7 that the Jacobs Ranch, North Antelope, and Rochelle Mines have historically been well within the current annual PMIO standard of 50 p,g/m3• The 1989-1994 TSP data from nearly 1600 samples collected at the Jacobs Ranch, North Antelope, and Rochelle Mines indicate that emissions have not caused any violation of the current standard. From 1989 to 1994, the TSP geometric means for the Jacobs Ranch, North Antelope, and Rochelle Mines, in micrograms per cubic meter, using the same averaging techniques applied to Table 3-3, are as follows: 1989 = 20.91; 1990 = 25.63; 1991 = 25.16; 1992 = 24.23; 1993 = 25.86; and 1994 = 31.79 (WDEQ/AQD Annual Reports for the calendar monitoring years 1989 through 1994.) 3.6 Water Resources 3.6.1. Groundwater

Within both the Thundercloud and Powder River LBA Tracts there are three waterbearing geologic units that could be disturbed by mining. In descending order, these units are: Recent alluvium that occurs in varying amounts adjacent to the stream channels within the LBA tracts, the Wasatch Formation overburden and the Wyodak coal seam. A fourth unit, the sub-coal Fort Union Formation, is used for water supply at Jacobs Ranch and neighboring mines including North Antelope and Rochelle. A fifth unit, the Lance Formation, is also utilized for water supply by PRCC at the North Antelope and Rochelle Mines. The stratigraphic units beneath the two LBA tracts and their hydrologic properties are displayed in Figure 3-4. Because the hydrogeology of the two LBA tracts IS similar, a general hydrogeologic discussion can be used to describe both sites. However, there is enough variability in the hydrogeologic units between the sites that site-specific descriptions are included where appropriate.

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-17

3.0 Affected Environment

Kerr McGee Coal Corporation
Jacobs Ranch Mine
80,000,000 70,000,000
Q)

40
'C'

"E ::l of! 50,000,000 Q) Q
> 40,000,000 30,000,000 20,000,000 10,000,000 0 c
0

60,000,000

30 E o

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E

*
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0 .•...• c

ts ::l e CL
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e o

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In a quiet house at, midnight

Leaves

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Adapted Citizens

From ABC's of Our Noise Codes published Against Noise, Honolulu, Hawaii

Figure

3-16. Sounds

A-scale

Decibel

Readings

and

3-62

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment

3.17 Transportation Facilities
Transportation resources in the vicinity of the Thundercloud LBA Tract include State Highways 59 and 450; the Gillette-Douglas rail spur used jointly by the Burlington Northern-Santa Fe and Union Pacific Railroads; pipelines; and local roads and accesses. Since the Thundercloud LBA Tract as applied for would be an extension of the existing Jacobs Ranch Mine operations, the transportation facilities and infrastructure would be the same as those identified in the WDEQ/LQD Mine Permit for Term T3 approved on August 30, 1994, the BLM Resource Recovery and Protection Plan (R2P2) approved in February 1995, and the BLM logical mining unit approved in April 1995 (KMCC 1995). Transportation resources in the vicinity of the Powder River LBA include both paved and gravel county roads, numerous pipelines and high voltage electrical lines, and local roads and accesses. Since the Powder River LBA Tract as applied for would be an extension of the existing North Antelope and Rochelle Mine operations, the transportation facilities and infrastructure would be the same as those identified in -the WDEQ/LQD Mine Permit for Term T4 approved on July 9, 1993 for the North Antelope Mine and on August 31, 1994 for the Rochelle Mine, the BLM R2P2 approved on February 1, 1996 for the North Antelope Mine and on September 19, 1994 and modified on January 13, 1997 for the Rochelle Mine, and the BLM logical mining unit approved on November 25, 1986 for the North Antelope Mine. (The Rochelle Mine does not have an logical mining unit).

Access to the Thundercloud LBA Tract is on Highway 450 via State Highway 59 or the Hilight Road. Access to the Powder River LBA Tract is on Mackey Road via State Highway 59 or the Hilight Road from the north or Antelope Road via State Highway 59 from the south. Two-tracks also occur in the LBA tracts. The paved Hilight Road runs north/south about one mile to the west of the Thundercloud LBA tract, paralleling the Gillette-Douglas rail spur used jointly by the Burlington Northern-Santa Fe and Union Pacific Railroads. This rail line serves all the existing coal mines in the southern PRE. The transportation system and facilities that would service the Powder River and Thundercloud LBA Tracts, if mined in conjunction with the adjacent mines as applied for, are in place. These facilities consist of a series of roads, a rail network, and internal transportation routes to facilitate mining operations. Transportation facilities within and adjacent to the Powder River and Thundercloud LBA Tracts are depicted on Figures 3-17 and 3-18, respectively.

3.18 Socioeconomics
The social and economic study area for the proposed project involves primarily Campbell County and the cities of Gillette and Wright; however, it also includes the city of Douglas in Converse County. For example, employees of the North Antelope and Rochelle Mines reside in Giilette (33 %), Wright (8%), Douglas (46%), and Glenrock (13 %) (BLM 1992c). The communities of Gillette and Douglas would most likely attract any new residents due to their current population levels and the availability of services and shopping amenities.

River and Thundercloud Coal Lease Applications

3-63

3.0 Affected Environment

10 Hiligh1 Rd

Reno Rd.

...•.•.•..•... +--

..... V

-0

0 D::

R71W R70W

R70W R69W
1

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ro

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l

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6

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>-Campbell .. County .. _ ~
Converse County

<, \\ ',. -,~

LEGEND
Area Added to LEA Tract ELM Alternative 2 Area Subtracted ELM Alternative County Road From 2 Under Under

Powder River LEA Tract 1.. •••• ..1 As Applied For

LEA Tract

~
--

I
4500

..
9000 18000

• Powerline

~.~
0

GRAPHIC SCALE
4500

..• -------- Pipeline

I
( FEET )

I
Withm and Adiacerrt to the Powder

Fi g ure 3-17,

Trans p ortation Facilities River LEA Tract.

3-64

Final EIS, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment

'"
'\

.>,;

" I -g " ...• g;

.r:-, '.<.,

R70W

R69W

,, , .'

T44N T43N

Jacobs Ranch
Mine

T43N T42N

Thundercloud LEA Tract L _... As Applied For Area Added to LEA Tract ELM Alternative 2 -----County State Road Highway Under

1-"

LEGEND

4500

~ ~

....•
0

GRAPHIC SCALE
4500 1_ _ 9000 ' 16000

----------- Pipeline

( FE:ET

)

igure 3-18.

ithin

and Adjacen

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-65

3.0 Affected Environment A comprehensive socioeconomic profile of the BLM Buffalo Resource Area (which includes all of Campbell County) was prepared for the BLM under contract with the Department of Agricultural Economics, College of Agriculture, through the University of Wyoming's Cooperative Extension Service (University of Wyoming 1994). Much of the following discussion is derived from this report. Additional data sources include the Wyoming Department of Commerce, Wyoming Division of Economic Analysis, Wyoming Department of Employment, Wyoming Economic Development Office, and personal communications with local community development staff. In late September and early October of 1997, the Gillette News-Record published a series of tables showing the results of a study comparing 52 American counties. Some of the information that was published by the newspaper is also included in the following discussion. 3.18.1 Population 3. 18.2 Local Economy Campbell County is the fastest growing coal-producing area in the U.S. and supplies about 25 % of the national coal demand (BLM 1996g). The coal industry is the driving force behind the economic activity and employment in Campbell County. Currently, 16 coal mines are in operation in the county, with one more (Antelope Mine) located just south of Campbell County in Converse County. Much of the remainder of the county's economy is based on oil and gas exploration and production, power generation, and agriculture. Coal production in Campbell County has shown a strong upward growth trend over the past several years. In 1990, nearly 153 million tons of coal were produced, generating nearly $1.4 billion of economic activity, including nearly $182 million of personal income and 8,238 full-time jobs, 2,600 of which were directly associated with mines. The indirect and induced effects of sales from the coal industry are projected to contribute nearly 33 % of the total economic activity for each dollar expended in the county. In 1995, 26 % of the total employment and 44 % of the total payroll in Campbell County were directly attributable to mining, and the average weekly mining wage ($931) was 71 % greater than the overall average weekly wage for jobs in the county ($543). Tax revenues from coal production in Campbell County are presented in Table 312. Sales and use taxes are distributed to cities and towns within each county and to the county's general fund. Severance taxes are collected by the state for the removal or extraction of resources such as oil, natural

According to 1990 census data, Campbell County had a population of 29,370, with Gillette accounting for 17,635 of the county s residents and Wright with 1,200. Converse County's population in 1990 was listed as 11,128, with 5,076 of the county's residents residing in Douglas. The 1995 populations of Campbell and Converse Counties were 31,668 and 11,965, respectively, indicating increases from 1990 to 1995 of 7.8 % (Campbell) and 7.5% (Converse) (U.S. Bureau of Census, USA Counties 1996 CDROM). In the study comparing 52 American counties, Campbell County ranked fourth in population growth.
t

3-66

Final EIS, Powder River.and Thundercloud Coal Lease Applications

3.0 Affected Environment Table 3-12. Year Fiscal Revenues from Coal Production in Campbell County Severance Tax Collections $61.2 million $87.6 million Ad Valorem Tax Collections $38.3 million $54.8 million Royalty Collections $107.1 million $153.3 million Total Collections $212.7 million $304.5 million

1990 1995
1

Sales and Use Collections $6.1 million $8.8 million

Includes estimated royalties on nonfederal production. over the last few years at approximately 2,600 full-time employees. As of May 1997, the total labor force in Campbell County stood at 18,590, with an unemployment rate of 4.6% (compared to 4.4% in May 1996, Wyoming Department of Employment, Research and Planning 1997). About 2,651 people were directly employed in coal mining, representing about 15 % of the employed labor force (Campbell County 1997). In the study comparing 52 American counties, Campbell County ranked second in job growth and second in percent of mining jobs. As of May 1997, the total Converse County labor force was 6,630, with an unemployment rate of 5.3 %, compared to 4.4 % a year earlier. About 657 people, or 10 % of the labor force, were directly employed by area coal mines (NEWEDC 1997). 3.18.4 Housing In 1996, Gillette contained 7,775 housing units, and Wright contained 497 housing units, according to the Campbell County Economic Development Corporation (1997 Community Profile). According to the 1990 census, Campbell County contained 11,538 housing units, 7,078 of which were in Gillette. In 1996, the average cost of a new single family home was $165,000; the average cost of an existing family home was

gas, coal, and trona. The State of Wyoming retains approximately 83 % of the severance tax, and the remainder is returned to the cities, towns, and counties. Ad valorem taxes, which include property taxes, are collected by the county and disbursed to schools, cities, towns, the state foundation, and various other subdivisions within the county. Mineral royalties are collected on the amount of production and the value of that production. The current royalty rate for federal coal leases is 12.5 %, with half of this revenue returned to the state. Additional sources of revenue include lease bonus bids (also split with state) and annual rentals that are paid to the federal government. The total fiscal benefit to the State of Wyoming from coal mining in the PRB has recently been estimated at $1.10lton of coal mined (University of Wyoming 1994). 3.18.3 Employment

Coal mining has changed a great deal since the 1970 's, and new technologies have been a major contributor to these changes. The local coal mining labor force grew during the 1970's, but declined during the 1980's. Since 1973, overall production has risen while employee numbers have decreased. This employment decline followed large industry capital investments in facilities and production equipment, the majority of which was aimed at increasing productivity. Direct employment in the area's coal mining industry has remained relatively constant

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-67

3.0 Affected Environment $90,500. Vacant housing in Gillette is estimated at approximately 549 units. Douglas contained 2,267 housing units in 1992, with an estimated 59 vacant units, including 24 single-family homes, 30 mobile homes, and five multi-family units. The average price of a new 3-bedroom home in Douglas in 1996 was $89,000, while that of an existing 3-bedroom home was $74,000 (NEWEDC 1997). 3.18.5 Local Government Facilities and Services Gillette maintained a steady population growth from 1987, when it totaled 17,054, until 1996, when it was estimated at 21,585. According to a recent article in the Gillette News Record (1997), however, population dropped slightly in 1997, to about 21,410. Owing to the substantial revenues generated by coal production, local government facilities and services have kept pace with this growth and are adequate for the current population. The primary exception is a lack of space in the Gillette high school; however, approval of a recent bond issue will facilitate construction of a new school. The 1996 population of Douglas (5,479) is lower than its peak of 7,800 in 1982, and local government facilities and services are generally adequate for the current population. Primary exceptions include a shortage of physicians, although several physicians have recently moved to the area. The town also has limited building space (platted lots) available for future growth. Some indoor recreational facilities may also be near or at capacity. Wright was established in 1976 by ARC a and is the nearest community to the southern group of mines. Wright's population peaked in 1985 at approximately 1,800 and decreased to 1,175 by 1994. Over the past 3-68 few years, many of the coal mines have transitioned from working IG-hour shifts to 12-hour shifts. Many miners have thus relocated to Wright to cut down on commuting time, and the population has recently increased to approximately 1,400. Several coal service companies are also cutting back on travel allotments, which is further adding to Wright s current population growth. Wright's infrastructure is more than adequate for the current and planned population, and with the current building going on, it can double in population before services become limiting.
I

3.18.6 Social Conditions Despite past boom and bust cycles in the area's economy, a relatively stable social setting now exists in these communities. Most residents have lived in the area for a number of years, social ties are well established, and residents take great pride in their communities. Many of the people place a high priority on maintaining informal lifestyles and small town traditions, and there are some concerns that the area could be adversely affected by more than a modest growth in population. At the same time, there is substantial interest in enhancing the economic opportunities available in the area and a desire to accommodate reasonable levels of growth and development. 3.18.7 Environmental Justice Environmental Justice issues are concerned with actions that unequally impact a given segment of society either as a result of physical location, perception, design, noise, etc. On February 11, 1994, Executive Order 12898, "Federal Action to Address Environmental Justice in Minority Populations and Low-Income Populations" was published in the Federal Register (59 FR 7629). The Executive Order requires federal

Final E18, Powder River and Thundercloud Coal Lease Applications

3.0 Affected Environment agencies to identify and address disproportionately high and adverse human health or environmental effects of their programs, policies, and activities on minority populations and low-income populations (defined as those living below the poverty level). The Executive Order makes it clear that its provisions apply fully to Native American populations and Native American tribes, specifically to effects on tribal lands, treaty rights, trust responsibilities, and the health and environment of Native American communities. Communities within Campbell County, entities with interests in the area, and individuals with ties to the area all may have concerns about the presence of a coal mine within the general analysis area. Communities potentially impacted by the presence or absence of a coal mine have been identified in this section of the EIS. Environmental Justice concerns are usually directly associated with impacts on the natural and physical environment, but these impacts are likely to be interrelated with social and economic impacts as well. Native American access to cultural and religious sites may fall under the umbrella of Environmental Justice concerns if the sites are on tribal lands or access to a specific location has been granted by treaty right. Compliance with Executive Order 12898 concerning Environmental Justice was accomplished through opportunities for the public to receive information on this EIS in conjunction with the consultation and coordination described in Section 1.5 of this document. This EIS and contributing socioeconomic analysis provide a consideration of impacts with regard to disproportionately adverse impacts on minority and/or low-income groups, including Native Americans.

Final EIS, Powder River and Thundercloud Coal Lease Applications

3-69

4.0 Environmental Consequences 4.0 ENVIRONMENTAL CONSEQUENCES This chapter discloses the potential environmental consequences that may result from implementing the Proposed Action, Alternative 2, and the No-Action Alternative. The effect or impact a consequence will have on the quality of the human environment is also discussed. For instance, the consequence of an action may be to greatly increase the number of roads in an area. The impact of this consequence would depend on an individual's (or a population of individuals) preferred use of that area (e.g., opportunities for road-based recreation would be increased, but opportunities for primitive recreational activities and solitude would be decreased) . If the LBA tracts are leased to the applicants as maintenance tracts under one of the action alternatives, the permit areas for the adjacent mines would have to be amended to include the new lease areas before they can be disturbed. Table 4-1 shows the existing areas to be mined and disturbance areas for the applicants' mines (which represents the No-Action Alternative), and how those areas will change under the Proposed Action and Alternative 2. If the tracts are leased, the area that will have to be added to the existing permit areas would be the LBA tracts themselves plus an adjacent strip of land that would be used for highwall reduction after mining and such mine-related activities as construction of diversions, flood- and sediment-control structures, roads, and stockpiles. Portions of the LBA tracts that are adjacent to the existing leases will be disturbed under the current mining plans in order to recover the coal in the existing leases. The environmental consequences of implementing either the Proposed Action or Alternative 2 are very similar because the size of the area that will be disturbed under each alternative is similar. Surface mining and reclamation have been ongoing in the PRE for two decades. During this time, effective reclamation technology and mitigation measures have been developed and continue to be refined. Reclamation plans are based on a postmining topography design which incorporates stable land forms with topographic diversity, restoration of premining surface water flow and minimization of disturbance outside mining areas. Certain measures required by SMCRA and/or Wyoming statutes that reduce impacts are considered to be part of the Proposed Action, as discussed in Chapter 2. Some of these measures are also described in this section. The BLM and USFS also attach special stipulations to all coal leases (Appendix D). In addition, WDEQ technically reviews all mine permit application packages to ensure that the mining and reclamation plans comply with all state permitting requirements and that the proposed coal mining operation will comply with the performance standards of the OSMapproved Wyoming program. Appendix A presents a list of federal and state permit approvals that would be necessary prior to mining either LBA tract. These regulations are designed to guarantee mitigation of impacts from surface coal mining. The impact assessment in the following sections considers all measures required by federal and state regulatory authorities as part of the action alternatives. Section 4.1 analyzes the direct and indirect impacts associated with leasing and mining the LBA tracts under the Proposed Action and Alternative 2. Section 4.2 presents the probable environmental consequences of the No-Action Alternative (not issuing a lease for the tracts). Section 4.3 discusses regulatory compliance, mitigation, and monitoring in 4-1

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences

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4-2 Final EIS, Powder River and Thundercloud Coal Lease Applications

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4.0 Environmental Consequences terms of what is required by federal and/or state law (and is therefore part of the Proposed Action and alternatives) and any additional mitigation and monitoring that may be required. Section 4.4 summarizes the residual effects of the Proposed Action and Alternative 2. Section 4.5 discusses the cumulative impacts that would occur if these lands were mined when added to other past, present, and reasonably foreseeable future actions. The cumulative impact analysis includes a discussion of four projects that are in progress or proposed in the area of the LBA tracts and that would occur independently of leasing the LBA tracts. These projects are: 1) construction of the North Rochelle Mine facilities and rail loop which began in June of 1997; 2) construction and operation of the ENCOAL Plant, which has been proposed within the rail loop at North Rochelle; 3) construction and operation of the Two Elk power plant, which has been proposed east of the Black Thunder Mine; and 4) the construction of the proposed DM&E Railroad line. Section 4.6 analyzes the relationship between local short-term uses of man's environment and the maintenance and enhancement of long-term productivity. Section 4.7 presents the irreversible and irretrievable commitments of resources that would occur with implementation of the Proposed Action or Alternative 2. criteria set forth by the Council on Environmental Quality (40 CFR 1508.27) and the professional judgement of the specialists doing the analyses. Impact significance may range from negligible to substantial; impacts can be significant during mining but be reduced to insignificance following completion of reclamation. 4.1.1 Topography and Physiography Surface coal mining would permanently alter the topography of the LBA tracts. Topsoil would be removed from the land, overburden would be blasted and stockpiled or directly placed into the already mined pit, and coal would be removed. The existing topography on the LBA tracts would be substantially changed during mining. A highwall with a vertical height equal to overburden plus coal thickness would exist in the active pits. Spoil and topsoil may be stockpiled for later use in reclamation. Mills and Shipley Draws and North Prong Little Thunder Creek (at the Thundercloud LBA Tract) and Porcupine Creek (at the Powder River LBA Tract) will be diverted into temporary channels or blocked to prevent flooding of the pits. A direct, permanent impact would be topographic moderation. The restored land surface would contain gentler topographic features, but the basic drainage network would be restored. Following reclamation, the average surface elevation would be approximately 46 ft lower at the Powder River LBA Tract and 43 ft lower at the Thundercloud LBA Tract due to removal of the coal. (The removal of the coal would be partially offset by the overburden swelling that occurs when the overburden is blasted and removed.) The land surface would be restored to the approximate original contour or to a configuration approved by WDEQ/LQD during the permit revision process.

4.1 Direct And Indirect Impacts Of Action Alternatives
Impacts can be beneficial or adverse, and they can be a primary result of an action (direct) or a secondary result (indirect). They can be permanent, long-term (persisting beyond the end of mine life and reclamation), or short-term (persisting during mining and reclamation and through the time the reclamation bond is released). Impacts also vary in terms of significance. The basis for conclusions regarding significance are the

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-3

4.0 Environmental Consequences Direct adverse impacts resulting from this topographic moderation would include a reduction in microhabitats (e.g., cutbank slopes) for some wildlife species and a reduction in habitat diversity, particularly a reduction in slope-dependent shrub communities and associated habitat. A potential indirect impact may be a long-term reduction in big game carrying capacity. A direct beneficial impact that would result from the lower and flatter terrain is reduced water runoff, which would allow increased infiltration and result in a minor reduction in peak flows. This may indirectly decrease erosion, increase vegetative productivity, and potentially accelerate recharge of groundwater. The approximate original drainage pattern would be restored, and stock ponds and playas would be replaced to provide livestock and wildlife watering sources. These topographic changes would not conflict with regional land use, and the postmining topography would adequately support anticipated land use. Either action alternative would result in an increase in the area at the respective mines where topography would be permanently altered (Table 4-1). The impacts on topography from mining and reclamation, as discussed above, are both beneficial and adverse. Since the area to be affected under the action alternatives represents an increase in the area that will be affected under current conditions, the impacts are considered moderate. 4.1.2 Geology and Minerals overburden and 68 ft of coal over about 3,396 acres for the Thundercloud LBA Tract under the Proposed Action, and 3,546 acres under Alternative 2. The replaced overburden would be a relatively homogeneous (compared to the premining layered overburden) and partly recompacted mixture averaging about 256 ft deep on the Powder River LBA Tract and 220 ft deep on the Thundercloud LBA Tract. Depending upon the alternative, there would be an increase in tonnage to be mined of up to 52 % at the North Antelope/Rochelle Mines and up to 80% at Jacobs Ranch. Approximately 942 million additional tons of coal would be leased under the Proposed Action, compared to 964 million tons under Alternative 2. The geology from the base of the coal to the land surface would be subject to permanent change on the LBA tracts under either action alternative. The subsurface characteristics of these lands would be radically changed by mining. The replaced overburden (spoil) would be a mixture of the geologically distinct layers of sandstone, siltstone, and shales that currently exist. The resulting physical characteristics would also be significantly altered. Development of other minerals potentially

present on the LBA tracts could not occur
during mining; however, development of these resources could occur following mining. Coal bed methane associated with the removed coal would be irretrievably lost. There are currently oil wells present on both LBA tracts. In order to remove the coal, operating wells would have to be shut in during mining or abandoned if it is not economical to re-establish or redrill the wells following mining. Conflict could arise between oil and gas and coal lease holders. BLM is required to manage federal lands on

For the Powder River LBA Tract, mining would remove an average of 228 ft of overburden and 73 ft of coal over about 4,023 acres under the Proposed Action or 4,224 acres under Alternative 2. Mining would remove an average of 195 ft of 4-4

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences a multiple use basis; 43 CFR 3400.1(b) provides that "the presence of deposits of other minerals ... or production of deposits of other minerals shall not preclude the granting of an exploration license, a license to mine or a lease for the exploration, development or production of coal deposits on the same lands with suitable stipulations for simultaneous operations. " The special stipulations that Wyoming BLM attaches to new coal leases include a stipulation relating to coal leases issued within producing oil and gas fields. In the event of a conflict, BLM policy is to encourage negotiation and resolution of resource recovery issues between the conflicting interests. 4.1.3 Soils Following reclamation, soil loss due to steep topography may decrease on the LBA tracts as a result of the topographic moderation. Due to state regulatory requirements, soil losses during mining will be minimal; sediment control structures will trap eroded soil and revegetation will reduce wind erosion. These measures are considered part of the action alternatives. 4.1.4 Air Quality The WDEQ/ AQD has issued air quality Permits to Construct for the North Antelope/Rochelle and Jacobs Ranch Mines. North Antelope and Rochelle are authorized to mine at a combined maximum rate of 65 million tons per year and Jacobs Ranch is authorized to produce at a maximum rate of 3S million tons per year. The actual production rates depend on market conditions and contracts. In 1996, the North Antelope/Rochelle combined production was 54.9 million tons, and production at Jacobs Ranch Mine was 24.5 million tons. As shown on Tables 2-1 and 2-2 of Chapter 2, anticipated annual production on the North Antelope and Rochelle Mines including the 4-5 resulting in a sandy clay loam). This uniform mixture would then be redistributed to a fairly even depth of about 18 to 24 inches in both LBA tracts. The chemical make-up and soil nutrient distribution would be more uniform in the mixed soils, resulting in more uniform vegetative productivity on the reclaimed land. Direct biological impacts would include a short-term reduction in soil organic matter, microbial populations, seeds, bulbs, rhizomes, and live plant parts for soil which is stockpiled before placement. Mining the tracts as extensions of existing mines will minimize the amount of both topsoil and spoil that must be stockpiled compared to mining the tracts as new-start mines.

