Each exploration hole, other drill hole or borehole, shaft, well, or other exposed underground opening shall be cased, lined, or otherwise managed as approved by the Commission to prevent acid or other toxic drainage from entering ground and surface waters, to minimize disturbance to the prevailing hydrologic balance and to ensure the safety of people, livestock, fish and wildlife, and machinery in the mine-plan and adjacent area. Each exploration hole, drill hole, or borehole or well that is uncovered or exposed by mining activities within the permit area shall be permanently closed, unless approved for water monitoring or otherwise managed in a manner approved by the Commission. Use of a drilled hole or monitoring well as a water well must meet the provisions of §12.520 of this title (relating to Hydrologic Balance: Transfer of Wells). This section does not apply to holes drilled and used for blasting in the area affected by surface operations.