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HomeMy WebLinkAboutAppendix H - TSF Water Balance Model_Rev04_20240605 Technical Report 2023 Prefeasibility Study Surface Water: Water Balance Development Report Archdale TSF Kings Mountain Mining Project Rev02 Effective Date: April 2, 2024 Report Date: April 2, 2024 Report Prepared for ALBEMARLE` Albemarle Corporation 4250 Congress Street Charlotte, NC 28209 Report Prepared by mirk consulting SRK Consulting (U.S.), Inc. 999 17th Street, Suite 400 Denver, CO 80202 SRK Project Number: USPR000576 Albemarle Document Number: KM60-EN-RP-9499 North Carolina Firm License Number: C-5030 Signed by Qualified Persons: David Hoekstra, BS, PE, NCEES, SME-RM Reviewed by: Mark A. Willow, M.Sc., NV-CEM, SME-RM SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page ii Executive Summary SRK Consulting (U.S.), Inc. (SRK) was commissioned by Albemarle Corporation (Albemarle) to support prefeasibility study (PFS)-level water management for the proposed open pit mine and associated facilities and infrastructure at the Kings Mountain Mining Project(KMMP or Project). KMMP is a lithium deposit situated primarily within spodumene pegmatites and has been historically mined using open pit methods. The Project will generate tailings material that will be disposed of at a remote site approximately 3 miles south of the Project at the Archdale Tailings Storage Facility (TSF). This report presents the development of a water balance model to simulate the water inflows, outflows, storage, losses, and consumption associated with the Archdale TSF used by the Project during development, operation, closure, and post-closure activities. SRK developed a site-specific water balance model using the commercial software package GoldSim (GoldSim, 2021). The water balance model is a simulation of the mine water management system that incorporates dynamic aspects of the mining activities, specifically: • Groundwater inflows to the TSF during and after operations. • Surface run-off from the active TSF during operations. • Infiltration into the TSF during and after operations. • Storage of stormwater and seepage water volumes within the Contact Water Management System. • Simulation of mine closure activities, including placing cover on the tailings and the reduced seepage produced by the tailings. The model simulates climate using values based on legacy climate records from the nearby climate station of Shelby 2 NW(National Oceanic and Atmospheric Administration (NOAA), 2023)that extend back to 1893,although only the record from 1990 to 2022 was used to avoid temporal bias.The climate record for this period was infilled with values from the Daymet gridded climate dataset (National Aeronautics and Space Administration (NASA), 2023) and used to develop deterministic climate scenarios that include constructed time series for climate forcing. The dataset was also used to develop a synthetic climate generator based on the WGEN climate model (Richardson, 1984). This model produces stochastic daily climate time series that allow the model to perform probabilistic modeling simulations using the Monte Carlo simulation approach. The model includes climate change predictions, adjusting daily precipitation by a correction factor based on the AR6 climate change projections (Intergovernmental Panel on Climate Change (IPCC), 2023), and the NASA Earth Exchange Global Daily Downscaled Projections (NEX-GDDP) dataset (National Centers for Environmental Prediction (NCEP), 2023), to provide site-specific climate change projections. Median climate change predictions were incorporated for both the reasonable expected Shared Socioeconomic Pathway (SSP)4.5 as well as the more-conservative SSP8.5. All simulations were run in this report with the SSP4.5 climate change scenario. The model was run with multiple deterministic climate forcing scenarios, such as forcing a fifth percentile very dry year at a specific point late in the mine life to stress the system.The time dependent contribution of seepage from the filtered tailings, seepage from the exposed waste rock berm, groundwater inflows, and other components of the model were provided to the groundwater modeling study team as well as the geochemical water quality modeling team to provide base water volumes for water quality predictions. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page iii Additionally, the water balance model was developed iteratively during the tailings development process to provide feedback to infiltration, surface ponding, and water management strategies for the TSF. The water balance incorporates the overall mine water management strategy of the Kings Mountain Project, which is to divert as much of the non-contact water(water that has not come into contact with mine activities) around the site to avoid contacting the TSF Placement activities Estimates of the tailings water quality for both seepage and runoff streams indicate that contact water will be suitable for discharge, so the mine water management strategy for the TSF involves collecting and monitoring contact water from the TSF perimeter corridor before releasing to Archdale Creek with appropriate sediment controls and collecting and monitoring contact water from the TSF interior for sediment and water quality. Stormwater runoff from the interior of the TSF is removed from the TSF surface as quickly as possible (approximately 2 days for the 100-yr storm) to avoid excessive infiltration into the previously placed filtered tailings, while seepage from the TSF will be collected at the base of the TSF, along with intercepted groundwater flows to minimize the zone of saturated tailings at the base of the TSF. Both sources of contact water are pumped to the Contact Water Pond located in the adjacent Non Process Infrastructure Pad where it can be monitored and released at a sustainable rate to the downstream drainage. The pond is designed to release water from the 10-yr storm event through a skimmer device, while the spillway is designed to convey the flows from the PMP on the TSF Interior. Overall, the model indicated the system was able to manage stormwater and seepage flows in a controlled manner, even during the probabilistic simulations that generated significant wet periods and storm events. A sensitivity analysis of the water balance inputs, including groundwater inflow, infiltration, and percolation rates, indicated that when varied within reasonably expected ranges for annual precipitation scenarios that included the 5th percentile climate year (1 in 20 drought) and 95th percentile climate year (1 in 20 wet). Additional scenarios were included that addressed single, one day events up to the Probable Maximum Precipitation. For all these cases, the system was able to manage the TSF contact water within the design constraints. SRK anticipates that this model will be a living tool for the continued development of the Archdale TSF supporting the Kings Mountain Lithium Mine.As the Project understanding grows and plans are refined or new understanding to key inputs is gained, the model is expected to be updated and new simulations produced so that it can continue to function as a viable tool to aid in the design and evaluation of the Archdale TSF supporting the Kings Mountain Lithium Mine. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page iv Table of Contents ExecutiveSummary .......................................................................................................... ii Abbreviations .................................................................................................................. vii 1 Introduction .................................................................................................................. 1 1.1 Property Location................................................................................................................................1 1.2 Property History..................................................................................................................................2 1.3 Project Overview.................................................................................................................................3 1.4 Project Layout.....................................................................................................................................4 2 Site Environment ......................................................................................................... 5 2.1 General Description ............................................................................................................................5 2.2 Climate................................................................................................................................................5 2.2.1 Temperature............................................................................................................................5 2.2.2 Evaporation .............................................................................................................................5 2.2.3 Precipitation.............................................................................................................................6 2.2.4 Storm Frequency.....................................................................................................................7 2.3 Surface Water.....................................................................................................................................8 2.4 Wind Patterns....................................................................................................................................11 3 Water Balance Development..................................................................................... 12 3.1 General Model Operating Approach.................................................................................................12 3.1.1 Qualitative Assignment of Water Quality...............................................................................12 3.1.2 Project Flowsheet..................................................................................................................13 3.1.3 Water Balance Model Simulation..........................................................................................13 3.1.4 GoldSim Software .................................................................................................................13 3.1.5 General Model Structure.......................................................................................................16 3.1.6 Incorporation of Uncertainty..................................................................................................17 3.2 Climate Simulation............................................................................................................................18 3.2.1 Climate Change.....................................................................................................................19 3.2.2 Legacy Climate Time Series .................................................................................................21 3.2.3 Synthetic Climate Generator.................................................................................................23 3.3 Environmental Components..............................................................................................................26 3.3.1 Infiltration Simulation.............................................................................................................26 3.3.2 Runoff Simulation..................................................................................................................27 3.3.3 Other Runoff-Infiltration Models ............................................................................................29 3.3.4 Groundwater Inflows .............................................................................................................30 3.4 Facility Components..........................................................................................................................31 3.4.1 Processing Plant Tailings Delivery and Filtered Tailings Stockpile ......................................33 DHIMS Archdale_WaterBa lance Model ing_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page v 3.4.2 Filtered TSF...........................................................................................................................34 3.4.3 Contact Water Management Pond........................................................................................36 4 Water Balance Model Simulations............................................................................ 37 4.1.1 Deterministic Scenarios.........................................................................................................37 4.1.2 Probabilistic Simulations .......................................................................................................40 4.1.3 Model Sensitivity ...................................................................................................................42 5 Interpretation and Conclusions................................................................................ 44 6 References.................................................................................................................. 