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STATE OF COLORADO <br />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 />June 4, 2013 <br />Dennis Jones <br />Sage Creels Coal Company, LLC <br />PO Box 250 <br />Hayden, CO 81639 <br />RE: Peabody Sage Creek Mine, Permit C- 2009 -087 <br />COG - 0048275 and COG - 603191 Well Pump Test <br />First Quarter 2013 Discharge Monitoring Report Review <br />Dear Mr. Jones: <br />COLORADO <br />ID IV I S I O N O F <br />RECLAMATION <br />MINING <br />SAFETY <br />John W. Hickenlooper <br />Governor <br />Mike King <br />Executive Director <br />Loretta E. Pineda <br />Director <br />The Colorado Division of Reclamation, Mining, and Safety (CDRMS) has reviewed and found the <br />above referenced reports to be in compliance with Rule 4.05.13(2). The first quarter 2013 Discharge <br />Monitoring Reports were received by the Division on 14 May 2013. <br />All outfalls permitted under COG - 0048275 discharged during the first quarter 2013. No exceedances <br />were noted. <br />The well pump test permitted under COG - 603191 occurred in November 2011. No further discharge <br />has occurred since. <br />One selenium (Se) value reported by the lab utilized by PSCM exceeded the 4.6 ug /L standard at Pond <br />004. Based on the cover letter and the DMR, PSCM believes this value to be in error. PSCM is <br />currently under violation for an exceedance of Se under CDPS Permit No. CO- 004875. <br />It is noted that based on a Memorandum of Understanding between the Division of Reclamation, Mining <br />and Safety and the Water Quality Control Division (WQCD), the WQCD will be responsible for <br />enforcing CDPS permit conditions including the above referenced exceedances. <br />Whole Effluent Toxicity tests were collected for analysis during the first quarter. The tests indicated <br />that the effluent was not acutely toxic to Pimephales promelas or Ceriodaphnia dubia. <br />If you have any questions feel free to contact me. (303) 866 -3567 ex 8134 <br />Sincerely, <br />Office of Office of <br />Mined Land Reclamation Denver • Grand Junction • Durango Active and Inactive Mines <br />