2013-10-08_PERMIT FILE - C1982056A ‎(6)‎

• Permit No: C1982056A
• IBM Index Class Name: Permit File
• Doc Date: 10/8/2013
• Section_Exhibit Name: 3.01 Performance Bond Requirements
• Media Type: D
• Archive: Yes

RULE 3 PERFORMANCE BOND REQUIREMENTS
Rule 3.01 - Introduction
This Rule sets forth minimum requirements and responsibilities for filing and maintaining performance
bonds for surface coal mining and reclamation operations, and coal exploration, in accordance with the Act. The
Rule includes minimum requirements for determining the amounts and periods of liability for performance bonds; it
establishes minimum standards for the form, conditions, and terms of performance bonds; it sets forth minimum
provisions for criteria, schedule, and procedures for release of performance bonds; it establishes provisions to be
applicable whenever a proceeding for the forfeiture of all or any part of a performance bond, as a result of a failure
to meet the conditions upon the bond, is initiated; and it sets forth special requirements for construction of certain
min drainage control facilities.
Twentymile Coal, LLC (TC) is currently bonded for the surface disturbance and reclamation of the Foidel Creek
Mine under several bonds, the primary one of which is a Self -Bond (SB -08) in the amount of $10,056,089.00.
TC's bond reclamation cost estimate for the CRDA Expansion (TR09 -67) takes into account the consideration that
bond monies have already been posted for the existing Refuse Pile, which includes the entire eastern side that will
be redisturbed by the proposed CRDA Expansion. This existing bond, along with the calculated bond coverage for
an initial bonded disturbance area of approximately 50 acres, addresses bonding for the initial area of disturbance.
This initial bonded area includes redisturbance of the eastern side of the existing RDA, the initial CRDA bonded
disturbance area, haulroad disturbance, stockpile and ditch disturbance, stockpile access corridors, and a bonded
buffer to address any minor unplanned disturbances. With a total facility life of approximately 14 to 20 years, it is
anticipated that the remaining 50 acres of the total CRDA expansion area of 140 acres will be bonded in two future
bond increments of approximately 20 -30 acres each. Bond Increment I was addressed in 2013, and Bond Increment
II is anticipated to occur in the 2017 -2021 timeframe. Consistent with the constraints inherent in a cumulative
bonding approach, TCC will clearly delineate bonded areas, will limit disturbance to those areas, and will work
with the CDRMS to determine and maintain adequate bond coverage for all activities.
Additional security required due to any new mining activities planned under permit revisions will be obtained and
submitted to the CDRMS in accordance with Rule 3.02. Calculations of bond reclamation liabilities are provided in
Appendix A to the PAP.
RN12 -06 3.01 -1 07/10/13