Consequences to soil resources from mining the LBA tracts would include changes in the physical, biological, and chemical properties. Following reclamation, the soils would be unlike premining soils in texture, structure, color, accumulation of clays, organic matter, and chemical composition. The soils would be much more uniform in type, thickness, and texture. Since only the better soils would be salvaged for use in reclamation, the average quality of topsoil would be improved following reclamation. The replaced topsoil would support a stable and productive vegetation community adequate in quantity and quality to support planned postmining land uses (i.e., wildlife habitat and rangeland) . Surface coal mining and reclamation would directly impact 8,375 acres of soil resources on and adjacent to the LBA tracts (8,503 acres for Alternative 2) by increasing nearsurface bulk density, which would then indirectly influence infiltration and runoff. The soils would tend to become more uniform in type, thickness, and texture (e.g., clayey and sandy soils may get mixed,

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences Powder River LBA Tract is 65 million tons per year; at the Jacobs Ranch Mine including the Thundercloud LBA Tract production would be 35 million tons per year. Subject to market constraints, the mines plan to achieve their maximum permitted coal production rates by year 2002. The air quality permits were based on the results of computer modeling that predicted no violation of air quality standards and demonstrated that emissions would have no significant cumulative effect when added to emissions from neighboring mines at currently permitted production rates. PRCC and KMCC would mine the LBA tracts and their existing leases using the same equipment with similar emission control methods. The overburden and coal thicknesses on the LBA tracts are similar to the existing leases. At the currently permitted maximum rates, acquisition of the LBA tracts would allow production to be extended for 7.5 to 7.8 years at the North Antelope/Rochelle Mines and 11.0 to 11.1 years at the Jacobs Ranch Mine, respectively. As a result, there would not be an increase in direct and indirect impacts to air quality, but there would be a continuation of the existing permitted impacts. Air quality impacts resulting from, or associated with, mining operations would be limited primarily to the operational life of the mines. During the time the LBA tracts are mined, the elevated TSP levels in the vicinity of the mining operations would continue, as would the elevated concentrations of gaseous emissions due to fuel combustion. Compliance with all state and federal air quality standards would be attained. As with current operations, mining would occur near Highway 450, Highway 59, and Antelope and Mackey County Roads, making dust visible to the public. The required mitigation measures, which are discussed in Section 4.3.4, would minimize this impact. Impacts from the Proposed Action and Alternative 2 would not be substantially different, except that a slightly larger area would be mined under Alternative 2. Haul distances from the pits to the preparation plants would increase slightly from current levels, so dust emissions may increase in proportion to this increased haul distance. Blasting is not a major source of emissions at PRE mines (PMlO emission inventories show that overburden and coal blasting comprise less than 1 % of the total emissions). Overburden removal, wind erosion, and coal haul roads generate the majority of dust. The nearest Class I area is located approximately 80 miles east at Wind Cave National Park in southwestern South Dakota. Mines are not considered to be major emitting facilities in accordance with Section 24 of WDEQ/AQD Rules and Regulations. Therefore, mines are not required to evaluate their impacts on that Class I area. 4.1 .5 Water Resources Surface Water Changes in runoff characteristics and sediment discharges would occur during mining of the LBA tracts because of changes in the location of diversions and the destruction and reconstruction of drainage channels as mining progresses. Erosion rates could reach high values on the disturbed area because of vegetation removal. However, both state and federal regulations require that all surface runoff from mined lands be treated as necessary to meet effluent standards. Therefore, the sediment would be deposited in ponds or other sediment-control devices. However, sediment produced by large storms (i.e., greater than the lO-year,

4-6

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences 24-hour storm) could adversely impact downstream areas. Since the tracts would be mined as extensions of existing mines under the action alternatives, the amount of area disturbed and not reclaimed at any given time will not significantly increase due to leasing. WDEQ/LQD would also require a monitoring program to assure that ponds would always have adequate space reserved for sediment accumulation. Runoff rates might increase on the LBA tracts after reclamation due to loss of soil structure. However, soil structure would gradually reform over time, and vegetation (after successful reclamation) would provide erosion protection from raindrop impact, retard surface flows and control runoff at approximately premining levels. The probable decrease in average slope of the reclaimed land would increase infiltration and reduce peak flows. After mining and reclamation are complete, surface water flow, quality, and sediment discharge from the LBA tracts would approximate premining conditions. The impacts described above would be similar for both the Proposed Action and Alternative 2. Groundwater Mining of the LBA tracts would impact the groundwater resource quantity in two ways: 1) Mining would remove the coal aquifer and any overburden aquifers on the mined land and replace them with unconsolidated overburden (spoils); and 2) water levels in the coal and overburden aquifers adjacent to the mine would continue to be depressed as a result of seepage and dewatering from the open cut on the LBA tracts. The area subject to lower water levels would be increased roughly in proportion to the increase in area affected by mining. Mining the LBA tracts would remove aquifers on 4,023.5 acres (Proposed Action) and 4,224.2 acres (Alternative 2) on the Powder River LBA Tract and 3,395.9 acres (Proposed Action) or 3,545.5 acres (Alternative 2) on the Thundercloud LBA Tract. Mining within the LBA tracts will remove both the coal and overburden aquifers and replace the two separate aquifer units with mine backfill (spoil) composed of an unlayered mixture of shale, siltstone, and sand that makes up the existing Wasatch Formation overburden. Impacts to the local groundwater system resulting from mining include completely dewatering the coal and overburden within the area of coal removal, and extending drawdowns some distance away from the active mine area. The extent that drawdowns will propagate away from the mine pits is a function of the water-bearing properties of the aquifer materials. In materials with high transmissivity, drawdowns will extend further from the pit face than in materials with lower transmissivity. In general, due to the geologic makeup of the Wasatch Formation overburden (discontinuous sands in a matrix of shale), overburden drawdowns do not extend great distances from the active mine pit. Overburden monitor wells farther than 2,000 ft from the active pits showed less than 4 ft of drawdown at North Antelope/Rochelle and less than 2 ft of drawdown at Jacobs Ranch as of 1995 (Hydro Engineering 1996a). Because of the generally regional continuity and higher transmissivity within the Wyodak coal seam, drawdowns propagate much further in the coal aquifer than in the overburden. Coal drawdowns from 1980 to 1995, as presented in the 15-year GAGMO report (Hydro Engineering 1996a) are generally in excess of 5 ft within four miles of the active pits at North Antelope/Rochelle Mines and within one mile of the active pit at Jacobs Ranch Mine.

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-7

4.0 Environmental Consequences The subcoal Fort Union aquifers are not removed or disturbed by coal mining, so they are not directly impacted by coal mining activity. Both PRCC and KMCC have water supply wells completed in aquifers below the coal. If the LBA tracts are leased by the applicants, water would be produced from these wells for a longer period of time; neither PRCe or KMCC will require additional sub-coal wells to mine the LBA tracts. Mining would also impact groundwater quality; the TDS in the water resaturating the backfill is generally higher than the TDS in the groundwater before mining. This is due to the exposure of fresh overburden surfaces to groundwater that moves through the reclaimed spoils. Research conducted by the Montana Bureau of Mines and Geology on the coal fields of the northern PRE (Van Voast and Reiten 1988) indicates that upon initial saturation, mine backfill is generally high in TDS and contains soluble salts of calcium, magnesium and sodium sulfates. As the backfill resaturates, the soluble salts are leached by groundwater inflow and TDS concentrations tend to decrease with time, indicating that the long term groundwater quality in mined and off-site lands will not be compromised (Van Voast and Reiten 1988). Groundwater quality within the backfill aquifer at the Thundercloud and Powder River LBA Tracts can be expected to be similar to the groundwater quality measured in wells completed in the backfill at the Jacobs Ranch and North Antelope Mines (to date no backfill wells have been completed at Rochelle Mine). TDS concentrations observed in the backfill aquifers at these mines are generally higher than those found in the undisturbed Wasatch or Wyodak Coal aquifers. At the North Antelope Mine, 1995 TDS concentrations in the backfill were variable and ranged from 1,954 mg/L to 4-8 15,307 mg/L (Hydro Engineering 1996b) with a geometric mean of 4,339 mg/L. Five of the seven backfill wells present at the North Antelope Mine show decreasing TDS concentration with time, decreasing an average of 30% from 1986 to 1995. Two wells are completed in the backfill at the Jacobs Ranch Mine, with 1995 TDS concentrations averaging 4,178 mg/L. A third well was completed in the Jacobs Ranch backfill in 1994; however, data from this well are insufficient to establish a trend. TDS concentrations in the Jacobs Ranch backfill wells have increased over time. Using data compiled from ten surface coal mines in the eastern PRB, Martin et al. (1988) concluded that backfill groundwater quality improves markedly after the backfill is leached with one pore volume of water. The same conclusions were reached by Van Voast and Reiten (1988) after analyzing data from the Decker and Colstrip areas in the northern PRE. Postmining groundwaters are therefore expected to be of better quality after one pore volume of water moves through the backfill than what is observed in the backfill today. In general, the mine backfill groundwater TDS can be expected to range from 3,000 - 6,000 mg/L, similar to the premining Wasatch Formation aquifer, and meet Wyoming Class III standards for use as stock water. The hydraulic properties of the backfill aquifer reported in the permit documents are variable but in general comparable to the Wasatch Formation overburden and Wyodak Coal. At the Jacobs Ranch Mine, the hydraulic conductivity of the backfill has been measured at one well, and the average of two tests is 20 ft/day, which exceeds the high of 1.6 ft/day reported for the coal aquifer at the Jacobs Ranch Mine. At the North Antelope/Rochelle Mines, the backfill aquifer has been tested at four wells, and the average hydraulic conductivity is 36 ft/day,

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences which also exceeds the average hydraulic conductivity (9.5 ft/day) reported for the Wyodak Coal within one mile of the Powder River LBA Tract. The data available indicate that the hydraulic conductivity of the backfill would be greater than or equal to premining coal values, suggesting that wells completed in the backfill would provide yields greater than or equal to premining coal wells. Direct and indirect impacts to the groundwater system resulting from mining the two LBA tracts would add to the cumulative impacts that will occur due to mining existing leases. These impacts are discussed in section 4.5.5. 4. 1.6 Alluvial Valley Floors The mine permitting regulatory authorities (state and federal) have not yet formally declared whether or not there are any AVF's within the two LBA tracts. However, within the two lease tracts the streams and agricultural uses appear similar to areas approved for mining downstream on the existing leases. Therefore, it is unlikely that any portions of the streams within the LBA tracts meet the criteria to be AVF' s significant to agriculture. Streamflows in Mills and Shipley Draws on the Thundercloud LBA Tract and Porcupine Creek and Corder Creek on the Powder River LBA Tract would be diverted around the active mining areas in temporary diversion ditches or captured in flood-control reservoirs above the pit. If flood-control impoundments are used, it will be necessary to evacuate them following major events to provide space for the next flood. Consequently, disruptions to streamflows which might supply downstream AVF's are expected to be negligible. Groundwater intercepted by the mine pits will be routed through settling ponds to meet state and federal quality criteria, and the pond discharges will likely increase the frequency and amount of flows in these streams, thereby increasing surface water supplies to downstream AVF' s. If the LBA tracts are mined as extensions of existing operations, the mining will extend upstream on streams already affected by mining. Therefore, no direct, indirect, or cumulative impacts are anticipated to off-site AVF' s through mining of either of the LBA tracts. 4.1.7 Wetlands All existing wetlands on the LBA tracts would be destroyed by mining operations. However, COE requirements to replace all impacted wetlands would mitigate this loss, so environmental impacts would be shortterm (i.e., during mining and reclamation). During the period of time after mining and before wetland replacement, wetland functions would be lost. Also, the reclamation may not replace exact functions and landscape features. 4.1.8 Vegetation Under the Proposed Action, mining of the LBA tracts would progressively remove the native vegetation on 4,626 acres on and near the Powder River LBA Tract and 3,749 acres on and near the Thundercloud LBA Tract. Acreage disturbed under Alternative 2 for the Powder River LBA Tract would be 4,669, while acreage affected under Alternative 2 for the Thundercloud LBA Tract would be 3,834 acres. Short-term impacts associated with this vegetation removal would include increased soil erosion and habitat loss for wildlife and livestock. Potential long-term impacts include loss of habitat for some wildlife species as a result of 4-9

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences reduced species diversity, particularly big sagebrush, on reclaimed lands. However, grassland-dependent wildlife species and livestock would benefit from the increased grass cover and production. Reclamation, including revegetation of these lands, would occur contemporaneously with mining on adjacent lands, i.e., reclamation would begin once an area is mined. Estimates of the time elapsed from topsoil stripping through reseeding of any given area range from 2 to 4 years. This would be longer for areas occupied by stockpiles, haulroads, sediment-control structures, and other mine facilities. Some roads and facilities will not be reclaimed until the end of mining. No life-of-mine facilities would be located on the LBA tracts under the action alternatives, in which the LBA tracts would be mined as extensions of existing mines. A maximum of about 35 % of the permit areas would be removed from livestock and wildlife production at anyone time due to mining; grazing restrictions prior to mining and during reclamation would increase this to as much as 100 % of the LBA areas. This reduction in vegetative production would not seriously affect livestock production in the region, and long-term productivity on the reclaimed land would return to premining levels within several years following reclamation. Wildlife use of the area will not be restricted throughout the operations. Re-established vegetation would be dominated by species mandated in the reclamation seed mixtures (to be approved by WDEQ with USFS input). The majority of the approved species are native to the LBA tracts. Initially, the reclaimed land would be dominated by grassland vegetation which would be less diverse than the premining vegetation. At least 20 % of the area will be reclaimed to native shrubs at a density of one per square meter as required by current 4-10 regulations. Estimates for the time it would take to restore shrubs to premining density levels range from 20 to 100 years. An indirect impact of decreased big game habitat carrying capacity could be associated with this vegetative change. Within about 10 years following reclamation, a diverse, productive, and permanent vegetative cover would be established on the proposed lease lands. The decrease in plant diversity would not seriously affect the potential productivity of the reclaimed areas, and the proposed postmining land use (wildlife habitat and rangeland) should be achieved even with the changes in vegetation composition and diversity. Reclaimed areas at the Jacobs Ranch Mine, mined within the last decade, have already been declared crucial elk habitat by WGFD (1994). In areas of the LBA tracts where surface ownership is private (see Figures 3-14 and 3-15), the private landowners would have the right to manipulate the vegetation on their lands as they desire once the reclamation bond is released. About 350 acres of surface disturbance per year of mining would occur on the Powder River LBA Tract at the proposed rates of production and 240 acres of surface disturbance would occur per year of mining on the Thundercloud LBA Tract regardless of which action alternative is selected. By the time mining ceases, over 70% of these disturbed lands will have been reseeded. The remaining 30 % will be reseeded during the following 2 to 3 years as the life-of-mine facilities areas are reclaimed. The reclamation plans for each LBA tract would also include steps to control invasion by weedy species. Native vegetation from surrounding areas would gradually invade and become established on the reclaimed land.

Final EIS, Powder River and Thundercloud Coal Lease

4.0 Environmental Consequences The climatic record of the western U. S. suggests that droughts could occur periodically during the life of the mine. Such droughts would severely hamper revegetation efforts during the drought years, since lack of sufficient moisture would reduce germination and could damage newly established plants. Same-aged vegetation would be more susceptible to disease than would plants of various ages. Severe thunderstorms could also adversely affect newly seeded areas. Once a stable vegetative cover is established, however, these events would have similar impacts as would occur on native vegetation. Changes expected in the surface water network as a result of mining and reclamation would affect the re-establishment of vegetation patterns on the reclaimed areas to some extent. The postmining maximum slope would be 20 % in accordance with WDEQ policy. The average reclaimed slope will not be known until WDEQ's technical review of the permit revision applications is complete. However, since both LBA areas are fairly flat, no significant changes in average slope are predicted. Following reclamation, the LBA tracts would be primarily mixed prairie grasslands with graminoid/forb-dominated areas, and the overall species diversity would be reduced, especially for the shrub component. The amount of playa grassland to be restored will be determined at the permit revision stage. Current WDEQ policy is that postmining depressions be similar to premining depressions in location, number, drainage area (± 10 %) and storage capacity (± 25 % ) (WDEQ/LQD 1996). Playas with wetland characteristics will fall under the jurisdiction of the COE. Detailed wetland mitigation plans would be developed at the permitting stage to ensure no net loss of wetlands on the project area. The decrease in plant diversity would not seriously affect productivity of the reclaimed areas, regardless of the alternative selected, and the proposed postmining land use (wildlife habitat and rangeland) would be achieved even with the changes in vegetative species composition and diversity. 4.1.9 Wildlife Local wildlife populations are directly and indirectly impacted by mining. These impacts are both short-term (until successful reclamation is achieved) and long-term (persisting beyond successful completion of reclamation). The direct impacts of surface coal mining on wildlife occur during mining and are therefore short-term. They include road kills by mine-related traffic, restrictions on wildlife movement created by fences, spoil piles and pits, and displacement of wildlife from active mining areas. Displaced animals may find equally suitable habitat that is not occupied by other animals, occupy suitable habitat that is already being used by other individuals, or occupy poorer quality habitat than that from which they were displaced. In the second and third situations, the animals may suffer from increased competition with other animals and are less likely to survive and reproduce. The indirect impacts are longer term and include loss of carrying capacity and microhabitats on reclaimed land due to flatter topography, less diverse vegetative cover, and reduction in sagebrush density. These impacts are currently occurring on the existing leases as mining occurs; if the LBA tracts are leased under the Proposed Action or Alternative 2, the area of mining disturbance would be extended onto the LBA tracts and mining would be extended by up to 11.1 years.

Final EIS, Powder River and Thundercloud Coal Lease

4.0 Environmental Consequences Under the Proposed Action or Alternative 2, big game would be displaced from portions of the LBA tracts to adjacent ranges during mining. Pronghorn would be most affected; however there is no crucial pronghorn habitat on either of the LBA tracts. Mule deer, elk and white-tailed deer use these lands infrequently. The displacement would be incremental, occurring over several years and allowing for gradual changes in big game distribution patterns. Big game residing in the adjacent areas could be impacted by increased competition with displaced animals. Noise, dust and associated human presence would cause some localized avoidance of foraging areas adjacent to mining activities. On the existing leases, however, big game have continued to occupy areas adjacent to and within active mine operations, suggesting that some animals may become habituated to such disturbances. Big game animals are highly mobile and can move to undisturbed areas. There would be more restrictions on big game movement on or through the two tracts, however, due to additional fences, spoil piles, and pits related to mining. During winter storms, pronghorn may not be able to negotiate these barriers. WDEQ guidelines require fencing to be designed to permit pronghorn passage to the extent possible. Road kills related to mine traffic would be extended in the area by up to 11.1 years. After mining and reclamation, alterations in the topography and vegetative cover, particularly the reduction in sagebrush density, would cause a decrease in carrying capacity and diversity on the LBA tracts. Sagebrush would gradually become reestablished on the reclaimed land, but the topographic changes would be permanent. Direct losses to small mammals would be higher than for other wildlife since the mobility of small mammals is limited and many would retreat into burrows when disturbed. Mammals such as coyotes, rabbits, etc., would be temporarily displaced to other habitats by mining and would return following reclamation. Populations of less mobile animals (such as mice) would decline during mining. However, these animals generally have a high reproductive potential and tend to re- invade and adapt to reclaimed areas quickly. Mining of the LBA tracts would eliminate potential sage grouse habitat. However, very few sage grouse have been observed using the LBA tracts during annual wildlife monitoring surveys and specific baseline surveys completed for sage grouse. No leks have been located within two miles of the Thundercloud LBA Tract although specific lek searches were completed in 1995 and 1996. One lek is located within 0.5 mile of the Powder River LBA Tract but only one male was observed in 1996 (Figure 3-12, Section 3.10). Annual wildlife monitoring completed for the adjacent Jacobs Ranch and Black Thunder Mines also did not reveal any leks or significant sage grouse activity in this area (Figure 3-13, Section 3.10). Additional surveys revealed that sage grouse use of this area was very restricted. Based on these inventories, sage grouse use of both LBA tracts is very limited, so impacts would be minor. Raptor populations would not be adversely affected by mining either tract, but individual nesting pairs and birds will be impacted. In 1995 and 1996 only two raptor species, the Swainson's hawk and ferruginous hawk, were recorded nesting on or adjacent to the Thundercloud LBA tract. Nests for these two species will be destroyed or impacted by

4-12

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences mining. A total of five raptor species were recorded on or adjacent to the Powder River LBA Tract in 1995 and 1996. These species include the golden eagle, ferruginous hawk, red-tailed hawk, Swainson's hawk, great horned owl and short-eared owl, and they will most likely be impacted by mining this tract. If the LBA tracts are leased, a raptor mitigation plan would have to be prepared and approved as part of a revised mining plan for each tract prior to mining. The raptor mitigation plans would be subject to USFWS review and approval before the mining plan is approved. Any nests that would be impacted by mining operations would have to be relocated in accordance with that plan. Prior to the disturbance of any raptor nest, special purpose permits would have to be secured from the USFWS and WGFD. All active raptor nests within the mine permit area would be protected further by buffer zones. Mine-related disturbances are not allowed to encroach in the near vicinity of any active raptor nest from March until hatching, and disturbances near raptor nests containing nestlings is strictly limited to prevent danger to, or abandonment of, the young. These required mitigation measures are part of the action alternatives. Foraging habitat for raptors would be reduced until revegetation successfully attracts small mammals, which serve as their prey. The following required measures (which are part of the action alternatives) would also ensure that site-specific impacts would be minimized: All power lines would be made raptor safe (Avian Power Line Interaction Committee 1994), and successful revegetation would support substantial rodent (prey) populations. Annual monitoring by other not documented any apparent eagle or hawk populations activities. Raptor sitings area mines has declines in area due to mining are common; however, reproductive rates are presently depressed in the area according to monitoring conducted by the WGFD, the BLM, and the USFS, and populations may be decreasing. Mountain plovers have not been recorded on the Thundercloud LBA Tract or within two miles. This species has not been recorded on the Powder River LBA Tract but was recorded within one mile of that area. The required surveys would be completed if potential habitats within each LBA tract are to be disturbed. Mountain plover surveys, conducted in accordance with USFWS guidelines, would be required as part of the WDEQ permitting process. If plover habitat is identified on these lands, a habitat recovery and replacement plan would be required as part of the mine permit application. This plan, which would have to be approved by the USFWS, would be expected to reduce potential impacts to an acceptable level. No other migratory birds of high federal interest (MBHFI) regularly use the LBA tracts, and raptors are the only MBHFI that breed in the area (see Section 3.10). Therefore, mining would have negligible impacts on these species. Disturbance of stock ponds on the LBA tracts would impact waterfowl which utilize the ponds for resting and feeding during migration. The creation of sedimentation ponds, which is required, would partially mitigate this impact. WDEQ and the COE would also require creation of wetlands during reclamation which would minimize impacts. The LBA tracts currently have limited value for waterfowl production. Resident songbirds would for available adjacent resources as their habitats mining operations. Where have to compete territories and are disturbed by adjacent habitat is 4-13

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences at carrying capacity, this competition would result in some mortality. Losses would be higher when habitat disturbance coincides with incubation and rearing of young. These effects would be short-term for grassland species but would last longer for shrub-dependent species. Several required measures would minimize these impacts. A diverse seed mixture with shrub groupings would provide food, cover, and edge effect, and tree plantings would produce perching and nesting sites. USFS Region 2 sensitive species habitat may be directly or indirectly impacted by changing the surface character of the LBA tracts. Potential impacts may be either shortterm (until reclamation) or long-term (persisting beyond successful completion of reclamation). If the LBA tracts are leased, the USFS will evaluate the tracts for these sensitive species in a Biological Evaluation prior to any habitat manipulation actions when the lessee files an application for a surface mining permit revision. The impacts discussed above would apply to the original lease applications and proposed alternatives. 4.1.10 Threatened. Endangered. Candidate Species and habitat would be short-term. Peregrine falcon nesting habitat does not exist on either LBA tract, and there are no concentrated food sources for peregrines on the LBA tracts. In surveys completed in 1997, no Ute Ladies' Tresses orchids were found on the Powder River LBA Tract. Suitable habitat for Ute Ladies' Tresses orchid is not potentially present on the Thundercloud LBA Tract and no Ute Ladies' Tresses orchids have been found in surveys of that area. If any plants are found, development of a USFWS-approved mitigation plan would be required prior to mining. Mountain plover habitat may potentially occur on the LBA tracts, but no plovers have been documented. Surveys for plovers would be required prior to any mining activity and if any plovers are found, development of a USFWS-approved mitigation plan would be required prior to mining. No recent sightings of swift fox have been reported on or near the LBA tracts; however, much of the PRB is potential swift fox habitat. 4. 1. 11 Land Use and Recreation The major adverse environmental consequences of the Proposed Action or Alternative 2 on land use would be reduction of livestock grazing, loss of wildlife habitat, and curtailment of oil and gas development on about 8,375 acres (Proposed Action) or about 8,503 acres (Alternative 2) during active mining. Wildlife (particularly big game) and livestock (cattle and sheep) use would be displaced while the tract is being mined and reclaimed. In addition, federallyowned surface on the two tracts would not be available for recreation during mining. If some or all of the currently producing oil and gas wells on either tract are still producing at the time that coal removal begins, it would be necessary to remove the equipment associated with those wells and to

Mining the LBA tracts under the Proposed Action and Alternative 2 would not be expected to jeopardize the existence of any T&E species. No known critical habitat for T&E species exists on either LBA tract. There are no prairie dog colonies on the LBA tracts, and surveys of nearby towns have produced no evidence of black-footed ferrets. Bald eagles could potentially nest or roost on the LBA tracts; however, there are no concentrated food sources for eagles on the LBA tracts and the loss of any potential prey 4-14

Final E18, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences mine through those wells to recover all of the coal. Before this could occur, the coal lessee and the oil and gas well operator would have to negotiate a mutually acceptable agreement regarding the value of the unrecovered oil and gas resources and/or the cost of reestablishing production after mining and reclamation. New drilling would not be possible in areas of active mining, but could take place in areas not being mined or in reclaimed areas. Any coal bed methane resources on the LBA tracts would be lost when the coal is removed. Hunting on the LBA tracts would be eliminated during mining and reclamation. Pronghorn, mule deer, and white-tailed deer occur on and adjacent to both tracts. Sage grouse, mourning dove, waterfowl, cottontail rabbit, and coyote also inhabit these tracts. Mining the Powder River LBA Tract would remove public access to approximately 2,675 acres of federal land in pronghorn Hunt Area 27 and mule deer Hunt Area 21. Mining the Thundercloud LBA Tract would remove public access to approximately 1,240 acres of federal land located in pronghorn Hunt Area 24 and mule deer Hunt Area 21. Following reclamation, the land would be suitable for grazing and wildlife use, which are the historic land uses. Following reclamation bond release, management of the privatelyowned surface would revert to the private surface owner and management of the federally-owned surface would revert to the federal surface managing agency (USFS). 4.1.12 Cultural Resources No unique or significant paleontological resources have been identified on the LBA tracts, and the likelihood of encountering significant paleontological resources is small. Lease and permit conditions require that should previously unknown, potentially significant paleontological sites be discovered, work in that area shall stop and 4-15 also been completed on the Thundercloud LBA Tract. Forty-two sites were located by the inventory. Three to six sites at the Powder River LBA Tract require further work to determine their significance. One site at the Thundercloud LBA Tract is considered eligible for nomination to the NRHP. Wyoming SHPO must concur with the evaluations of both tracts before any disturbance can occur. Impacts to eligible or unevaluated cultural resources cannot be permitted. If unevaluated sites cannot be avoided, they must be evaluated prior to disturbance. If eligible sites cannot be avoided, a data recovery plan must be implemented prior to disturbance. Ineligible properties may be destroyed without further work. Cultural resources adjacent to the mine areas may be impacted as a result of increased access to the areas. There may be increased vandalism and unauthorized collecting associated with recreational activity and other pursuits outside of but adjacent to mine permit areas. 4.1.13 Native American Concerns

No sites of Native American religious or cultural importance are known to occur on the LBA tracts. If such sites or localities are identified at a later date, they will be taken into consideration. 4.1.14 Paleontological Resources

Cultural resources will be impacted by mining, but adverse impacts will be mitigated through data recovery and/or avoidance of significant properties. A Class III survey has been completed on the Powder River LBA Tract, and 45 prehistoric and historic sites have been recorded. A Class III survey has

Final £18, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences measures will be taken to assess and protect the site (see Appendix D). 4.1.15 Visual Resources a noise impact report for the Caballo Rojo Mine (OSM 1980) which determined that the noise level from crushers and a conveyor would not exceed 45 dBA at a distance of 1,500 ft. Explosives would be used during mining to fragment the overburden and coal and facilitate their excavation. The air overpressure created by such blasting is estimated to be 123 dBA at the location of the blast. At a distance of approximately 1,230 ft, the intensity of this blast would be reduced to 40 dBA. Since the nearest occupied dwelling is at least 4,000 ft away from either LBA tract, there should be no significant noise impacts. Because of the remoteness of the sites and because mining is already ongoing in the area, noise would have little off-site effect. Wildlife in the immediate vicinity of mining may be adversely affected; however, observations at other surface coal mines in the area indicate that wildlife generally adapt to increased noise associated with active coal mining. After reclamation is completed, noise would return to pre mining levels. 4.1.17 Transportation Facilities

Visual impacts would be evident during mining. Mining activities on the Powder River LBA tract and most of the Thundercloud LBA tract would not be visible from any major travel routes, and would be partly concealed by surrounding terrain. Mining of some parts of the Thundercloud LBA tract would be visible from State Highway 450. Mining would affect landscapes classified by USFS as "common," and the landscape character would not be significantly changed following reclamation. After reclamation, reclaimed terrain would be almost indistinguishable from the surrounding undisturbed terrain. Slopes might appear smoother (less intricately dissected) than undisturbed terrain to the north and west, and sagebrush would not be as abundant for several years; however, within a few years after reclamation, the mined land would be distinguishable from the surrounding undisturbed terrain only to somebody very familiar with landforms and vegetation. 4.1.16 Noise

Noise levels on the LBA tracts would be increased considerably by mining activities such as blasting, loading, hauling, and possibly in-pit crushing. Since both LBA tracts would be mined as extensions of exisung operations under the action alternatives, no rail car loading would take place on the LBA tracts. The Noise Control Act of 1972 indicates that a 24-hour equivalent level of less than 70 A-weighted decibels (dBA) prevents hearing loss and that a level below 55 dBA, in general, does not constitute an adverse impact. OSM prepared 4-16

No new or reconstructed transportation facilities will be required under the Proposed Action or Alternative 2. Essentially all of the coal mined on the LBA tracts would be transported by rail. Leasing the LBA tracts would extend the length of time that coal is shipped from the permitted Jacobs Ranch and North Antelope/Rochelle Mines. Active pipelines currently cross both LBA tracts, and any relocation of pipelines and utility lines would be handled according to specific agreements between the coal lessee and the pipeline owner if the need arises. The Wyoming Department of Transportation routinely monitors traffic volumes on area highways, and if traffic exceeds design standards improvements are made.

