Free Sur-Reply - District Court of Federal Claims - federal

Case 1:03-cv-00178-CCM

Document 70-4

Filed 10/12/2006

Page 1 of 1

Wharton Property Coal Reserve Estimate Based upon electronic re-calculation of Mineral Associates, Inc. Report
Seam Surface Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams Seam Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams Seam Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams Area (acres) Underground 1,462 974 778 550 1,750 1,076 10,642 14,615 14,615 19,682 26,782 Total 2,436 1,328 1,750 11,719 29,231 46,463

In-Place Resources (tons) Surface Underground 4,706,546 5,092,426 2,030,348 3,236,625 6,429,466 5,398,021 54,083,629 1,107,237 66,973,497 19,671,618 129,386,178 Recoverable Reserves (tons) Surface Underground 4,235,892 2,546,213 1,827,313 1,618,312 5,786,519 4,858,219 27,041,815 996,513 33,486,748 17,704,456 64,693,089

Total 9,798,973 5,266,972 6,429,466 59,481,651 68,080,733 149,057,795

Total 6,782,105 3,445,625 5,786,519 31,900,034 34,483,261 82,397,545

Seam Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams Total all seams sterilized reserves (too small or remote for mining)

Recoverable Reserves Contained Within Wharton Property & Rock Creek Watershed Boundary (tons) Surface Underground Total 1,811,415 749,267 2,560,682 694,349 426,365 1,120,715 5,388,122 5,388,122 2,901,266 13,056,943 15,958,209 25,302 17,200,461 17,225,763 10,820,454 31,433,036 42,253,490 667,224 4,948,847 5,616,070

Seam Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams

After Removal of Reserves in Watershed the Following Reserves are Viable For Permitting and Mining (tons) Surface Underground Total 2,418,097 1,796,946 4,215,043 1,085,222 497,713 1,582,935 1,742,249 12,740,993 14,483,242 971,211 13,275,553 14,246,764 6,216,778 28,311,206 34,527,984

Seam Total Morgan Springs & Richey Ridge Total Lantana Total Sewanee Total Richland Total Nelson Total all seams

Total Reserves Affected by Watershed Removal (tons) Surface Underground Total 1,817,794 749,267 2,567,062 742,091 1,120,599 1,862,690 5,786,519 5,786,519 3,115,971 14,300,821 17,416,792 25,302 20,211,195 20,236,497 11,487,678 36,381,883 47,869,561

Notes: Coal reserves based up coal density of 80 pounds per cubic foot Surface mineable recovery estimated at 90% Underground mineable recovery estimated at 50% All reserves based on mineable seam locations from Jan 10, 1982 Mineral Associates, Inc reserve report. All seam locations copied and re-calculated using AutoCad areas and Mineral Associates coal thickness data