<p>This study presents a comprehensive holistic investigation of water resource management in the Yushuquan and Yongxin coal mining areas of Xinjiang, China, addressing the critical challenge of balancing coal extraction and ecological preservation, especially in arid environments. Through systematic analysis of hydrogeological conditions, water level dynamics, and hydraulic migration patterns, the dense fracture networks, and burnt rock areas are identified as primary pathways for surface water infiltration, creating substantial water-related hazards for mining operations. The developed hydraulic model accurately represents the complex interactions among multiple water bodies, providing valuable insights into operational decision-making and long-term water resource management. Approximately 30% of atmospheric precipitation recharges underground aquifers through surface gullies and fractures, while the Kuqa River serves as an external water source. The burnt rock areas and goaf spaces function as natural groundwater reservoirs, with rapid replenishment occurring through these pathways following drawdown events. Based on these insights, a comprehensive water-conservation mining strategy is proposed, integrating scientific drilling designs for water redirection, controlled mining heights to protect upper aquifers, and surface water management systems to reduce infiltration. These approaches not only mitigate immediate water hazards, but also contribute to the establishment of stable artificial aquifers, offering a sustainable solution for coal mining in water-sensitive environments. This research provides a valuable framework for implementing ecologically responsible practices in similar geological settings, contributing to the sustainable development of China’s western mining regions.</p>