45 List of Tables Table 2-1: Excerpted Tables showing Site-Specific Study and Annual Return Intervals Results......................8 Table 3-1: Precipitation Climate Change Adjustment.......................................................................................21 Table 3-2: Correction from Reference Evapotranspiration to Lake Evaporation..............................................23 Table 3-3: Surface Infiltration Parameters........................................................................................................27 Table 3-4: GR4J Model Parameters.................................................................................................................29 Table3-5: CN Values by Surface.....................................................................................................................29 Table 3-6: Scheduled Rate of Tailings Delivery to the Archdale TSF..............................................................33 Table 3-7: Key TSF Input Parameters..............................................................................................................35 Table 3-8: Key Water Storage Basin 3 Input Parameters................................................................................36 List of Figures Figure1-1: Location Map....................................................................................................................................2 Figure 1-2: Preliminary Kings Mountain Mining Project Site Map......................................................................4 Figure 2-1: Average Monthly Evaporation..........................................................................................................6 Figure 2-2: Annual Precipitation and Distribution of Monthly Precipitation ........................................................7 Figure 2-3: Existing Streamflow Network.........................................................................................................10 Figure 2-4: Wind Rose Data in the Vicinity of Kings Mountain.........................................................................11 Figure 3-1: Archdale Site-Wide Water Balance Operational Conditions Flowsheet........................................15 Figure 3-2: Model Screenshot Showing the Four Main Level Containers........................................................17 Figure 3-3: Example of Probabilistic Time Series ............................................................................................18 Figure 3-4: Comparison of Mean Annual Temperature and Mean Annual Precipitation for The Three Climate Projections...........................................................................................................................................19 Figure 3-5: Change in Daily Maximum Temperatures from Current Climate Conditions.................................20 Figure 3-6: Monthly Temperature Normal Compared to Climate Change Temperature Normal.....................20 Figure 3-7: Comparison of Simulated vs. Shelby 2 NW Climates....................................................................25 DHIMS Archdale_W aterBa lance Model ing_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page vi Figure 3-8: Comparison of Annual Maximum Daily Rainfall from Legacy, Simulated and NOAA Atlas 14 Values..................................................................................................................................................26 Figure 3-9: GR4J Runoff Model Schematic......................................................................................................28 Figure 3-10: Groundwater Inflows and Outflows to the TSF............................................................................31 Figure 3-11: Top Level Screen Capture of the GoldSim Water Balance .........................................................32 Figure 3-12: Screen Capture of Typical Water Balance Module......................................................................33 Figure 3-13: Tailings Infiltration and Runoff Flow Schematic...........................................................................34 Figure 4-1: Deterministic Climate Scenarios Annual Precipitation...................................................................38 Figure 4-2: Outflow from WSB-3 Through the Skimmer under the Deterministic Climate Scenarios..............39 Figure 4-3: Volume in the CWMP under the Deterministic Climate Scenarios................................................40 Figure 4-4: Probabilistic Time Series of CWMP Volume..................................................................................41 Figure 4-5: Probabilistic Time Series of CWMP Elevation...............................................................................41 Figure 4-6: Sensitivity Study Tornado Chart on Total Water Released from the Tailings over the Period of Deposition............................................................................................................................................43 Appendices Appendix A: Historical Climate Data Appendix B: Johnson SB Probability Distribution Fitting to Legacy Precipitation Records DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page vii Abbreviations Abbreviation Unit or Term percent ° de ree(degrees) AR6 sixth assessment report amsl above mean sea level AEP annual exceedance probability AWA Applied Weather Associates CDF cumulative density function cfs cubic feet per second CMP corrugated metal pipe CN curve number DEMLR North Carolina Division of Energy, Mineral and Land Resources dia. diameter DMS direct media separation DEQ Department of Environmental Quality ETo reference evapotranspiration FAO Food and Agriculture Organization of the United Nations ft foot feet ft2 square foot feet ft3 cubic foot feet al gallon GCMs General circulation models m gallons per minute HDPE High Density Polyethylene OF Inflow design flood i85 U.S.Interstate Highway 85 in inch IPCC Intergovernmental Panel on Climate Change Ib pound LoM Life-of-Mine mm/h millimeter per hour Mt million tons NEX-GDDP NASA Earth Exchange Global Daily Downscaled Projections NPI Non-processing infrastructure PAG Potentially acid generating PDF probability density function PFS Prefeasibility Stud PIMP probably maximum participation QQ Quantile-Quantile RoM Run-of-Mine sec second SSP shared socioeconomic pathway t ton (imperial ton 2,000pounds) t/d ton per day t/h ton per hour Vy ton per year TSF tailings storage facility USDA United States Department of Agriculture USGS United States Geological Survey WTP water treatment plant y year DHIMS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 1 1 Introduction Kings Mountain Mining Project(KMMP or Project)is a legacy open pit lithium mining operation located in the city of Kings Mountain, North Carolina, in the southeastern United States.The Project is a lithium pegmatite deposit that is currently being investigated for redevelopment by Albemarle Corporation (Albemarle) as part of a prefeasibility (PFS)-level analysis. Albemarle commissioned SRK Consulting (U.S.), Inc. (SRK) to develop prefeasibility-level designs for an expansion of the existing pit, waste rock management, water management, and ancillary infrastructure to aid Albemarle in making informed decisions concerning advancement of the Project. The Project will generate tailings material that will be disposed of at a remote site approximately 3 miles south of the Kings Mountain Project at the Archdale Tailings Storage Facility (TSF). 1.1 Property Location Situated in Cleveland County, the mine is approximately 35 miles west of Charlotte, North Carolina. Located amidst rolling hills of the Piedmont Plateau, the Project is in a predominantly rural setting within the city of Kings Mountain. The mine site covers a significant land area, which includes both the proposed extraction areas and associated processing infrastructure. Figure 1-1 shows the location of the mine and the location of the Archdale TSF. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 2 ^�� '1' 91ue Ridge r Perkxey Ili ntdin Q] (k 5 i Statesville Asheville A10l1nShc n5 Game Land North Croll r1a /7 r, f•A {7< Green River -` Shelby 16—T Lano <adSt4f7iB O Charlotte r+ H: aSpartanburg Hdll Wade Hampron 7R60 pQa Greenville R;e - South Carolina r..y 17C� ' 6 5 10 Is 20 MIeS Source: ESRI,2023(modified by SRK) Figure 1-1: Location Map 1.2 Property History The following summary highlights the history of the Kings Mountain site, compiled from records available to SRK: DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 3 • Mining started in 1883 with the discovery of cassiterite, a tin-bearing mineral, within the outcropping pegmatites. • Subsequently, open pit mining for tin occurred sporadically between 1903 and 1937 (Horton and Butler, 1988). • Between 1943 and 1945, under the sponsorship of the U.S. government, Solvay established a processing plant and mined for spodumene from the outcropping pegmatites(Garrett,2004). • In the early 1950s, Foote, a subsidiary of Newmont Mining Corporation, purchased the property and began open pit mining (assumed at the beginning of 1955)and extracting lithium from the spodumene. • In 1993, exploration and mining operations ceased when the open pit bottom reached approximately 660 feet(ft) above mean sea level (amsl). • In early 1994,an open pit lake started to form due to rebounding groundwater, and the pit lake reached an elevation of 817 ft amsl (as of January 2023). • During the groundwater recovery period (1994 to present), water was sporadically pumped from Kings Mountain pit lake to a nearby quarry(Martin Marietta)to support quarry operation. • Albemarle acquired the site in 2015, resuming exploration and mine development activities. The proposed Archdale TSF will be located at the site of a former mica mine. The following summary of the site is compiled from records available to SRK: • The site was formerly owned by the Kings Mountain Mica Company, which began operation in 1949. • The site was owned by several different companies between 1994 and 2021, including Franklin Minerals, Oglebay Norton, Zemex, General Chemical and Imerys. • Imerys expanded mining to the property north of Archdale across Highway 29 in 2011 • Albemarle acquired the site in 2023 for use as a permanent storage of filtered tailings from the KMMP. Available aerial photography of the site suggests that mining activities continued through about 2013. The current site layout encompasses several shallow in-pit ponds formed during the previous mica mining operations. Figure 1-2 shows a detailed map of the current site layout. 1.3 Project Overview Tailings from the spodumene concentrate process at Kings Mountain will be filtered to approximately 10 to 15% moisture content by weight and transported off-site to the proposed Archdale TSF for disposal. A portion of the waste rock mined at the Kings Mountain site will be transported to Archdale for construction of the TSF embankment. An initial TSF embankment will be constructed on site to hold approximately one to two years of filtered tailings. Thereafter, filtered tailings material will be placed and compacted with mobile equipment at the same time the TSF perimeter embankment is raised with compacted waste rock and/or fill. The TSF will be constructed in this manner until the facility reaches its capacity of approximately 7.14 million CY, at which time the facility will be closed and reclaimed. DIMS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 4 1.4 Project Layout The Project layout and the relative locations of the major components of the Project are shown in Figure 1-2.The Project is bounded by Interstate 85 on the south and Highway 29 on the north.Access to the TSF will be from Highway 29 with separate truck and light vehicle entrances.The site will include a small office and maintenance facilities, parking, water storage and sediment control facilities, and a TSF perimeter access road. Spaces for a small road base stockpile and a growth media storage area are included in the site plan. SITE ENTRANCE - o xa eoo a� EEC IWFT.PERIMETER HIGH POINT HAUUACCESSROAD FILTEREDTAILIN- STORAGE LIGHT VEHICLE ENTRANCE � ROCK FILL EMBANKMENTS CREST WIELEV 1 SEEPAGE INTERCEPTION DRAIN PERIMETER ACCESS ROAD WATER AND SEWER MAIN \. LIGHT VEHICLE ACCESS ROAD / CULVERTS(TVP.) PROPOSED CULVERT( EXISTING TYP.I � /\ SEDIMENT BASINS FUEL PAD MAINTENANCE SHOP SEEPAGE COLLECTION TANK / � �/ CULVERT ABLE TO PASS PIMP PROPERTY BOUNDARY I OVERHEAD POWER CONTACT WATER POND STOCKPILE GROWTH k CV'9)MEDIA �_// LAY DOWN AREA ( / TRUCK PARKING PARKING V Figure 1-2: Preliminary Kings Mountain Mining Project Site Map DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 5 2 Site Environment 2.1 General Description The Project is located in southwestern North Carolina, USA, approximately 3 miles southwest of the city of Kings Mountain on the Interstate 85 (1-85) transit corridor, approximately 33 miles west of the city of Charlotte(Figure 1-1).The property is located at approximately 35 degrees(°), 11 minutes north latitude and 81°, 24 minutes west longitude. The Project property boundary encompasses approximately 100 acres and includes several legacy waste rock areas and an existing mine pit with several small ponds. None of the ponds show signs of active acid rock drainage or metal leaching. Much of the site is heavily vegetated, and the vegetation does not show signs of metal or acid stress. 2.2 Climate The Project is situated within the K6ppen-Geiger Cfa climate classification (Kottek, 2006), which describes a continental type of climate without a dry season.Temperatures during the warmest months are above 72 degrees Fahrenheit ff), and temperatures in the coldest months are between 27°F and 65°F. Average monthly precipitation varies between 3 and 5 inches. Average annual precipitation is 42 inches, with an even distribution of rainfall throughout the year and an average annual snowfall of 4 inches. Southwestern North Carolina is prone to thunderstorms during the summer and ice storms during the winter. 2.2.1 Temperature The climate of the Project vicinity is humid subtropical with hot summers and mild winters.The monthly temperature ranges from a minimum of around YF in January to a maximum of around 1040F in August, with an average temperature of around 60°F. Legacy data show that temperatures in the area have been increasing, with an average rise of 0.3°F per decade since 1970, or roughly 1.7°F from 1895 to 2020. Climate change is expected to further contribute to this warming trend, potentially impacting surface water conditions, such as increased evaporation rates and altered streamflow patterns. Predictive climate models suggest further warming in the future, potentially resulting in more frequent and severe heatwaves and droughts. 2.2.2 Evaporation Evaporation rates at the Project vary based on temperature, humidity levels, wind speed, and solar radiation. Legacy data show that evaporation rates are highest in summer, averaging around 6 to 7 inches per month, and lowest in winter, with around 2 to 3 inches per month (Figure 2-1). Overall, average annual evaporation ranges from 54 to 58 inches. Evaporation impacts surface water availability by contributing to water loss from lakes, rivers, and streams. Factors such as vegetation cover, land use practices, and soil moisture levels influence evaporation variability. Climate models predict that evaporation rates will continue to increase in the future due to warming temperatures and changes in precipitation patterns. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 6 s 7 —. 6 c � o S `o F 4 w T � r 3 c o i 2 1 0 January February March April May June July August September October November December Clemson Univ Chesnee 7 WSW Chapel Hill 2 W —— —Average GoldSim Figure 2-1: Average Monthly Evaporation 2.2.3 Precipitation Precipitation totals at the Project vary throughout the year. Based on the last 30 years, the area typically receives between 40 to 60 inches of rainfall annually (Figure 2-2), with precipitation being distributed relatively evenly throughout the year without a clear wet or dry season. The region is susceptible to extreme precipitation events, such as tropical storms and hurricanes, which can bring heavy rainfall and cause flooding. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 7 Distribution of Precipitation 12 80 70 N 10 L 60 0 9 c ■ O c 50 •0 6 a40 d` 4 30 _T — L c 20 C O 2 = 6 10 0 January February March April May June July August September October November December Annual Total 2.596-5% 5%-10% ■10%-25% ■25%-50% ■Median ■50%-75% ■75%-90% 9D%-95% 95%-97.5% Annual Precipitation 80 J0 t 60 50 r 40 i 30 20 a 10 I I 0 1 19U 1135 .1 _ ��- 1970 19]S 1980 _ 2C"' ��_. _J10 2�l_, Figure 2-2: Annual Precipitation and Distribution of Monthly Precipitation 2.2.4 Storm Frequency Storms encountered at the Project vary in frequency and intensity throughout the year. For example, a 100-year, 24-hour storm event produces, on average, 7.96 inches of precipitation (National Oceanic and Atmospheric Administration (NOAA), 2023). The region experiences thunderstorms, tropical storms, and hurricanes, which can bring heavy rainfall and high winds. Thunderstorms, which are the most common type of storm in the area, see peak activity in July and August. Factors such as temperature, humidity, wind patterns, and topography influence storm occurrence. These storms can impact surface water availability and quality by causing flooding, erosion, and sedimentation. Climate change could increase the frequency and intensity of storms in the future, posing higher risks of flooding and erosion. Applied Weather Associates (AWA) completed the Site-Specific Probable Maximum Precipitation StudyforKings Mountain Mining Operations, North Carolina(AWA,2022)for the Kings Mountain basin in North Carolina.AWA utilized a storm-based approach to derive the site-specific probable maximum precipitation (PMP) depths to update the PMP depths originally developed in hydrometeorological reports developed by the National Weather Service. Table 2-1 shows Tables 10.4 and 10.5 excerpted from AWA (2022), which show the results of the site-specific study with annual return intervals to 1:10,000 years and beyond. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 8 Table 2-1: Excerpted Tables showing Site-Specific Study and Annual Return Intervals Results Table 10.4: King% Mountain hasin AEP for 6-,24-,and 72-hour PMP Kings Mountain AEP Estimate PMP(in) AEP ARI 6hr 28.5 2.5 F8 39,929,769 24hr 32.4 1.09'7 9,144,104 72hr 32.4 3.93'7 2,540,551 TAhle 10.5: Kink Mountain hasin overall frequency analysis for 6-,24-,and 72-hour Kings Mnt Frequency Analysis 6-hour 24-hour 72-hour ARI AEP AEP 50% 5% 95% 50% 5% 95% 50% 5% 95% 1.01 0.99016 9.9' 1.0 0.9 1.1 2.0 1.8 2.2 2.4 2.2 2.6 2 0.5000D 5.0' 2.3 2.1 2.5 3.6 3.4 3.9 4.3 4.0 4.6 5 0.200o0 2.0'' 1.2 2.9 3.4 4.2 4.4 5.1 5.7 5.2 6.1 10 0.10000 1.0' 5.3 3.5 4.1 5.5 5.1 6.0 6.5 6.1 7.1 25 0.04000 4.0' 4.7 4.3 5.0 6.6 6.1 7.2 7.9 7.3 8.5 50 0.0200D 2.0' 5.3 4.9 5.8 7.5 6.9 8_2 8.9 8.2 9.7 100 0.01000 1.0' 6.0 5.5 6.7 8.4 7.7 9.2 9.9 9.1 10.9 200 0.00500 5.01 6.3 6.2 7.6 93 8.5 10.4 11.0 10.1 123 500 0.00200 2.0 3 7.9 7.1 8.9 10.6 9.6 12.1 12.6 11.4 14.3 1,000 0.00100 1.c) 8,7 7.8 10.1 11.7 10.4 13,5 13,9 12.4 16,0 5,000 tl_00020 2.0-0 10.9 9.5 13.1 14.4 12.5 17.2 17.1 14.9 20.4 10,000 0.00010 1.c) 11.9 10,3 14.5 15.7 13.5 19.1 18.6 16.0 22.6 100,000 0.00001 1.c) 15.8 13.1 20.5 20.4 16.9 26,5 24.2 20.0 31.1 1,000,000 0.000001 1.c) 20.5 16,3 28,3 26.2 20.7 36.1 31.0 24.5 42.7 10,000,000 0.0000001 1.c) 26.2 19.9 38,7 33.1 25.0 48,8 39.1 29.7 57.8 100rO001000 0.00000001 1.01 33.1 24.0 52.5 41.3 29.9 65.5 48.9 35.4 77.6 1,000,000,000 0.000000001 1.0'9 41.4 29.6 70.7 51.2 35.3 97.4 60.6 41.9 103.5 10,000,000,000 0.0000000001 1 O" 51.4 33.9 94.7 63.1 41.5 1161 74.7 49.2 137,5 Source:AWA,2022 AWA (2022) also included a site-specific climate change assessment to "understand and quantify whether the climate change projections related to temperature, moisture, and precipitation are expected to change significantly in the future (through 2100), and whether those changes would warrant a change to the currently derived PMP depths."The results of the study indicate"an increase in precipitation and temperature in the future" with "the most likely outcome regarding precipitation over the basin going forward is that the mean annual and seasonal amount will increase, but the individual extreme events will stay within the range of uncertainty currently calculated" (AWA, 2022). 2.3 Surface Water Surface water hydrology and stormwater control system design at the site are described in detail in SRK's Surface Water Management Report, Archdale Site, Kings Mountain Mining Project, North Carolina (SRK, 2024), and the following sections are incorporated from that report. The project is located within the Dixon Branch watershed, a tributary to Kings Creek which is part of the Broad River basin which stretches from western North Carolina into northwestern South Carolina DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 9 (Figure 2-3)and encompasses a total 1,513 square miles.The headwaters originate in the Blue Ridge Mountains and generally flow southeastward ly. The basin has a varied landscape of forested land, asture and row crop agricultural land, and urban land and is made up of 17 sub-watersheds, including Kings Creek. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 10 122— 1240000 1260000 1260000 130 moo 216 • \ Ar � +r I 0 ooRd 1 Hill Kin • Mou to Q� White Plains 1 � / I 85 C 8 1 / Lp 8 Moun v 00f)fr 1� �/op - 0 7 1500 2110 300 3750�. li A r e r Feet 1 P� K P r 87Rr — Grover -------------- � r 8 8 •65 � Antioch i K1ngs'M ntain Nat! al Milit Park ti I Easterly Heights I � 55 I P Cash rn Cross ads erokee Ave , I I Z •e z � I ❑5 1 ❑ kee � I s 8r J j r i l l 1 OProposed TSF Boundary �I o 5006 16060 15606 20606 25060 I Streams 8 Feet 8 Kings Creek Watershed y774 ft t /� DRAFT LOCATION OF srk co r�I S U I}L I y�I g KINGS CREEK WATERSHED N TP—T By GE A A L B E M A R L E REPDRT BASELINE GEOCHEMICAL CHARACTERIZATION REPORT SOURCE:SRK 2023 1—E 03.05.2024 KINGS MOUNTAIN MINING PROJECT nGuaE NO 2.1 raE N-E:Fig 2-1.1.Creek Watershed SRKPROJECTND._USPR#0000576 r:enw�nnE�eo�me sau coy:wa�g��iswE nsaw Figure 2-3: Existing Streamflow Network DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 11 2.4 Wind Patterns Wind rose data were obtained from the Department of Environmental Quality(DEQ)Air Quality Portal available online at https:Hairguality.climate.ncsu.edu/wind/. Figure 2-4 presents wind rose data for the Shelby Municipal Airport, located about 13 miles west of Kings Mountain, and for the Gastonia Municipal Airport, located about 13 miles east of Kings Mountain. The data for both sites indicate the predominant wind direction is out of the north and northeast, with a good portion of the winds out of the south and southwest. Em Wind rose for KAKH in Gastonia,NC Wind rose for KEHO in Shelby,NC For Feb 1,1999 m Msy24,2023191%of dale evsilane) For Jan 3,—m May 24,2@3 93%of date available) N N be aE ., .. EaE is i 1 W — ■ E fin/ + E sw se sw sE Calm Wintls l<2 mph'. SSVJ S Celm Winds[<2 mphl: S`: SSE 39.2v,pf observalions S JJ/�-'� 35%Nobservtions Wind Speed: 11 mph mpo 15 mph ,u ) Wind Speed_ �6[O 11Z'1 10-5,h >_20h,ph =ime ants_- �21p6 mph 7--ph 161.20 mph ♦5tp7mh 10to15 mph -20 nph time ncsu_ Source: DEQ Air Quality Portal, https://airguality.climate.ncsu.edu/wind/ Figure 2-4: Wind Rose Data in the Vicinity of Kings Mountain DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 12 3 Water Balance Development 3.1 General Model Operating Approach SRK developed a conceptual model of the Project, representing each of the major facilities that impact the mine water management system, described in Section 1.4. The conceptual model address how each of these facilities generate, consume, store, and/or convey water, and solids if necessary, within their defined limits. The conceptual model also describes how these facilities are interconnected and under what conditions water and/or solids will pass from one facility to another. The physical processes and logical structures by which water is generated, consumed, and conveyed were developed specifically for each component of the conceptual model, and are described in detail in the facility descriptions in Section 3.4. Within each component of the water balance, the continuity equation shown in Equation 1 is applied to determine the amount of water that must be stored, released or provided by that component, based on the understanding of how each component functions. Continuity equation: (Z Inflow - Y_outflows)At= A Storage Equation 1 3.1.1 Qualitative Assignment of Water Quality The mine water management system of the Archdale site is focused on separating water that has come into contact with mining waste materials from the KMMP, notably filtered tailings stored at the site and waste rock used to construct stable perimeter berms. Waste used for structural purposes at Archdale will be selected from materials classified as non-potentially acid generating (Non-PAG). Based on geochemical analysis(SRK,2023b and SRK 2023c)of the tailings and waste rock materials, SRK believes the impacted water produced by the TSF stormwater and seepage collection systems will be suitable for discharge off-site. As an overarching goal of the Archdale TSF water management system, the Site-Wide Water Balance focuses on providing sufficient storage to prevent the undesirable release of impacted water from the site. To achieve this end, the water balance provides storage for stormwater from the TSF with sufficient detention time to allow the discharges to be monitored before release off-site. While the model does not explicitly calculate or assign water quality to the water flows within the model, flows are generally considered to conform to two different water categories and are managed accordingly. The water quality categories are, in order of least impacted to most impacted, described below: Non-Contact Water Water that has not come into contact with mining activities is assigned the least impacted water quality. Non-contact water that has only contacted revegetated, paved, or undisturbed native soil surface can be released to the environment with only temporary sediment controls during initial construction. Generally, all surrounding undisturbed watersheds, non-process infrastructure areas, and any reclaimed surface are defined as generating non-contact water. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 13 New Disturbance Non-Contact Water Water that has not come into contact with mining activities is assigned the least impacted water quality but runoff from newly disturbed areas or areas that will not be immediately revegetation is managed differently that other non-contact water. New Disturbance Non-Contact Water can be released to the environment with appropriate sediment controls during the life of the facility. Generally, all runoff from the reclaimed TSF perimeter berms, the active TSF perimeter and haul roads, and surrounding areas that cannot be diverted are defined as generating new disturbance non-contact water. Contact Water Water that has come into contact with mining activities, but is expected to meet discharge quality, is assigned a more impacted water quality. Generally, water that has come into contact with the filtered TSF or the exposed waste rock perimeter berms is assumed to be contact water. Contact water is defined as being able to meet discharge water quality, but may require de-sedimentation and monitoring prior to release. 3.1.2 Project Flowsheet The interconnections between the facilities are shown for operational facilities and flow connections in Figure 3-1. Flow arrows are color coded to correspond to the different water categories described above, as well as different color codes for the flow of solids tracked by the model, such as waste rock, ore, tailings, and product. 3.1.3 Water Balance Model Simulation The conceptual model of the mine water balance was incorporated into a site-wide dynamic water balance computer simulation (the Model) designed to simulate the physical processes identified for each component,and transfer water between the facilities according to the flowsheet.The model forms an electronic analog of SRKs understanding of how the mine water management system at the Archdale TSF site is expected to behave, and allows for simulations of the system, in an effort to explore the behavior of the system under typical, historical, projected, and extreme conditions. The Model incorporates the water-related aspects of the identified mine components, as well as environmental factors, such as groundwater and precipitation, and the interaction with the physical and mine processes as they relate to water. Each Model component is specifically constructed to represent the particular function, geometry, and schedule of the facility components. Outflows from each component simulated in the model are carefully linked to the inflow of the downstream component, and no component is allowed to pass the water to multiple destinations. Inflows and outflows internal to each component, such as precipitation captured or water stored, is included in the summation and the change in storage computed. 3.1.4 GoldSim Software The model was developed using the GoldSim Version 14.0 Simulation software (GoldSim, 2021). GoldSim is a highly graphical simulation modeling platform that supports dynamic and probabilistic modeling.GoldSim also strongly supports top-down modeling and embedded documentation graphics, both of which have been widely incorporated into the model. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 14 A GoldSim model is built by describing functional relationships mathematically using "elements" that show the linkages graphically. The model can create a dynamic system that evolves through time and incorporates uncertainties to simulate the system under future conditions and run multiple scenarios to compare how they will affect future performance. The availability of several custom components and reporting tools facilitates the development of water balance models using GoldSim. Although not specifically designed for mine water balance modeling, GoldSim is very well suited to simulate complex dynamic systems that follow a distinct logical structure and can be described using mathematical and logical structures. GoldSim is considered the industry standard software platform for the development of dynamic and probabilistic mine water balances. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 15 c' Ccs'TE VO AW BATTLE ORIXPD ROID OROI& ROAD I l ROLE FEOG N'ATERSNEDS �.�--.�e+rrrr•rc�e-sr�we -rrwe-+rt I ' SLWACE ■D/MD1 NDI�OC F � P'OttD I � Getr�r r I RLTERED TALIN3S ti G i I STORAGE NACU' I - M I � • m yt�. t ,C�rar y R•� ey� TSE CCL1EOi17l1POND �J WATERIHM { S I T llpa 1L'ATERSHEOB PERS.ETER 9EGVBlf R CONTROL POND O � 'h1'ER9ED5 uloa�t»t LEGEND oo.�w... ra>r+raele Pbl^ett:mrrvr<ser OtYINt ,csu:a..cvsa.ra.cn..er o •" ti I� q,-.�y Na.Ca�f Nor:rev-O CnReutn W10tTlILE oW' w Mrwon OM�nv Y terk consulting KINGS MOINTAJN MINNG PROJECT � ""cOOtr-PR�1d ARChG E OPERATIONAL STORM WATER NSA oltota MANAGEMV4T hEET MHOS YOVNTAN twwa�o AALBEMARLE -INOj/PR`T ''n'�° u FIGURE 3-1 AL eNt MBA--tt�M1�-W11OR�ti MI+WtItOtONl tl A.1N�0 ARYNY{!♦� �'PI��6.� Figure 3-1: Archdale Site-Wide Water Balance Operational Conditions Flowsheet DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_RevO4.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 16 3.1.5 General Model Structure GoldSim models are typically organized by multiple levels of containment (containers or modules)for clarity. The Model has been organized into four main high-level containers, which contain additional levels of sub-containment, as needed. A screenshot of the four main high-level containers and reporting container is shown as Figure 3-2 and are described as follows: • Climate: The climate container develops the daily rainfall and evaporation used by all facilities in the model. The climate is developed from legacy precipitation records that are reused in chronological order or reshuffled to form a wide range of climate conditions, from extreme wet cycles to average and extreme dry cycles. The model can also simulate the climate using a synthetic climate generator that produces a climate similar to the historical conditions but is not constrained to only values observed in the legacy record. • Runoff: Runoff from the various surfaces is calculated using different methods, as described in Section 3.3.2 below. The unit runoff rates from the different surfaces are used throughout the model to produce rates of runoff from the facilities in different proportions and at different times, depending on the extent and state of each facility. • Common: The common container develops parameters that represent Project-wide parameters or behavior where they are available for use by the individual facility components located in the Water Balance container. The common container is presented in Section 3.4. • Water Balance: Within the Water Balance container, the majority of the water balance calculations take place. The Water Balance container is described here in general terms. Individual components of the water balance model are described in more detail in Section 3.4, including input parameters, methodology, and operating logic for each facility. • Reporting: The Reporting container is used for organizing reporting elements and is not part of the water balance calculations. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 17 L Water Balance _ Common r7 O Climate r7 Results Runoff Figure 3-2: Model Screenshot Showing the Four Main Level Containers 3.1.6 Incorporation of Uncertainty Simulation models developed using the GoldSim software can easily be switched between deterministic simulations and probabilistic simulations. A deterministic simulation is one where all inputs are known at the beginning of the simulation and are the same for all subsequent simulations, while a probabilistic simulation allows the inputs to be stochastically determined using probabilistic distributions during the simulation and will vary according to defined limits. While deterministic simulations are useful to understand a system's response to possible changes in configurations and require less computational time to execute, they fall short in predicting future outcomes. The model was built as a simulation of the real-world environment and, as such, it must contain uncertainty. The model addresses this through the use of Monte Carlo simulation capacity within GoldSim that helps propagate uncertainty through the model. In a Monte Carlo simulation, each uncertain value is varied using probability distributions. The distributions, which are typically developed from statistically analyzing legacy data, define and bound the uncertain inputs within the model. This means that while the model is designed to run as a single deterministic simulation, the Monte Carlo portion of GoldSim runs through the entire simulation period multiple times while continuously re-sampling the distributions to simulate the variability of the uncertain inputs each time. One single run with a single set of inputs sampled from the probabilistic distributions can be referred to as a single realization of the model. A Monte Carlo model will typically run through hundreds of realizations, each with a different sample of uncertain inputs. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 18 Running multiple realizations consecutively produces a large number of independent results, each of which represent possible future outcomes.These independent results are then statistically assembled by the modeling software into probability distributions for each output. Probabilistic model results are usually presented as a probabilistic time-series (e.g., annual precipitation totals), which represents a range of values through time as shown in Figure 3-3, with the most likely result at any time along the x-axis presented as the median, or 50% value in the darkest color. At that point in time of the simulation, 50%of all simulations produced a value less than that value. Less likely results are typically plotted as increasingly lighter shades of color, indicating that fewer realizations (i.e., less likelihood) produced values greater or less than that value. A band of color at the upper edge of the graph might represent the 95%to 99% probability, indicating that the bottom of the color represents a value where 95% of the all the realizations were less than that, and the top of the color band represents a value where 99% of all the realizations were less than that. The bands are presented in matching pairs, below the median (e.g., 1% to 5%), and above the median (e.g., 95% to 99%). 2200 2200 E 2000 ' 2000 0 laoo ' '' 1800 1600 �� 1600 V N a- 1400 —� 1400 c Q 1200 —� 1200 1000 1000 2020 2030 2040 2050 2060 2070 2080 2090 Time Statistics for Annual Precipitation 1%..5%/95%..99% 5%..15%/85%..95% 15%..25%/75%..85% 25%..35%/65%..75% 35%..45%/55%..65% 45%..55% 50% Source:SRK,2023 Figure 3-3: Example of Probabilistic Time Series All of the uncertainty within the Project water balance is addressed through stochastically generated daily climate using one of two methods, probability distributions developed from legacy data or randomly re-sampling the legacy precipitation and evaporation data. An in-depth description of the development of the climatic parameters for the Project water balance is presented in Section 3.2. 3.2 Climate Simulation The impact of climate on the water balance simulation represents the most uncertain of the inputs, and the one that the operator has the least control over. Incorporating a thorough understanding of the climate at the site and addressing the uncertainty that it brings to the model, is a critical component of the Model. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 19 3.2.1 Climate Change Climate change effects in the Project area will develop over the long timescales anticipated for the post-closure period. The climate change modeling, described in more detail in the PMP and Climate Change study (AWA 2022), considers potential effects up to year 2100 based on an historical period of record from 1975 to 2005.This historical period represents current climate conditions,and it is called the baseline, while future differences with respect to this period are called anomalies. To simulate climate change, the study produced a projected climate out to the year 2100 using the information available from the Intergovernmental Panel on Climate Change (IPCC) from the sixth assessment report(AR6) (IPCC, 2021). The climate change evaluation was based on downscaled climate General Circulation Models (GCMs) provided in the NASA Earth Exchange Global Daily Downscaled Projections (NEX-GDDP) data set (NCEP 2023). The climate change predictions are based on 35 GCMs, of which 26 had parameters that were useful to this study, and across five Shared Socioeconomic Pathways (SSPs). The SSPs are based on five narratives describing broad socioeconomic trends that could shape future society. Although the IPCC AR6 does not assign likelihoods to the different SSPs, these are intended to span the range of plausible futures and range from pessimistic and highly unlikely (SSP8.5) to optimistic and highly unlikely (SSP1.9), and most likely (SSP4.5). The results of modeled trends and estimated precipitation frequencies have a large variability that can be attributed to the uncertainty inherent with GCMs projections. The different climate models used for the Kings Mountain basin represent a significant component of future climate uncertainty in climate models.This uncertainty is represented by the range of climate futures indicated by the Coupled Model Intercomparison Project 6 (CMIP6) ensemble of projections. The median of the twenty-six models shows an increase in mean annual temperature and mean annual precipitation (Figure 3-4). Temperature, in regard to daily maximum (frequency based) and monthly averages, show an increase by 2100 for both the SSP4.5 and SSP8.5 projections (Figure 3-5 and Figure 3-6). Historical SP45 SP85 Model Modell A Model26 Model10 A Model27 NU 22.5 22.5 22.5 A Model 11 A Model28 �5 Model12 Model29 m 0 Model 13 Model 30 c 20.0 20.0 20.0 ® Model14 Model33 F p A Model15 A Model34 Model 16 Model 4 Model17 Model c 17.5 175 � 175 Modell Model Q Model21 Model Model22 Model 1150 1200 1250 1300 1350 1150 1200 1250 1300 1350 1150 1200 1250 1300 1350 Model23 A Model Annual Precipitation(mm/yr) Source:AWA,2022 Figure 3-4: Comparison of Mean Annual Temperature and Mean Annual Precipitation for The Three Climate Projections DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 20 V Y `0 N Projection E 5 SP45 O E � SP85 03 ca All Summer Winter Source:AWA,2022 Note: Results are based on annual maximum frequency analysis. Figure 3-5: Change in Daily Maximum Temperatures from Current Climate Conditions 30 E� • ` ¢• . _ Projection 20 . ' Hist a • SP45 SP85 10 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Source:AWA,2022 Note: Results are based on daily normal calculations Figure 3-6: Monthly Temperature Normal Compared to Climate Change Temperature Normal A correction for climate change based on the simulation year is incorporated into the Model for both the SSP4.5 and SSP8.5 climate scenarios, using the mean result of the climate change predictions. The model adjusts precipitation by linearly interpolating from Table 3-1 with the simulation year between 2005 (no correction) and 2100 for the selected climate scenario. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 21 Table 3-1: Precipitation Climate Change Adjustment Correction Factor for Current Conditions to Projected Conditions Month Current SSP4.5 SSP8.5 2005 2100 2100 January 1.00 1.08 1.10 February 1.00 1.08 1.09 March 1.00 1.06 1.05 April 1.00 1.10 1.11 May 1.00 1.05 1.05 June 1.00 1.10 1.09 July 1.00 1.09 1.06 August 1.00 1.12 1.12 September 1.00 1.11 1.09 October 1.00 1.00 1.00 November 1 1.00 1 1.05 1 1.08 December 1 1.00 1.07 1.04 Source:AWA,2023 3.2.2 Legacy Climate Time Series To present model results that are both easily understood and meaningful, SRK performed many of the screening and summary simulations with deterministic climate time series. These were developed using recycled or shuffled legacy climate records from the nearby climate station,after being compared and corrected for distance from site, length of record, completeness, and match to the limited legacy records of both closer climate stations (with limited record lengths) and legacy data from the site. The Shelby 2 NW Climate Station (USC0317845), located 12.6 miles northwest of the Kings Mountain pit, was identified as the station with a suitably long record and similarity to the site climate. Precipitation Daily precipitation records were obtained from NOAA's Climate Data Online website (NOAA 2023)for the Shelby 2 NW station for the period of 1893 to 2022. The precipitation analysis only used the data from 1990 to 2022 to avoid temporal bias in the data. The first decade (1990's) of records has some missing data points (up to 19%) but is nearly 100% complete after the year 2000. To develop a complete record, SRK used the Daymet gridded data set(NASA 2023)to infill the missing data points in the Shelby 2 NW data set. Daymet is an interpolated and extrapolated data set of daily records at 1-km grid spacing available for North America and Hawaii provided by NASA. A comparison of the Shelby 2 NW and Daymet data sets indicated a difference of less than 1% in accumulated precipitation over the 30-year period. Monthly values of the 32-yr precipitation time series are presented in Appendix A. The Water Balance model is configured so that the legacy time series may be used in sequence, repeating the historical climate as it was experienced and merely shifted in time. Alternatively, the years and months of the time series can be reshuffled intentionally, as well as stochastically, to stress the system with new climate scenarios (climate forcing). SRK also developed five synthetic climate years, one that combined the most representative of the monthly records of daily precipitation