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences Burlington Northern, Santa Fe, and Union Pacific have upgraded and will continue to upgrade their rail capacities to handle the increasing coal volume projected from the southern PRB with or without the leasing of the proposed LBA tracts. 4.1.18 Socioeconomics (University of Wyoming 1994) to 1.796 (Campbell County Economic Development Corporation 1993). Applying an average economic multiplier of 1.5 to these revenues, the total economic impact from leasing and subsequent mining of the LBA tracts would be about $5.24 billion (Proposed Action) to $5.37 billion (Alternative 2). These economic impacts would benefit the local and regional economies. The federal government receives income from leased coal in the form of a lease bonus payment and royalties on production. Bonus payments are subject to competitive bid and have ranged from 11.1 cents/ton to 29.1 cents/ton on the LBA's sold to date (see Table 1-1). For the Powder River and Thundercloud LBA tracts, this suggests a bonus payment in the range of $104 million to $281 million. Federal royalties are 12.5% of the sales price of the coal. For a sales price of $4 per ton and a net production from the LBA tracts of 873 million to 894 million tons, the royalty payments would total $436.5 million to $447 million over the period of coal removal from the tracts. Both bonuses and royalty payments are divided equally between the state and federal governments. If the LBA tracts are leased under the action alternatives and coal production increases as projected, total employment at the Jacobs Ranch and North Antelope/Rochelle Mines would increase by up to 265 employees. These increased employment levels would occur over the extended mine lives of up to 11.1 years at Jacobs Ranch and 7.8 years at North Antelope/Rochelle. The increase in employment of 265 persons represents just over 1% of the 25,200 persons in the May 1997 labor force in Campbell and Converse Counties (Wyoming Employment Resources Division, July 1997). Considering that the May 1997 unemployment in these counties 4-17

Leasing and subsequent mining of the LBA tracts would extend the life of the already permitted Jacobs Ranch Mine by 11 to 11.1 years and the North Antelope/Rochelle Mines by 7.5 to 7.8 years. Leasing and mining the LBA tracts as production maintenance tracts would alter current employment levels in order to keep pace with currently permitted production increases. Over the revised mine life, employment levels would increase by about 45 persons at the Jacobs Ranch Mine and about 220 persons at the North Antelope/ Rochelle Mines. Coal prices are projected to remain relatively constant throughout the lives of the mines (WSGS 1997), and the total direct fiscal benefit to the State of Wyoming from coal mining (taxes and royalties) has been estimated at $1.lO/ton of coal mined (University of Wyoming 1994). Under the Proposed Action, the mining of 384 million tons of coal from the Thundercloud LBA Tract and 489 million tons of coal from the Powder River LBA Tract would generate a combined total of $960 million to the state. Under Alternative 2, the mining of 894 million tons from the two tracts would generate $983 million in state revenues. Assuming a price of $4.00 per ton, the combined sales of the recoverable coal from both LBA tracts would total $3.49 billion for the Proposed Action and $3.58 billion for Alternative 2. Estimated economic multipliers for determining the total economic impact to the local area (i.e., direct, indirect, and induced effects) range from 1.473

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences was 1,198 and that the unemployment rate rose from 4.4% to 4.8% between May 1996 and May 1997, it appears that the labor force could absorb the projected increase in employment. These employees will live in Gillette, Douglas, Wright or Newcastle, and those communities would benefit by having these residents maintain their jobs for these additional years. Issues relating to the social, cultural, and economic well-being and health of minorities and low-income groups are termed Environmental Justice issues. In reviewing the impacts of the Proposed Action and Alternatives 1 or 2 on socioeconomic resources, surface water and groundwater quality, air quality, hazardous materials, or other elements of the human environment in this chapter, it was determined that potentially adverse impacts do not disproportionately affect Native American tribes, minority groups and/or low-income groups. With regard to Environmental Justice issues affecting Native American tribes or groups, the general analysis area contains no tribal lands or Native American communities, and no treaty rights or Native American trust resources are known to exist for this area. Implementing any of the alternatives would have no effects on Environmental Justice issues, including the social, cultural, and economic well-being and health of minorities and low income groups within the general analysis area. 4.1.19 Hazardous and Solid Waste office and food wastes. Wastes of this type are currently being generated at the existing operations adjacent to both of the LBA tracts. The Jacobs Ranch, North Antelope and Rochelle Mines dispose of solid wastes within their permit boundaries in accordance with WDEQ-approved solid waste disposal plans. Sewage generated by mining the LBA tracts would be handled by existing WDEQpermitted sewage systems currently present on the existing mine facilities. Maintenance and lubrication of most of the equipment used to mine the two LBA tracts would take place at existing shop facilities at the Jacobs Ranch, North Antelope, and Rochelle Mines. Major lubrication, oil changes, etc., of most equipment would be performed inside the service building lube bays, where waste oil is currently contained and deposited in storage tanks. The collected waste oils are then recycled offsite. KMCC and PRCC have reviewed the EPA's Consolidated List of Chemicals Subject to Reporting Under Title III of the Superfund Amendments and Re-authorization Act (SARA) of 1986 (as amended) and EPA's List of Extremely Hazardous Substances as defined in 40 CFR 355 (as amended), for hazardous substances proposed for use in mining the LBA tracts. Both companies maintain files containing Material Safety Data Sheets for all chemicals, compounds and/or substances which are or would be used during the course of mining at their respecti ve properties. KMCC and PRCC are responsible for ensuring that all production, use, storage, transport, and disposal of hazardous and extremely hazardous materials as a result of mining the LBA tracts would be in accordance with all applicable existing or hereafter promulgated federal, state, and local government rules, regulations, and guidelines. All mining activities involving the production, use, and/or disposal of

Solid waste which may be produced by mining the LBA tracts consists of floor sweepings, shop rags, lubricant containers, welding rod ends, metal shavings, worn tires, packing material, used filters, and 4-18

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences hazardous or extremely hazardous materials are and would continue to be conducted so as to minimize potential environmental impacts. KMCC and PRCC also comply with emergency reporting requirements for releases of hazardous materials. Any release of hazardous or extremely hazardous substances in excess of the reportable quantity, as established in 40 CFR 117, are reported as required by the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA), as amended. The materials for which such notification must be given are the extremely hazardous substances listed in Section 302 of the Emergency Planning and Community Right to Know Act and the hazardous substances designated under Section 102 of CERCLA, as amended. If a reportable quantity of a hazardous or extremely hazardous substance is released, immediate notice must be given to the WDEQ Solid and Hazardous Waste Division and all other appropriate federal and state agencies. Each mining company is also expected to prepare and implement several plans and/or policies to ensure environmental protection from hazardous and extremely hazardous materials. These plans/policies include: Spill Prevention Control Countermeasure Plans; Spill Response Plans; inventories of hazardous chemical categories pursuant to Section 312 of SARA, as amended; and Emergency Response Plans. All mining operations are also required to be in compliance with regulations promulgated under the Resource Conservation and and Recovery Act, Federal Water Pollution Control Act (Clean Water Act), Safe Drinking Water Act, Toxic Substances Control Act, Mine Safety and Health Act, and the Federal Clean Air Act. In addition, mining operations must comply with all attendant state rules and regulations relating to hazardous material reporting, transportation, management, and disposal.

4.2 No-Action Alternative
Under the No-Action Alternative, these coal lease applications would be rejected and the areas contained in the application would not be offered for lease at this time. For the purposes of this analysis, the No-Action Alternative assumes that these lands would never be mined. However, the approved mining operations for the existing Jacobs Ranch, North Antelope and Rochelle mines would not be changed if this alternative is chosen. The impacts described on the preceding pages and in Table 2.3 to topography and physiography, geology and minerals, soils, air quality, water resources, alluvial valley floors, wetlands, vegetation, wildlife, USFS Region 2 sensitive species, threatened, endangered and candidate species, land use and recreation, cultural resources, Native American concerns, paleontological resources, visual resources, noise, transportation, and socioeconomics would occur on the existing Jacobs Ranch, North Antelope and Rochelle coal leases under the No-Action Alternative, but these impacts would not be extended onto the LBA tracts. The general nature and magnitude of cumulative impacts as summarized in Table 2.5, which would occur from implementation of the Proposed Action or Alternative 2, would not be substantially different under the No-Action Alternative. However, coal removal and the associated disturbance and 4-19

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences impact would not occur on the 8,375 to 8,503 additional acres disturbed in the Proposed Action or Alternative 2, respectively. The economic benefits that would be derived from mining the LBA tracts during an additional 7.5 to 11.5 years of mining would be lost. Without the LBA tracts, operations at Jacobs Ranch Mine would end in about 2007, and at North Antelope/Rochelle Mines operations would end in 2012, when the existing leases are mined out. Not leasing these delineated suitable tracts at this time may also result in a bypass of this federal coal if the leases are not sold while the existing mines are still in operation and pits are in a position to expand into the LBA areas. approximate original contour or an approved equivalent, no additional mitigation measures are recommended to address potentially adverse impacts. 4.3.2 Geology and Minerals

A WDEQ/LQD permit application requirement includes a drilling and sampling program to determine overburden geochemistry and reclamation suitability. If unsuitable overburden is present, the applicant will be required to design the mine and reclamation plan to minimize any adverse impacts. These measures typically include mixing and/or selective placement of spoil. No additional mitigation measures are recommended. 4.3.3 Soils

4.3 Regulatory Compliance, Mitigation, and Monitoring In the case of surface coal mining, SMCRA
and state law require a considerable amount of mitigation and monitoring. Mitigation and monitoring measures that are required by regulation are considered part of the action alternatives. To illustrate the types of mitigation and monitoring measures that are required by SMCRA and state law, some of these required measures are mentioned in the resource discussions in the previous section and in this section. If impacts are identified during the leasing process that are not mitigated by existing required mitigation measures, then BLM or USFS can include additional mitigation measures as stipulations on the new lease. No mitigation or monitoring measures beyond those required by SMCRA or state law have been identified as necessary for the Powder River or Thundercloud tracts at this time. 4.3.1 Topography and Physiography

Selective placement of at least 4 ft of suitable overburden on the graded spoil surface prior to replacing topsoil is assumed. With an anticipated 18 inches of suitable topsoil placed on both LBA tracts, the top 5.5 ft of regraded surface material would meet WDEQ suitability guidelines for vegetation root zones. Monitoring of revegetation growth with corresponding application of appropriate soil amendments would ensure successful reclamation. These measures are required and are thus part of the action alternatives. No additional mitigation or monitoring will be needed. 4.3.4 Air Quality

Given the WDEQ-mandated requirement to restore the postmining topography to the 4-20

Current air quality regulations and regulatory practices are designed for, and have been historically demonstrated to be effective in protecting ambient air from degradation from air pollutants generated by surface mining. Before the LBA tracts could be mined, even as an extension of approved operating permits, the existing air quality permits must be amended and approved by WDEQ/AQD. The required modeling is expected to verify

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences the previous analysis because there are no proposed changes in mining methods or rates under either action alternative. The mitigation of impacts to air quality would be achieved through a combination of five regulatory activities: 1) dispersion modeling of mine plans for annual average particulate pollution impacts on ambient air; 2) use of particulate pollution control technologies; 3) use of specific work practices to minimize windborne fugitive particulate emissions; 4) on-site air quality monitoring to demonstrate compliance with ambient air quality standards; and 5) on-site compliance inspections of mining activities by state regulatory inspectors. Surface mines must comply with all five aspects of modeling, pollution control, pollution prevention, monitoring, and compliance inspection as conditions for obtaining and maintaining an air quality operating permit. Potential air pollution is further mitigated at the source by the requirement that facilities utilize EPA- and state-mandated Best Available Control Technology (BACT). In the case of surface coal mining, BACT involves the use of fabric filtration or wet scrubbing of coal storage silo and conveyor vents to mitigate generation of particulates in ambient air. WDEQ also specifies certain other methods for mitigating windborne fugitive emissions of particulates, including watering or chemical dust suppression of haul roads and exposed soils, containment of Huck dumps and primary crushers, covering of conveyors, and prompt revegetation of exposed soil. Such measures are estimated to be 50-60% effective in mitigating windborne fugitive particulate emissions from roads and exposed land (WDEQ 1979). These are regulatory requirements and are therefore considered part of the Proposed Action and Alternative 2. WDEQ has also instituted local ambient air quality monitoring as a requirement for obtaining an air quality permit. Each mine in the PRB is required to install, maintain, and operate a certified ambient (off-site) monitor for PMlO or TSP as a surrogate for PMlO, and to submit monitoring data to WDEQ as a measure of compliance with ambient air quality standards. Specific compliance with both air quality regulations and operating permit requirements is further assured through the mine site inspection activities conducted by WDEQ. No additional mitigation measures have been identified as necessary. 4.3.5 Water Resources The cumulative hydrologic impacts associated with mining the LBA tracts would be evaluated by the WDEQ based on sitespecific data before the tracts could be mined. Detailed mitigation plans would be developed at that time. SMCRA and Wyoming State law obligate the coal mine operator to provide the owner of a water right whose water source is interrupted, discontinued, or diminished by mining with water of equivalent quantity and quality. This measure should adequately minimize potential impacts occurring to groundwater resources. WDEQ-required sedimentation ponds would continue to adequately mitigate surface water impacts. Extensive surface and groundwater monitoring would also be required as part of the mine permitting procedures. Since these measures are required by state and federal law, they are considered part of the Proposed Action and Alternative 2. No additional mitigation or monitoring measures have been identified.

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-21

4.0 Environmental Consequences 4.3.6 Alluvial Valley Floors of cover crops). Weed infestation would be chemically and mechanically controlled. Vegetation on reclaimed land is generally less diverse than vegetation in undisturbed areas, and the reduction in topographic diversity further decreases the potential for vegetative diversity. Mitigation measures that may be used to increase vegetative diversity include using a diverse reclamation seed mixture, direct hauling of topsoil, selective planting of shrubs in riparian areas, planting of sagebrush, creation of depressions and rock piles, and special planting procedures around rock piles. WDEQ also requires posting of a reclamation performance bond. This bond is held for a minimum of 10 years after seeding to assure that the reclamation meets all requirements and is self-sustaining. No additional mitigation measures have been identified. 4.3.9 Wildlife

A detailed study to identify alluvial valley floors is required by WDEQ prior to mine permitting. If any alluvial valley floors are identified, a detailed mitigation plan would be developed at that time. This plan would be designed to protect downstream alluvial valley floors during mining and restore essential hydrologic functions of any alluvial valley floors directly affected by mining. No additional mitigation or monitoring measures have been identified. 4.3.7 Wetlands

A detailed study to identify jurisdictional wetlands is required by the COE prior to mine permitting. If any jurisdictional wetlands are identified, a detailed mitigation plan will be developed at that time. The mitigation plan would include developing replacement plans for wetlands in the approved reclamation plan. No additional mitigation or monitoring measures have been identified. 4.3.8 Vegetation

Detailed reclamation plans, including a comprehensive revegetation plan, would be approved by WDEQ prior to mining. The revegetation plan would identify the permanent reclamation seed mixtures that would be used. The permanent reclamation seed mixtures, which must be approved by WDEQ, consist predominantly of species native to the area. On reclaimed areas, levels of erosion and invasion by undesirable plant species are typically higher than premining levels prior to the successful establishment of the desired species. The reclamation plans would include specific measures to minimize erosion on reclaimed areas (e. g., mulching and the use 4-22

Numerous mitigation measures are required by federal and state statutes to be incorporated into the mining and reclamation plans to minimize wildlife impacts. Required mitigation measures are considered to be part of the action alternatives. These measures generally include: 1) restoring the premining topography to the maximum extent possible; 2) planting a diverse mixture of grasses, forbs, and shrubs in configurations beneficial to wildlife; 3) designing fences to permit wildlife passage; 4) raptor-proofing power transmission poles; 5) creating artificial raptor nest sites; 6) placing rock clusters and creating shallow depressions to add topographic diversity in reclamation; 7) reducing vehicle speed limits to minimize wildlife mortality; and 8) instructing employees not to harass or disturb wildlife.

Final EIS, Powder River and Thundercloud Coal Lease

4.0 Environmental Consequences The permittees would also be required to prepare a raptor mitigation plan, which must be reviewed by the USFWS. Additionally, the mining operations are required to conduct extensive wildlife monitoring surveys, both before and during mining. No additional mitigation or monitoring measures have been identified. 4.3.10 Threatened. Endangered. Candidate Species and commensurate reduction in annual Special Use Permit fees. This partnership allows the USFS to exchange certain lands with private landowners to improve the scattered landownership pattern and provide additional wildlife habitat, public recreational opportunities and other public benefits. This partnership provides for mitigation of the temporary reduction of lands available for public recreation due to PRCe's mining operations. No additional mitigation or monitoring measures have been identified. 4.3.12 Cultural Resources

The required mitigation and monitoring practices described above would ensure protection of any previously unreported T&E species. USFWS-approved surveys would be conducted for Ute ladies' tresses and mountain plovers prior to surface-disturbing activities. If prairie dogs invade the LBA tracts, ferret searches would be conducted prior to surface disturbance. The results of such surveys would be reviewed by USFWS and by the USFS on affected federal surface before mining could proceed. Employees would be instructed to avoid disturbing bald eagles, and revegetation would restore the disturbed foraging areas for their prey. All power lines would be made raptor safe. These measures are required by state or federal law and are therefore considered part of the action alternatives. No additional mitigation or monitoring measures have been identified at this time. 4.3. 11 Land Use and Recreation Since the majority of the land within the Powder River LR"'A Tract is public, access to this land will be restricted if the land is amended to the North Antelope/Rochelle Permit Boundaries. Since 1993, PRCC and the USFS have participated in a partnership in which PRCC has agreed to finance and contract for portions of or all of the necessary inventories and reports required to accomplish land exchanges in return for a

Direct impacts to cultural resources would be mitigated following procedures specified in 36 CFR 800. As part of the permitting process, Class I and Class III inventories would be conducted on all state and federal lands and on private lands affected by federal undertakings. All resources identified in these surveys would be evaluated for eligibility to the NRHP in consultation with SHPO. Eligible or listed sites identified would be avoided, as would areas with high potential for significant cultural deposits. If any NRHP (eligible or listed) historic or prehistoric sites found within the area cannot be avoided, a data recovery program would be implemented. Mining activities would be monitored by an archaeologist qualified by the appropriate federal agency on federal lands or by OSM or WDEQ on private lands. If historic or prehistoric materials are discovered during mining operations, appropriate BLM and USFS personnel would be notified immediately (see Appendix D). These required measures are part of the action alternatives. Potential impacts to cultural resources would be reduced through informing all personnel of the importance of the resources and the 4-23

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences regulatory obligations to protect such resources. All personnel would be instructed that collection of cultural materials on public lands is prohibited. No additional mitigation or monitoring measures have been identified. 4.3 .13 Native American Concerns No mitigation measures are recommended, beyond what is currently required by state and federal law. 4.3.14 Paleontological Resources

4.4 Residual Impacts
Residual impacts are unavoidable impacts that cannot be mitigated and would therefore remain following mining and reclamation. 4.4.1 Topography and Physiography

Topographic moderation is a permanent consequence of mining. The indirect impacts of topographic moderation on wildlife habitat diversity would also be considered permanent. 4.4.2 Geology and Minerals

No mitigation measures are recommended, beyond what is required by state and federal law. If potentially significant paleontological resources are discovered during surfacedisturbing activities, those activities will be suspended and the resource will be evaluated (Appendix D). No additional mitigation or monitoring measures have been identified. 4.3 .15 Visual Resources No mitigation measures are recommended, beyond what is required by state and federal law. 4.3.16 Noise

Geology from the base of the coal to the surface would be subject to significant, permanent change. 4.4.3 Soils

Existing soils would be mixed and redistributed, and soil-forming processes would be disturbed by mining. This would result in long-term alteration of soil characteristics. 4.4.4 Air Quality No residual impacts to air quality would occur following mining. 4.4.5 Water Resources

No mitigation measures are recommended, beyond what is required by state and federal law. 4.3.17 Transportation Facilities

No mitigation measures are recommended, beyond what is required by state and federal law. 4.3.18 Socioeconomics

No mitigation measures are recommended, beyond what is required by state and federal law. 4-24

The area where groundwater draw downs and replacement of coal and overburden with spoils occur would be increased under the action alternatives compared to what would occur without the addition of these LBA tracts. The postmining backfill may take in excess of 100 years to reach equilibrium water levels and water quality. Less time will be required near the mining boundaries. Water level and water quality in the backfill will be suitable to provide water to wells for

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences livestock use, but will be different from premining conditions. 4.4.6 Alluvial Valley Floors 4.4.13 No residual impacts to alluvial valley floors would occur following mining. 4.4.7 Wetlands 4.4.14 Paleontological Resources Native American Concerns unavoidable. It is neither possible nor practicable to mitigate all sites; thus, unmitigated sites will be permanently lost.

No residual impacts to Native American concerns are expected.

No residual impacts to wetlands would occur following mining. 4.4.8 Vegetation

No residual impacts to significant paleontological resources are expected. 4.4.15 Visual Resources

Reclaimed vegetative communities may never completely match the surrounding native plant community. 4.4.9 Wildlife

No residual impacts to visual resources are expected. 4.4.16 Noise

Although the LBA tracts would be reclaimed to be as near original condition as possible, there would be some residual wildlife impacts. The topographic moderation would result in a permanent loss of habitat diversity and a potential decrease in slope-dependent shrub communities. This would reduce the carrying capacity of the land for shrub-dependent species. 4.4.10 Threatened. Endangered. Candidate Species and

No residual impacts to noise are expected. 4.4.17 Transportation Facilities to transportation

No residual impacts facilities are expected. 4.4.18 Socioeconomics

No residual impacts to socioeconomics are expected.

4.5 Cumulative Impacts
No residual impacts to T&E or candidate species are expected. 4.4.11 Land Use and Recreation land use and Cumulative impacts result from the incremental impacts of an action added to other past, present, and reasonably foreseeable future actions, regardless of who is responsible for such actions. Cumulative impacts can result from individually minor, but collectively significant, actions occurring over time. This section briefly summarizes the cumulative impacts that are occurring as a 4-25

No residual impacts to recreation are expected. 4.4.12 Cultural Resources

Even with well-organized mitigation plans and associated procedures, impacts are

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences result of existing development in the area being mined and considers how those impacts would change if the LBA tracts are leased and mined and if other proposed development in the area occurs. Important points to keep in mind include: 1) the total areas of all mines would not be disturbed at once; 2) the number of acres, type of vegetation, etc., disturbed would vary from year to year; 3) the impacts to groundwater would vary as mining progresses through each permit area (depending on saturation, how close the next mine pit is, etc.); and 4) the intensity and extent of coal bed methane development is highly speculative. Since decertification of the Powder River Federal Coal Region in 1990, the Wyoming State Office of the BLM has held ten competitive coal lease sales and sold seven federal coal leases containing approximately 1.42 billion tons of coal using the lease-byapplication (LBA) process (Table 1-1). This leasing process has undergone the scrutiny of two appeals to the Interior Board of Land Appeals and one audit by the General Accounting Office. The Wyoming BLM has received applications for five additional federal coal tracts containing approximately 2.0 billion tons of coal (Table 1-2). The Powder River Regional Coal Team (PRRCT) has reviewed all of these applications and has recommended processing four of them. At a public meeting held in Casper, Wyoming on April 23, 1997, the PRRCT recommended that the BLM not process the New Keeline lease application for a potential new mine start at this time. The BLM Wyoming State Director subsequently rejected that application without prejudice in a decision signed on June 13, 1997. This decision has been appealed. The four pending LBA' s 4-26 recommended approximately federal coal. for processing include 1.3 billion tons of mineable

The Wyoming and Montana BLM state offices completed a study entitled "Powder River Basin Status Check" in 1996. The purpose of this study was to document actual mineral development impacts in the PRB from 1980 to 1995 and compare them with mineral development impacts that were predicted to occur by 1990 in the five previously prepared PRB regional EIS's. The status check was updated prior to the 1997 PRRCT public meeting in Casper. Four of the previously prepared regional EIS's evaluated coal development in the PRB in Wyoming. They are: Final Environmental Impact Statement, Eastern Powder River Coal Basin of Wyoming, BLM, October 1974; Final Environmental Statement, Eastern Powder River Coal, BLM, March 1979; Final Environmental Impact Statement, Powder River Coal Region, BLM, December, 1981; and Draft Environmental Impact Statement, Round II Coal Lease Sale, Powder River Region, BLM, January 1984. For Wyoming, the status check compared actual development in Campbell and Converse counties with predictions in the 1979 and 1981 Final EIS's, and USGS Water Resources Investigations Report 88-4046, entitled "Cumulative Potential Hydrologic Impacts of Surface Coal Mining in the Eastern Powder River Structural Basin" (Martin, et al., 1988), which is frequently referred to as "the CHIA.
Jl

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences In 1996, Wyoming produced approximately 278.4 million tons of coal, according to the records of the Wyoming State Inspector of Mines. This is almost a three-fold increase since 1980, when 94 million tons of coal was produced in the state. The increasing state production is primarily due to increasing sales of low-sulfur, low-cost PRE coal to electric utilities who must comply with Phase I requirements of Title III of the 1990 Clean Air Act Amendments. Electric utilities account for 97% of Wyoming's coal sales. There are currently 17 operating coal mines in Campbell and northern Converse counties (Figure 4-1). They are located just west of the outcrop of the Wyodak coal, where the coal is at the shallowest depth. These mines produce 85 % to 95 % of the coal produced in Wyoming each year. Table 4-2 summarizes predicted and actual Wyoming PRE coal production and related activity. The increasing production will probably result in a continuing demand for federal coal in the Wyoming Powder River Basin, as discussed in the coal leasing demand study that was completed by the BLM Wyoming State Office in 1996 (BLM 1996e). However, several mines have announced plans to decrease coal production at this time due to the low coal prices. Oil production has decreased in the Wyoming PRE since 1990. In recent years, more wells have been plugged annually than have been drilled. Natural gas production in the Wyoming PRE has increased since 1990. The increase is primarily due to the development of shallow coal bed methane resources in the area just west of the coal mines, which was not anticipated in the regional EIS' s. Since 1992, five EA's and one EIS have been prepared to analyze the impacts of coal bed methane development projects in the PRE. About half of the oil and gas rights in the area of current coal bed methane development interest are federal; the remainder are private and state. Coal bed methane wells can be drilled on private and state oil and gas leases after approval by the Wyoming Oil and Gas Conservation Commission and the Wyoming State Engineer's Office. Wells cannot be drilled on federal oil and gas leases until the BLM analyzes the individual and cumulative environmental impacts of that drilling, as required by NEP A. Other mineral development levels in the Wyoming PRB are currently lower than predicted in the EIS's. In the 1970's, significant uranium development was anticipated in southwest Campbell County and northwest Converse County. This development did not materialize because the price of uranium dropped in the early 1980's. There are currently three in situ uranium operations in Converse and Johnson counties, but no mines and no mills. Uranium production has been increasing since 1990. The increase is partially due to higher uranium prices, particularly in 1996 and 1997. Scoria is quarried for use as road surfacing material, primarily by coal mines but also by a few excavation and construction firms. Bentonite is mined in parts of the Wyoming Powder River Basin, but not in Campbell or Converse Counties. The proposed Thundercloud and Powder River LBA Tracts are situated within a nearly continuous corridor of six coal mines in southern Campbell and northern Converse Counties, Wyoming. This southern corridor is approximately 24 miles long and 8 miles wide (see Figure 3-1). Five maintenance leases including approximately 10,300 acres of federal coal (Jacobs Ranch, West Black Thunder, North Antelope/Rochelle, Antelope

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-27

4.0 Environmental Consequences

Norlh Gillette Coal Bed Methane A Study Area Study Arell Extends Beyond 'mits or This Map)

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4-28

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences
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4-2.

Modeled Average Annual PM10 Concentrations in 2001 Resulting from Removal of 14D Million Tons of Coal at Jacobs Ranch, Black Thunder, North Rochelle, North Antelope and Rochelle Mines.

