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DIVISION OF RECLAMATION, MINING AND SAFETY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866 -3567 <br />FAX: (303) 832 -8106 <br />STATE OF COLORADO <br />COLORADO <br />D I V I S 16 N OF <br />RECLAMATION <br />MINING <br />SAFETY <br />March 5, 2014 <br />John W. Hickenlooper <br />Governor <br />Louis Head <br />Mike King <br />Executive Director <br />New Elk Coal Company, LLC <br />12250 Highway 12 <br />Loretta E. Pineda <br />Director <br />Weston, CO 81091 <br />Re: Lorencito Canyon Mine (Permit No. C- 1996 -084) <br />Permit Renewal No. 3, (RN3) <br />Dear Mr. Head: <br />The Colorado Division of Reclamation, Mining and Safety (Division) received your letter of February <br />28, 2014 which enclosed a list of officers related to the Lorencito Canyon, New Elk and Golden Eagle <br />mine sites. <br />The ownership and control information must be incorporated into the respective mine permits by way of <br />a revision to the permit. At Lorencito Canyon this has been a pressing issue, since Permit Renewal 3 <br />(RN3) cannot be approved until: (1) the ownership and information is brought up to date, and; (2) the <br />list of officers and controllers is checked against the Applicant Violator System (AVS) database. If the <br />AVS check reveals any inconsistencies they must also be accounted for. <br />New Elk Coal Comnanv (NECC) must reauest an extension to the Drobosed decision date for RN3 to <br />allow time for these administrative procedures. The proposed decision date was February 28, 2014, <br />which has passed. NECC must extend the decision date or the Division will consider a deny decision, <br />which in this case may result in revocation of the permit. An extension of 30 days should be ample time <br />to complete the remaining tasks. <br />In order to achieve objectives (1) and (2), as listed above, NECC should: <br />• Revise pages 2.03 -3 and -4 with the current information. The format of the page should <br />be preserved, with footer information updated to reflect the date of the change and the <br />permitting action (RN3). Other information on the page should also be preserved, since <br />the new page will replace the old one in the permit. <br />• Provide a list of employment end dates for recent officers and directors will help to <br />deal with many of the problems that are likely to be brought up by the AVS query. The <br />list can just be in the text of a reply to this letter. Greg Smith had done much of this <br />work in December. For reference the names and dates he compiled are copied below. <br />As you can see, end dates for Alana Kelcey and John McCulloch are missing from this <br />list and must be included. Furthermore, the list may no longer be complete — Mark <br />Haywood, at least, should be added with his title and start/end dates. <br />Provide an outline of the corporate structure; it maybe unnecessary to include <br />information about the directorship of North Central Energy Company if it is wholly <br />owned by NECC. <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />