The Ram River property is divided into two areas containing coal resources (designated as North Block and South Block) with a similar level of structural complexity. Both blocks have a gentle syncline structure. In both blocks, a thrust fault has been identified. The structure of this area exhibits the features that cause it to be categorized as a Moderate Geology Type in both blocks.

The North Block bifurcates from the South Block, with the North Block, measuring approximately 15 km in length and 3.5 km in width and with the South Block measuring, approximately 14 km at its longest point and 2.7 km at its widest point.

The Luscar Group is the dominant host rock in the vicinity of the Ram River Property. The orientation of the Luscar Group in the property is aligned with the regional Northwest -Southeast orientation of the Rocky Mountains. The Alberta Group flanks the western side of the property. Northwest-southeast thrust faults occur to the west and east of the property area. The major regional Burnt Timber thrust fault is located 1 km to 2.5 km northwest of the property lease boundary. The thrust has a northwest-trending strike and a southwest dipping angle of 35° to 40° with vertical displacement of approximately 90 m.

The general structure of the Ram River property
consists of northwest-trending anticlines and synclines. The major folding structure is the Ram River anticline. Most of the coal, in close proximity of the anticline ........

Surface mining operation utilizing conventional truck and electric shovel mining methods with capacity for production of 6 Mtpa run of mine (ROM) coal at an average strip ratio of 13.2:1 (bank cubic meters mine rock to 1 tonne ROM coal). The surface mine has been sequenced to limit the creation of external mine rock storage facilities and allow for ongoing progressive reclamation.

The mine plan for the PFS level evaluation exploits only the surface mineable portion of the North Block area of the property. As discussed in the geology section, additional geology and geotechnical field programs will increase the confidence in the South Block resources which will potentially result in additional reserves being defined and an extended mine life or increased production rate.

The mining equipment proposed to support the mine plan is conventional truck and shovel/hydraulic excavator equipment of a capacity similar to that currently used in western Canadian coal operations and in the Alberta oil sands operations around Fort McMurray.

This equipment configuration provides the capacity and mobility required for coal mining on the Aries property. Efficient excavation of the coal seams without delaying mining of rock is a key component of meeting the production sequence for the project. Primary coal loading with front end loader units and smaller excavators for coal cleaning have been used. These coal loading units would be best matched with Komatsu HD-1 ........

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