Final E1S, Powder River and Thundercloud Coal Lease Applications

4-35

4.0 Environmental Consequences concentrations in 2001 at North Antelope and Rochelle Mines. The figure depicts the relatively minimal off-site particulate impact of mining on ambient air quality and the rapid decay of PMlO concentration with increased distance from the mining areas. This combination of modeling efforts demonstrates that, given the total extraction of 162 million tons per year for the five mines in the modeled scenario, the 35 fA,g/m3 annual average PMlO standard would not be exceeded outside of any of the mines' permit boundaries. Concentrations above 35 fA,g/m3 are predicted in the areas of active pit, but the State standard requires only that particulate concentrations above 35 I-tg/m3 cannot be exceeded at the mine's permit boundary. In addition to the modeled scenario for the five mines discussed above, there are two additional projects proposed for the area of analysis that were not considered in particulate modeling depicted on Figure 4-2. The air quality impacts of the two projects, the ENCOAL and Two Elk projects, are discussed below. Air quality modeling performed for the ENCOAL plant and submitted to WDEQ (ENCOAL 1996) indicates that the particulate emissions will be minimal, with predicted average annual PMlO concentrations not exceeding 3.9 I-tg/m3. Off-site air quality impacts are not anticipated. Air quality modeling conducted for the proposed Two Elk power generation facility and submitted to WDEQ (NAPG 1996) indicates that particulate emissions from the plant would be minimal, with predicted offsite emissions of 5 I-tg/m3 extending no more than 1,140 meters from the facility. Based on predictive models conducted for PRB mines, mining operations do not have 4-36 significant off-site particulate pollution impacts, even when production and pollution from neighboring mines are considered. However, this prediction has been based on the assumptions that mining activities are sufficiently removed from the permit boundaries and that neighboring mines are not actively mining in the immediate vicinity (within 0.6-2.5 miles). Previous modeling (BLM 1992a) has shown that incremental particulate pollution impacts decrease to insignificant levels « 1 I-tg/m3 PMlO annual average) within 6 miles of active mining. In the long term, impacts from PMlO emissions from mining the two LBA tracts would be negligible. If the two LBA tracts are mined, air quality will be decreased in the immediate area of active mining but will still continue to meet federal and state standards. 4.5.5 Water Resources

Surface Water Changes in drainage patterns and surface disturbance are decreasing and will continue to decrease flows in most of the ephemeral and intermittent drainages exiting the mine sites. Development of coal bed methane resources in the area west of the mines could potentially increase surface flow in some drainages. Currently, there is little methane production occurring in the general analysis area. (Coal bed methane development was not considered in the CHIA (Martin et al. 1988». The EIS that was prepared to analyze the impacts of coal bed methane development south of Gillette estimates that an average surface discharge of 20 gpm from each of the 423 wells would result in an increase in flow of 0.5 % to 2.4 % of the 2year, 24-hour flood flows (per square mile) if all of the wells discharge into the same drainage basin. The amount of coal bed

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences methane produced water that ultimately reaches the major channels is reduced by infiltration into the ground and by surface landowners, who sometimes divert the produced water into reservoirs for livestock use because it is of relatively good quality. The USGS has predicted that major streams in the PRB will exhibit increased runoff ranging from 0.4% in the Cheyenne River to 4.3 % in Coal Creek due to cumulative disturbance as a result of existing surface coal mining (Martin et al. 1988). This is based on the assumption that unit runoff rates will be increased after reclamation due to soil compaction, and the percentage changes in runoff are based on permitted mine acreages in 1981. The additional leases since that time have increased the permitted acreage by about 40% and would, under the same assumptions, increase the USGS's estimates of runoff increase by the same incremental amount. This minor increase in runoff is small compared to seasonal and annual variability of runoff in the PRB. Drainage from all six southern mines combines where Black Thunder Creek enters the Cheyenne River. The drainage area of the Cheyenne River at this point is approximately 2,430 mr'. The entire area of disturbance from these six mines as currently permitted would impact approximately 2 % of the drainage basin of the Cheyenne River, and this disturbance would occur over about 50 years. Planned LBA's and the New Keeline Mine would raise this disturbance acreage to roughly 3 % of the Cheyenne River drainage basin at Black Thunder Creek. Sediment concentrations should not increase significantly in area streams even with the addition of mining the pending and planned LBA tracts because, as discussed in Section 4.1. 5, state and federal regulations require that all surface runoff from mined lands pass through sedimentation ponds. The potential for cumulative adverse impacts to the Cheyenne River drainage is also minimal because it is typically dry for a substantial portion of the year. Groundwater The southern group of mines uses about 1,736 ac-ft of water per year for drinking, sanitation, washing equipment, and dust control. This water comes from aquifers below the coal, from seepage into the mine pits and from sediment-and flood-control impoundments. The southern mines pump an estimated 1,400 ac-ft per year from the pits and dewatering wells. Extended consumption from water supply wells in aquifers below the coal will lower water levels in those aquifers. However, drawdowns in these deeper aquifers will not occur over wide areas because few wells are completed in these aquifers, the wells are generally more than a mile apart, and the water-bearing sandstones in these aquifers are generally discontinuous and have limited areal extent. Coal bed methane is not currently being produced in the vicinity of the southern six mines, but based on current trends it is likely that development will continue southward in the direction of these mines. If coal bed methane is successfully developed adjacent to the six southern mines, the resulting groundwater drawdown in the Wyodak coal would overlap additively with drawdown caused by coal mining. Water levels in aquifers above the coal would not generally be impacted by coal bed methane development. The water levels will gradually recover, as reclamation proceeds and coal bed methane 4-37

!
I

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences reserves are depleted. Coal companies are required by state and federal law to mitigate any water rights that are interrupted, discontinued, or diminished by mining. A group of coal bed methane operators and local landowners have developed a water well mitigation agreement that can be used on a case-by-case basis as development proceeds. As specified in the decision record for the Gillette South Coal Bed Methane Project EIS, BLM is requiring coal bed methane operators to offer landowners this water well mitigation agreement as part of the federal well approval process. In 1987, the USGS, in cooperation with the WDEQ and OSM, conducted a study of the hydrology of the eastern PRB to provide hydrologic information necessary to perform required assessments. The resulting description of the cumulative effects of all current and anticipated mining (as of 1987) on the hydrologic system of the eastern PRB is presented in the CHIA (Martin et al. 1988). This report details the potential cumulative groundwater impacts of surface coal mining in the area and is incorporated by reference into this EIS. A cooperative agreement "to provide a framework for hydrologic data exchange, access to data, data sharing, and scientific applications for Wyoming surface and ground water as it relates to coal production statewide" was signed in 1993 by WDEQ, BLM, OSM, the University of Wyoming, the Wyoming State Engineer's Office, and the Wyoming State Geological Survey. Under this agreement, a pilot study analyzing existing and potential surface and groundwater impacts due to coal mining and coal bed methane development in the Little Thunder Creek Drainage was completed in 1997. The Little Thunder Creek Drainage is located in the south-central portion of the PRB and includes the Jacobs Ranch, Black 4-38 Thunder, and North Rochelle Mines. The pilot study was conducted at the Wyoming Initiative Laboratory of the University of Wyoming, with funding and direction from the cooperating agencies. Appendix G includes plates 14,15,16, and 17 of the pilot study, which show the modeled drawdown in the Wasatch Formation and Wyodak coal as a result of coal mining and coal bed methane development in the years 2005 and 2021. The pilot study investigated two predictive scenarios: surface mining alone from 1995 through 2021; and surface mining and coal bed methane production from 1995 through 2005 followed by surface mining alone from 2006 through 2021. The coal mining sequence was simulated from 1977 to the present and predictively modeled based on currently anticipated mining through 2021. Coal bed methane production was simulated in the area using the development scenario proposed in the 1995 BLM Environmental Assessment for Lighthouse Coal Bed Methane Project. If the LBA tracts are leased, they must be permitted by WDEQ/LQD prior to mining. As part of this process, the applicants must assess the probable hydrologic consequences of mining the LBA tracts and the WDEQ/LQD must find that the cumulative hydrologic impacts of all anticipated mining would not cause material damage to the hydrologic balance outside the permit areas. The cumulative hydrologic impacts associated with mining the LBA tracts will be re-evaluated by the WDEQ/LQD based on site-specific, current data before the tracts can be mined. Each time a mine permit application or a revision is made, the WDEQ/LQD assesses cumulative hydrologic impacts based on site-specific information, which is targeted to determine the cumulative impacts of the applicant's mine or changes in

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences the applicant's mining plan in combination with other mines or activities in the area. Assessment of cumulative groundwater impacts in this EIS is based on impact predictions made by PRCC for mining the Powder River LBA Tract and extrapolating drawdown predictions made by KMCC in 1994 for the mining of the Jacobs Ranch Mine into the Thundercloud LBA Tract. Figure 4-3 depicts the extent of the s-ft drawdown contour within the coal aquifer from the various mining scenarios. The extent of the S-ft draw down contour is used by WDEQ to assess the extent of impact to the groundwater system caused by the different mining operations. In Figure 4-3, these predictions are compared to the predictions in the CHIA and monitoring information gathered since publication of the CHIA. In the area of the Jacobs Ranch and Black Thunder Mines, drawdowns in the Wasatch Formation overburden have not been modeled because of the limited extent of saturated sand aquifers. Therefore, Figure 43 shows only the predicted drawdowns in the coal aquifer due to coal mining. The plates included in Appendix G also consider potential coal bed methane development. Monitoring programs are required by WD EQ/LQ D and are administered by the mining companies. Each mine is required to monitor groundwater levels in the coal and in the shallower aquifers in the area surrounding their operations. There are also requirements for drilling monitoring wells in the backfill areas of the mines to record water level recovery. GAGMO, a voluntary group formed in 1980, assembles and reports annual hydrologic monitoring data collected by the coal mining companies operating in the eastern PRE of Wyoming. Members of GAGMO include most of the companies with operating or proposed mines in this area, WDEQ, Wyoming State Engineer's Office, BLM, USGS, and OSM. Each year, GAGMO contracts with an independent firm to publish the results of the monitoring for that year. In 1991, GAGMO published a lO-year report which summarized the water monitoring data collected from 1980 to 1990 in the Wyoming PRE (Hydro Engineering 1991b). In 1996, a IS-year summary report was published (Hydro Engineering 1996a). The major groundwater issues related to surface coal mining that have been identified by scoping are: the effect of the removal of the coal aquifer and any overburden aquifers within the mine area and replacement of these aquifers with spoil material; the extent of the temporary lowering of static water levels in the aquifers around the mine due to dewatering associated with removal of these aquifers within the mine boundaries; the effects of the use of water from the subcoal Fort Union Formation by the mines; changes in water quality as a result of mining; and potential overlapping drawdown in the coal due to proximity of coal mining and coal bed methane development.

The impacts of large scale surface coal mining on a cumulative basis for each of these issues are discussed in the following paragraphs.

Final E18, Powder River and Thundercloud Coal Lease Applications

4-39

4.0 Environmental Consequences

-.... ~

T f43/{

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Note: Predicted Groundwater Action and Alternative

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LEGEND
Jacobs Ranch, Black Thunder and North Rochelle Modeled Worst-Case Drawdowns without Thundercloud LBA Tract Jacobs Ranch, Black Thunder and North Rochelle Modeled Worst Case Drawdowns with Thundercloud LBA Tract North Antelope and Rochelle Worst Case Drawdown without Powder River LBA Tract North Antelope and Rochelle Worsl Case Drawdown with Powder River LBA Tract Cumulative Worst-Case Drawdowns, Jacobs Ranch, Norlh Antelope and Rochelle Mines (Including Thundercloud and Powder River LBA Tracts) along with Black Thunder and North Rochelle Mines Extent of Drawdown due lo all anticipated mining. Source: USGS CHIA Study Martin et al. 1988

Impacts for Proposed 2 are Equal.

LEGEND
Existing Clinker
~.".".'

Boundary

•••••••• __________

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12500 0

Area of Greater than 5 rt Measured Drawdown in 15 years of Mining (Hydro Engineering, 1996b)

GRAPHIC
12500

SCALE
50000
I

25000

~.~iiIiiiiiiiilIII~1
( FEET)

Figure 4-3.

Modeled and Extrapolated Worst-Case Coal Aquifer Drawdown Scenarios Showing Extent of Actual 15-Year Drawdowns and USGS Predicted Cumulative Drawdowns.

4-40

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences The effects of replacing the coal aquifer and overburden with a spoils aquifer is the first major groundwater concern. The following discussion of recharge, movement, and discharge of water in the spoil aquifer is excerpted from the CHIA (Martin et al. 1988:24): Postmining recharge, movement and discharge of groundwater in the Wasatch aquifer and Wyodak coal aquifer will probably not be substantially different from premining conditions. Recharge rates and mechanisms will not change substantially. Hydraulic conductivity of the spoil aquifer will be approximately the same as in the Wyodak coal aquifer allowing groundwater to move from recharge areas where clinker is present east of mine areas through the spoil aquifer to the undisturbed Wasatch aquifer and Wyodak coal aquifer to the west. GAGMO data from 1990 to 1996 verify that recharge is continuing in the backfill (HydroEngineering 1991a, 1992, 1993, 1994, 1995, 1996b). The water monitoring summary reports prepared each year by GAGMO list current water levels in the monitoring wells completed in the backfill and compare them with the 1980 water levels, as estimated from the 1980 coal water-level contour maps. In the 1991 GAGMO lO-year report, some recharge had occurred in 89 % of the backfill wells reported for that year. In the 1996 GAGMO IS-year report, 85 % of the 58 backfill wells measured contained water. The discrepancy is due to the fact that more wells were measured in the 15-year report, some of which were recently drilled and did not contain water. The cumulative size of the backfill area in the PRB and the duration of mining activity would be increased by mining of the recently issued leases and the currently proposed LBA tracts. However, since reclamation is occurring in mined-out areas and the monitoring data demonstrate that recharge of the backfill is occurring, it is not anticipated that additional significant impacts would occur as a result of any of the leasing actions. The North Rochelle Mine is projected to become fully operational in 1997. Groundwater impacts associated with mining of the North Rochelle LBA Tract have not been considered in the worst-case predictions made by the mines surrounding North Rochelle. Mining of the North Rochelle LBA Tract should not increase the westward extent of current and anticipated drawdowns in the coal aquifer because the North Rochelle LBA Tract does not extend the areas of coal removal farther west than the existing Black Thunder lease and the rate of production is not anticipated to increase beyond that already permitted (BLM 1996h). Clinker, also called scoria, the baked and fused rock formed by prehistoric burning of the Wyodak-Anderson coal seam, occurs all along the coal outcrop area (Figure 4-3) and is believed to be the major recharge source for the spoil aquifer, just as it is for the coal. However, not all clinker is saturated. Some clinker is mined for road-surfacing material, but saturated clinker is not generally mined since abundant clinker exists above the water table and does not present the mining problems that would result from mining saturated clinker. Therefore, the major recharge source for the spoil aquifer is not being disturbed by current mining. Clinker does not occur in significant amounts on the LBA tracts being considered in this EIS.

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-41

4.0 Environmental Consequences The second major groundwater issue is the extent of water level drawdown in the coal and shallower aquifers in the area surrounding the mines. Most of the monitoring wells included in the GAGMO 15-year report (542 wells out of 600 total) are completed in the coal beds, in the overlying sediments, or in sand channels or interburden between the coal beds. The changes in water levels in the coal seams after 15 years of monitoring are shown on Figure 4-3, which was adapted from the 1996 GAGMO 15-year report (Hydro Engineering 1996a). This map shows the area where actual drawdown in the coal seam has been greater than 5 ft in 15 years, in comparison with the predicted worst-case 5-ft drawdown derived from groundwater modeling done by the mines. WDEQ/LQD policy is to have the mining companies determine the extent of the 5-ft drawdown contour as a method of determining off-site impacts from the various mining operations. Figure 4-3 indicates that the drawdowns observed in 15 years of mining are still well within the total cumulative drawdown predicted in the CHIA. Adding the predictions for the Thundercloud and Powder River LBA Tracts to existing drawdown predictions prepared for the Black Thunder and North Rochelle Mines extends the predicted cumulative extent of the 5-ft drawdown some 11 miles past the cumulative drawdown prediction in the 1988 CHIA. To date, the CHIA predictions have not been exceeded, but with mining projected to continue at least another 20 years even without the addition of the two LBA tracts, the predictions in the 1988 CHIA are now projected to be exceeded. The 1988 CHIA predicted the approximate area of 5 ft or more water level decline in the Wyodak coal aquifer which would result from all anticipated coal mining ''. All
II II

anticipated coal mining as referred to in the 1988 CHIA included 16 surface coal mines operating at the time the report was prepared and six additional mines proposed at that time. All of the currently producing mines, including Jacobs Ranch, North Antelope and Rochelle, were considered in the CHIA analysis (Martin et al. 1988). The study predicts that water supply wells completed in the coal may be affected as far away as 8 miles from mine pits, although the effects at that distance were predicted to be minimal.
II

Although the drawdowns predicted in this EIS exceed those predicted in the 1988 CHIA, as drawdowns propagate to the west, available drawdown in the coal aquifer increases. Available drawdown is defined as the elevation difference between the potentiometric surface (elevation to which water will rise in a well bore) and the bottom of the aquifer. Based on premine water levels, there is approximately 300 ft of available drawdown at the western edge of the Thundercloud LBA Tract. Proceeding west, the coal depth increases faster than the potentiometric surface declines, so available drawdown in the coal increases. Since the depth to coal increases, most stock and domestic wells are completed in units above the coal. Consequently, with the exception of methane wells, few wells are completed in the coal in the areas west of the mines. Those wells completed in the coal have considerable available drawdown, so adverse impacts to wells outside the immediate mine area are unlikely. Wells in the Wasatch Formation were predicted to be impacted by draw down only if they were within 2,000 ft of a mine pit (Martin et al. 1988). Drawdowns occur farther from the mine pits in the coal than in the shallower aquifers because the coal is a confined aquifer that is areally extensive. The area in which the shallower aquifers

4-42

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences (Wasatch Formation, alluvium, and clinker) experience a 5-ft drawdown would be much smaller than the area of drawdown in the coal because the shallower aquifers are generally discontinuous, of limited areal extent, and may be confined or unconfined. Based on the above assumptions, the CHIA estimated that about 3,000 wells in the area would be subject to impact by current and anticipated mining in Wyoming's PRE. Of these, about 1,200 wells are outside the actual mine areas (i.e., will not be removed by mining). About 1,000 of these supply water for domestic or livestock uses, and about 200 supply water for other uses. The remaining 1,800 wells are used by coal mining companies: about 1,700 wells are monitor wells only, and the other 100 are used for water supply and/or dewatering at mine sites. Wyoming State Engineer's Office records indicate a total of 585 permitted water wells located within three miles of the two LBA tracts. The majority (420) are owned by coal mining companies and are used for groundwater monitoring and water supply. Of the 165 non mine-related wells, 93 are permitted for stock watering, 7 are permitted for domestic use, 3 for filling reservoirs, 2 for industrial use, 1 for irrigation use and 9 for miscellaneous use. The 50 remaining wells are used for monitoring purposes. Some of these wells will likely be impacted (either directly by removal of the well or indirectly by water level drawdown) by approved mining operations occurring at Jacobs Ranch, North Antelope, Rochelle and the adjacent mines. In compliance with SMCRA and Wyoming regulations, KMCC and PRCC would be required to provide the owner of a water right whose water source is interrupted, discontinued, or diminished by mining with water of equivalent quantity and quality; this mitigation is thus part of the Proposed Action. The most probable source of replacement water would be one of the aquifers underlying the coal. Appendix E contains a list of wells which are predicted in the current North Antelope/Rochelle mine permit documents to be affected by drawdowns from currently approved mining operations. The Jacobs Ranch mine permit states that no stock or domestic wells will be impacted by currently approved mining operations. The operators which acquire these LBA tracts will be required to update the list of potentially impacted wells during the permit process necessary to obtain approval to mine the tracts. Since the actual 1995 drawdown lies within the cumulative drawdown predicted by the CHIA study, the cumulative impacts to water wells have not reached the maximum levels predicted in that report. Of the 1,200 water supply wells within the maximum impact area defined in the CHIA study, about 580 are completed in Wasatch aquifers, about 100 in the Wyodak Coal aquifer, and about 280 in strata below the coal. There are no completion data available for the remainder of these wells (about 240). The additional groundwater impacts that would be expected as a result of extending mining into the LBA' s issued or proposed to date would be to extend the drawdown into areas surrounding the proposed new leases. The predicted cumulative effects of mining both LBA tracts are depicted on Figure 4-3. Currently, the drawdown in the coal aquifer in the vicinity of the Jacobs Ranch and Black Thunder mines is expressed in two separate cones of depression; drawdown cones between the North Antelope/Rochelle and Antelope mines have coalesced. These cumulative drawdowns will be increased by 4-43

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences mining the Powder River LBA Tract, which is located between Antelope and North Antelope. Dewatering activities associated with reasonably foreseeable coal bed methane development- has the potential to extend the drawdown in the coal aquifer over a larger part of the southern PRB. As distance from the mines increases, drawdowns due to coal bed methane development would substantially exceed drawdowns that would occur due to mining alone. The Abandoned Mine Land Research Program has funded a grant to model relative drawdowns from coal mining and coal bed methane development in the area of the Cordero, Belle Ayr, and Caballo Mines and adjacent coal bed methane project areas (Figure 4-1). That work is currently in progress. Withdrawal of water for the ENCOAL facility would lower water levels in the scoria aquifer to the east of the North Rochelle Mine if the rate of withdrawal exceeds recharge (currently unknown). As discussed above, the scoria provides the primary source of recharge to the Wyodak coal aquifer. As mining at the North Rochelle Mine continues, the coal will be removed and replaced with spoil, which would be expected to have the same conductivity as the Wyodak coal aquifer according to Martin, et al. (1988 p. 24). The primary impact due to lowering water levels in the scoria would be a potential delay in the recovery of water levels in the North Rochelle Mine backfill, as the rate at which the backfill would receive recharge from the scoria would be related to the scoria water levels. Based on the size of the scoria aquifer supplying ENCoAL and the amount of water to be withdrawn from it, complete recovery of the scoria water levels could take up to 100 years, slowing recovery of North Rochelle Mine spoil water levels for an equal duration. Since predictions for recovery of 4-44 water levels in the spoils range from tens to thousands of years, the additional delay in recovery caused by the EN COAL water supply wells is within the range of predictions. In addition to the EN COAL plant, the proposed Two Elk project, if constructed, will also add to cumulative impacts. Currently, water demands for the Two Elk project have not been finalized. The likely source of supply for the Two Elk project will be the Lance-Fox Hills Aquifer. Potential water-level decline in the subcoal Fort Union Formation is the third major groundwater issue. According to the Wyoming State Engineer's records (1991), 14 mines hold permits for 42 wells between 400 ft and 10,000 ft deep. The zone of completion of these wells was not specified, and not all of the wells were producing (for example, three of the permits were held by an inactive mine, and one of the wells permitted by the Black Thunder Mine has not been used since 1984). Water level declines in the Tullock Aquifer have been documented in the Gillette area. According to Crist (1991), these declines are most likely attributable to pumpage for municipal use by Gillette and for use at subdivisions and trailer parks in and near the city of Gillette. Most of the water-level declines in the subcoal Fort Union wells occur within 1 mile of the pumped wells (Crist 1991; Martin et al. 1988). The mine facilities in the PRB are separated by a distance of 1 mile or more, so little interference between mine supply wells would be expected. In response to concerns voiced by regulatory personnel, several mines have conducted impact studies of the subcoal Fort Union Formation. The oSM commissioned a

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences cumulative impact study of the subcoal Fort Union Formation to study the effects of mine facility wells on this aquifer unit (OSM 1984). Conclusions from all these studies are similar and may be summarized as follows: Because of the discontinuous nature of the sands in this formation and because most large-yield wells are completed in several different sands, it is difficult to correlate completion intervals between wells. In the Gillette area, water levels in this aquifer are probably declining because the city of Gillette and several subdivisions are utilizing water from the formation (Crist 1991). (Note: Gillette is using this water as a back-up source at this time.) Because large saturated thicknesses are available in this aquifer unit, generally 500 ft or more, a drawdown of 100 to 200 ft in the vicinity of a pumped well would not dewater the aquifer. Prior to amending the LBA tracts into their existing WDEQ mine permits, the applicants (KMCC and PRCC) will either be required to conduct more detailed groundwater modeling to predict the extent of drawdown in the coal and overburden aquifers caused by mining the LBA tracts or use the drawdown predictions in the pending CHIA. Both applicants have installed monitoring wells which would be used to measure drawdowns predicted by modeling. This modeling would be required as part of the WD EQ mine permitting procedure discussed in Section 1.2. The mines adjacent to the proposed maintenance LBA' s all have permits from the State Engineer for deeper wells. Extending the lives of these mines with the LBA's would result in additional water being withdrawn from the Tullock Aquifer. The additional water withdrawals would not be expected to extend the area of water level drawdown over a significantly larger area due to the discontinuous nature of the sands in the Tullock Aquifer and the fact that drawdown and yield reach equilibrium in a well due to recharge effects. According to the State Engineer's Office, the only permitted wells drilled below 1,000 ft in a 100 mf area surrounding Wright are four wells permitted by the City of Wright. As discussed above, most of the water-level declines in the subcoal Fort Union wells occur within 1 mile of pumped wells. The Thundercloud and Powder River LBA's, about 12 miles and 21 miles southeast of Wright, respectively, would not contribute significantly to any cumulative impact on the water supply for that town under the action alternatives because no new wells would be required to maintain existing production. The fourth issue of concern with groundwater is the effect of mining on water quality. Specifically, what effect does mining have on the water quality in the surrounding area, and what are the potential water quality problems in the spoil aquifer following mining? In a regional study of the cumulative impacts of coal mining, the median concentrations of dissolved solids and sulfates were found to be larger in water from spoil aquifers than in water from either the Wasatch overburden or the coal aquifer (Martin et al. 1988). This is expected because blasting and movement of the overburden materials exposes more surface area to water, increasing dissolution of soluble materials, particularly when the overburden materials were situated above the

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences saturated zone in the premining environment. On the basis of studies done in North Dakota, it was estimated that at least one pore volume of water must leach the spoil before the dissolved solids concentration in the water would be similar to the premining dissolved solids concentration (Houghton et al. 1987). One pore volume of water is the volume of water which would be required to saturate the spoils following reclamation. The time required for one pore volume of water to pass through the spoil aquifer is greater than the time required for the postmining groundwater system to reestablish equilibrium. According to the CHIA, estimates of the time required to reestablish equilibrium range from tens to hundreds of years (Martin et al. 1988). Chemical analyses of 336 samples collected between 1981 and 1986 from 45 wells completed in spoil aquifers at 10 mines indicated that the quality of water in the spoil will, in general, meet state standards for livestock use when recharge occurs (Martin et al. 1988). The major current use of water from the aquifers being replaced by the spoils (the Wasatch and Wyodak-Anderson Coal aquifers) is for livestock because these aquifers are typically high in dissolved solids in their premining state (Martin et al. 1988). According to monitoring data published by GAGMO (Hydro-Engineering 1991a, 1991b, 1992, 1993, 1994, 1995, 1996b), TDS values in backfill wells have ranged from 400 to 25,000 mg/L. Of the 52 backfill wells measured and reported in the 1996 annual GAGMO report (Hydro Engineering 1996a), TDS in 80.5 % were less than 5,000 mg/L, TDS in 17% were between 5,000 and 10,000 mg/L, and TDS in 2.5% were above 10,000 mg/L. These data support the conclusion that water from the spoils will generally be acceptable for its current use, which is livestock watering, before and after equilibrium is established. The incremental effect on groundwater quality due to leasing and mining of the LBA tracts would be to increase the total volume of spoil and, thus, the time for equilibrium to re-establish. 4.5.6 Alluvial Valley Floors No cumulative impacts to alluvial valley floors are expected to occur as a result of leasing and subsequent mining of the Powder River and Thundercloud LBA Tracts. 4.5.7 Wetlands Wetlands are discrete features that are delineated on the basis of specific soil, vegetation, and hydrologic characteristics. Wetlands within areas of coal mining disturbance are impacted; wetlands outside the area of disturbance are not affected. Therefore, the impacts to wetlands as a result of surface coal mining are incremental, not additive as are impacts to groundwater and air quality. Increasing the area to be mined would increase the number of wetlands that would be impacted. The Jacobs Ranch Mine has been authorized to impact 80 acres of wetlands, the Rochelle Mine 21 acres of wetlands, and the North Antelope Mine 5 acres of wetlands. These numbers would increase if the LBA tracts are leased (see Section 3.8). Wetlands must be replaced during reclamation, so the impacts to wetlands are not expected to he permanent; however, there is a period of time between disturbance and reclamation when wetland functions are lost. In addition, reclaimed wetlands may not function in the same way as the affected wetlands did before mining.