to produce an average year of precipitation, and four others that combine select monthly records to produce extreme dry (51h percentile)to extreme wet (951h percentile) conditions. The following climate forcing years were produced: DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 22 • 5th Percentile Year: Total Annual Precipitation = 33.71" • 2511 Percentile Year: Total Annual Precipitation = 41.10" • 50th Percentile Year: Total Annual Precipitation = 49.59" • 751h Percentile Year: Total Annual Precipitation = 54.65" • 951h Percentile Year: Total Annual Precipitation = 67.17" The synthetic years can be mingled with the legacy years to provide additional climate forcing. This method of synthetic climate series provides an easy-to-understand way to force the system to respond to stressors on the system, such as forcing back-to-back wet years or to produce results in response to an average or extreme climate. However, the method suffers from the limitation of being unable to simulate precipitation events that are not in the legacy record, and thus may not represent the conditions that the site could experience in the future. For example, the 30-yr record produces a maximum daily event of 5.8 inches,which is below the expected event according to AWA's site specific Precipitation Frequency values, which suggest that, statistically speaking, the site should have experienced a rainfall event of 6.6 inches in the 32-year record. Evaporation Reference Evapotranspiration (ETo) is an evaporation term specifically developed for soils and crop surfaces. The Water Balance model uses ETo to calculate losses from land surfaces as part of the runoff calculations discussed in Section 3.3.2. The Water Balance model also calculates the losses from open water bodies, such as ponds and reservoirs, using a lake evaporation term, which evaporation from a surface with unlimited moisture, but less energy than ETo. The Daymet climate datasets for the site included evaporation calculated using the Food and Agriculture Organization of the United Nations (FAO) ETo method, based on the modified Penman- Monteith method (Allen, 1998). SRK also calculated lake evaporation using the Hamon method (Hamon, 1961), which requires daily temperatures. The calculated monthly ETo for the legacy period is presented in Appendix A. Lake evaporation and reference evaporation were compared, also shown in Appendix A, and a correction factor from ETo to lake evaporation was determined on a monthly basis, as shown in Table 3-2. These correction factors are similar to those recommended by the FAO when correcting ETo to lake evaporation. The evaporation records are incorporated into the Water Balance model in a structure matching the legacy precipitation records, so scenarios run with sequenced or reshuffled precipitation uses the matching ETo values. Lake evaporation is calculated by correcting ETo. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 23 Table 3-2: Correction from Reference Evapotranspiration to Lake Evaporation Month ETo to Lake Evaporation Factor January 0.44 February 0.41 March 0.43 April 0.48 May 0.60 June 0.71 July 0.75 August 0.71 September 0.63 October 0.53 November 0.47 December 0.48 Annual 0.60 Source:SRK,2023 3.2.3 Synthetic Climate Generator To provide a more thorough means of stressing the system, SRK incorporated a stochastic synthetic precipitation generator based on the WGEN climate generator model developed by the USDA (Richardson and Wright, 1984) into the Water Balance model and a separate model to produce daily ETo values using fitted probability distributions. The following sections describe the structure of the stochastic models and the methodology used to develop and validate the model parameters. When stochastic simulations are configured in the model, both the stochastic precipitation model and the stochastic evaporation model are used instead of the legacy records. WGEN Stochastic Precipitation Model The WGEN model is a second-order Markov Chain model where the presence or lack of rain is determined from daily probabilities of rain, and a subsequent depth of rain is stochastically generated only if rain is indicated. Parameters for probability of rain and depth of rain vary monthly. The model is further refined by developing two separate probabilities of rain, one for days following rainy days, and a second probability for days following dry days. This allows the WGEN model to simulate many different climates, from intense but infrequent thunderstorms to multi-day monsoonal rainfall patterns. The original WGEN model uses the probability of occurrence for presence or absence of rain and a 2- parameter Gamma distribution to determine the daily depth of rain. SRK has found that other probability distributions may be more representative of daily depth of rain at the site and evaluated multiple distributions as alternates to the gamma distribution to find the best fit to the available data. Development of Probabilistic Precipitation Parameters SRK used the daily precipitation from the infilled Shelby 2 NW time series to develop a set of parameters that would allow the modified WGEN climate model to produce synthetic daily precipitation values that are representative of the observed site precipitation and can also extend the legacy record beyond observed values. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 24 SRK analyzed the daily precipitation records to determine the number of days of rain, rain following rainy days and rain following dry days, on a monthly basis. These counts were used to develop the probability of rain/no rain for each month given the presence or absence of rain during the preceding day of the simulation. Using the rainfall depths from the Shelby 2 NW infilled time series, a probability distribution to simulate the depth of rain was developed. Non-zero daily precipitation records were examined for each month, and several continuous probability distributions were fitted to the available data. Nearly 60 different distributions were examined using a commercial statistical analysis package (EasyFit, 2015), and the top four or five distributions were examined manually. The final selection of the probability distribution was based on overall fit, similarity to other distributions fitted to different months, and visual determination of outliers influencing the fit. Based on this manual selection process, SRK selected the four parameter Johnson SB distribution (N.L. Johnson, 1949) to represent the daily rainfall depth probability distribution. The fitted distribution for each month is shown as Cumulative Density Function (CDF), Probability Density Function (PDF) and Quantile-Quantile (QQ) graphs included as Appendix B. A summary of the probability of rain and Johnson SB distribution parameters is also included in Appendix B. Synthetic Precipitation Generator Validation This synthetic precipitation generator allowed SRK to produce both the means and extremes representative of the precipitation time-series for the site. Statistics from the legacy period presented in Appendix A are compared to the statistics from 10,000 realizations of a single year(shown in Figure 3-7).The statistics for monthly precipitation, annual precipitation, and heavy rainfall (a measure of rain above the 95th percentile daily amount) are compared and indicate that the model is a good representation of the precipitation experienced at the site. Figure 3-8 presents a comparison of the annual maximum precipitation of the legacy record and simulated climate against AWAs Annual Exceedance Probability(AEP) precipitation depths (provided in Table 3-1) indicate that while the synthetic climate generator produces values very similar to the legacy record, both values are 10-15% below AWAs AEP values for the same annual exceedance probability (AWA, 2022). This is expected as the methodology used to determine AEP values increases the midnight-to-midnight precipitation totals reported by the climate stations by a factor of 1.13 to account for 24-hr storm events which may span the midnight divider. This adjustment is not appropriate in a Water Balance where total volume of rainfall is more relevant than rainfall intensity. Evaporation SRK examined the daily precipitation and evaporation time series and found essentially no correlation on a daily basis (r2=-0.16). Based on this, SRK fitted a 2-parameter gamma distribution to the daily ETo, on a monthly basis, to produce stochastic ETo. The fitted gamma distribution parameters are included in Appendix B. The model uses the same correction factor for ETo to lake evaporation that was determined for the legacy record (Table 3-2). DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 25 Comparison of Simulated Climate vs Daily Precipitation for 1990-2022 Shelby 2 NW Record(lnfilled) Xi t-W r series P-ble Janus rebru Marl ApH M June JW A n somber O-be November December Annual . tiara Sun Xe Rio S% Xirter I(So%) 2.11 LOB LS3 1 1.03 1 1.32 1 1.26 1 1.56 1 0.92 1 0.32 1 0.49 1 0.75 1 2.21 1 1 34.17 1 34.17 14.65 14.65 25Y Xi:toriol 25.OY 2.84 2.43 3.6a 266 2.d0 212 2.52 294 2.6a 1.89 1.66 2.78 43.15 43.15 20.82 20.82 50% Xe terical 5Q0% 389 320 4.39 3.56 3.97 3.85 3.77 443 3.66 3.63 3.46 415 50.36 50.36 26.71 26.71 75% Hi-ical 75.0% fi20 1 4.45 1 6.22 1 5.70 1 5.53 1 548 1 534 1 5.46 1 5.06 1 5.12 1 5.15 1 490 5515 1 55.65 3L60 31.60 95% Hi:toriol .0% 9.10 1 6.95 1 9.18 1 7.98 1 7.39 1 8.39 1 fi72 1 8.66 1 6.73 1 10.01 1 8.31 1 9.19 1 1 67.95 1 67.95 46.48 46.49 SinuYtion OYnete:100001 reaamtimtF P-61. J---rV Pebrua Marl Apri Ma June MY A rt Spftmb,, October November December Amual A-9 Sum Xe Rain SY S:nulated S.OY 1.34W4.U 1.57 1.10 I.OB 1.16 1.47 1.24 a59 0.51 0.80 1.30 37.93 37.93 a3l.403LO ld 25% Simulatetl 25.0YN2941.30 2.56 2.57 2.57 2.90 2.68 19450% Simulated 50V% 4.46 3.88 3.94 3.88 413 4.05 337 3.42 356 4Ot 5026 5026 75% Simulated 5.0ll618 S.aS 5.57 5.47 5.85 5.76 5.16 5.37 5.30 5.68 55.65 55.65 Y Simu4ted 95.OY9.20 8.13 8.35 8.11 8.77 8.75 B.SS 8.87 8.a7 8.36 6a.23 6a.23 Comparison of Simulated Climate vs Daily Precipitation for 1990-2022 Shelby 2 NW Record (lnfilled) al ----------- 70 ........... a .---"'---- 33 ... � I•3W 8 Mw 60 Z ........... 6 20 13 �20 10 20 ....................:......... 00 0 0 JaNV'( FtdW� Marta April Met loot Jul? inntq: He<i PtabM Sum NtlYr Aain _-_--Metort.IR OttI �kbrakY llS O41 ��Kaolu�I50 Otl �unakal llS Otl -----..Ra/u119S.0\. _._..S...Ixa4!S OtI �S:mWtM IJS thI ��SimuYtN I50.d{I �SmW[e0 f15.0\I ----SmuWaC H6D1t) Source:SRK,2023 Figure 3-7: Comparison of Simulated vs. Shelby 2 NW Climates DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 26 14 12 10 m _ 8 � C • C O Q � E'tea • E 6 g • • 4 • • 2 • 0 � — 0.000 0.200 0.400 0.600 0.800 1.000 1.200 Annual Exceedance Probability • AWAAnnual Exeedance Probability —Simulated Precipitation ♦ Historical Precipitation Source:SRK,2023, NOAA,2023 Figure 3-8: Comparison of Annual Maximum Daily Rainfall from Legacy, Simulated and NOAA Atlas 14 Values 3.3 Environmental Components The Water Balance model simulates the influence of the environment on the water management system. Environmental components, such as runoff, infiltration, and percolation, are simulated using mathematical models that approximate the behavior observed or inferred at the site. 3.3.1 Infiltration Simulation Infiltration into the various facilities was estimated using a percent of rainfall equation, where a percentage of rainfall falling on the surface is assumed to infiltrate into the material below. No physical infiltration studies have been performed to date, so values were selected based on soil characteristics and observed behavior for similar materials.A Green-Ampt(Green, 1911)simulation of the uncovered tailings materials using a sandy clay loam soil texture and a hydraulic permeability of 2.52 mm/h (7x10-5 cm/sec), similar to the soil properties of the tailings sample, was performed to benchmark the infiltration parameter used for the tailings surface.Table 3-3 presents the infiltration percentages were assigned to surfaces in the model. To assess the impact of these assumptions, a sensitivity study, described in Section 4.1.3 was performed to quantify the impact of these values have on the Model results. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 27 Table 3-3: Surface Infiltration Parameters Modeled Surface Soil Texture Infiltration as Percentage of Rainfall TSF Clayey Silt 40% Active Waste Rock Dump Cobbles and boulders 65% Reclaimed Waste Rock Cover Silty Clay 5% Source:SRK,2023 3.3.2 Runoff Simulation Overland flow contributions to the Water Balance model will be produced by undisturbed ground, disturbed ground, active mining surfaces, and reclaimed surfaces. A different rainfall-runoff relationship has been developed for each of these representative surfaces. GR4J Runoff-infiltration Lumped Parameter Model To represent runoff from large, natural watersheds, SRK selected the Model of Rural Engineering with 4 Parameters Daily(GR4J)lumped parameter model (Perrin 2002). As shown in Figure 3-9,the GR4J model uses a Production Store, a Routing Store, and two routing hydrographs (UH1 and UH2) to collect, store, release and attenuate runoff and infiltration flows. Losses or gains from groundwater, labeled F(X2), are added or removed from both the slow-release hydrograph (UH1) and the rapid response hydrograph (UH2). DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 28 T p interception En Pn Es Ps Pn-Ps Production store Xl I S Perc Pr 0.9 0.1 UH1 UH2 H X4 2.X4 I I Q9 Q1 Routing store X3 R F(X2) /7 F(X2) Qr Qd Q Source: Perrin,2002 Figure 3-9: GR4J Runoff Model Schematic SRK used the GR4J model converted to the GoldSim platform by GoldSim Technology Group (GTG 2021) for surfaces that behaved like `rural surfaces', meaning natural soils with sufficient thickness to store and release water, to simulate infiltration and runoff resulting from rainfall in the Water Balance model. The GR4J model is very good in replicating the behavior of surfaces where there are observed flows, which applies to the natural ground surfaces of the Project site for which stream gauging was performed. The GR4J model does not use the physical soil properties as part of the inputs when developing the parameters, so without observed flows, the GR4J model parameters are challenging to develop. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 29 Using observed flows in Kings Creek and South Creek from the 2022 and 2023 streamflow monitoring program, SRK iteratively developed the following parameters for the GR4J model to simulate natural flows at the Project site, as shown in Table 3-4. Table 3-4: GR4J Model Parameters Parameter Value X1 Production Store Capacity 1045.5 mm X2 Catchment Exchange Coefficient 0.00102 mm X3 Routing Store Capacity 0.1028 mm X4 Unit H dro raph Time Base 0.999 day Source:SRK,2023 The GR4J model with these parameters produces daily overland flow and interflow in response to rainfall events. The GR4J model was simulated using legacy rainfall patterns and produced with an average annual basin yield (total volume runoff/total volume precipitation)of 13.3%. 3.3.3 Other Runoff-Infiltration Models For surface configurations used in the water balance modeling that did not behave like typical soil surfaces or where there are no observed flows, SRK used the Curve Number Method (NRCS 2004) to produce runoff from the surface in response to daily rainfall. The Curve Number(CN) method uses a single indicative value between 1 and 100 to determine the non-linear rainfall-runoff behavior. The CN value is used to determine the maximum retention value (S) using Equation 2: S = 25.4("0 — 10) Equation 2 CN Where: • S = Maximum retention (mm) • CN = Curve Number(1-100) The runoff amount(Q) is then related to the rainfall with Equation 3: Q = (P-0.2S)2 Equation 3 P+0.8s Where: • Q = Runoff(mm) • P = Precipitation (mm) SRK assigned the following CN values to surfaces within the water balance model. To assess the impact of these assumptions, a sensitivity study, described in Section 4.1.3 was performed to quantify the impact of these values have on the Model results. Table 3-5: CN Values by Surface Surface Curve Number TSF 60 Active Waste Rock 40 Reclamation Cover 76 Perimeter and Haul Road 82 DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 30 3.3.4 Groundwater Inflows Groundwater inflows to the model are used to define the seepage from the pit walls to the pit sump as the existing pit bottom is located below the groundwater table and will be evacuated during active placement in the TSF. SRK performed detailed studies as part of the hydrogeologic evaluation of the Project site (SRK, 2024)that were incorporated into the water balance model. The hydrogeological three-dimensional (3D) finite element modeling predicted groundwater inflows and outflows from the open pit based on the period of mining, as well as the water levels within the TSF. Groundwater inflows and outflows for different stages of pit activities were represented in the water balance model, as follows: • Groundwater inflows during the existing pit dewatering (pre-development). • Groundwater inflows during the evacuation of the pit bottom during TSF development. • Groundwater inflows and outflows during the closure/post-closure groundwater recover period. Groundwater inflows and outflows were provided on an average annual basis from the groundwater model, as shown on Figure 3-10Figure 3-10. Later in the post-closure period, the Archdale TSF is expected to act as a flow through system, so there will be both a groundwater inflow to the TSF and an outflow to groundwater from the TSF. These values were interpolated into monthly values for the operational period to smooth the inflow values. During the post-closure period, the stochastic nature of the water balance model will have limited impact on the regional and internal groundwater levels in the post-closure TSF, so no stochastic components were incorporated into the groundwater inflows. Groundwater outflows from the TSF will include the addition of seepage produced by stochastically generated precipitation, slightly increasing the groundwater flows leaving the TSF, similar to that of natural recharge. Figure 3-10 shows the groundwater inflows and outflows predicted by the Groundwater model. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 31 140 120 E n 02 100 v 3 80 0 l7 E 60 0 0 0 0 40 LL 20 0 2030 2040 2050 2060 2070 2080 2090 2100 Time Groundwater Inflows Groundwater Outflows Source:SRK,2023 Figure 3-10: Groundwater Inflows and Outflows to the TSF 3.4 Facility Components Each of the major facilities that impact the mine water management system are incorporated into the Model with GoldSim Containers to form a facility module. Each module is specifically constructed to represent the particular function, geometry, and schedule of the facility. A top-level view of the model structure is shown in the screen capture of the water balance in model in Figure 3-11. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 32 BalanceArchdale Site-Wide Water SRE ENTRANCE Trucking_to_Archdale t OCf'PERETER Ar j HIGH PONT Rux.ACCESS ROW i — / UGKT AENICLE ENTRANCE ROCK FILL BeArKvt.'•. Y '+W CRLSTOWElt. re SEEPAGE INTERCEPTION DRAlr TSF { GERAETER ACCESS ROAD WATER AND SEMER WAIN UGNT AtHICAE ACCESSROAD "TING CIRVERTS ITYP I PROPOSEDcULv1ATRYP ® \ )R""N rTEI PAD SEEPAGE COLLECTION T IEARRTH/AlICE SHOP Contac�t/\/vtater_Pono TO PASS PSRP PROPpRV EOUNDARv /fl\�v'/..` ovEAEAD POWER ' �D t :/ CONTAcr WATER Pam ur DOWN AREA STOCRO>+lE(-"DMOf'N TRUCK PARKING Environment / PARxiIQ V Source:SRK 2024 Figure 3-11: Top Level Screen Capture of the GoldSim Water Balance Individual modules within the Water Balance container have typically been developed using a common template for clarity and organization, as shown in a screen capture of the GoldSim model in Figure 3-12. Key points of the typical layout shown in Figure 3-12 are as follows: • All inflows from outside the module are linked in the green box on the left side of the screen. • Outflows from this module to another module are located in the red box on the right side of the screen and typically will be the only link to other modules in the Model (other linkages may be utilized for reporting or verification). Within the module, there will be additional inputs and calculations in the area between the boxes, organized by additional levels of containment, if needed. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 33 Links © Kings Mtn Filtered Tailings Storage at Archdale site and Waste Rock Perimeter Module Switches Module Inflows Module Outflows / sufxe_vaM ron°R m_asw2e fx � - ,:m_� flTOW...dw—.— cob— Source:SRK,2024 Figure 3-12: Screen Capture of Typical Water Balance Module Water flows, water demands, ore and waste tonnages, and other information is passed between the modules to determine the flows and accumulation of water in the system according to the conceptual model. A detailed description of the facilities and key inputs used by the model is presented in the following section. 3.4.1 Processing Plant Tailings Delivery and Filtered Tailings Stockpile Dry filtered tailings are delivered to the Archdale TSF by highway trucks while mining activities and mineral processing is underway at the Kings Mountain Lithium mine. Table 3-6 presents the delivery rate of tailings to the TSF. Table 3-6: Scheduled Rate of Tailings Delivery to the Archdale TSF Dry Tailings Date t d 1/1/2028 1,885 1/1/2029 2,615 1/1/2030 2,610 1/1/2031 2,610 1/1/2032 2,496 1/1/2033 2,617 1/1/2034 2,610 1/1/2035 2,610 1/1/2036 1,347 1/1/2037 0 DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 34 3.4.2 Filtered TSF All tailings produced by the Kings Mountain mine process will be permanently deposited in the Filtered TSF located at the Archdale Site.The TSF will be constructed using local borrowed material and waste rock from the Kings Mountain Mine to form the berm, with appropriate geotechnical filters and recompacted soil liners on the interior faces. Prior to placement, tailings leaving the Processing Plant will be dewatered using filter presses and excess water from the filter is returned to the Processing Plant. Filtered tailings will be placed in the TSF in level lifts, always below the crest of the perimeter berm. The construction and phasing of the TSF are described in detail in "Archdale TSF Design Report", SRK 2024. A schematic of the flow components addressed in the TSF water balance model are shown in Figure 3-13. The model assumes that waste rock from the Kings Mountain mine will be used to construct the TSF Embankment. The bottom surface of the TSF will consist of the bottom of the existing Archdale pit, recompacted native soils and a drainage collection system. The outer slopes of the perimeter berm will be reclaimed as final grades are achieved. Waste Rock Perimeter Filtered Tailings Interior Perimeter Berm(20.5 ac) 57.7 acres Berm Collection Sump to Contact Water Management Pond(0) Net Surface Sump to Contact Precipitation Water Management Pond(S) (B) Closed Tailings Berm Crest Tailings Infiltration WRlnfiltration Op Active Tailings Runoff(T)Op(C)/Closed(D) V/Closed(F) Elev 960 — Runoff(S) o Perm Storage To/From Embankment Transient Stora a Tailings(H)y Tailings Tailings in7ailings(J)� eV O take/Stor WR Loss to Toe p into WR(G) Drainage to :::�:,:r ' Seepage(R) in WR(P) Drains(K) ^' '• Tailings Loss Regional Groundwater 411111111111111111 WR Drainage to .`�to GW(N) Inflow(L) Drains(Z) 11, > Tailings Seepage Base of TSF Returned from Elev 841 to 935 Groundwater storage in Saturated WR Loss to (M) Tauimgs(V)/Volume Gyy(0) Saturated Tai lings(X) Tailings Seepage to Storag n Saturated Regional 7Wa'ste,Fo�cl' (W) Volume Groundwater(U) turted Waste Rock(V) Source:SRK,2024 Figure 3-13: Tailings Infiltration and Runoff Flow Schematic All tailings placed in the TSF are assumed to be filtered and placed at breakthrough moisture content. Thus, the model assumes that the filtered tailings are at the limit of the free draining condition prior to placement and will not produce any water from the tailings solids pores without outside influence. Under the same assumption, any portion of the precipitation that infiltrates into the TSF will displace an equal amount of pore water from the tailings, and, after a propagation delay, report as seepage to the base of the TSF. Most of this seepage will be collected by the over-liner drainage system and report to the TSF Collection Sump at the bottom of the TSF where it will be pumped to the Contact Water Management Pond (CWMP) (Section 3.1.3). Any water in excess of the collection sump pump DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 35 capacity will be stored in the tailings voids and will be removed at the maximum rate of the sump pumping system. All runoff produced from the tailings surface will be collected in a low point on the surface of the TSF and pumped to the CWMP to avoid ponding water on the TSF surface as much as possible. Waste rock used to construct the TSF will be subject to runoff, infiltration, uptake, and percolation. Any water percolating through the waste rock will be routed to the TSF drainage system and added to the TSF Collection Sump before being pumped to the CWMP. As described in 3.3.4, SRK's groundwater investigation (SRK, 2023a) determined that the bottom of the TSF will have net inflow of groundwater during the deposition period. Groundwater is anticipated to flow into the TSF and the waste rock berms throughout the deposition period and into closure at a very stable rate, peaking. Groundwater inflows to the TSF will be added to the TSF sump and transferred to the CWMP as contact water. During operations, a surface collection sump will be maintained on the active placement surface of the TSF to ensure all stormwater runoff from the exposed TSF is collected inside the TSF interior. To address geotechnical concerns, a transfer pump was sized to remove the flood volume from the 100- yr, 24-hr storm event on the TSF surface in less than two days, and the flood volume from the PMP event in less than 2 weeks. Due to the nature of the construction of the TSF perimeter, the areal extent of the tailings surface and waste rock berm do not change over time, although the perimeter berm will rise as the tailings height increases which will impact the time needed for infiltration to percolate vertically through the TSF. A summary table of key parameters used to simulate the TSF is presented in Table 3-7. Table 3-7: Key TSF Input Parameters Parameter TSF Value Active Tailings Footprint 57.7 ac Perimeter Berm Footprint 20.5 ac Geometry of Tailings Surface '/2 inverted cone, 5%slope to low point Area of Exterior Berm 20.5 ac Percolation velocity of filtered tailings 0.1984 ft/da Percolation velocity of waste rock 2.835 ft.da Uptake potential ofnewly placed waste rock 2.5% by weight Surface Sump Pumping Capacity 1200 gpm Collection Sump Pumping Capacity 500 gpm The TSF perimeter configuration will prevent any off-site runoff from entering the TSF, routing all flows from surrounding areas and the TSF Perimeter into a sediment control basin before being released to Archdale Creek. During closure,the model assumes that the entire exterior TSF perimeter berm will have been covered with a reclamation cover, and the top of the tailings surface will also be graded to drain and covered with the reclamation cover. Run-off from the reclaimed tailings surface will be collected at the TSF Perimeter and added to the perimeter non-contact drainage network. A seepage collection trench, installed along the downgradient side of the TSF will intercept post closure groundwater outflows from the TSF into a sump for monitoring prior to release to Archdale Creek. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 36 3.4.3 Contact Water Management Pond The CWMP is located in the NPI pad area west of the TSF and is designed to collect and manage all contact water produced by the TSF up to the PMP precipitation.Water will be transferred from the TSF temporary surface water sumps as well as seepage collection sumps at the base of the TSF will be detained in the CWMP and monitored prior to release to Archdale creek at a controlled rate. Archdale Creek is a tributary of Dixon Branch, which joins Kings Creek south of Highway 85, approximately 2 miles south of the site. Under normal operating conditions, sediment control of discharges from CWMP to Archdale Creek will be maintained through the use of a float pond skimmer with a nominal discharge of 350 gpm to a low level pipe outlet or pumping from a floating inlet structure without a low level outlet at a similar rate. The model allowed a maximum outflow from the CWMP low level outlet of 585 gpm at the spillway invert. An emergency spillway is incorporated in the model as a 30-inch diameter spillway pipe. The Water Balance model does not simulate the use of the emergency spillway, as it is only utilized during extreme events up to and including the PMP storm events. A detailed stormwater analysis of the spillway at a 1-minute time step was performed as part of the Storm Water Management Plan developed for the Archdale site as a separate document(SRK 2024). The water balance model includes calculations to determine the amount of daily flow discharged from the CWMB during normal operations, as well as flow through the spillway under storm events including in the probabilistic scenarios. A summary table of key parameters used to simulate CWMP is presented in Table 3-8. Table 3-8: Key Water Storage Basin 3 Input Parameters Parameter Contact Water Pond Value Pond Crest Height 12.5 ft Pond Surface Area 56,000 ft2 Pond Capacity 3.84 M al Operating Outlet Pump/Skimmer up to 585 gpnn Spillway Invert Elevation 5.5 ft Spillway Pipe Diameter 30 in Source:SRK,2024 DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 37 4 Water Balance Model Simulations The model performs this balance every timestep using discrete, constant timesteps which, for this model, have been configured to 1 day. Additionally, the GoldSim simulation software may insert additional timesteps during the simulation process in order to capture rapidly changing conditions. The model is simulated from pre-mining conditions in 2023 through operations and closure and extends into post-closure. The water balance model was developed to provide information on the water management flows and storage components to aid in the design and sizing of the water management infrastructure and to provide flow contributions to other studies, such as the geochemical modeling and groundwater modeling studies. The number of results available within the water balance is quite large, with over 1,000-time history elements available for reporting in any of the simulations. This section provides some key results to summarize the results of the modeling efforts. 4.1.1 Deterministic Scenarios As part of the overall Project study, SRK produced results from the water balance model using deterministic, forced scenarios. These scenarios provide a valuable understanding of the model behavior under easily understood parameters, where all the values reported can be averaged and summed to produce consistent values. Additionally, deterministic scenarios can be run quickly, and a large number of results were reported for use with the groundwater and geochemical modeling efforts. For these scenarios, five different climate scenarios were constructed using the climate forcing datasets described in Section 3.2.2. Note that the climate scenarios were developed using daily data from select months in the legacy record to produce the average, wet, or dry scenarios. Therefore, these scenarios represent actual precipitation patterns and depths for the climate record. These scenarios were developed to simulate the system under generally average conditions from 2023 to 2120 with Climate Change Scenario SSP4.5 but with a single year stressed with a specific climate forcing. The scenarios evaluated were: • Scenario 1: Average with one extreme dry year. All years are simulated at 50th percentile precipitation except 2035, which is simulated using the fifth percentile climate year. • Scenario 2: Average with one dry year. All years are simulated at 50th percentile precipitation except 2035, which is simulated using the 25th percentile climate year. • Scenario 3: Average every year. All years are simulated at 50th percentile precipitation. • Scenario 4:Average with one wet year.All years are simulated at 50th percentile precipitation except 2035, which is simulated using the 75th percentile climate year. • Scenario 5: Average with one extreme wet year. All years are simulated at 50th percentile precipitation except 2035, which is simulated using the 95th percentile climate year. These climate scenarios were provided to the geochemistry team to provide flows and relative contributions as inputs for the geochemical mixing model. Figure 4-1 shows the annual total precipitation values. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 38 70 60 a u 50 Q 40 30 2030 2040 2050 2060 2070 2080 2090 2100 Time Annual Precipitation Sth in 2035 25th in 2035 - 50th in 2035 - 75th in 2035 - 95th in 2035 Source:SRK,2024 Figure 4-1: Deterministic Climate Scenarios Annual Precipitation The following subsections present key results of the model. Discharge from the CWMP The water balance model simulated discharge through the skimmer in response to the sum of net inflows and minor losses (seepage and evaporation). Figure 4-2 shows the outflow for the five scenarios for the deposition period and into closure. As each scenario is identical out to 2035, the scenarios overlay each other. Different precipitation events from the climate forcing scenarios have immediate affects on the pond volume, but the lagged percolation through the tailings solids can be seen to have lasting impacts on the TSF outflows. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 39 Water to Environment 700 600 fl- 500 nn b2 ra 400 U Iq pq-r Pill 1-7 of 300- FT -F IF YI N 200 100 0 2024 2026 2028 2030 2032 2034 2036 2038 2040 Time Water_to_Discharge Sth in 2035 25th in 2035 50th in 2035 75th in 2035 95th in 2035 Source:SRK,2024 Figure 4-2: Outflow from WSB-3 Through the Skimmer under the Deterministic Climate Scenarios Figure 4-3 presents the pond volume for the deposition period and into closure. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 40 1.2 1.1 1.0 0.9 0.9 v 0.7 E 0.6 0.5 u 0.4 0.3 0.2 0.1 0.0 71� 2025 2027 2011 2031 2033 2035 2037 2031 Time Contact Pond Volume Sth in 2035 2Sth 1 n 2035 - 50th n 2035 - 75M in 203S 95th in 2035 Source:SRK,2024 Figure 4-3: Volume in the CWMP under the Deterministic Climate Scenarios 4.1.2 Probabilistic Simulations To fully examine the impact of a wide range of climatic inputs to the model, SRK produced results from the water balance model using a probabilistic Monte Carlo simulation. The model was run from pre- development(January 1,2024)through development,operations,closure, and approximately 60 years into post-closure (2100). The model was simulated with the WGEN synthetic climate generator and probabilistic evaporation model for 250 realizations, with the results compiled and statistical time histories produced to indicate the range of results predicted by the model. As with the deterministic simulations, the number of results available from the model is very large. The following subsections present a select number of key results. CWMP Volume CWMP was implemented to collect contact water from the TSF sump at the surface and base of the TSF. Figure 4-4 presents a probabilistic time series of the volume in the CWMP. Figure 4-5 shows a corresponding graph of the water level elevation in CWMP, indicating the water level in the pond is typically maintained at less than 1 ft of depth, providing storage to surge storm events or other upset conditions to maintain a regular discharge rate from the CWMP. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 41 0.22 0.20 0.18 of0q 0.16 a 0.14 E E p 0.12 0.10 0 a ti 0.08 o 0.06 U 0.04 0.02 0.00 2025 2027 2029 2031 2033 2035 2037 2039 Time Statistics for Contact Pond Volume 5%..25%/75%..95% 25%..75i 50% Source:SRK,2024 Figure 4-4: Probabilistic Time Series of CWMP Volume 1.1 1.0 0.9 0.8 ..I.s 0.7 V 0.6 �., a 0.5 �• � I' � di c 0.4 eJu U 0.3 0.2 0.1 hl�liwrdWWloiWi 0.0 j 2025 2027 2029 2031 2033 2035 2037 2039 Time Statistics for Contact Pond Depth 5%..25r/75%..95r 25r..75r 50% Source:SRK,2024 Figure 4-5: Probabilistic Time Series of CWMP Elevation DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 42 4.1.3 Model Sensitivity The sensitivity of the water balance model of key inputs is important at this stage of the Project. Field measurements of many of the inputs to the model are not available, and the inputs are necessarily based on analog materials or conditions. Determining which of these inputs the model is sensitive will allow further studies to better define these parameters prior to final design efforts. The sensitivity analysis requires a single model output to represent the model response to the sensitivity analysis. For this study, the total volume of excess water stored in the tailings during the period of deposition was used as the representative model output; this provides a comparative measure of the amount of excess water available in the Project during the deposition period. The following inputs to the model were included in the sensitivity analysis. Groundwater Inflow The model simulations were made using groundwater inflow estimates from the hydrogeology model (SRK, 2024). Groundwater flows into the TSF during operations and is managed in the collection sump. The sensitivity analysis allowed the groundwater inflow rate to vary from 50% to 200% of the estimate. Tailings Percolation Velocity The tailings material was simulated with an unsaturated vertical percolation rate of 1 x 10-' m/sec in the simulations, based on saturated permeability testing of the tailings. Any seepage from the tailings is managed in the collection sump. The sensitivity analysis allowed the percolation rate of the tailings to vary from 1 x 10-1 to 1 x 10-6 m/sec. Infiltration Percentage of Uncovered Tailing The model simulations were made assuming 40% of precipitation falling on the uncovered tailings would infiltrate into the tailings, creating seepage flows that report to the base of the TSF. The sensitivity analysis allowed the infiltration rate for the tailings surface to vary from 30% to 50%. Infiltration Percentage of Covered Tailing The model simulations were made assuming 3% of precipitation falling on the covered tailings in closure would infiltrate into the tailings, creating seepage flows that report to the base of the TSF. The sensitivity analysis allowed the infiltration rate for the tailings surface to vary from 1% to 10%. Waste Rock Percolation Velocity The waste rock material used for the construction of the embankment berms was simulated with a vertical percolation rate of 1 x 10-5 m/sec in the simulations, using typical values for coarse rock fill. Any seepage from the tailings is managed in the collection sump. The sensitivity analysis allowed the percolation rate of the waste rock to vary from 1 x 10-7 to 1 x 10-4 m/sec. Sensitivity Analysis Results Figure 4-6 provides a tornado chart presenting the results of independently varying the inputs described above using a 50th percentile climate scenario during the pre-development through closure periods (2023 through 2040). The horizontal bars indicate the range of total water collected in Sump in the base of the TSF during the deposition period resulting from varying that parameter. The greater DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 43 the length of the bar, the more impact varying that input has on the model. The results have been sorted from highest to lowest impact, creating the characteristic tornado shape. Tornado Sensitivity Chart-Analyzed Result:Water in_Tailings_Sensitivity(m3) 3.Oe6 4.Oe6 5.Oe6 6.Oe6 7.Oe6 8.Oe6 I—GW—Sensitivity a) I_Tails_Percolation_Velocity C: I_FTSF_Pcnt_I nfi lt_contact c aN Q — � I—FTSF Pcnt—Infilt—Cover Percolate Rate WR ❑ Low N High Source:SRK,2024 Figure 4-6: Sensitivity Study Tornado Chart on Total Water Released from the Tailings over the Period of Deposition The sensitivity analysis indicates that the groundwater inflow rate has the strongest impact on the amount of tailings water collected at the base of the TSF. The next most impactful variable, tailings percolation velocity, resulted in significantly less tailings water collected by the system. This indicates that the amount of water collected at the base of the tailings is largely consistent of the groundwater inflows, and the development of the infrastructure to remove this water should focus on groundwater characterization as the first priority. Overall, the model predicts that the site will collect water from the tailings collection sump under the most reasonable ranges of inputs and updates to the groundwater predictions should be reflected in the design of the seepage collection system. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 44 5 Interpretation and Conclusions The water balance model for the Archdale TSF supporting the Kings Mountain Lithium Mine PFS was developed to provide a tool to interpret, understand, and plan for the mine water management aspects of the Project. Within the understanding of the Project at this stage in the design process, the model is a dynamic simulation of the development of the TSF, deposition activities, closure, and post-closure activities. The model includes the time-dependent nature of the TSF, including tailings deposition schedules and facility growth. The model incorporates a synthetic climate generator that can produce probabilistic climate on a daily basis as well as several pre-configured climate scenarios to provide deterministic climate forcing. Both kinds of climate series are corrected for site-specific climate change projects on a yearly basis. The model indicates that the Project will be consistently produce tailings contact water from the TSF surface and bottom sumps that will need to be discharge offsite during operations and during the closure and reclamation period. During the post-closure period, when active pumping ceases, the groundwater entering the tailings will flow through the TSF to discharge into the groundwater system downgradient of the TSF. SRK sized the stormwater management ponds and pumping systems to manage the 100-yr, 24-hr storm event with the pond system with a minimum time ponding on the TSF surface. The system was designed to contain the PMP storm on the TSF surface or in the CWMP by controlled release through the CWMP spillway. A sensitivity analysis of the model indicates the model is relatively sensitive to the amount of groundwater inflow entering the TSF. None of the model inputs resulted in a net deficit to the water balance, indicating that the overall water balance remains positive under the range of parameters explored. Other uncertain inputs to the model, such as percolation and infiltration parameters had even less impact on the mine water balance. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 45 6 References Allen, R., L.S. Pereira, D. Raes, and M. Smith. 