Sediments of the Upper Pottsville Mary Lee coal zone are Lower Pennsylvanian in age and comprised of cyclic sequences that include sandstone, siltstone, shale, and coal. Located within the middle of the Black Warrior Basin stratigraphic sequence, the Mary Lee and Blue Creek horizon is situated below drainage throughout the Property and is accessed by shafts. The lithologic variability of the Mary Lee - Blue Creek sequence and enclosing strata: > The New Castle seam is present approximately 20 to 50 feet above the Mary Lee seam. > Lithologic composition if the roof strata varies throughout the Property but consists primarily of a coarsening-upward sequence of shale on sandy shale, with occasional sandstone channels located within the immediate or main roof of the Mary Lee seam. > In areas where sandstone occupies the immediate roofof the Mary Lee seam, seam scouring may locally occur. Where sandstone channels are present within 4 to 6 feet above the Mary Lee (roof bolt horizon), there is potential for increased drawrock conditions and roof instability beneath the sandstone/shale contact. > Areas where the combined thickness of the Mary Lee - Blue Creek horizon is less than a minimum continuous miner cutting height (7.0 feet) are shown, which as a result, roof (and/or floor) strata are expected to be excavated as out-of-seam dilution (OSD). > Thickness and composition (shale, carbonaceous shale, fireclay, and sandy shale) of the stratum comprisingthe Middleman is variable. > A ........

Mine No. 4, along with Mine No. 7, are currently Warrior Met`s only longwall operations. The longwall shearing machine is used for extraction of coal an the production face. A chain conveyor is used to remove coal from the longwall face for discharge onto the conveyor belt which then ultimately delivers it to the skip systems. Development or the longwall is conducted by the extraction of coal from the production faces using continuous miners an haulage using shuttle cars to a feeder-breaker located as the tail of the section conveyor belt. The feeder-breaker crushes large pieces of coal and rock and regulates coal feed onto the mine conveyor. Roof-bolting machines are used to support the roof on a development sections of the longwall mine. Roof-bolting machines are used to install roof bolts, and battery scoops are available to clean a mine entries and assist in delivery of mine supplies to work areas. Other supplemental equipment such as personnel carriers, supply vehicles, etc., are also used daily. Run-of-mine coal is transported to the surface via a skip system which transports coal to the surface vertically. Adjacent to the skip shaft is a service shaft for the transportation of workers, supplies and equipment to the coal mine. Warrior Met is nearing the completion of a new portal site, closer to active faces and future mining reserve areas, which is currently being utilized in a partial capacity prior to serving longwall needs. Bleeder shafts are installed at each long ........

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