4-46

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences 4.5.8 Vegetation Most of the land that is being or will be disturbed is grassland, sagebrush shrub land or breaks grassland and is used for grazing and wildlife habitat. Rangeland is, by far, the predominant land use in the PRB, comprising 92 % of the land use in Campbell and Converse Counties. A small amount of previously cultivated lands would be disrupted by mining. At the completion of mining, it is anticipated that all disturbed land will be reclaimed for grazing and wildlife habitat, mostly in the form of mixed native grass prairie, sagebrush shrub land and, where appropriate, bottomland grassland. Some of the minor community types, such as those occurring on breaks, will not be restored to premining conditions but may be replaced to a higher level due to use of better quality soils. Based on annual reports prepared by mining companies and submitted to WDEQ, in any given year approximately 10,000 acres of land disturbed by mining activities at the six existing southern surface coal mines would not be reclaimed to the point of planting with permanent seed mixtures. Over the life of the six southern mines, a total of about 55,000 acres would be disturbed. This disturbed area includes all leases currently proposed, including federal, state and private coal. Almost all of this acreage is native rangeland and would be returned to a native rangeland state through planting of approved revegetation seed mixtures as required. Several impacts to vegetation will occur as a result of operations at these six mines. Most of the surface disturbance would occur in two vegetation types: mixed grass prairie (25%) and Wyoming big sagebrush (40%). The big sagebrush vegetation type comprises 38 % of the Thundercloud LBA Tract disturbance area and 33 % of the Powder River LBA Tract disturbance area, similar to the percentage for the six-mine southern cluster. Upland grassland comprises 29 % of the disturbance area of both tracts. All six mines plan to restore these two types as required by law. It is estimated that it would take from 20 to 100 years for big sagebrush density to reach premining levels. The big sagebrush component provides important wildlife habitat (particularly for mule deer, pronghorn, and sage grouse). The reduction in acreage of big sagebrush vegetation type would, therefore, reduce the carrying capacity of the reclaimed lands for pronghorn and sage grouse populations. Mule deer should not be affected since they are not as abundant in this area. Although some of the less extensive native vegetation types (e.g., graminoid/forb ephemeral drainages) would be restored during reclamation, the cultivated and agricultural lands would not. Following reclamation and release of the reclamation bond, however, privately owned surface lands would be returned to agricultural management and the areas with re-established native vegetation could again be cultivated. The areas mapped as disturbed lands (see Section 3.9) would not be restored to premining conditions. Also, the breaks grassland on the Powder River LBA Tract will not be replaced due to their poor soils and rough topography. Consequently, community and species diversities would initially be lower on reclaimed lands. The shrub components would take the longest to be restored to premining conditions. Shrub cover and forage values would gradually increase in the years following reclamation. Over longer periods of time, species reinvasion and shrub establishment on reclaimed lands should largely restore the species and community diversity on these lands to premining levels.

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-47

4.0 Environmental Consequences Over the long term, the net effect of the cumulative mine reclamation plans may be the restoration, at least in part, of all vegetation types originally found in the area with the exception of disturbed lands and lands which were cultivated at one time but have not been used for crop raising for many years. However, the shrub component may be substantially reduced in areal extent. Shrubs are relatively unproductive for livestock, but very important for wildlife. All of the vegetation types found in the cumulative analysis area, as on the LBA tracts, are fairly typical for this region of eastern Wyoming. 4.5.9 Wildlife The direct impacts of surface coal mining on wildlife occur during mining and are therefore short-term. They include road kills by mine-related traffic, restrictions on wildlife movement created by fences, spoil piles and pits, and displacement of wildlife from active mining areas. The indirect impacts are longer term and include loss of carrying capacity and microhabitats on reclaimed land due to flatter topography, less diverse vegetative cover, and reduction in sagebrush density. After mining and reclamation, alterations in the topography and vegetative cover, particularly the reduction in sagebrush density, would cause a decrease in carrying capacity and diversity on the LBA tracts. Sagebrush would gradually become reestablished on the reclaimed land, but the topographic changes would be permanent. Cumulative impacts to most wildlife will increase as additional habitat is disturbed but will moderate as more land is reclaimed. Raptor and grouse breeding areas have been diminishing statewide for at least the last 30 years due, in part, to surface-disturbing 4-48 activmes. Coal mining and gas exploration and development have been identified as potential contributors to the decline in their breeding habitat. Therefore, surface occupancy and disturbance restrictions, as well as seasonal restriction stipulations, have been applied to operations occurring on or near these crucial areas on public lands. These restrictions and stipulations have helped to protect important raptor and grouse habitat. Erection of nesting structures and planting of trees on reclaimed land will gradually replace raptor nesting and perching sites. There is little crucial habitat for waterfowl or fish on the mine sites. Smalland medium-sized animals will rapidly move back into the areas once reclamation is completed. Numerous grazing management projects (fencing, reservoir development, spring development, well construction, vegetative treatments) have also impacted wildlife habitat in the area. The consequences of these developments have proven beneficial to some species and detrimental to others. Fencing has aided in segregation and distribution of livestock grazing, but sheeptight woven wire fence has restricted pronghorn movement. Water developments are used by wildlife; however, without proper livestock management, many of these areas can become overgrazed. The developed reservoirs provide waterfowl, fish, and amphibian habitat. Vegetation manipulations have included the removal or reduction of native grass-shrublands and replacement with cultivated crops (mainly alfalfa/grass hay), as well as a general reduction of shrubs (mainly sagebrush) in favor of grass. These changes have increased spring and summer habitat for grazing animals, but have also reduced the important shrub component that is critical for winter range, thus reducing overwinter survival for big game and sage grouse. The

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences reduction in sagebrush has been directly blamed for tile downward trend in the sage grouse populations. Significant cumulative impacts to pronghorn resulting from existing concentrated mining and related disturbance were predicted in the regional EIS's (BLM 1974, 1979, 1981, and 1984b) as a result of habitat disturbance and creation of barriers to seasonal and daily movements. Significant cumulative indirect impacts were also predicted because of increased human population and access resulting in more poaching, increased vehicle/pronghorn collisions, and increased disturbance in general. Leasing of the LBA tracts would increase the area of habitat disturbance in the southern group of mines by 22 %, and would enlarge the area where daily movement is restricted. There is little use of the LBA tracts by other big game species (mule deer, elk, and white-tailed deer). The area of active mining in the southern group of mines contains significant numbers of raptor nests. The largest concentration of nesting activity in the area is associated with the rough breaks country and areas where trees have become established. Raptor mitigation plans are included in the approved mining and reclamation plans of each mine. The raptor mitigation plan for each mine is subject to USFWS review and approval before the mining and reclamation plan is approved. Any nests that are impacted by mining operations must be relocated in accordance with these plans, after special use permits are secured from USFWS and WGFD. The creation of artificial raptor nest sites and raptor perches may ultimately enhance raptor populations in the mined area. On the other hand, where power poles border roads, perched raptors may continue to be illegally shot and continued road kills of scavenging eagles may occur. Any influx of people into previously undisturbed land may also result in increased disturbance of nesting and fledgling raptors. Cumulative impacts to waterfowl from already-approved mining, as well as the proposed LBA tracts, would be insignificant because most of these birds are transient and most of the ponds are ephemeral. In addition, the more permanent impoundments and reservoirs that are impacted by mining would be restored. Sedimentation ponds and wetland mitigation sites would provide areas for waterfowl during mining. Direct habitat disturbance from alreadyapproved mining, as well as the LBA tracts, should not significantly affect regional sage grouse populations because few vital sage grouse wintering areas or leks have been, or are planned to be, disturbed. However, noise related to the mining activity could indirectly impact sage grouse reproductive success. Sage grouse leks close to active mining could be abandoned if mining-related noise elevates the existing ambient noise levels. Surface coal mining activity is known to contribute to a drop in male sage grouse attendance at leks close to active mining, and over time this can alter the distribution of breeding grouse (Remington and Braun 1991). Because sage grouse populations throughout Wyoming have been declining over the past several years, this impact could be significant to the local population when evaluated with the cumulative impacts of all energy-related development occurring in the area. The existing and proposed mines in the southern PRB would cumulatively cause a reduction in habitat for other mammal and bird species. Many of these species are highly mobile, have access to adjacent habitats, and possess a high reproductive potential. As a result, these species should 4-49

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences respond quickly and invade suitable reclaimed lands as reclamation proceeds. Cumulative impacts on fish habitat and populations would be minimal because local drainages generally have limited value due to intermittent or ephemeral flows. Some of the permanent pools along drainages support minnows and other nongame fish, and the larger impoundments and streams in the area which have fish populations would be restored following mining. Additional discussions of cumulative impacts to wildlife from coal development and industrialization of the eastern PRB are discussed in BLM regional EIS' s for the area (BLM 1974, 1979, 1981, 1984b), and these documents are incorporated by reference into this EIS. The impacts predicted in these documents have generally not been exceeded. Cumulative impacts to USFS Region 2 Sensitive Species will be evaluated in a Biological Evaluation specific to this group when the lessee files an application for a surface mining permit, prior to mine development. 4.5.10 Threatened, Endangered, Candidate Species and The opinion stated that cumulative impacts would not be adverse for bald eagles or peregrines but might be adverse for ferrets. As a result, OSM requires ferret surveys within 1 year of surface disturbance, either as a commitment in the mine plan or as a permit stipulation. USFWS requirements also mandate surveys for Ute ladies' tresses and mountain plovers in potential habitat prior to surface-disturbing activities. The swift fox is another candidate species that has potential habitat in the PRB. This species has not been recently recorded in the area and should not be impacted. Any potential impacts to T&E species would be mitigated as required. Thus, no significant cumulative impact to T&E species are projected, with or without leasing of the LBA tracts. 4.5.11 Land Use and Recreation

In addition to reducing livestock grazing and wildlife habitat, surface coal mining also disrupts oil and gas development and limits access to public lands, although the majority of the surface area being mined is privately owned. Cumulative impacts resulting from energy extraction in the PRB include a reduction of livestock grazing and subsequent revenues, a reduction in habitat for some species of wildlife (particularly pronghorn and mule deer), and loss of recreational access to public lands (particularly for hunters). There are no recreation facilities, wilderness . di .. h areas, etc., In the i e immediate .VICInIty 0 f L e existing southern group of mines, and the majority of the land is seldom used by the public except for dispersed recreation (e.g., hunting), off-road vehicles, and sightseeing. Hunting and other public access is generally limited inside of the mine permit areas for safety reasons. However, approximately

The USFWS has evaluated potential impacts to T&E species on the existing permit areas and has, in general, determined that no adverse impacts would occur to protected species. OSM (1982) prepared a biological assessment of the eastern PRB in 1982 which concluded that mining operations might affect bald eagles. Following requirements of the Endangered Species Act, OSM requested a biological opinion from the USFWS, which was expanded to include a commentary on black-footed ferrets and peregrine falcons. 4-50

Final EIS, Powder River and Thundercloud Coal Lease

4.0 Environmental Consequences 80 % of this land surface is private and access is controlled by the landowner. The increased human presence associated with the cumulative energy development in the PRB has likely increased levels of legal and illegal hunting. Conversely, the mines in the area have become refuges for big game animals during hunting seasons since they are often closed to hunting. Reclaimed areas are attractive forage areas for big game. As an example, reclamation at the Jacobs Ranch Mine has been declared crucial elk winter habitat by WGFD (Oedekoven 1994). Energy development-related indirect impacts to wildlife have and will continue to result from human population growth. Energy development has been the primary cause of human influx into the eastern PRB. Mining the LBA tracts will support an increase in employment levels as coal production increases and will increase the years of production at the existing mines. The demand for outdoor recreational activities, including hunting and fishing, have increased proportionately. However, at the same time these demands are increasing, wildlife habitat and populations are being reduced. This conflict between decreased habitat availability and increased recreational demand has had (or may have) several impacts: demand for hunting licenses may increase to the point that a lower success in drawing particular licenses will occur; hunting and fishing, in general, may become less enjoyable due to more limited success and overcrowding; poaching may increase; the increase in people and traffic has and may continue to result in shooting of nongame species and road kills; and increased off-road activities have and will continue to result in disturbance of wildlife during sensitive wintering or reproductive periods. Campbell County's public recreation facilities are some of the most extensively developed in the Rocky Mountain Region, and use by young, recreation-oriented residents is high. The relatively strong financial position of the county recreation program appears to assure future recreation opportunities for residents regardless of the development of the LBA tract or any other specific mine. Converse County's recreational facilities are not as advanced. 4.5.12 Cultural Resources

In most cases, treatment of eligible sites is confined to those that would be directly impacted, while those that may be indirectly impacted receive little or no consideration unless a direct mine-associated effect can be established. The higher population levels associated with coal development coupled with increased access to remote areas can result in increased vandalism both on and off mine property. Development of lands in which coal is strip-mineable (shallow overburden) may contribute to the permanent unintentional destruction of segments of the archeological record. A majority of the known cultural resource sites in the PRB are known because of studies at existing and proposed coal mines. An average density estimate of 8.5 sites per mi" (640 acres) can be made based on inventories at existing mines in the area, and approximately 25 % of these sites are typically eligible for the NRHP. Approximately 550 cultural resource sites will be impacted by already-approved mines, with an estimated 140 of these sites being eligible for nomination to the NRHP. Clearly, a number of significant sites, or sites eligible for nomination to the NRHP, have been or will be impacted by coal mining operations within the PRB. Ground disturbance, the major impact, can affect the integrity of or destroy a site. Changes in setting or context greatly impact historical 4-51

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences properties. Mitigation measures such as stabilization, restoration, or moving of buildings may cause adverse impacts to context, in-place values, and overall integrity. Additionally, loss of sites through mitigation can constitute an adverse impact by eliminating the site from the regional database and/or affecting its future research potential. Beneficial results or impacts can also be expected from coal development. Valuable data are collected during cultural resource surveys. Data that would otherwise not be collected until some time in the future, or lost in the interim, are made available for study. Mitigation also results in the collection and preservation of data that would otherwise be lost. The data that has been and will be collected provided opportunities for regional and local archeological research projects. 4.5.13 Native American Concerns collection, which might never occur except as a result of overburden removal, exposure of rock strata, and mineral excavation. 4.5 .15 Visual Resources A principal visual impact in this area is the visibility of mine pits and facility areas. People most likely to see these facilities would either be passing through the area or visiting it on mine-related business. Except for the silos and the drag lines , the pits and facilities are not visible from more than a few miles away. No new facilities would be required to mine the LBA tracts as extensions of existing mines. Issuance of the LBA tracts would not change this impact. After mining, the reclaimed slopes might appear somewhat smoother than premining slopes and there would be fewer gullies than at present. Even so, the landscape of the reclaimed mines would look very much like undisturbed landscape in the area. 4.5.16 Noise

No cumulative impacts to Native American traditional values or religious sites are expected to occur as a result of leasing and subsequent mining of the Powder River and Thundercloud LBA Tracts. 4.5.14 Paleontological Resources

Impacts to paleontological resources as a result of the already-approved cumulative energy development occurring in the PRB consist of losses of plant, invertebrate, and vertebrate fossil material for scientific research, public education (interpretive programs), and other values. Losses have and will result from the destruction, disturbance, or removal of fossil materials as a result of surface-disturbing activities, as well as unauthorized collection and vandalism. A beneficial impact of surface mining can be the exposure of fossil materials for scientific examination and 4-52

Existing land uses within the PRB (e.g., mining, livestock grazing, oil and gas production, transportation, and recreation) contribute to noise levels, but wind is generally the primary noise source. Mining on the LBA tracts would not increase the number of noise-producing facilities within the PRB, but it would lengthen the time this particular noise source would exist and may augment the level of impacts to other resources (e.g., increased exposure of wildlife to noise impact, increased noise impacts to recreational users). Miningrelated noise is generally masked by the wind at short distances, so cumulative overlap of noise impacts between mines is not likely. Recreational users and grazing lessees utilizing lands surrounding active mining

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences areas do hear mining-related noise; but this has not been reported to cause a significant impact. As stated above, wildlife in the immediate vicinity of mining may be adversely affected by noise; however, observations at other surface coal mines in the area indicate that wildlife generally adapt to noise conditions associated' with active coal mining. Cumulative increases in noise from trains serving the PRE mines have caused substantial increases (more than 5 dBA) in noise levels along segments of the rail lines over which the coal is transported to markets. However, no significant adverse impacts have been reported as a result. 4.5.17 Transportation Facilities extractive mineral industry has long been a vital part of Wyoming's economy. Many Wyoming communities depend on the mineral industry for much of their economic well being. The assessed valuation on total minerals produced in 1990 accounted for 91 % of the state's total assessed valuation. Because most minerals are taxed as percentage of their assessed valuation, this makes the mineral industry a significant revenue base for both local and state government in Wyoming (Department of Commerce, Economic and Community Development Division, Energy Section 1992). Coal production in the PRE is projected to reach a record high of 319 million tons in the year 2002 before declining to about 295 million tons in 2005 (BLM 1996a). Coal prices are projected to remain relatively constant throughout this period (BLM 1996e). By 2005, annual coal production is projected to generate about $2.6 billion of total economic activity, including $351 million of personal income, and would support the equivalent of nearly 15,885 fulltime positions (BLM 1996a). In addition to the Thundercloud and Powder River LBA Tracts, a number of mineral and related developments are anticipated in Campbell County and the surrounding area. The North Rochelle Mine located southeast of Wright, WY is currently approaching an $83.6 million mine expansion phase (Gillette News Record 1996b). The mine expansion was permitted in July 1995 by WDEQ/LQD. Construction of the mine facilities began in June 1997 and is scheduled to last about two years. A peak construction-phase work force of 246 persons is anticipated in the fourth quarter of 1997 (Planning Information Corp. 1997).

No new cumulative impacts to transportation facilities are expected to occur as a result of leasing and subsequent mining of the Thundercloud and Powder River LBA Tracts. The transportation facilities for Jacobs Ranch and North Antelope/Rochelle Mines are already in place. Employment levels will not change as a direct effect of mining the LBA tracts, but employment will increase to support coal production increases and the length of employment will be extended. Traffic levels from both mines will be maintained for a longer period under the action alternatives. 4.5.18 Socioeconomics

Because of all the energy-related development that has been occurring in and around Campbell County during the past 30 years, socioeconomic impacts are a major concern. Wyoming's economy has been structured around the basic industries of extractive minerals, agriculture, tourism, timber, and manufacturing. Each of these basic industries is important, and the

Final EIS, Powder River and Thundercloud Coal Lease Applications

4-53

4.0 Environmental Consequences Construction of the $744 million ENCOAL plant was planned to coincide with the North Rochelle Mine expansion with construction starting in late 1997 and lasting approximately two years. A peak construction-phase work force of 1,560 persons was anticipated in the third quarter of 1998. The plant was scheduled to operate for at least 30 years and would produce approximately 5,500 tons per day of solid fuel when the plant is in full operation. The North Rochelle mine expansion and ENCOAL plant had been scheduled to go into operation in 1999 with a combined estimated operational work force of 222 persons. On August 29, ENCOAL announced that the contract for construction had been terminated. The company stated that they" remain optimistic about the ... technology and .. .intend to continue to work toward construction of a commercial plant to meet the appropriate market timing ... (Ziegler Coal Holding Company, August 29, 1997).
lJ

If the North Rochelle, ENCOAL and Two Elk projects had all started in 1997 as scheduled, increased employment in Campbell County would have peaked at 2,429 persons in the second quarter of 1998 during the construction phase, and construction would have been completed on all three projects in late 1999. There would potentially have been some constructionphase overlap with the anticipated start of construction of the DM&E rail line in 1999. Depending on when construction begins on the ENCOAL and Two Elk plants, there still could be overlapping construction employment with either or both the North Rochelle and the D M&E Railroad construction phases. At the end of the construction phases, it is estimated that a total of 452 workers would be employed by all four projects. If all of these new projects are undertaken, it is estimated that the local populations of the communities in northeastern Wyoming would grow. If construction of North Rochelle, ENCOAL, and Two Elk had begun in 1997, as previously anticipated, it was estimated that non-local populations in northeastern Wyoming would have grown by 2,900 persons during the second half of 1998. The populations of Wright, Douglas, Newcastle, and Upton were projected to increase by approximately 1,751, while populations in other areas of Campbell, Converse, and Weston counties could have increased by 1,172. Under that scenario, the number of additional residents related to those three projects was expected to have been 455 after the construction phase. Currently, the North Rochelle construction project is underway and is projected to end in 1999; the ENCOAL and Two Elk construction schedules are uncertain; and DM&E is projecting that its construction would begin in 1999. If ENCOAL and/or Two Elk construction begins in 1998 or 1999, there

The Two Elk plant is currently in the developmental stage, and North American Power Group is working on permitting and marketing. Construction of the plant was expected to begin in the third quarter of 1997, however, construction has not yet begun. The cost for constructing the proposed plant is estimated at $290 million. Construction is expected to last approximately two years with a peak construction-phase work force of approximately 752 persons anticipated in the fourth quarter of the construction period. According to information provided by the Dakota, Minnesota & Eastern Railroad Corporation, construction of the DM&E railroad line is expected to start in 1999, take two years and cost $1.5 billion. For Wyoming, the estimated direct constructionphase work force is 700 persons. 4-54

Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences would be some overlap with both the North Rochelle construction and the DM&E construction. If construction on those two projects is delayed beyond 1999, there would be conflict with the DM&E construction phase. According to the Planning Information Corporation (1997), if construction had proceeded as planned for the North Rochelle Mine, the ENCOAL plant and the Two Elk plant, the Gillette area could have experienced a demand for 545 dwelling units during the second quarter of 1998, with the demand dropping to 75 dwelling units at the end of the construction phase. The number of dwelling units in demand in Wright could have increased to 273 during the peak phase of construction and dropped to 37 after the construction phase. Other areas that could have experienced some demand in housing during the peak phase on construction included Douglas, Newcastle and Upton. This could have created some housing shortages, especially in the temporary housing market. Such shortages still could occur if all of the potentially planned projects are undertaken by 1999 or 2000, however, the projected housing shortage situation could be offset by the increase in vacancy rates in Gillette that was discussed in a recent article in the Gillette News Record (Gillette News Record, 1997). The reduction in Gillette population and increase in vacancy rates were not anticipated in the Planning Information Corporation study. The effects of the three developmental projects could temporarily increase the total school enrollment during two years of coincidental construction. The total number of students added to the Gillette and Wright school systems is projected at 140 and 70 students, respectively. This growth was anticipated to occur in the fourth quarter of 1998. During the construction phase of the developmental projects, assistance money could total $7.5 million for Gillette, $4.43 million for Campbell County and $527,000 for Wright (Planing Information Corp. 1997). Assuming local sales and use tax permits are required, the developmental projects if approved would generate about $12.5 million for Gillette, Wright and Campbell County. The State of Wyoming would receive approximately $16.99 million from the developmental projects. Ad valorem tax is paid on production and property (State of Wyoming; Department of Commerce, Energy Section 1997). If all three developmental projects proceed as planned, ad valorem tax paid in 2001 is estimated to approach $10 million (Gillette News Record 1996).

4.6

The Relationship Between Local Short-term Uses of Man's Environment and the Maintenance and Enhancement of Long-term Productivity

From 1997 on, the Jacobs Ranch Mine would be able to produce coal at the permitted production level for another 18.1 years under the Proposed Action and for 18.6 years under Alternative 2. The North Antelope/Rochelle Mines could produce coal at the permitted production level for about 19 years. As the coal is mined, almost all components of the present ecological system, which have developed over a long period of time, would be modified. In partial consequence, the reclaimed land would be topographically lower, and although it would resemble original contours, it would lack some of the original diversity of geometric form. The forage and associated grazing and wildlife habitat that the LBA tracts provide would be temporarily lost during mining and reclamation. During mining of the LBA 4-55

Final E18, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences tracts, there would be a combined loss of native vegetation on 8,375 acres (Proposed Action) or 8,503 acres (Alternative 2) with an accompanying disturbance of wildlife habitat and grazing land. This disturbance would occur over a period of years. The mine sites would be returned to equivalent or better forage production capacity for domestic livestock before their performance bonds are released. Long-term productivity would depend largely on postmining rangemanagement practices, which to a large extent would be controlled by private landowners. Mining would disturb pronghorn habitat, but the LBA tracts would be suitable for pronghorn following successful reclamation. Reduced topographic diversity in the breaks areas would make the area permanently less suitable for mule deer. Despite loss and displacement of wildlife during mining, it is anticipated that reclaimed habitat would support a diversity of wildlife species similar to premining conditions. The diversity of species found in undisturbed rangeland would not be completely restored on the leased lands for an estimated 50 years after the initiation of disturbance. Re-establishment of mature sagebrush habitat-vwhich is crucial for pronghorn and sage grouse-could take even longer. There would be a deterioration of the groundwater quality in the lease area because of mining; however, the water quality would still be adequate for livestock and wildlife. This deterioration would probably occur over a long period of time. During mining, depth to groundwater would increase as much as 5 miles away from the pits in the coal aquifer. The water levels in the coal aquifer should return to premining levels at some time (possibly more than 100 years) after mining has ceased. Mining operations and associated activities would degrade the visual resources of the area on a short-term basis. Following removal of surface facilities and completion of reclamation, the long-term impact on visual resources would be negligible. Short-term impacts to recreation values may occur from reduction in big game populations due to habitat disturbance. These changes would primarily impact hunting in the lease area. However, because reclamation would result in a wildlife habitat similar to that which presently exists, there should be no long-term adverse impacts on recreation. The Proposed Action and Alternative 2 would extend the life of North Antelope and Rochelle Mines by 7.5 and 7.8 years, respectively. The Proposed Action would extend the life of Jacobs Ranch Mine by 11 years while Alternative 2 would extend the mine life by 11.5 years, thereby enhancing the long-term economy of the region.

4.7 Irreversible and Irretrievable Commitments of Resources
The major commitment of resources would be the mining and consumption of 873 million tons (Proposed Action) or 894 million tons (Alternative 2) of coal to be used for electrical power generation. Coal bed methane associated with this coal would also be irreversibly and irretrievably lost. It is estimated that 1-2 % of the energy produced would be required to mine the coal, and this energy would also be irretrievably lost. The quality of topsoil on approximately 8,375 acres (Proposed Action) or 8,503 acres (Alternative 2) would be irreversibly changed. Soil formation processes, although continuing, would be irreversibly altered during mining-related activities. Newly

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Final EIS, Powder River and Thundercloud Coal Lease Applications

4.0 Environmental Consequences formed soil material would be unlike that in the natural landscape. Loss of life may conceivably occur due to the mining operation and vehicular and train traffic. On the basis of surface coal mine accident rates in Wyoming as determined by the Mine Safety and Health Administration (1997) for the lO-year period 1987-1996, fatal accidents (excluding contractors) occur at the rate of 0.003 per 200,000 man-hours worked. Disabling (lost-time) injuries occur at the rate of 1.46 per 200,000 manhours worked. Any injury or loss of life would be an irretrievable commitment of human resources. Disturbance of all known historic and prehistoric sites on the mine area would be mitigated to the maximum extent possible. However, accidental destruction of presently unknown archeological or paleontological values would be irreversible and irretrievab le.

River and Thundercloud Coal Lease Applications

4-57

5.0 Consultation and Coordination 5.0 CONSULTATION AND COORDINATION In addition to this EIS, other factors and consultations are considered and playa major role in determining the decision on these proposed lease applications. These include the following. Regional Coal Team Consultation. The Thundercloud and Powder River lease applications were reviewed and discussed at the April 23, 1996, PRRCT meeting in Cheyenne, Wyoming and the April 23, 1997 PRRCT meeting in Casper, Wyoming. The PRRCT determined that the lands in the applications met the qualifications as production maintenance tracts and approved the applications for processing by the leaseby-application method. Governor's Consultation. The BLM Wyoming State Director notified the Governor of Wyoming on May 5, 1995, and August 23, 1995, that lease applications had been filed with the BLM for the Powder River and Thundercloud LBA tracts, respectively. Public Notice. The BLM filed public notice on March 12, 1996 announcing that both these coal lease applications had been received and requesting public comment. The BLM published a Notice of Intent to Prepare an Environmental Impact Statement in the Federal Register on June 20, 1996, requesting public comments and announcing the time, date, and location of a public scoping meeting. BLM and EPA published Notices of Availability of the DEIS in the Federal Register on August 29, 1997 and August 22, 1997, respectively. The BLM notice included a notice of public hearing. The public hearing was held at 7:00 p.m. on October 8, 1997 at the Holiday Inn in Gillette, Wyoming. The public comment Final EIS, Powder River and Thundercloud Coal Lease Applications 5-1 period on the DEIS ended 1997. Comments from the federal review agencies, responses to the comments, Appendix H. on October 28, public, state and and the BLM are presented in

Attorney General Consultation. After a coal lease sale, but prior to issuance of a lease, the BLM will solicit the opinion of the U.S. Attorney General on whether the planned lease issuances create a situation inconsistent with federal anti-trust laws. Other Consultations. Other federal, state, and local governmental agencies that were directly consulted in preparation of this EIS are listed in Table 5-1. List of Preparers. Table 5-2 provides a listing of the BLM/USFS interdisciplinary team and the third-party consultant personnel who prepared this EIS. Distribution List. This EIS was distributed to numerous congressional offices, federal agencies, state governments, local governments, industry representatives, interest groups, and individuals for their review and comment (Table 5-3).