1998. Crop evapotranspiration — Guidelines for computing crop water requirements. FAO Irrigation and Drainage Paper No 56. Rome, Italy. AWA, 2022. Site-Specific Probbable Maximum Precipitation Study for Kings Mountain Mining Operations, North Carolina, Applied Weather Associates, September 2021, KM60-EN-RP- 9431. EasyFit, 2015. EasyFit Professional, Version 5.6. MathWave Technologies, January 13, 2015. FHA 2021. HY-8 culvert analysis software, Federal Highway Administration. Version 7.70.10.0, June 2. 2021 GoldSim, 2021. GoldSim, Version 14.0. GoldSim Technology Group, November 2021. GTG 2021. Model of Rural Engineering with 4 parameters Daily (GR4J) in GoldSim, (https://sup port.golds im.com/hc/en-us/articles/360056312214-Model-of-Rural-Engi nee ring- with-4-parameters-Daily-GR4J-in-GoldSim), GoldSim Technology Group, downloaded November 2021. Green, W.H., and Ampt, G.A. 1911. Studies on soil physics, Journal of Agricultural Science, 4(1), 1- 24. Hamon, W.R. Estimating potential evapotranspiration J. Hydraul. Div. Proc. Am. Soc. Civ. Eng. 1961. IPCC 2023, Assessment Report 6 Synthesis Report, International Panel on Climate Change March 19, 2023. Johnson, N. L. 1949. Systems of Frequency Curves Generated by Methods of Translation. Biometrika. 36 (1/2) Kottek, M., J. Grieser, C. Beck, B. Rudolf, and F. Rubel, 2006: World Map of the Koppen-Geiger climate classification updated. Meteorol. Z., 15, 259-263. DOI: 10.1127/0941- 2948/2006/0130. NASA, 2023. Daymet: Daily Surface Weather Data on a 1-km Grid for North America, Version 4 R1 from their website at https://doi.org/l0.3334/ORNLDAAC/2129 NCEP 2023 Reanalysis data provided by the NOAA/OAR/ESRL PSD, Boulder, Colorado, USA, from their Web site at http://www.esrl.noaa.gov/psd/data/reanalysis/reanalysis.shtml NOAA, 2023. National Center for Environmental Information, Station ID: GHCND:USC00317846 Shelby 2NW, from their website at www.ncei.noaa.gov NRCS, 2004. Part 630 Hydrology National Engineering Handbook, Chapter 10 Estimation of Direct Runoff from Storm Rainfall. United States Department of Agriculture Natural Resources Conservation Service, 210-V1-NEW, July 2004. Perrin, C. (2002). Vers une amelioration d'un modele global pluie-debit au travers d'une approche comparative. La Houille Blanche, n°6/7, 84-91. Richardson, C. W., 1984. WGEN: a model for generating daily weather variables. [Washington, D.C.]: U.S. Dept. of Agriculture, Agricultural Research Service. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Page 46 SRK 2023a. Numerical Report to support EA, Hydrogeological Study and Groundwater Modeling, KM60-EN-RP-9044. SRK, 2023b. Baseline Geochemistry Characterization Kings Mountain Mining Project, KM60-EN-RP- 9055. SRK, 2023c. Archdale Water Quality Predictions Report, Kings Mountain Mining Project. SRK, (2024). Archdale Filtered Tailings Storage Facility, Select Phase, Preliminary Engineering Design Report Kings Mountain Mining Project. USDA NRCS. (2023). Web Soil Survey. https://websoilsurvey.sc.egov.usda.gov/. USDA Forest Service. (2023). Land Areas of the National Forest System. https://www.fs.fed.us/land/staff/lar/LAR2017/FIA_data_products/LAR2017/FIA_data_product All data used as source material plus the text, tables, figures, and attachments of this document have been reviewed and prepared in accordance with generally accepted industry practices. DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Appendices DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Appendix A: Historical Climate Data DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Table A-1: Shelby 2 NW (infilled) Precipitation Monthly Time-Series orn� :,gin 1U 70r 19902022 Shefty 2 NW lanaA. Fe ErwrlPA-h / Mrc 1emDer CK1JDer nv.at'ecr De<anOer Orr.0 Tom, Ye n n n n n n n n I.71 n :99G :319 734 741 260 6.65 023 4 Z94 066 4.58 0U 199: E 36 250 4.42 793 3.L4 -30 8< 7 95 0 u - - 2.91 52 06 1992 3 29 5 03 832 3 16 7.29 7 7: 3 N 6 27 321 7.04 7977 1993 7 62 4 7G 9 66 t 17 0.00 2:2 :i7 5 95 2 73 4:3 31 A3 1993 6 36 329 7.32 319 1.23 .::3 390 634 315 - 3 N 156 37 23 997 883 6 0d 278 0 98 4.64 592 8.07 9,72 5.06 952 6 S8 Z.:D 70 A :99E 6.53 2 52 7.25 3 37 4.41 436 3.93 3.24 6.56 0.76 317 430 5937 1997 490 366 114 805 3.70 463 7.18 016R3.55 7.12 326 4.90 3219 998 7.07 530 3.% 504 5.21 163 6.21 464 .49 272 4.03 5303 617 103 439 3 17 1.70 3.9E 1.77 143 4 6E 219 2.76 a1 73 2000 363 226 446 570 216 L39 399 1.79 0 a• 3 62 2 36 3673 200: 235 243 E22 0 68 3a1 710 534 098 :CC L07 3 06 41 L'20D2 a39 16 113 230 i07 5 V 303 3:2 470 7 30 473:2003 :76 442 9 33 10 0: 9.32 197 E63 570 :67 L39 280 65 35 Z004 :03 404 13E 356 3.47 940 156 193 0 99 876 7 09 3567 2005 331 3 20 436 383 3.97 733 6^ 101 394 399 433 3074 2006 357 0 88 L 11 2 43 1.75 5.35 126 190 3.83 4.E2 3 83 454 3929 zoo-,_ 2.79 197 190 Z 77 1.64 2.19 0.93 082 3.39 130 117 3 51 2436 200E 2.47 :84 405 Z 66 349 160 2.40 10.09 3.33 LE9 164 394 3910 zoos 2.B4 3 W 132 3 30 3.39 473 147 102 416 4.02 5 07 790 48 SB z010 630 4 20 470 2 as 3.27 183 1.76 659 3.83 363 L 04 269 4632 ZOL' 3 30 2 X. 635 367 3.77 154 166 443 6.26 11 617 1 333 4989 2032 261 122 L71 2 74 7.33 129 7.86 i E 3 2.64 2.39 043 a 82 3964 2013 6.16 1 3 52 3.34 3 99 631 464 LL51 426 4.83 362 439 6,37 6633 2014 3137 2 90 433 4 97 2.43 7.39 2M A" 5.42 2.3E 457 L78 47 S2 2013 184 z 63 140 699 0.93 L76 1.90 L49 2.74 6 33 923 M19 3036 ZD16 124 339 L26 11D6 6.04 L64 3.38 468 1.61 090 J 65 L29 3034 2017 4.O Om 4.12 621 6.90 123 3.77 SK 4.17 4 42 093 2.32 4624 201E L33 4.43 439 6.74 6.03 L29 3.23 460 5.70 663 3-5 G62 63 47 2019 4.31 669 3.64 475 4.02 7.11 3.32 4-6 3.19 347 6.14 3263 2]S EYJ' 905 i12 7A1 553 33: 24J 542 3.00 S:1 3.33 6618 ZOZ: 3 M 5 53 9AB 206 2 46 Z:E 8 6:. L68 :97 43 17 2022 473 1 86 3.67 :34 2.70 4 A L .135 is A 468 3 60 481 413 4A9 41E 4.y0 436 3.75 3<: 434 70-0 510 173 187 126 226 117 L60 2.6' 231 2.36 Min L03 080 L11 0.69 0.00 1 023 0.93 C.16 0.10 C CC L93 24>6 Ma L4.L9 9A9 9.66 1001 9.52 LL13 IL31 10.09 1LM :C'i LA19 b55 I t 40 14 70 1: C Ef 6u 906 s � 4 4 r ` 30 a � x 10 0 Source: NOAA,2023 D H/M S Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Table A-2: Penman-Monteith Reference Evapotranspiration Monthly Time-Series Er w to. rennin-6eonbeen ror MO-2= Eeorue 444M� i Xt emwer Daober KR be. December 4mWTo_ rea. n n inn+ n n n ,n n n m wk 200 216 3.84 526 629 754 7,56 702 546 369 2 90 :E3 33 w -- :61 24: 3.90 508 656 707 756 637 340 ic 224 :86 340616 i�zz_ :93 2 48 3.71 3 10 3 80 6 32 7.84 6:7 4 83 3 E: 2 06 :i3 313, :553 :72 2 09 3.25 502 643 719 &73 696 546 3 23 2 3: :.61 5509 .9% :w Z 32 3.99 530 6.Q 629 745 650 494 347 Z 37 -71 5294 :993 :.73 202 403 7Y 6.32 669 7.67 667 4.97 3.69 202 163 5310 :99E 161 243 ID 6.73 7.J 7.49 639 4.89 3.63 L% 168 R12 178 2 33 420 4 67 6.13 6:7 7.6E 7.:3 7.24 3.72 207 136 12 63 .-C L81 226 1!9 4� 6.30 7.4E 7.74 69: 5.49 3.% Z39 L84 3309 :995 2.08 2 46 3.39 520 6.54 648 7.56 7 23 3.27 343 Z 65 1-97 54 4E ZOOID :.68 2 79 SSE 7.05 7:i 7 L' 679 469 3:i 220 129 5394 200: :63 141 3 41 3 i- 657 7 OS 6 3-17 09 4 82 329 1.94 51 1: 2002 2 07 3 2: 3 43 646 7££ E 6£8 494 322 :.79 33 w 2003 1.64 364 3.63 633 6 93 637 516 3 72 :.78 5079 2004 .95 2 L' 4901 526 7.01 639 7,42 629 463 343 :.74 32 47 2000 :53 226 162 3 cc 6.20 633 7.26 694 3.73 3 6: - :.69 73 39 200E 2 1 2 31 3.37 3 83 6.79 7.:9 7.72 689 4.93 3 M 2.07 33 75 2007 :.E9 224 433 721• 6.72 7.13 7.69 64/ 6.09 3:9 3 L% 386: 200E :73 257 3-93 a89 6.59 a18 7.77 673 4.90 365 222 164 5493 2009 :n 2 36 3-43 3 22 5.71 7.23 7.29 679 4.91 3 3- 2 30 146 5173 2010 :74 181 3,73 3 3£ 6.41 7.67 7.91 691 3.67 4 C4 Z41 139 371E 201.' 166 257 3.56 343 6-59 7A3 7.74 7.04 416 163 Z49 :.86 39" 2012 :94 233 43o 7 5 6.62 7.14 7.37 630 5.03 3.30 Z 39 1.72 }61 2013 L89 207 139 4:E 3.93 659 6.43 6,30 3.19 3.71 2.19 LZ 304E 2014 L70 133 334 6.77 689 6.93 637 4.7E 3.90 228 LA 31 r- 2013 L77 138 3.91 45C 7.03 7.46 8.13 7.03 4.96 3.4E Lw 1.9E 5463 201E L70 224 ♦19 6.14 7.49 8.01 6E3 771 4.06 Z79 L43 3609 2017 L98 L" 198 f 6.25 669 7.63 637 5.29 167 L40 L67 MAZ 2018 L23 2S 1m 4 C 6.12 7.37 7.42 693 3.27 3.92 L03 162 3330 2019 1.75 237 161 6.92 668 7.71 687 6.L3 4.02 2.16 186 33N Mw L81 231 3.92 32L 5.K 689 711 6% 49- 178 X33 L70 MID 2021 L72 2m 191 332 8AZ 696 7.37 69: 7 2: 3.E1 2" U 213 30 2022 170 L" 4 3E 03 333 6A3 1.. 7. 671 7:3 3 63 :37 340E l.e L91 7.D 179 3.1E 6.43 7.06 7.11 679 7:= 3-3 237 3393 St" Deg 0.13 024 031 026 039 048 O.x 0403 C 24 024 C 2: L68 M I -60 131 I 123 40 5.60 60 6A3 6:7z 6Z 322 L% 1.29 M46 Ma I 2.0 297 4.30 333 7.05 818 3.73 83: 6 33 4:5 287 2-13 38164 1cm K tam 70 Stam 10 6 p ! 9 4m a B b 6 4m w 7! .m >e :m m om o L1/1H•' �L':H; ��.a i,�'Jm: L'xl� Source:SRK,2023 D H/M S Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Table A-3: Hamon Method Lake Evaporation vs Reference Evapotranspiration Monthly Time Series rm Oak Preapdaton W 19W2022 S1 w 1b.2 NW-N" feDnt• L40M i 3une ) 2 :ember October Aovernba Oecernber amwaTo_ n n In :99C 0 97 1 le 186 2:: 3 89 3 07 3 73 3 13 126 092 33-- O E2 106 177 2 7: 431 IS. 3': :39 3 17 :99 110 0913 33 T 08: 106 L6J 232 333 3': ::: 3L9 .73 :13 077 33 9: 1993 0 r7 0!6 La6 225 396 6 1: 463 3 37 :83 103 0 72 32 G: 199i 066 as, L71 2 39 3.:2 504 3.13 :3E 2.91 :.77 SSE Ogg 30 63 1997 072 08'7 L77 233 3?9 G73 7A1 :23 3.01 2.00 393 C73 3123 199E 072 106 L38 2G: 4.01 GM 5.39 Gd[ 2.97 :.E7 101 C T- 309: 1997 080 10-1 185 1 212 3.31 4335.43 Gig 3AS :.77 093 C 3 299E 19% 0 E7 102 L47 Z x 3.9E 3.11 139 G 33 3.14 2.05 ]78 31 SE 19" OE2 091 L39 257 3.33 463 3.64 300 2.98 :81 124 - 313E Z000 072 101 L74 216 3 93 3:E 3 26 G 63 2-9-6 :88 100 31 iG 207 073 100 Lai 260 3-- - :% :73 2.86 .-3 127 30 E6 2002 096 086 1.60 ZA2 3 3- ::3 5 6- -67 3.20 -93 395 - 3:94 am 063 011: L61 2-26 143 -39 31-, a.80 3.10 :EE 139 - 30 2004 C-6 Obi L76 233 4 40 G 92 3.+2 A38 3.07 2 0- 122 32 22 2003 C 92 093 1.73 Zt1 3.61 490 3.82 3.16 3.3i :0; 120 C 3277 2006 C 5.: O S.° L W 297 3.73 3.03 3.72 103 107 -- 1:6 C 53 32 80 2007 0.E6 199 247 3.67 126 5A8 183 3.60 2 3C 1:] C% 3936 2008 0.77 - 1-59 2a8 3.60 151 5.66 •72 3.20 CE3 322E 2005 0.76 O 93 161 247 3.91 51E 3.23 •% 3.13 -- C 6E 3192 Z010 0.69 0% Lab - 6.2E 3.i 3 6 19 3 21 3.39 0.38 3403 ZOL' 0.67 102 L60 Z 3.99 7 32 166 -22 3:3 :01 33:3 201-1 0.88 103 224 4.29 G 7E 1 E6 40 323 098 33 2013 0.91 034 L26 45 3.56 302 3:: G33 3 3 102 0$ 31 2: Z01: 0.63 096 133 4i .16 3 2" 3 20 G40 336 4i ]97 0 V 3115. ZOO 0.73 07: L63 Z_-f :.23 :65 59: G% 3:0 :5C 127 :.:3 3:22 2016 0.71 094 L% 3.7E 3.36 6.12 IZ2 372 119 0.E3 3434 2017 0.93 1 17 L62 3.37 300 7.91 472 3 19 112 0.80 33 32 ZOSE 0.67 127 L" 4.:2 154 5.66 493 3 K 399 0.82 3 X Ni9 0.92 103 L47 z a.% 498 7.39 493 3- 2 3C ]- 0.8E 310E 202C 0.92 103 LB3 2 33 339 G% 6 00 497 13J 0.76 32 9: ZOZ: 0.7B am L73 2 S 2 3 6: -97 3 - LOB 32:3 2022 0. 0.% L68 2 is :]i 6 13 G8a 3 L• 126 0.T 32 E2 A 0.79 0.% L6a 1 20 3.37 :C4 3.63 'Lao 3.23 L96 L30 0,83 3236 .1101 0.10 0-0 0.21 0.18 1 ]33 33 ]32 0.31 0.26 0.17 013 0.13 1-31 Mn 0.63 1 0.71 2-26 1 2.12 3 31 -33 :36 l39 2.86 L71 033 0.33 2998 MY 0.97 LV 2.24 1 237 :..:E - 183 3.99 L30 L39 L23 3456 um a1 um 70 S1m o0 a g,am >o { lm b it lm ]0 0 .,.ri %AIA 0 IN= y3/1030 L11101t 1J3f1070 -.-%�0+roMdee �YrwYfr �MrrtarO�fn Source:SRK,2023 D H/M S Archdale_WaterBa IanceModel ing_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Appendix B: Johnson SB Probability Distribution Fitting to Legacy Precipitation Records DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.), Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Table 13-1: Probability of Rain and Johnson SB Distribution Parameters for the WGEN Synthetic Climate Generator Dailv Precipitation Pr bability of Rain Number of Days Probability of Day Number of Days with Rain with Rain FoW mng Probability of Day win, wdh Rain FollomV Probability of Day wnh Month Number of Days Number of Rain Days Number of Dry Followtv Rain Days Dry Dap Rain Rain Day Rain Follow January 1024 338 686 166 171 0.3301 0.4926 0.2493 February 932 295 637 134 161 0.3165 0.4558 0.2527 March 1023 339 684 160 179 0.3314 0.4734 0.2617 April 990 287 703 132 155 0.2899 0.4615 0.2205 May 1023 328 695 172 156 0.3206 0.52SO 0.2245 June 990 347 643 182 165 0.3505 0.5260 0.2566 J uty 1023 381 642 184 197 0.3724 0.4842 0.3069 Auousst 1023 360 663 181 179 0.3519 0.5042 0.2700 ember 990 253 737 125 128 0.2556 0.4960 0.1737 October 1023 256 767 125 131 0.2502 0.4902 0.1708 November 990 264 726 124 140 0.17 0.4715 0.1928 December 1023 332 691 170 162 0.3245 0.5136 0.2344 Annual 120541 3780 1 8274 1855 1 1924 1 0.3136 1 0.4909 0.2325 Daily Precipitation Johnson SB Probability Distribution Parameters for Precipitation Depth Month Distribution Fitted Parameters for Selected Distributions January Johnson SB Scale Gamma 2.0242 Scale Delta 0.8182 Scale Lambda 4.4092 Location Xi -0.07673 February Johnson SB Scale Gamma 3.1908 Scale Delta 0.9449 Scale Lambda 8.4564 Location Xi -0.03685 March Johnson SB Scale Gamma 3.1636 Scale Delta 0.9594 Scale Lambda 9.7596 Location Xi -0.06923 April Johnson SB Scale Gamma 1.6954 Scale Delta 0.7513 Scale Lambda 3.4780 Location Xi -0.04545 May Johnson SB Scale Gamma 2.0010 Scale Delta 0.7180 Scale Lambda 4.2443 Location Xi -0.02775 June Johnson SB Scale Gamma 1.7186 Scale Delta 0.5995 Scale Lambda 3.3286 Location Xi 0.00655 July Johnson SB Scale Gamma 3.0842 Scale Delta 0.8813 Scale Lambda 9.2951 Location Xi -0.06948 August Johnson SB Scale Gamma 2.9964 Scale Delta 0.8595 Scale Lambda 9.3422 Location Xi -0.07835 September Johnson SB Scale Gamma 3.2339 Scale Delta 0.9187 Sole Lambda 12.6210 Location Xi -0.10147 October Johnson SB Scale Gamma 1.8069 Scale Delta 0.6108 Scale Lambda 4.9435 Location Xi -0.03236 November Johnson SB Scale Gamma 2.9333 Scale Delta 0.9405 Scale Lambda 9.0768 Location Xi -0.09873 December Johnson SB Scale Gamma 2.7451 Scale Delta 0.9901 Scale Lambda 6.2177 Location Xi -0.09479 Source:SRK,2023 DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024 SRK Consulting(U.S.),Inc. 2022 KM PFS Report-Surface Water:Water Balance Development Report Appendices Table B-2: Gamma Distribution Parameters for Daily Reference Evapotranspiration in inches/day Month Alpha Beta January 10.7993 0.0054 February 11.4785 0.0072 March 13.9176 0.0088 April 24.8706 0.0069 May 28.3117 0.0073 June 37.5546 0.0063 July 48.8532 0.0050 August 40.3850 1 0.0054 September 25.0807 0.0069 October 19.0411 0.0063 November 14.3417 0.0055 December 11.2369 0.0050 Source:SRK,2023 DH/MS Archdale_WaterBalanceModeling_TR_USPR000576_Rev04.docx April 2024