5.0 Consultation and Coordination
Table 5-1. Other Federal, State, and Local Governmental Agencies Consulted in EIS Preparation
Individual 5 Voting Members and 21 Nonvoting Members Pat Deibert Lynn Jahnke Steve Tessman Wyoming Department of Environmental Quality Air Quality Division Richard Schrader Tina Jenkins Bob Schick Judy Schamley Wyoming Department of Environmental Quality Land Quality Division Wyoming State Geological Survey Wyoming Oil and Gas Commission Roberta Hoy Gary Glass Molly Devore Mark Watson Wyoming Department of Revenue Ed Schmidt Dean Tempti U.S. Department of Labor, Mine Safety and Health Administration University of Wyoming Harvey Padgett Hydrogeologist State Geologist Information Specialist Petroleum Engineer Mineral Tax Division Director Economist Mine Safety & Health Specialist Sr. Analyst Sr. Analyst Sr. Analyst Sr. Analyst Sr. Environmental Analysts Wildlife & Fish Supervisor Environmental Biologist Position

Agency or Organization Powder River Regional Coal Team

Wyoming Game and Fish Department

David Taylor

Associate Professor

5-2

Final Powder River and Thundercloud Coal Lease

5.0 Consultation and Coordination
Table 5-2.
Name BLMIUSFS/OSM Core Team Nancy Doelger, BLM Mike Karbs, BLM Eugene Jonart, BLM Mel Schlagel, BLM David Geer, USFS Floyd McMullen, QSM Support Team M. S., B. S. Botany, 17 years professional experience M. B. A., B. S. Geology, 17 years professional experience (Licensed Wyoming Geologist) B.S. Civil Engineering, 19 years professional experience Document Reviewer Geologist Mining Engineering Adjudicator Cultural Resources Wildlife Resources Hydrology Soils Ajudicator Document Reviewer Mine Engineering Lands and Minerals Wildlife Rangeland Management Visual Resources Environmental Coordinator M.S., B.S. Geology, 19 years professional experience (Licensed Wyoming Geologist) M.S. Regional Planning and Public Policy, B.S. Mineral Engineering, 21 years professional experience B.S. Forest/Range experience Management, 30 years professional Project Coordinator Document Reviewer Document Reviewer

List of Preparers
Education/Experience INTERDISCIPLINARY TEAM EIS Responsibility

M.S. Agricultural Economics, 29 years professional experience Document reviewer B.S. Forest Resource Management, 21 years professional experience M.S. Environmental Science, B.S. Range/Forest Management, 23 years professional experience Project Coordinator Project Coordinator

Glen Nebecker, BLM Norman Braz, BLM Lou Ouano, BLM Mavis Love, BLM B.J. Earle, BLM Larry Gerard, BLM Mike Brogan, BLM Joe Meyer, BLM Laura Steele, BLM Tom Enright, BLM Vern Rulli, BLM Joe Reddick, USFS Tim Byer, USFS Sherry Dahl-Cox, USFS Jeff Tupala, USFS Bill Steenson, USFS

17 years professional experience B.A. Archaeology, 21 years professional experience 21 years professional experience 19 years

B.S. Wildlife Management,

B.S. Watershed Management/Hydrology/Forestry, professional experience

B.S. Watershed Management with Soils Minor, 15 years professional experience 24 years professional experience B. S. Forestry, 31 years professional experience M.S. Geology, B.S. Geologic Engineering, professional experience 19 years

B. S. Forestry, 26 years professional experience B.S. Wildlife Management, 14 years professional experience

B.S. Agonomy and Soil Science, 9 years professional experience M.S. Landscape Architecture, professional experience B.S. Forestry, 9 years

M.S. Forest Science, 31 years professional experience

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5-3

5.0 Consultation and Coordination
Table 5-2. (cont'd) Name Ian Ritchie, USFS Education/Experience M.A. Archeological Management, experience 12 years professional EIS Responsibility Heritage Resources Recreation/Engineering Hydrology Soils

Rob Schmitzer, USFS B.S. Forest Biology, 20 years professional experience Kirk Wolfe, USFS Tommy John, USFS B.S. Forest Resource Management, experience 18 years professional

B.S. Forestry, 20 years professional experience

WESTERN Doyl Fritz Mike Evers Lisa Jarvis Mike Wolf

WATER CONSULTANTS,

INC. Report Preparation Project Management, Report Preparation Report Preparation Geology Physical Resources Water Resources CADD CADD Document Production

M.S., B.S. Civil Engineering, 26 years professional experience M. S., B. S. Geology, 13 years professional experience (Licensed Wyoming Geologist) B.S. Geology, 15 years professional experience (Licensed Wyoming Geologist) B. S., Geology, 21 years professional experience (Licensed Wyoming Geologist) M.S. Civil Engineering, B.S. Biology, 3 years professional experience M.S., B.S. Civil Engineering, 4 years professional experience 7 years professional experience 3 years professional experience 12 years professional experience

Lori Rousseau Shawn Higley Rodney Ventling Dave Johnson Laura Ingram

INTERMOUNTAIN Jim Orpet Bill Glenn Russel Tait POWDER

RESOURCES M.S. Range Management, B.S. Wildlife Management, years professional experience B. S. Agronomy, 31 years professional experience B.S. Wildlife Management, 4 years professional experience 19 Physical resources Soil Baseline Wildlife Baseline

RIVER EAGLE STUDIES M. S., B. S. Zoology, 19 years professional experience M. S., B. S. Wildlife Biology, 9 years professional experience B.S. Biology, 7 years professional experience Wildlife Baseline Wildlife Baseline Wildlife Baseline

Howard Postovit Gwyn McKee Mark Winland

5-4

Final Powder River and Thundercloud Coal Lease Applications

5.0 Consultation and Coordination Table 5-3. Distribution List. Final EIS or Executive Summary
Carol Molnia U.S. Geological Survey Denver, CO Chairman William Walks Along Northern Cheyenne Tribal Council Lame Deer, MT Madame Chairman Clara Nomee Crow Tribal Council Crow Agency, MT Tom Langston Department of Community Development Gillette, WY John Young Big Horn County Planning Board Decker, MT Ted Fletcher Powder River County Ashland, MT Joan Stahl Rosebud County Commissioner Forsyth, MT Lyle Rising Office of the Regional Solicitor Rocky Mountain Region Denver, CO Brenda Aird BLM Solids Group Washington, D.C. Mary Jennings U.S. Fish & Wildlife Service Cheyenne, WY Bureau of Indian Affairs Billings, MT Roger Baker Office of Surface Mining Denver, CO Dave Geer U.S. Forest Service Douglas, WY Bill Radden-Lesage BLM Human Resource Group Washington, D.C. Congressional Offices Barbara Cubin

Powder River Regional Coal Team Voting Members Jim Geringer Governor of Wyoming Cheyenne, WY Marc Racicot Governor of Montana Helena, MT AI Pierson BLM Wyoming State Director Cheyenne, WY Larry Hamilton BLM Montana State Director Billings, MT Robert Bennett BLM Deputy State Director Minerals and Land Cheyenne, WY Powder River Regional Coal Team Non-Voting Members Hord Tipton BLM Assistant Director Energy and Mineral Resources Washington, D.C. Kemper McMaster U.S. Fish & Wildlife Service, Region 6 Helena, MT Billie Clark Office of Surface Mining Reclamation & Enforcement Western Field Operations Denver, CO John Byers U.S. Forest Service Medicine Bow National Forest Laramie, WY Deborah Liggett NPS, Devils Tower National Monument Devils Tower, WY Mel Schlagel BLM Wyoming Coal Coordinator Cheyenne, WY Ed Hughes BLM Montana Coal Coordinator Billings, MT

U.S. Congresswoman Casper, WY

U.S. Senator Michael Enzi Casper, WY Gillette, WY U.S. Senator Craig Thomas Casper, WY Sheridan, WY Federal Agencies Bureau of Land Management Rawlins, WY Buffalo, WY Mills, WY Miles City, MT National Park Service Washington, D.C. (5 copies) Office of Surface Mining Reclamation & Enforcement Casper, WY Denver, CO Washington, D.C. (3 copies) Advisory Council on Historic Preservation Golden, CO U.S. Geological Survey Cheyenne, WY Reston, VA (3 copies) U.S. Environmental Protection Agency Region VIII, Denver, CO OFA, Washington, D.C. (5 copies) U.S. Department of the Interior OEPR, Washington, D.C. (5 copies) Public Affairs, Washington, D.C. Natural Resources Library, Washington, D.C. (3 copies) U.S. Deparment of Energy Washington, D.C. Casper, WY Bureau of Reclamation Denver, CO (2 copies) U.S. Fish & Wildlife Service Washington, D.C. (3 copies)

Final EIS, Powder River and Thundercloud Coal Lease Applications

5-5

5.0 Consultation and Coordination Table 5-3 (cont'd)
U.S. Department of Agriculture Forest Service Denver, CO Washington, D.C. U.S. Army Corps of Engineers Cheyenne, WY Omaha, NE Minerals Management Service Denver, CO Washington, D.C. (3 copies) MMS Evaluation Standards Denver, CO Office of Surface Mining Technical Library Denver, CO Representative Eli D. Bebout Riverton, WY Rep. George B. McMurtrey Rozet, WY Senator Gerald E. Geis Worland, WY Senator Bill Barton Upton, WY Representative Rick Badgett Sheridan, WY Representative Bruce Burns Sheridan, WY Representative Bill Bensel Sheridan, WY Senator Tom Kinnison Sheridan, WY Representative Lusk, WY Ross Diercks Wyoming Economic Stabilization Board Cheyenne, WY Development &

Wyoming Industrial Siting Division Cheyenne, WY Wyoming Parks & Cultural Resources Commission Cheyenne, WY Wyoming Public Service Commission Cheyenne, WY Wyoming State Inspector of Mines Rock Springs, WY Wyoming Water Development Office Cheyenne, WY Wyoming Game and Fish Department Cheyenne, WY Gillette, WY Lander, WY Sheridan, WY Wyoming State Geological Survey Laramie, WY Wyoming Department of Transportation Cheyenne, WY Wyoming Department of Employment Research and Planning Casper, WY Wyoming Oil and Gas Conservation Commission Casper, WY Wyoming State Engineer's Cheyenne, WY Office

State Government
Senator Dick Erb Gillette, WY Representative Gillete, WY Representative Buffalo, WY Nick Deegan

Representative Roger Huckfeldt Torrington, WY Representative Patti MacMillan Laramie, WY Representative Gillette, WY Jeff Wasserburger

Douglas Osborn

Representative Jim Anderson Glenrock, WY Representative Gillette, WY John 1. Hines

State Agencies
Wyoming State Clearinghouse Cheyenne, WY (15 copies) Wyoming State Historic Preservation Office Cheyenne, WY Wyoming Department of Environmental Quality Cheyenne, WY Sheridan, WY Wyoming Director Policy Cheyenne, WY of Federal Land

Senator Larry Gilbertz Gillette, WY Representative Casper, WY Representative Cowley, WY Bruce Hinchey

Sylvia Gams

Wyoming Division of Econ. Analysis Cheyenne, WY

Local Government
Campbell County Commissioners Gillette, WY Campbell County Economic Development Committee Gillette, WY Campbell County School Superintendent Gillette, WY City of Gillette Gillette, WY

Senator Boyd L. Eddins Smoot, WY Senator Robert Grieve Savery, WY Senator John Schiffer Kaycee, WY Representative Beulah, WY Marlene Simons

Wyoming Department of Agriculture Cheyenne, WY Wyoming Department of Commerce Cheyenne, WY Wyoming Division of Tourism Cheyenne, WY

Representative Frank Moore Douglas, WY

5-6

Final Powder River and Thundercloud Coal Lease Applications

5.0 Consultation and Coordination Table 5-3 (cont'd)
Converse County Commissioners Douglas, WY Converse County Commissioner Mr. Leon Chamberlain Douglas, WY Converse County Planning Office Douglas, WY Converse County Joint Powers Board Douglas, WY Converse County School District #1 Douglas, WY City of Douglas Douglas, WY Weston County Commissioners Newcastle, WY Weston County School Superintendent Newcastle, WY Weston County Development Board Newcastle, WY Indian Tribes & Tribal Governments Arapahoe Tribal Council Fort Washakie, WY Northern Arapahoe Business Council Fort Washakie, WY Francis Brown Riverton, WY William C'Hair Arapahoe, WY Shoshone Tribal Council Fort Washakie, WY Shoshone Business Council Fort Washakie, WY Haman Wise Fort Washakie, WY John Tarnesse Fort Washakie, WY Crow Tribal Council Crow Agency, MT Crow Tribal Administration Crow Agency, MT Northern Cheyenne Cultural Committee Lame Deer, MT Northern Cheyenne Tribe, Inc. Lame Deer, MT Philip Under Baggage Oglala Sioux Tribal Council Pine Ridge, SD Cheyenne River Sioux Tribal Council Eagle Butte, SD Crow Creek Sioux Tribal Council Fort Thompson, SD Flandreau Santee Committee Flandreau, SD Sioux Executive Kennecott Energy Company Gillette, WY Cordero Mining Company Gillette, WY Dry Fork Coal Company Gillette, WY Bridgeview Coal Company Farmington, PA Consol, Inc. Pinckneyville, Powder River Coal Company Gillette, WY Kerr-McGee Coal Corporation Oklahoma City, OK Gillette, WY Wyodak Resources Development Corporation Gillette, WY Caballo Rojo Coal Company Gillette, WY Antelope Coal Company Gillette, WY

Santee Sioux Tribal Council Niobrara, NE Mr. Clifford Long Sioux Busby, MT Mr. Steve Brady Lame Deer, MT Industry and Business Wright Chamber of Commerce Wright, WY Newcastle Chamber of Commerce Newcastle, WY Amax Coal West Gillette, WY Triton Coal Company Gillette, WY Evansville, IN EN COAL Gillette, WY Glenrock Coal Co. Glenrock, WY Kiewit Mining Co. Sheridan, WY Decker Coal Company Omaha, NE ARCO Coal Co. Denver, CO Thunder Basin Coal Company Wright, WY

Nerco Coal Co. lone, CA Gillette Chamber of Commerce Gillette, WY Douglas Chamber of Commerce Douglas, WY Fort Union, Ltd. Gillette, WY Elliot & Waterman Newcastle, WY Zephyr Exploration Casper, WY Tri-County Electric Association Sundance, WY CH2M Hill Englewood, CO Evergreen Enterprises Casper, WY PacifiCorp/lnterwest Mining Company Resource Department Salt Lake City, UT

Final £18, Powder River and Thundercloud Coal Lease Applications

5-7

5.0 Consultation and Coordination Table 5-3 (cont'd)
Union Pacific Resources Company Rock Springs, WY Fort Worth, TX Atlantic Richfield Company Denver, CO Berenergy Corporation Denver, CO M&K Oil Company Gillette, WY Yates Drilling Company Artesia, NM Bridle Bit Ranch Company Gillette, WY Dilts Ranch Co. Douglas, WY Western Water Consultants, Inc. Sheridan, WY Powder River Eagle Studies Inc. Gillette, WY Royal Gold, Inc. Denver, CO BXG, Inc. Boulder, CO TRC Mariah Associates Inc. Laramie, WY P&M Coal Company Englewood, CO C.H. Snyder Company Kittanning, PA Mine Engineers, Inc. Cheyenne, WY Marston & Marston St. Louis, MO Burns & McDonnell Kansas City, MO Ark Land Company Fairview, IL Shea & Gardner Washington, D.C. ECC Casper, WY Riverside Technology, Inc. Fort Collins, CO CE&MT, Inc. Gillette, WY Foster-Wheeler Environmental Lakewood, CO Greystone Englewood, CO TRC Environmental Englewood, CO Geral Jacob Environmental Boulder, CO ANR Production Co. Coastal Oil & Gas Corp. Houston, TX Aztec Gas & Oil Truth or Consequences, B S & B Oil Co. Casper, WY Gloster Production Properties LTD New Orleans, LA Bellexco, Inc. Houston, TX Benson-Montin-Greer Farmington, NM Drilling Corp. Andover Partners Wolf Exploration Co. Houston, Texas

Const.

Brian Kennedy Ind. Consultant Network Boulder, CO Hardin & Associates Castle Rock, CO Intermountain Resources Laramie, WY Geral Jacobs Environmental Boulder, CO Cons.

Maxim Drilling & Exploration Co. Denver, CO Maurice W. Brown Cheyenne, WY Four- Ten Exploration Denver, CO Western Gas Processors Denver, CO BWAB Inc. Denver, CO Calder Services Inc. Farmington, NM T.A. Chorney Exploration Co. Littleton, CO Citadel Energy Houston, TX Citation 1994 Partnership Houston, TX DL Cook Dallas, TX Coral Petroleum Ltd Corvallis, OR Jacob Land & Livestock Co. Oklahoma City, OK Investment Ltd

Brian Kennedy Ind. Consultant Network Boulder, CO L.E. Peabody & Associates Alexandria, VA Meineadair Consultants Arvada, CO Western Syncoal Co. Billings, MT Mining Associates of Wyoming Casper, WY Kenneth R. Paulsen Consulting Arvada, CO Western fuels Association Lakewood, CO ABO Petroleum Corporation Artesia, NM Adam & Company Miami, FL American Exploration Company Houston, Texas

5-8

Final Powder River and Thundercloud Coal Lease Applications

5.0 Consultation and Coordination Table 5-3 (cont'd)
Cramer Oil Co. Denver, CO Crescent Oil & Gas Corp. Denver, CO Davis Oil Co. Denver CO Daven Corp. Denver, CO Entergy Services, Inc. New Orleans, LA Exeter Exploration Co. Denver, CO Geotech Production Co. Aurora, CO Global Natural Texas Houston, TX Resources Corp. of Key Production Co. Denver, CO Lowmar Exploration Co. Houston, TX Lyeth-Burk Partnership Englewood, CO Enercor Inc. Gillette, WY Malibu Presbyterian Church Malibu, CA Marathon Oil Co Houston, TX GPM Gas Corp. Oklahoma City, OK Maxum Exploration Co. Dallas, TX Miller Investment Trust Miami, FL Murio Oil & Royalty Co. Fort Worth, TX US West Communication Denver, CO Myco Industries Inc. Artesia, NM North Central Casing Pullers Inc. Graham, TX Nova Petroleum Denver, CO Pacific Enterprises Oil Co. Dallas, TX Pacific Power & Light Co. Portland, OR Western Production Co. Rapid City, SD Peabody Development Co. St. Louis, MO Pennzoil Exploration & Production Houston, TX Pepperdine University Malibu, CA Petroleum Inc. Wichita, KS Phillips Petroleum Co. Bartlesville, OK Oil Properties Association Melville, NY Scorpio Resources Inc Denver, CO Sport Resources Inc Denver, CO States Inc. Breckenridge, Torch Energy Houston, TX Talala Corp. Tulsa, OK Tindall Operating Co. Englewood, CO Turnercrest Ranch Gillette, WY US National Bank of Oregon Portland, OR Vale & Co. New York, NY Val so Investment Co. New York, NY Viking Resource Corp. North Canton, OH Wellstar Corp. Platteville, CO Wilkinson & Co. Lander, WY Wil1COPetro Corp. Denver, CO ZAB Inc. Denver, CO Zalman Resources Inc. Denver, CO D&D Resources Grand Junction, CO Interest Groups & Professional Societies Powder River Basin Resource Council Sheridan, WY

Green Ribbon, Inc. St. Thomas, Virgin IS. Harry W. Keeline Ranch Co. Newcastle, WY Headington Investments Inc. Dallas, TX Equitable Resources Energy Co. Balcron Oil Division Billings, MT Tom Brown Inc. Midland TX Independent Oil Field Supply Denver, CO Intestate Investment Co. New York, NY Interstate Investments Miami, FL ITR Petroleum Inc. Houston, TX JBD Associates Miami Beach, FL Kaiser-Francis Tulsa, OK Oil

Final EIS, Powder River and Thundercloud Coal Lease Applications

5-9

5.0 Consultation and Coordination Table 5-3 (cont'd)
Wyoming Outdoor Council Lander, WY Sierra Club Sheridan, WY Audubon Society Casper, WY Cheyenne, WY Sheridan, WY Friends of the Bow/ Biodiversity Associates Laramie, WY Foundation for North American Sheep Cody, WY Wyoming Association Archaeologists Casper, WY Laramie, WY Wild Wyoming Wool Growers Association Casper, WY Petroleum Association of Wyoming Casper, WY Wyoming Multiple Use Coalition Casper, WY Wind River Multiple Use Advocates Riverton, WY Institute for Policy Research Northwestern University Evanston, IL Richard D. Amber Job's Town, NJ Scott Benson Gillette, WY Sheldon Bierman Washington Grove, MD Larry B. Barnes Boise, ID K.M. Blake Santa Monica, CA Joyce R. Carlson Cheyenne, WY Deborah Humphrey Cass Arlington, TX Alan T. Christie White Plains, NY Jolene A. Cogil Lakewood, CO Robert L. Dale Saratoga, CA Larry Delzell Plano, TX James A Devlin Darien, CT Michael R. Diefenderfer Englewood, CO John C. & Betty 1. Dilts Douglas, WY Charles Evans New York, NY Vernon R. Drwenski Casper, WY J. P. Gibbons Salt Lake City, UT Elizabeth Goodnough Gillette, WY Duane Haefel Douglas, WY James Hageman Ft. Laramie, WY Nancy Higgins Denver, CO

Individuals
Jim Nyenhuis Fort Collins, CO Nicholas Wylie Madison, WI Ralph Barbero Arlington, VA Mark Winland Gillette, WY Shawn G. Grindstaff Farmington, MO Bill Saulcy Encampment,

of Professional

Wyoming Mining Association Cheyenne, WY Wyoming Heritage Society Casper, WY Wyoming Geological Association Casper, WY Medicine Wheel Alliance Huntley, MT National Mining Association Washington, D.C. Sinapu Boulder, CO The Greens/Green Chicago,IL Party USA

Arnold Cunningham Laramie, WY Ladd Frary Grand Junction, CO John Williams Portland, OR Dan E. Tracy, et al. Gillette, WY Asa Reed Longmont, CO Dave Shippy Gillette, WY Ted Olson Salt Lake City, Utah John Pexton Douglas, WY Cecil Cundy Sundance, WY

Wyoming Wildlife Federation Cheyenne, WY The Nature Conservancy Laramie, WY Wyoming Stock Growers Association Cheyenne, WY Thunder Basin Grazing Association Douglas, WY Inyan Kara Grazing Association Newcastle, WY

5-10

Final Powder River and Thundercloud Coal Lease Applications

5.0 Consultation and Coordination Table 5-3 (cont'd)
Ken Henderson Cos Cob, CT J.A. & Winifred C. Humphrey Trust Dallas, TX James Irish Irish Family Trusts Dallas, TX Irving R. & Hilde Deemar Morton Grove, IL George V. Janzen El Paso, TX Ollie M. Kane Gillette, WY M. John Kennedy Gillette, WY Harold Kentta Casper, WY Emily Krorosz Denver, CO Omaha, NE John C. Oxley Tulsa, OK John S. Wold Casper, WY O. Dale Wright Denver, CO Dennis W. Yockim Williston, ND Dennis Young North Salt Lake City, UT

Peggy Peterson Casper, WY Robert S. Puder South Orange, NJ Earl Reed Douglas, WY Donald Springen Montrose, AL O.L. Rickard Parker, CO G. 1. Robertson Houston, TX Richard J. Rogers Jr. Sheridan, WY Irvin Rubenstein Englewood, CO Bill D. Saxon Winter Park, FL Robert W. Scott Golden, CO Craig Shanor Casper, WY F.L. Shogrin Longmont, CO Russell A. Spencer Denver, CO Rupert H. Stanley/ Carrie M. Sullivan! Buck Family Trust Littleton, CO Velma & Donald Steckley Douglas, WY Patricia L. Thompson Littleton, CO Deena J. Wangler Douglas, WY Jerry & Rhonda Wilkinson Gillette, WY

Libraries
The Libraries Colorado State University Fort Collins, CO University of Wyoming Libraries Laramie, WY (2 copies)

Coal Transportation Washington, D.C. Gillette News-Record Gillette, WY

Report

I
I I

Lane Lasrich Sandy, UT Pat Litton Gillette, WY Gene Litton etux Gillette, WY Tom Mills Wright, WY William B. Mackey Sheridan, WY F. L. Natta Lexington, KY Dennis Mackey Sauble Miami, FL Rose T. Macy Longmont, CO Louis S. Madrid Denver, CO John A Masek Denver, CO Gladys K. Norwood Attn: Lucille Flynn

Rocky Mountain Oil Journal Denver, CO Western Coal Newsletter Knoxville, TN Cheyenne-Wyoming Cheyenne, WY Associated Press Cheyenne, WY Casper Star-Tribune Casper, WY The Douglas Budget Douglas, WY Eagle

Final EIS, Powder River and Thundercloud Coal Lease Applications

5-11

6.0 References Cited

6.0 REFERENCES CITED
Amax Coal Co., 1989 Eagle Butte Mine Permit to Mine Application 428- T2 on file with the WDEQ/LQD, Sheridan, Wyoming. Avian Power Line Interaction Committee, 1994, Mitigating Collisions with Powerlines: The State of the Art in 1994. Edison Electric Institute. Washington, D.C., 78 pp. + append. Breckenridge, R.M., Glass, G.B., Root, F.K. and Wendell, W.G., 1974, Geologic Map Atlas and Summary of Land, Water, and Mineral Resources, Geological Survey of Wyoming, County Resource Series No.3. Budai, C.M. and M.L. Cummings, 1984, Geologic controls of coal burns and oxidized zones in the Antelope Coal Field, Converse County, Wyoming: in Symposium on the Geology of Rocky Mountain Coal, Proceedings: North Dakota Geological Society, Publication 84-1, pp. 168-183. Bureau of Land Management, 1974, Final Environmental Impact Statement, Eastern Powder River Basin of Wyoming. V.S. Department of the Interior, Bureau of Land Management. __ , 1979, Final Environmental Impact Statement, Proposed Development of Coal Resources in the Eastern Powder River Wyoming. V.S. Department of the Interior, Bureau of Land Management, Washington, D.C. , 1981, Final Powder River Regional Coal Environmental Impact Statement. V. S. Department of the Interior, __ Bureau of Land Cheyenne, Wyoming. __ Management,

, 1983, Powder River Coal Summaries. V. S. Department of the Interior , Bureau of Land Management, Wyoming State Office, Cheyenne, Wyoming. , 1984b, Draft Environmental Impact Statement for Round II Coal Lease Sale in the Powder River Region. V. S. Department of the Interior, Bureau of Land Management, State Office, Cheyenne, Wyoming. , 1985, Buffalo Resource Management Plan Environmental Impact Statement. V.S. Department of the Interior, Bureau of Land Management, Buffalo Resource Area, Casper, Wyoming. , 1988, NEPA Handbook H-1790-1. V. S. Department of the Interior, Bureau of Land Management. , 1992a, Final Environmental Assessment for the West Black Thunder Coal Lease Application. V.S. Department of the Interior, Bureau of Land Management, Casper District Office, Casper, Wyoming. , 1992b, Final West Rocky Butte Coal Lease Application Environmental Impact Statement. U. S. Department of the Interior, Bureau of Land Management, Casper District Office, Casper, Wyoming. , 1992c, Assessment for Rochelle Coal Powder River Final Environmental the North Antelope and Lease Applications for Coal Company. V. S. 6-1

Final EIS, Powder River and Thundercloud Coal Lease Applications

6.0 References Cited Department of the Interior, Bureau of Land Management, Casper District Office, Casper, Wyoming. __ __ , 1995, Final Environmental Assessment for the Antelope Coal Lease Application. U.S. Department of the Interior, Bureau of Land Management, Casper District Office, Casper, Wyoming. ,1996a, Draft Economic Summary for the Buffalo Resource Area. U.S. Department of the Interior, Bureau of Land Management, Casper District Office, Buffalo, Wyoming. __ __ , 1996b, Draft Natural Systems Paper for the Buffalo Resource Area's Land Use Plan. U.S. Department of the Interior, Bureau of Land Management, Casper District Office, Buffalo, Wyoming. , 1996c, Draft Environmental Consequences of Existing Management for the Buffalo Resource Area. U.S. Department of the Interior, Bureau of Land Management, Casper District Office, Buffalo, Wyoming. , 1996d, Draft Existing Management of the Buffalo Resource Area. U.S. Department of the Interior, Bureau of Land Management, Casper District Office, Buffalo, Wyoming. , 1996e, Bureau of Land Management 1996 Southern Powder River Basin Coal Leasing Study. U. S. Department of the Interior, Bureau of Land Management, State Office, Cheyenne, Wyoming. 1996f, Coal Development Status Check Powder River Federal Coal Region Montana & Wyoming Data Tables. U.S. Department of the Interior, Bureau of Land Management, 6-2 Casper District Wyoming. Office, Casper,

, 1996g, Draft Energy Resources Booklet for the Buffalo Resource Area. U. S. Department of the Interior, Bureau of Land Management, Casper District Office, Buffalo, Wyoming. , 1996h, Final Environmental Impact Statement for the North Rochelle Coal Lease Application, U. S. Department of the Interior, Bureau of Land Management, Casper District Office, Casper, Wyoming. , 1997, Draft and Final Gillette South Coal Bed Methane Project Environmental Impact Statement, U. S. Department of the Interior, Bureau of Land Management, Buffalo Resource Area, Buffalo, Wyoming.

Campbell County Economic Development Corporation, 1993, Community Profile, Campbell County, Wyoming: Gillette/W right. 4 pp. __ , 1997, Community Profile and Business Profile, Campbell County, Wyoming. of Gillette, 1978, Gillette/Campbell Comprehensive Planning Gillette, Wyoming. City of County Program.

City

Coates, D.A. and Naeser, C.W., 1984, Map showing fission trackages of clinker in the rochelle Hills, southern Campbell and Weston Counties, Wyoming USGS Miscellaneous Field Investigations Map 1-1462, scale 1:50,000. Crist, M.A., 1991, Evaluation of groundwater-level changes near Gillette, northeastern Wyoming. U.S. Geological Survey, Water Resources Investigations Report 88-4196.

Final EIS, Powder River and Thundercloud Coal Lease Applications

6.0 References Cited Cultural Heritage Resource Office, 1996, Class III Cultural Resource Inventory of Kerr-McGee Coal Corporation Thundercloud Maintenance Tract and Buffer Zone, Campbell County, Wyoming, Volume 1 - Report Text, Maps and Files Search, by James B. Tyler, Patrick Light, and Scott M. Fitzpatrick, October 1996. DeBruin, RH., 1996, Oil and gas map of Wyoming: Wyoming State Geological Survey Map Series MS-48, scale 1:500,000. DeBruin, RH., and Jones, RW., 1989, Coalbed methane in Wyoming: Guidebook on gas resources of Wyoming, pp. 97-104. Denson, N.M. and Pierson, C.T., 1991, Geologic map showing the thickness and structure of the Anderson- Wyodak coal bed in the north half of the Powder River Basin, southeastern Montana and northeastern Wyoming: U.S. Geological Survey Miscellaneous Investigations Map I-2094-A, scale 1:200,000. Denson, N. M., Dover, J. H., and Osmonson, L.M., 1978, Lower Tertiary coal bed distribution and coal resources of the Reno Junction-Antelope Creek area, Campbell, Converse, Niobrara, and Weston County, Wyoming: U.S. Geological Survey Miscellaneous Field Studies Map MF-960, scale 1:125,000. ENCOAL 1996, Air Quality Permit Application for the ENCOAL Coal Enhancement Facility, on file with WDEQ/ AQD, Sheridan, Wyoming. __ , 1997, Groundwater supply and yield analysis for the ENCOAL LFCTMPlant, Water Supply Wells at North Rochelle Mine. Submitted to Wyoming State Engineer. Evans, D.L., E.K. Bartels, and J.S. Armbruster, 1983, Sandhill crane (Grus canadensis). Pages 154-169 in J.S. Armbruster (ed.). Impacts of coal surface mining on 25 migratory bird species of high federal interest. U. S. Fish and Wildlife Service, FWS/OBS83/35. 348 pp. GCM Services, Inc., 1993, Class III Cultural Resource Inventory of Tract B adjacent to Rochelle and Antelope Mines, Campbell County Wyoming. Report prepared for Powder River Coal Company. Gillette News Record, 1996a, "Hunting proposals call for big cuts", Kathy Brown, March 27. Gillette News Record, 1996b, "Big projects could bring local boom", Deb Holbert, December 18. Gillette News Record, 1997, "Gillette population takes a downswing", Valerie Kiger, December 11. Glass, G.B., 1976, Update on the Powder River Coal Basin: Wyoming Geological Association 28th Annual Field Conference Guidebook, RB. Laudon ed. Glass, G.B. and RW. Jones, 1992, Coal fields and coal beds of Wyoming, Geological Survey of Wyoming Reprint No. 47 (originally published in the Wyoming Geological Association, Forty-second (Annual) Field Conference Guidebook, 1991).

Final EIS, Powder River and Thundercloud Coal Lease Applications

6-3

6.0 References Cited Hadley, R.F. and Schumm S.A., 1961, Sediment sources and drainage basin characteristics in Upper Cheyenne River Basin, United States Department of Interior, U. S. Geological Survey Water Supply Paper 1531-B. Hanley, J. H. , 1976, Paleosynecology of Nonmarine Mulluscoa from the Green River and Wasatch Formations (Eocene) Southwestern Wyoming and Northwestern Colorado: in Structure and Classification of Paleocommunities, by R. W. Scott and R. R. West. pp. 235-261. Dowden, Hutchinson and Ross, Inc. Houghton R.L., D.L. Fisher, and G.H. Groenewold, 1987, Hydrogeochemistry of the Upper Part of the Fort Union Group in the Gascoyne Lignite stripmining area, North Dakota. U.S. Geological Survey Professional Paper 1340. 104 pp. Hydro-Engineering, 1991a, GAGMO 1991 Annual Report. Prepared for the Gillette Area Groundwater Monitoring Organization. _, 1991b, GAGMO 10-year Report. Prepared for Gillette Area Groundwater Monitoring Organization. 1992, GAGMO 1992 Annual Report. Prepared for the Gillette Area Groundwater Monitoring Organization. 1993, GAGMO 1993 Annual Report. Prepared for the Gillette Area Groundwater Monitoring Organization. _, 1995, GAGMO 1995 Annual Report. Prepared for the Gillette Area Groundwater Monitoring Organization. , 1996a, GAGMO 15-year Report. Prepared for Gillette Area Groundwater Monitoring Organization. 1996b, 1996 GAGMO Annual Report. Prepared for Gillette Area Groundwater Monitoring Organization.

Kerr-McGee Coal Corporation, Jacobs Ranch Mine, WDEQ/LQD Annual Mine Reports, Submitted to the Wyoming Department of Environmental Quality/Land Quality Division, 19801996. __ , 1994, Jacobs Ranch Mine Permit to Mine Application 271- T3 on file with WDEQ/LQD, Sheridan, Wyoming. , 1995, Lease-by-application for the Thundercloud Maintenance Tract, prepared by KMCC April 5,1995.

Law, B.E., 1976, Large-scale compaction structures in the coal/bearing Fort Union and Wasatch Formations, northeast Powder River Basin, Wyoming: in Wyoming Geological Association: Guidebook on geology and energy resources of the Powder River Basin, pp. 221-229. Law, B.E., D.D. Rice, and R.M. Flores, 1991, Coalbed gas accumulations in the Paleocene Fort Union Formation. Powder River Basin, Wyoming: in Coalbed Methane of Western North America: Guidebook for the Rocky Mountain Association of Geologists fall conference and field trip, Stephen D. Schwochowed.

_,1994, GAGMO 1994 Annual Report. Prepared for the Gillette Area Groundwater Monitoring Organization.

6-4

Final EIS, Powder River and Thundercloud Coal Lease Applications

6.0 References Cited Lewis, B.D. and W.R. Hotchkiss, 1981, Thickness, percent sand, and configuration of shallow hydrogeological units in the Powder River Basin, Montana and Wyoming. U. S. Geological Survey Miscellaneous Investigation Series Map 1-1317. Mariah Associates, Inc., 1990, Paleontological survey of areas adjacent to the Rochelle and North Antelope Mines, Campbell County, Wyoming. Prepared for Powder River Coal Company, Gillette, Wyoming, by Gustav Winterfeld, Ph.D., Principal Investigator, under Federal Antiquities Permit #137-WY-PA90, April 1990. __ , 1990, A class III cultural resource inventory of areas adjacent to the Rochelle Mine. Report prepared for Powder River Coal Company. , 1991, A class III cultural resource inventory of areas adjacent to the Rochelle and North Antelope Mines. Report prepared for Powder River Coal Company. Mine Safety and Health Administration, 1997, 645 Database, Wyoming Summary Employment and Injury Information. National Oceanic and Atmospheric Administration, 1969, Climatography of the United States: Asheville, North Carolina, National Climatic Center, Climatological Summaries, No. 20-48. North American Power Group, 1996, Permit Application for Two-Elk Generation Partners, submitted to WDEQ for review. Prepared by TRC Environmental Corporation. North East Wyoming Economic Development Coalition (NEWEDC), 1997, Converse County Community Profile. Oakleaf, B., B. Luce, S. Ritter, and A. Cerovski, 1992, Wyoming bird and mammal atlas. Wyoming Game and Fish Department, Cheyenne, Wyoming. 170 pp. Oedekoven, 0.0. , 1994, Distribution, habitat use, and population dynamics of the Rochelle Hills elk herd, Final Report, Wyoming Game and Fish Department, Gillette, Wyoming. Office of Surface Mining Reclamation and Enforcement, 1980, Noise impact assessment for Rojo Caballo Mine. Unpublished Report prepared by James M. Montgomery, Consulting Engineers, Inc. Aurora, Colorado. __ , 1982, Proposed Mining and Reclamation Plan EIS, North Rochelle Mine, Campbell County, Wyoming. U. S. Department of Interior, Denver, Colorado. 6-5

Martin, L.J., D.L. Naftz, H.W. Lowham, and J.G. Rankl, 1988, Cumulative potential hydrologic impacts of surface coal mining in the eastern Powder River Structural Basin, northeastern Wyoming (CHIA). U.S. Geological Survey, Water Resources Investigations Report 88-4046. Prepared in cooperation with Wyoming Department of Environmental Quality and U. S. Office of Surface Mining, Cheyenne, Wyoming. Martner, B.E., 1986, Wyoming Climate Atlas. Prepared in cooperation with the Wyoming Water Research Center, University of Wyoming.

Final EIS, Powder River and Thundercloud Coal Lease Applications

6.0 References Cited __ , 1984, Correlation and effect of mine facility wells on the Tullock Aquifer in the Gillette, Wyoming, vicinity. Prepared by G.E. McIntosh, C.A. Harrison, and J.V. Wilcox. the North Antelope Mine: Addendum D 11-1 to Permit to Mine Application 532-T4 on file with the WDEQ/LQD, Cheyenne, Wyoming. Powder River Eagle Studies (PRES), 1996, Porcupine Creek Wildlife Baseline Report. Prepared for Powder River Coal Company, Gillette, Wyoming. Revised November 1996. __ , 1997, Personal communication Howard Postovit. with

Olive, W.W., 1957, The Spotted Horse Coalfield, Sheridan and Campbell Counties, Wyoming: U.S. Geological Survey Bulletin 1050. Peacock, Kenneth, 1997, Assessing the Cumulative Impacts of Surface Mining and Coal Bed Methane Development on Shallow Aquifers in the Powder River Basin, Wyoming. Proceedings: American Society for Surface Mining and Reclamation, 14th Annual National Meeting, Austin, Texas, edited by Brandt, J.E., J.R. Galetovic, L. Kost, and J. Trouart, p. 667-676. Planning Information Corporation, 1997, ENCOAL Corporation WISD Request for Waiver of Permit Application, prepared for ENCOAL Corporation. Powder River Coal Company, 1994a, North Antelope Mine Permit to Mine Application 532-T4 on file with WDEQ/LQD, Cheyenne, Wyoming. __ , 1994b, Rochelle Mine Permit to Mine Application 569- T4, on file with the WDEQ/LQD, Cheyenne, Wyoming. , 1994c, North Antelope Mine Air Permit Application MD-143, on file with WDEQ/AQD, Sheridan, Wyoming. 1995, Lease-by-application for the Powder River Maintenance Tract, prepared by PRCC March 23, 1995. , 1996, Alluvial Valley Floor Investigations Within and Adjacent to

Rehm, B.W., G.H. Groenewold, and K.A. Morin, 1980, Hydraulic properties of coal and related materials, Northern Great Plains: Groundwater, v. 18, no. 6, pp. 551-561. Remington, T.E., and C.E. Braun, 1991, How surface coal mining affects sage grouse, North Park, Colorado. Pages 128-132 in R.D. Comer, P.R. Davis, S. Q. Foster, C. V. Grant, S. Rush, O. Thorne, II, and 1. Todd (eds.), Proceedings V: Issues and technology in the management of impacted wildlife. Thorne Ecological Institute, Boulder, Colorado. State of Wyoming, 1987, Investigation of the potential for explosive concentrations of methane to be located at or near-surface in the Rawhide Village/Horizon Subdivision, Campbell County, Wyoming: Office of the Governor, Wyoming Department of Environmental Quality/Land Quality Division, and Wyoming Geological Survey, July 29, 1987. Sundstrom, C.W., G. Hepworth, and K.L. Diem, 1973, Abundance, distribution and food habits of pronghorn. Wyoming Game and Fish Commission,

6-6

Draft EIS, Thundercloud and Powder River Coal Lease Applications

6.0 References Cited Bull. No. 51 pp. 12. Cheyenne, Wyoming, U.S. Geological Survey, 1995, 1995 National Assessment of United States Oil and Gas Resources Circular 1118.

Taylor, D., 1975, Early Tertiary Mollusks from the Powder River Basin, Wyoming and Adjacent Areas. U.S. Geological Survey Open File Report 75:331-507. Thunder Basin Coal Company, Black Thunder Mine WDEQ/LQD Annual Mine Reports, 1980-1996, Submitted to the Wyoming Department of Environmental Quality /Land Quality Division. __ , 1993, Black Thunder Mine WDEQ/LQD State Program permit Application 233- T5, on file with WDEQ/LQD, Cheyenne, Wyoming. , 1996, Air Permit Application for Black Thunder Mine, on file with WDEQ/AQD, Sheridan, Wyoming.

University of Wyoming, 1994, Economic Impact of Coal on Wyoming's Economy. Cooperative Extension Service, Department of Agricultural Economics, College of Agriculture. B987. Wyoming Coal Information Committee, 1997, A Concise Guide to Wyoming Coal. Van Voast, W.A and Reiten, J.C., 1988, Hydrogeologic response--twenty years of surface coal mining in southeastern Montana: Montana Bureau of Mines and Geology Memoir 62. Vogler, P.D., L.L. Larson, and K.T. Mehring, 1995, A review of Wyoming's coal mines and markets: 1994. Wyoming State Geological Survey, Coal Report 95-1. Watson, Mark, 1996, Personal and FAXed communication, Wyoming Oil and Gas Conservation Commission, November 1996. Wilson, R., 1994, Pages 10-11 in Wyoming Wildlife News, Vol. 4, No.3, Wyoming Game and Fish Department. Wyoming Department of Commerce, Energy Section, 1997, personal communication with Ed Schmidt. Wyoming Department of Employment, Research and Planning, 1997, Wyoming Labor Force Statistics. Wyoming Department of Environmental Quality, 1979, Fugitive Dust Emission 6-7

U. S. Army Corps of Engineers, 1987, Corps of Engineers Wetlands Delineation Manual, by the Environmental Laboratory, Department of the Army, Waterways Experiment Station. U. S. Bureau of the Census, USA Counties 1996 CD-ROM. U.S. Fish & Wildlife Service, 1996, Memorandum from Charles P. Davis to BLM Casper District Manager on Powder River Coal Co. and KerrMcGee Coal Corp, LBAs. Written communication, October 17, 1996. Forest Service, 1985, Land and Resource Management Plan, Medicine Bow National Forest and Thunder Basin National Grassland, USDA Forest Service, October 1985.

U.S.

Final EIS, Powder River and Thundercloud Coal Lease Applications

6.0 References Factors. Charles A. Collins and Randolph Wood, Wyoming Department of Environmental Quality, Air Quality Division. Memorandum of January 24, 1979. __ , 1989, Report on Air Quality Monitoring in Wyoming's Powder River Basin, 1980-1988. , 1989-1994, Air Quality Monitoring Data on file in WDEQ offices in Cheyenne, Wyoming. , Land Quality Division, 1996, Guideline No. 17, Permanent Postmining Impoundments.

Wyoming Department of Game and Fish, 1995, District 3 Annual Big Game Herd Unit Reports, Wyoming Game and Fish Department, Cheyenne, Wyoming. __ , 1996, Wildlife Observation System, Wyoming Game and Fish Dept. Publ., Cheyenne, Wyoming.

Wyoming Employment Resources Division, Research and Planning, July 1997, Wyoming Labor Force Trends. Wyoming State Engineer's Office, 1991, Tabulation of Groundwater Rights. Wyoming State Geological Survey, 1996, Wyoming Geo-notes, No. 52, 59pp. __ , 1997, No. 54, 66pp.

Ziegler Coal Holding Company, August 29, 1997, Press release regarding ENCOAL plant.

6-8

Draft EIS, Thundercloud and Powder River Coal Lease Applications

APPENDIX A FEDERAL AND STATE PERMITTING REQUIREMENTS AND AGENCIES

Appendix A
A.ppen diIX A Fd era and St ae Permi tfmg Requiremen t s andA .gencies e t
AGENCY

I
Bureau of Land Management

I
FEDERAL Coal Lease

LEASE/PERMIT/ACTION

Resource Recovery and Protection Plan Scoria Sales Contract Exploration Drilling Permit Forest Service Special Use Permits Contract for Sale of Mineral Materials Office of Surface Mining Reclamation and Enforcement Mining Plan Approval Document Preparation SMCRA Oversight Department of the Interior Mine Safety and Health Administration Bureau of Alcohol, Tobacco and Firearms Mining Plan Approval Safety Permit and Legal I. D. Explosives Manufacturer's License Explosives Use and Storage Permit Federal Communication Commission Radio Permit: Ambulance Mobile Relay System Radio License Nuclear Regulatory Commission Army Corps of Engineers Environmental Protection Agency Department of Transportation Federal A viation Administration Radioactive By-products Material License Authorization of Impacts to Wetlands & Other Waters of the U.S. Hazardous Waste I.D. Number Hazardous Waste Shipment Notification Radio Tower Permit STATE State Land Commission Coal Lease Scoria Lease Department of Environmental Quality-Land Quality Division Department of Environmental Quality-Air Quality Division Department of Environmental Quality-Water Quality Division Permit and License to Mine Air Quality Permit to Operate; and Air Quality Permit to Construct National Pollutant Discharge Elimination System Water Discharge Permit Discharge Permit Permit to Construct Sedimentation Pond Authorization to Construct Septic Tank & Leach Field Authorization to Construct and Install a Public Water Supply and Sewage Treatment System Department of Environmental Quality-Land Quality Division State Engineer's Office Solid Waste Disposal Permit-Permanent and Construction Appropriation of Surface Water Permits Appropriation of Groundwater Permits Industrial Siting Council Department of Health Industrial Siting Certificate of Non-Jurisdiction Radioactive Material Certificate of Registration

Final EIS, Powder River and Thundercloud Coal Lease Applications

A-I

APPENDIXB
UNSUITABILITY CRITERIA FOR THE POWDER RIVER LBA TRACT AND THUNDERCLOUD

LBA TRACT

Appendix B Appendix B. Unsuitability LBA Tract
UNSUITABILITY CRITERIA

Criteria for the Powder River LBA Tract and Thundercloud

FINDINGS FOR THUNDER BASIN NATIONAL GRASSLAND (TBNG) STUDY AREA IUSFS, 1985) TBNG is not part of a national forest and none of the other listed federal lands categories are present within the study area.

VALIDATION FOR POWDER RIVER AND THUNDERCLOUD LBA TRACTS

Federal Land Systems. With certain exceptions that do not apply to these tracts, all federal lands included in the following systems are unsuitable for mining: National Parks, National Wildlife Refuges, National System of Trails, National Wilderness Preservation System, National Wild and Scenic Rivers, National Recreation Areas, Lands through Land and Water Acquired the Conservation Fund, National Forests and federal lands in incorporated cities, towns and villages. Rights-Of-Way and Easements. Federal lands that are within rights-of-way or easements or within commercial, surface leases for residential, industrial or other public purposes, on federally owned surface, are unsuitable for mining.

None of the listed federal lands are present on the Powder River or Thundercloud LBA tracts, and the tracts are therefore not unsuitable for mining.

TBNG contains two rights-of-way that meet the intent of this criterion: BN railroad and the Tri-County 230 Kv transmission line.

The Tri-County 230 Kv transmission line is not on either of the LBA tracts. The BN/C & NW right-of-way is on a portion of the Thundercloud LBA tract. This right-of-way was designated unsuitable for mining in the TBNG Land and Resource Management The lease will be stipulated to Plan. exclude mining within the railroad right-ofway. None of the listed rights-of-way or buildings are on either LBA tract, and the Powder River and Thundercloud LBA tracts are therefore not unsuitable for mining.

Cemeteries, and Public Dwellings, Roads, Buildings. Federal lands within 100 feet of a rightof-way of a public road or a cemetery; or within 300 feet of any public building, school, church, community or institutional building or public park; or within 300 feet of an occupied dwelling are unsuitable for mining. Wilderness Study Areas. Federal lands designated as wilderness study areas are unsuitable for mining while under review for possible wilderness designation. Lands with Outstanding Scenic Quality. Scenic federal lands designated by visual resource management analysis as Class I (outstanding visual quality or high visual sensitivity) but not Register of Natural currently on National Landmarks are unsuitable. Federal lands Land Used for Scientific Study. under permit by the surface management agency and being used for scientific studies involving food or production, natural resources, or fiber technology demonstrations and experiments are unsuitable for the duration of the study except where mining would not jeopardize the purpose of the study. Historic Lands and Sites. All publicly or privately owned places which are included in or are eligible for Inclusion in the National Register of Historic Places and an appropriate buffer zone are unsuitable. Natural Areas. Federal lands designated as natural are areas or National Natural Landmarks unsuitable. Critical Habitat for Threatened or Endangered Plant and Animal Species. Federally designated critical habitat for T or E plant and animal species, and scientifically documented essential habitat for T or E species are unsuitable.

Within TBNG, a school at Wilkinson Ranch headquarters, Wyoming State Highway 59, and 5 ranch headquarters were found to meet the intent of this criterion

No lands within TBNG review area are within a wilderness study area.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining. There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

No lands on TBNG meet the scenic criteria as outlined.

No lands in the TBNG review area are under permit except small enclosures being used to gage reclamation success on existing mines.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

On the basis of the consultation with the State Historic Preservation Office, there were no unsuitable findings under this criterion in the TBNG review area. No lands in the TBNG are designated as Natural natural areas or as National Landmarks. meeting federally There is no habitat designated criterion for T or E plant or animal species within the TBNG review area.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

10. State Listed Species. Federal lands containing habitat determined to be critical or essential for plant or animal species listed by a state pursuant to state law as T or E shall be considered unsuitable. 11. Bald or Golden Eagle Nests. An active bald or golden eagle nest and appropriate buffer zone are unsuitable unless the lease can be conditioned so that eagles will not be disturbed during breeding season or unless golden eagle nests will be moved.

Wyoming does not maintain a state list of T or E species of plants or animals. Therefore, this criterion does not apply.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

The USFS found numerous eagle nests, and It was buffer zones were established. determined that coal leasing can occur within the buffer zone if the nests are protected with stipulations and site mitigation plans. There were no unsuitable findings under this criterion, but lands involved in buffer zones are subject to special lease stipulations.

No active eagle nests are found on either tract. There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

Final EIS, Powder River and Thundercloud Coal Lease Applications

B-1

Appendix B
UNSUITABILITY CRITERIA FINDINGSFOR THUNDER BASIN NATIONAL GRASSLAND (TBNG) STUDY AREA (USFS, 1985) No golden eagle roost or concentration areas occur on the TBNG review area. Mining planned in the review area is not likely to jeopardize the continued existence of the bald eagle. Coal leasing can occur and adequate protection can be provided. There were no unsuitable findings in the TBNG review area. After consultation with the U.S. Fish and Wildlife Service (USFWSI. it was determined that this criterion does not apply in TBNG. VALIDATION FOR POWDER RIVER AND THUNDERCLOUDLBA TRACTS

12. Bald and Golden Eagle Roost and Concentration Areas. Bald and golden eagle roost and concentration areas on federal lands used during migration and wintering are unsuitable unless mining can be conducted in such a way as to ensure that eagles shall not be adversely disturbed. 13. Federal lands containing active falcon (excluding kestrel) cliff nesting sites and a suitable buffer zone shall be considered unsuitable unless mining can be conducted in such a way as to ensure the falcons will not be adversely affected. 14. Habitat for Migratory Bird Species. Federal lands which are high priority habitat for migratory bird species of high federal interest shall be considered unsuitable unless mining can be conducted in such a way as to ensure that migratory bird habitat will not be adversely affected during the period it is in
use.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts
are not unsuitable for mining.

After consultation with the USFWS, it was determined that this criterion does not apply in TBNG.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

15. Fish and Wildlife Habitat for Resident Species. Federal lands which the surface management agency and state jointly agree are fish and wildlife habitat of resident species of high interest to the state, and which are essential for maintaining these priority wildlife species, shall be considered unsuitable. 16. Floodplains. Federallands in riverine, coastal, and special floodplains shall be considered unsuitable where it is determined that mining could not be undertaken without substantial threat of loss of life or property.

Sage grouse leks were found on and near the TBNG review area. However, methods of mining can be developed which will not have a significant long-term impact on the grouse or their habitat. Therefore, the areas involved in leks and buffer zones are not unsuitable. After consultation with the U.S. Geological Survey, it was determined that floodplains can be mined with site specific stipulations and resource protection safeguards to be developed during mining and reclamation planning. Therefore, all lands within the TBNG review area are not unsuitable for
mining.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts
are not unsuitable for mining.

There are no unsuitable findings, and the Powder River and Thundercloud LBA tracts are not unsuitable for mining.

17. Municipal Watersheds. Federal lands which have been committed by the surface management agency to use as municipal watersheds shall be considered unsuitable. 18. National Resource Waters. Federal lands with national resource waters, as identified by states in their water quality management plans, and 1/4mile buffer zones shall be unsuitable. 19. Alluvial Valley Floors. All lands identified by the surface management agency, in consuitation with the state, as AVFs where mining would interrupt,
discontinue or preclude farming, are unsuitable.

There are no municipal watersheds in the TBNG review area.

There

are no national

resource

waters

within

the TBNG review area.

Additionally, when mining federal lands outside an AVF would materially damage the quality or quantity of water in surface or underground water systems that would suppiy AVFs, the land shall be considered unsuitable. 20. State or Indian Tribe Criteria. which is applicable a criterion state or Indian tribe located in and adopted by rulemaking by unsuitable. Federal lands to proposed by the the planning area the Secretary are

Lands along prominent drainages were considered potential AVFs pending a final determination by the state. These lands are placed in an "available pending further study" category and are not considered unsuitable.

The State will make a final determination during the mine permit application review
process. No heretofore undisturbed stream

valleys are included in either LBA tract. and there is no unsuitability finding.

The state has no applicable criteria and there is no Indian tribe located in or near the planning area. Therefore there is no unsuitability finding.

There are no unsuitable findings for this criterion on either LBA tract.

B-2

Final EIS, Powder River and Thundercloud Coal Lease Application

APPENDIX C COAL LEASE-BY-APPLICATION FLOWCHART

Appendix C

COAL LEASE-BY -APPLI CATION
BLM STATE OFFICE RECEIVES APPLICATION
~

Adjudicator evaluates applicant's qualifications Confirms emergency (if applicable)

DM HOLDS PUBLIC HEARING

,"
Applicant submits/ Adjudicator reviews surface owner consent agreement(s) (if necessary)

State Director (SD) notifies Governor and Regional Coal Team of application

•

District Manager (DM) ensures that application is in conformance with Land Use Plan (LUP) Minerals Staff receives application and prepares report on maximum economic recovery

,
SD consults with Surface Management Agency, Governor, Attorney General, and Indian Tribes

,bY

+
,
DM recommends amendment of LUP and/or modification of application area DM prepares site-specific Environmental Analysis

SD MAKES DECISION

•

TO HOLD SALE

TO REJECT THE APPLICATION

DM prepares Environmental Analysis of LUP amendment and application

Final EIS, Powder River and Thundercloud Coal Lease Applications

C-l

APPENDIXD
BLM SPECIAL COAL LEASE STIPULATIONS, FOREST SERVICE STIPULATIONS, AND FORM 3400-12 COAL LEASE

Appendix D

SPECIAL COAL LEASE STIPULATIONS In addition to observing the general obligations and standards of performance of current regulations, the lessee shall comply with and be bound by the following stipulations. These stipulations are also imposed on the lessee s agents and employees. Failure or refusal of any of these persons to comply with these stipulations shall be deemed a failure of the lessee to comply with the terms of the lease. The lessee shall require agents, contractors, and subcontractors involved in activities concerning this lease to include these stipulations in the contracts between and among them. These stipulations may be revised or amended, in writing, by the mutual consent of the lessor and the lessee at any time, to adjust to changed conditions or to correct an oversight.
I

,\ r

recommendations for protection of any cultural resources identified shall be submitted to the Assistant Director of the Western Support Center of the Office of Surface Mining, the BLM AO (if activities are associated with the coal exploration outside an approved mining permit area) and the AO of the surface managing agency, if different. The lessee shall undertake measures, in accordance with instructions from the Assistant Director or AO to protect cultural resources on the lease lands. The lessee shall not commence the surface-disturbing activities until permission to proceed is given by the Assistant Director or AO. (2) The lessee shall protect all cultural resource properties within the lease area from lease-related activities until the cultural resource mitigation measures can be implemented as part of an approved mining and reclamation plan or exploration plan. (3) The cost of conducting the inventory, preparing reports, and carrying out mitigation measures shall be borne by the lessee. (4) If cultural resources are discovered during operations under this lease, the lessee shall immediately bring them to the attention of the Assistant Director or AO of the surface managing agency. The lessee shall not disturb such resources except as may be subsequently authorized by the Assistant Director or AO. Within two working days of notification, the Assistant Director or AO will evaluate or have evaluated any cultural resources discovered and will D-l

CULTURAL

RESOURCES

(1) Before undertaking any activities that may disturb the surface of the leased lands, the lessee shall conduct a cultural resource intensive field inventory in a manner specified by the authorized office of the Bureau of Land Management (BLM) or of the surface managing agency, if different, on portions of the mine plan area and adjacent areas or exploration plan area that may be adversely affected by lease-related activities and which were not previously inventoried at the required level of intensity. The cultural resources inventory shall be conducted by a qualified professional cultural resource specialist (i.e., archeologist, historian, or historical architect, as appropriate) and authorized officer (AO) of the surface managing agency (BLM, if the surface is privately owned), and a report of the inventory and

Final EIS, Powder River and Thundercloud Coal Lease Applications

Appendix D

determine if any action is required to protect or preserve such discoveries. The cost of data recovery for cultural resources during lease operations shall be borne by the surface managing agency unless otherwise specified by the BLM AO or the surface managing agency AO (if different). (5) All cultural resources shall remain under the jurisdiction of the United States until ownership is determined under applicable law. PALEONTOLOGICAL RESOURCES

production. BLM retains complete authority to alter and/or modify coal operations or oil and gas operations on lands covered by federal leases so as to obtain maximum resource recovery of either or both resources with due regard to valid existing rights. RESOURCE PROTECTION RECOVERY AND

If a paleontological resource, either large and conspicuous and/or of significant scientific value, is discovered during any surfacedisturbing activities, the find will be reported to the AO immediately. Surface-disturbing activities will be suspended within 250 ft of said find. An evaluation of the paleontological discovery will be made by a BLM-approved professional paleontologist within five working days, weather permitting, to determine the appropriate action(s) and prevent the potential loss of any significant paleontological value. Operations within 250 ft of such a discovery will not be resumed until written authorization to proceed is issued by the AO. The lessee will bear the cost of any required paleontological appraisals, surface collection of fossils, or salvage of any large conspicuous fossils of significant interest discovered during the operation. OIL AND GAS RESOURCES The BLM realizes that coal mining operations conducted on leases issued within producing oil and gas fields may interfere with the economic recovery of oil and gas; just as oil and gas leases issued in a coal lease may inhibit coal

Any proposed bypass of federal coal determined to be economically recoverable must have the written approval of the BLM AO in the form of an approved modification to the Resource Recovery and Protection Plan (R2P2) prior to the federal coal being bypassed (43 CFR 3482.2[c][2]). Failure to comply with this requirement shall result in the issuance of a Notice of Noncompliance by the AO. The Notice of Noncompliance will include the amount of damages to be assessed for the unauthorized bypass of federal coal as determined by the AO. The amount of damages, at a minimum, will be the amount of royalty to be assessed as determined by the AO to compensate the federal government for the unauthorized bypass federal coal. PUBLIC LAND SURVEY PROTECTION The lessee will protect all survey monuments, witness corners, reference monuments, and bearing trees against destruction, obliteration, or damage during operations on the lease area. If any monuments, corners or accessories are destroyed, obliterated, or damaged by this operation, the lessee will hire an appropriate county surveyor or registered land surveyor to re-establish or restore the monuments, corners, or accessories at the same location, using surveying procedures in accordance with the Manual of Surveying Instructions for the Survey of Public Land of the United States.

D-2

Final EIS, Powder River and Thundercloud Coal Lease Applications

Appendix D

The survey will be recorded in the appropriate county records, with a copy sent to the AG.

RAILROAD RIGHT-OF-WAY
No mining activity of any kind may be conducted within the Burlington Northern/Chicago and Northwestern railroad right-of-way. The lessee shall recover all legally and economically recoverable coal from all leased lands not within the foregoing rightof-way. Lessee shall pay all royalties on any legally and economically recoverable coal which it fails to mine without the written permission of the Authorized Officer.

Final EIS, Powder River and Thundercloud Coal Lease Applications

D-3

Serial Form :HOO·I:: (APnl 191:l~l
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Final EIS, Powder River and Thundercloud Coal Lease Applications

E-l

APPENDIX F

u.s.

FOREST SERVICE, REGION 2 SENSITIVE SPECIES

Appendix F
U.S. FOREST SERVICE, REGION 2, SENSITIVE SPECIES FISH • Flathead chub (Hybopsis gracilis). The flathead chub is common in most drainages east of the Continental Divide. Within the boundaries of the Thunder Basin National Grasslands (TBNG), flathead chub have been collected along perennial reaches of Antelope Creek, the Cheyenne River, and the Little Powder River. Typically, flathead chub occur in large silty rivers and seldom in ponds or in lakes. Plains topminnow (Fundulus sciadicus). In Wyoming, the plains topminnow is found in streams of the North and South Platte drainages, in the Niobrara River, and in headwaters of the Cheyenne River system. It usually inhabits clear, sand- or gravel-bottomed streams with considerable vegetation.

•

REPTILES AND AMPHIBIANS • Northern leopard frog (Rana pipiens). The northern leopard frog is found throughout Wyoming and is relatively common. The frog is found in or near permanent water with associated vegetation. On occasion, this frog is found near temporary ponds several miles from permanent water. The northern leopard frog rests near pond and lake margins. During the summer months, it may be found foraging actively in protected places among sedges, cattails, and taller grasses. Tiger salamander (Ambystoma tigrinum). Tiger salamanders are found throughout Wyoming from the lowest elevations to about 10,000 feet. They require a fairly moist environment and seek out places that provide a refuge from the drying influence of sun and wind. Transformed individuals are primarily terrestrial, migrating to ponds and lakes in the spring to breed and remaining there through most of the summer. Larvae may be found in intermittent streams and stockponds, as well as lakes and ponds. Milk snake (Lampropeltis triangulum). Milk snakes are found under flat stones, decaying logs and stumps, boards, or other debris. They may be found in prairie systems, river bottoms (broadleaf woodlands), rocky hillsides, and coniferous forests.

•

MAMMALS • Swift fox (Yulpes velox). The swift fox is a yearlong resident in upland grasslands habitats of the TBNG. It prefers grasslands without shrubs and open areas with loose enough soils for burrowing.

BIRDS • American bittern (Botaurus lentiginosus). The American bittern is a summer resident that occasionally may occur on the TBNG. The bird's habitat is marshes, swamps, reedy lakes, slowmoving rivers, moist meadows, and dense riparian thickets. Western yellow-billed cuckoo (Coccyzus americanus). This bird is found in cottonwood or willow/riparian areas. Greater sandhill crane (Grus canadensis). The sandhill crane is a summer resident. The nesting habitat consists primarily of marshes, wet-moist meadow grasslands, sedge meadows. An open area with shallow water and, in places, dense vegetation such as willows, sedges, grasses, or rushes is optimal. Long-billed curlew (Numenius americanus). The long-billed curlew is a summer resident in sagebrush-grasslands. It prefers open areas of shortgrass flats with a few shrubs for nesting.

•

Final EIS, Powder River and Thundercloud Coal Lease Applications

F-l

Appendix F
• Ferruginous hawk (Buteo regalis). The ferruginous hawk is a summer resident of the TBNG. Individuals of this species nest in rock outcrops, on the ground, in a bank, or in coniferous trees. On the TBNG, most ferruginous hawks are ground nesters and are found throughout the grasslands. White-faced ibis (Plegadis chihi). White-faced ibis are uncommon summer residents in wetland areas of the plains. Habitat is almost exclusively ponds, marshes, muddy pools, stream margins, and river banks for breeding, feeding, and resting. Nesting habitat includes bulrushes or cattails, occasionally on the ground on an island. Common loon (Gavia immer). The common loon is found along rivers or near lakes or ponds with deep water and vegetation up to the water's edge. Merlin (Falco columbarius). The merlin is a year-round resident which uses a variety of habitats. Merlins prefer open areas to hunt and primarily coniferous forests in which to nest. They also may be found in deciduous woodlands along rivers. In winter, they frequent open parklands and prairies with a few scattered trees. Western burrowing owl (Athene cunicularia). Burrowing owls are summer residents in the area. They commonly use vacant prairie dog burrows in shortgrass areas and other vacant burrows such as rabbit or badger holes in upland grassland areas with few shrubs. Loggerhead shrike (Lanius ludovicianus). The loggerhead shrike is a summer resident in upland sagebrush shrubland/grasslands and is also found in pine-juniper woodlands. Shrubs and lookout perches adjacent to feed areas are important to this species. Fox sparrow (Passerella iliaca). Fox sparrows are year-round residents on the TBNG. They inhabit native riparian shrub with adjacent coniferous forest or woodland-chaparral, as well as burned coniferous and logged/thinned forests, aspen woodland, and willow thickets. Black-backed woodpecker (Picoides arcticus). This woodpecker is a yearlong resident. Its habitat includes coniferous forests, especially forests that have burned. It nests in cavities in conifers. Mountain plover (Charadrius montanus). The mountain plover is a summer resident of the shortgrass and mid-grass grasslands. Plovers prefer bare ground or grassy areas without shrubs and vegetative height under 4 inches. Shortgrass habitats modified by prairie dogs, fire, or heavier grazing are frequently selected for nesting. Mountain plovers prefer sites with broad level topography. Upland sandpiper (Bartramia longicauda). The upland sandpiper is a summer resident on the TBNG. Its habitat is upland grassland with few shrubs, and it nests in a depression on open ground, feeding in open areas where visibility is good. Baird's sparrow (Ammodramus bairdii). Baird's sparrow is a summer resident on the TBNG. It frequents upland grasslands and is a ground nester in open prairie. Black tern (Chlidonias niger). The black tern is a summer resident of the TBNG. Black terns inhabit freshwater marshes, wet meadows, and marshy lakes and nest on a floating mat of dead vegetation, often on a muskrat house. Lewis' woodpecker (Melanerpes lewis). Lewis' woodpecker is a summer resident of the TBNG. Its habitat is cottonwood riparian areas and open ponderosa-pine or pine-juniper coniferous forests. Both dead and live trees are used for nest sites and as foraging perches. Scattered snags or live trees and brushy undergrowth must be available. INVERTEBRATES • There are no sensitive invertebrate species or potential habitat known to occur within this portion of the TBNG at this time.

•

• •

•

F-2

Final EIS, Powder River and Thundercloud Coal Lease Applications

APPENDIX G
SELECTED PLATES FROM "A STUDY OF TECHNIQUES TO ASSESS SURFACE AND GROUNDWATER IMPACTS ASSOCIATED WITH COAL BED METHANE AND SURFACE COAL MINING, LITTLE THUNDER CREEK DRAINAGE, WYOMING"

APPENDIXH
COMMENT LETTERS AND RESPONSES

IN REPLY REFER TO:

WY-450 ENV-6.00

SEP 22 1997
MEMORANDUM Bureau of Land Management, Casper District Street, Casper WY 82601 Attention: Ms. Nancy Doelger John H. Lawson Area Manager, Mills WY Draft Environmental Impact Statement (EIS) of the Powder River Coal Lease Application and Thundercloud Coal Lease Application Office, 1701 East E

To:

From:

Subject:

Thank you for providing the Bureau of Reclamation (Reclamation) Wyoming Area Office (WYAO) with the opportunity to comment on the above-mentioned subject. Our Office has reviewed the draft EIS, and it was noticed that the Lease-ByApplication tracts are located within the Cheyenne River basin. Reclamation's Angostura Reservoir, under administration by Reclamation's Dakotas Area Office (DKAO), is situated on the Cheyenne River in South Dakota. As this is the case, the WYAO and DKAO must be notified of any change in water quality and quantity at the Wyoming-South Dakota state line. In addition, any change in water quality and quantity of water in the Cheyenne River must be addressed in the EIS. If we can be of further assistance, please let u~ know.

cc:

U.S. Bureau of Reclamation Dakotas Area Office Dennis Breitzman, Area Manager P.O. Box 1017 Bismarck ND 58502

DEPARTMENT OF THE ARMY
CORPS OF ENGINEERS, OMAHA DISTRICT 215 NORTH 17TH STREET OMAHA, NEBRASKA 68102-4978
REPLY TO ATIENTIONOF

October

8, 1997

97 OCT I 4 PH I: 35

Wyoming Regulatory Office 2232 Dell Range Blvd., suite 210 Cheyenne, wyoming 82009

Ms. Nancy Doelger Bureau of Land Management Casper District Office 1701 East "E" street Casper, wyoming 82601 Dear Ms. Doelger: This is in response to your agency's request for comments on the Draft Environmental Impact statement for the Powder River Coal Lease Application and Thundercloud Coal Lease Application received August 20, 1997. A review of the provided information indicates that the document accurately reflects the need for authorization in accordance with Section 404 of the Clean Water Act. The Corps of Engineers regulates the discharge of dredged and fill material into wetlands and other waters of the united states primarily under the authority of the Clean Water Act. As the EIS states, the Corps requires that a detailed delineation and identification of all waters of the U.S. (including wetlands) contained in the mine permit area needs to be accomplished prior to receiving authorization for surface coal mining activities. Kerr-McGee Coal Corporation submitted a jurisdictional delineation of wetlands and other waters of the u.s. on the Thundercloud Tract on July 10, 1997. A september 8 & 9, 1997 site visit resulted in minor revisions to that delineation. Based upon the information submitted and the referenced site visit, it has been determined that the wetland and waters of the u.s. delineation lines shown on the plan entitled, "Wetlands and Other Waters of the united states Inventory," consisting of 1 sheet, dated 9-29-97 with no revisions, and as clarified in Addendum 010 Wetlands and Other Waters of the u.s. Inventory, Kerr-McGee Coal corporation, Thundercloud Tract, dated september 1996, and revised september 1997, are an accurate depiction of wetlands and waters of the United States contained in the Thundercloud Tract. The delineation identifies a total of 104.39 acres of waters of the u.s. of which 56.65 acres are wetlands. There is an additional 0.97 acres of non-jurisdictional wetlands also contained in the tract. Totals in section 3.8 of the EIS should be modified to reflect these numbers.

Printed on

Recycled

Paper

-2-

No request has been made for the proposed Application tract but one is anticipated.

Powder

River

Coal

section 4.5.7 on page 4-44 states that no cumulative are expected to occur. The document should justify that conclusion. The Jacobs Ranch Mine has been authorized to impact over 90 acres of waters of the u.s. (80 acres which are wetlands). The Rochelle and North Antelope Mines have been authorized to impact 21 and 5 acres, respectively. Although it is anticipated that all wetlands and other waters will eventually be re-established through mitigation techniques, there is a period of time where wetland functions are lost. Additionally, reclamation of the mine site may not replace exact functions ~~d landscape f9a~ures which should be a consideration in cumulative effects evaluations. Thank you for the opportunity to comment on the EIS. If you have any questions concerning this matter, please contact Chandler Peter at (307) 772-2300. Please refer to File No. 199740368 in any future correspondence. sincerely,

dv Copies furnished:

L, .Matthe~

(;(Uv(,;..&-4J

/7;:/

I .... ..

-Bi

odeau

Program Manager Wyoming Regulatory

Office

Darryl Maunder Kerr-McGee Coal Corporation Caller Box 3013 Gillette, Wyoming 82717 Jim Orpet Intermountain Resources P.O. Box 1589 Laramie, Wyoming 82073

POWDER RIVER BASIN RESOURCECOUNCil
23 North Scott •• Sheridan, WY 82801 •• (307) 672-5809

October 27, 1997

FAX TRANSMISSION

Ms. Nancy Doelger Bureau of land Management Casper District Office 1701 East E Street Casper, Wyoming 82601

;

.. '

RE: Comments on the EIS for the Powder River Coal lease Application and the Thundercloud Coal lease Application Dear Ms. Doelger, The Powder River Basin Resource Council is a membership based organization dedicated to the conservation of our unique land, minerals, water and clean air consistent with the reasonable use of these resources to sustain the livelihood of present and future generations. We are also dedicated to the preservation and enrichment of our agricultural heritage and rural lifestyle. The organization also has a longstanding concern and involvement in coal leasing and development. The Proposed Action: The Environmental Impact Statement (EIS) notes that under the proposed action the Powder River Coal Company would acquire 4,023.46 acres and an estimated 489 million tons of federal coal. The Kerr McGee Coal Company would acquire 3,395.91 acres and an estimated 427 million tons. These seem to be unusually large lease by application tracts. Has the BlM issued tracts to one company this size before? If so, when? in the case of the North Antelope and Rochelle mines this tract wi!! secure an additional 7 to 8 year supply of coal at their projected levels of production. In the case of Kerr McGee. the proposed lease would ensure 12 to 13 years of coal at their projected levels of production. How many years of coal reserves do they currently have? When was the last coal lease sold to these mines? How long were those reserves projected to last? Why are they coming back so soon to lease again? Why does the BlM need to supply this large coal reserve? Why not make it smaller and lease later when the price of coal could be higher?

Environmental Consequences

Groundwater:

We believe that the EIS is deficient in the analysis of the impacts to groundwater. On page 4-36 the document refers to a groundwater drawdown study and model that was to be conducted as part of a cooperative agreement signed in 1993. The results of this study are not included and the document states they are being edited. Moreover, that study did not take into account mining all the existing leases or proposed leases nor is that analyzed in this EIS. Rather, the BLM attempts to abdicate this responsibility to the state in the permitting process. In the analysis that was done by the coal companies please explain how the data was extrapolated and what independent analysis was done to verify the data. Also, no drawdowns were modeled for the Wasatch aquifer. Why not? What are the impacts on the lower Fort Union aquifer. This aquifer becomes more critical and used as the coal aquifer is depleted yet, the EIS did not include any modeling or projected impacts on the Fort Union aquifer. We are particularly concerned about the overlapping impacts of coal mining and coal bed methane development. We understand that additional coalbed methane development is planned in this area. We are concerned about the quality of groundwater after mining. On page 4.44, the EIS discusses several analyses of wells completed in spoil aquifers that were conducted by the mines. Some of these analyses are outdated and any recent ones had Total Dissolved Solid (TDS) levels ranging from 400 to 25,000 mg/L. How many backfill wells were tested in the 1996 Gillette Area Groundwater Monitoring Organization (GAGMO) a report? Has there been any independent testing? What water replacement requirements exist when the water is unfit for domestic or livestock purposes? Why didn't the EIS do some independent analysis of cumulative groundwater impacts? We have requested an on-the-ground tour of the proposed lease areas and may have additional comments to submit regarding habitat impacts, cultural resources or other issues. Thank you for this opportunity to comment

~:'~
\~

Dave Stueck PRBRC Member

Nancy Deolger Powder RiverfThundercioud DEIS October 28, 1997 Page Two

Department, and the State Geological Survey for your review, I trust you will give them careful consideration. Thank you for the opportunity to comment.

' 1;
,~ JM:jh Enclosures

Sincerely,

f11~. t7/'-

(Jim Magagna, Director Office of Federal Land Policy

WYOMING

GAME AND FISH DEPARTMENT
Jim Geringer, Govemor

John Bauqhman,

DiradOr

October 7, 1997

WER 8754 Bureau of Land Management Casper District Office Draft Environmental Impact Statement Powder River and Thundercloud Coal Lease Applications SIN: 97-140 Campbell County

WYOMING STATE CLEARINGHOUSE OFFICE OF FEDERAL LAND POLICY ATTN: JULIE HAMIL TON HERSCHLER BUILDING, 3W CHEYENNE, WY 82002 Dear Ms. Hamilton: The staff of the Wyoming Game and Fish Department has reviewed the Draft Environmental Impact Statement for the Powder River and Thundercloud Coal Lease Applications. We offer the following comments. 1. Public Land Access, Powder River Lease. If the proposed lease is issued. there will be a loss of accessible public land along the Piney Canyon Road. This area receives use by the public for hunting and other wildlife-based recreation. Section 4.3.11 states Powder River Coal Company has agreed to help the U.S. Forest Service finance land exchanges within the area to acquire more accessible public land. As more information becomes available, the amount and location of lands to be acquired should be identified. If there is still a net loss of accessible public land or wildlife-based recreation opportunities, the Bureau of Land Management should assure these losses are mitigated. Cumulative Impacts. From a wildlife habitat perspective, we believe the attempt to minimize the potential cumulative impacts (Section 4.5, third paragraph, p 425) is misleading. We agree the numbers of acres and type of vegetation disturbed would vary from year to year. However, until the habitat is restored to pre-mine condition, the habitat function may not be restored. This is especially true for areas of medium to high shrub density. Therefore, the impact from mining is cumulative until the habitat function is restored.

Headquarters:

5400

Bishop Boulevard. Cheyenne, FAX nO') 777·4610

WY 62006·0001

GEOWGICAL SURVEYaOMe>

WYOMING
(307) 706-2286
II

STATE
II

GEOLOGICAL

SURVEY

Cl
Govorf\Ol JlI'i'I GtrlnQlII DoYQlol fl, Dow Phlilp L Duboll <:lory p. Glol!

P,o, BOX 3008

LARAMIE, WYOMING 82071-3008

FAX 307-760-4!OUb " E-MAIL wsgs@Wsgs,uwyo,edu
Sf A rE (JiEOLOGI5T· Gary D, GIQSs

Appointed
Nnr.ry M nMI~ Ronald A. llaUQh

Victor R,Iim/urlMr SI.PM"

CI\otItI M, lOve ~' POYM

COllrt M. Lymon

S£CTION HEADS

GeoloQIc Mwurds JONI&tC. Calli

GIKI/Qt:llc

MODDIn"

{flOUI/rlnl MI""m/ubI_III!'".

Richard W, Jonal

October 13, 1997

MEMORANDUM
TO: Julie Hamilton, Wyoming State Clearinghouse

FROM: Gary B. Glass, P.O., State Geologist SUBJECT:

Draft Environmental Impact Statement for the Powder River Coal Lease Application (WYW136142) and
Coal Lease Application
(WYW 136458)

Thundercloud

(State Identifier # q7 -140) We have the following comments regarding this document: First, we support both of these proposed coal lease sales. There is a growing need for the low-sulfur, compliant coal in

these leases. This need and the importance of the coal mining
industry to Wyoming are addressed in the document. So is the need tu lease these tracts as expeditiously as possible. There was mention of chemical changes to the soil as a result

of mining. Do the changes pose any documented or potential
problems that need discussion?

StMI{"g

Wyomillg

Sil/ce 1933

There is some potential for finding significant mammalian fossils in the Wasatch and Fort Union outcrops in the lease areas. The document addresses this potential and notes that

paleontologic surveys have been completed on the Powder River tract. Are there plans for a similar study of the
Thundercloud tract? On page 3-8 t the average analysis of the Wyodak coal reportedly taken. Irorn Glass and Jones (1992) is incorrect. The volatile matter should.be ~O.7%, and the moisture content 29.8%. The analysis was also on an as-received basis,

therefore, the moisture content is not an "equilibrium
moisture". In regard to the section on bentonite (p. 3-10)t this clay is not
used in the rnarrufacttrre of concrete. Bentonite is also not

found in the Tertiary units that crop out on or near the teAse tracts.

Because Wyoming has passed legislation requiring the licensure of geologists practicing before the public, it would be appropriate to identify those licensed individuals listed in
Table 5-2 on pages 5~3and 5
"1.

POWDER

RIVER BASIN RESOURCE COUNCIL
Sheridan, WY 82801 • (307) 672-5809 (307) 358-5002

23 North SCott.

P.O. Box 1178 • Douglas, WY 82633.

UJ -.l

December 1, 1997

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Ms. Nancy Doelger Bureau of Land Management Casper District Office 1701 East E Street Casper, Wyoming 82601

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RE: Additional Comments regarding the EIS and the proposed coal leases for Powder River Coal Company and the Kerr McGee Coal Company Dear Ms. Doelger: The Powder River Basin Resource Council has the following additional questions and comments concerning the above referenced leases since our tour of the proposed lease areas on November 6th. First, it became clear from the tour that there is a real question about the need for leasing, particularly in the case of the Thundercloud tract. According to Kerr McGee's representative Mr. Turpin, Kerr McGee has not mined the 132 million tons of coal they leased in 1992. This being the case we want to see more justification for the need to lease this tract at this time? It seems the answer lies in the fact that the opportunity for competitive bidding is much less, according to Mr. Gaskill of the BLM, because ARCO is getting out of the coal business and the adjacent Thunderbasin mine is up for sale. Therefore the chance of any competitive bidding is not very likely. It appears that the decision to place the Thundercloud tract up for lease is opportunistic and not a true or urgent need to maintain current production levels. Please include details and facts that justify the need for these leases. Both companies say they need them to meet contracts yet, we see no proof of that. Please include maps in the final EIS showing previous lease tracts and current mined out or mining areas. These leases appear to be speculative in nature and with the price of coal so low why is the BLM leasing at the time? Please discuss how the BLM values or prices the coal? Is the coal priced on the basis of overburden? How has the BLM considered or analyzed delaying leasing until the price of coal improves or competition improves? Please include some discussion of the important issue of getting the best value for this public resource.

recycled paper

There also needs to be a more detailed discussion in the EIS on the public lands that will be taken out of public use that are currently used for recreation and hunting. How many public surface lands are involved and what sort of mitigation is proposed? Please included a better description of the cultural resources in these lease areas and mitigation plans for the sites. Thank you. Sincerely,

~M;J
~

Dave Stueck PRBRC Member

SUMMARY OF RATING DEFINITIONS AND FOLLOW.up Environmental Impact of the Action
La-Lack of Objections

ACTION

The EPA review has not identified any potential environmental impacts requiring substantive changes to the proposal. The review may have disclosed opportunities for application of mitigation measures that could be accomplished with no more than minor changes to the proposal. EC.Enyjronmental Concerns

The EPA review bas identified environmental impacts that should be avoided in-order to fully protect the environment. Corrective measures may require changes to the preferred alternative or application of mitigation measures that can reduce the environmental impact. EPA would like to work with the lead agency to reduce these impacts. EQ.Enyjrpnmemal Objectjons

The EPA review has identified significant environmental impacts that must be avoided in order to provide adequate protection for the environment. Corrective measures may require substantial changes to the preferred alternative or consideration of some other project alternative (including the no action alternative or a new alternative). EPA intends to work with the lead agency to reduce these impacts. ED.Environmentally Unsatisfactorv

The EPA review has identified adverse environmental impacts that are of sufficient magnitude that they are unsatisfactory from the standpoint of environmental quality, public health or welfare. EPA intends to work with the lead agency to reduce these impacts. If the potential unsatisfactory impacts are not corrected at the final EIS stage. this proposal will be recommend for referral to the Council on Environmental Quality (CEQ).

Adequacy of the Impact Statement
Category I.Adequate EPA believes the draft EIS adequately sets forth the environmental impactts) of the preferred alternative and those of the alternatives reasonably available to the project or action. No further analysis or data collection is necessary, but the reviewer may suggest the addition of clarifying language or information. Category 2-Ip

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