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Coal Ridge No. 1 Mine C1984065: MT7 <br />Section V - Identified Issues <br />Review of the permit application package resulted in the following issues. <br />April 14, 2014 <br />1. Reclamation of the site has been completed, with the exception of the sediment control <br />structures. The Division granted Phase II bond release for the site, on August 17, 2001, making a <br />specific finding that existing vegetation was sufficient to ensure that drainage from the reclaimed <br />areas did not contribute suspended solids to streamflow or runoff outside the permit area in <br />excess of premining levels or adjacent, nonmined areas. Pages 4 -58 and 4 -58i of the approved <br />permit application package reference studies conducted by C.B. Minerals Company, LLC to verify <br />that sediment control structures are no longer required on site. <br />Part 1, Section 3.A. (page 6) of the Division's April 18, 1995 Guideline Regarding Selected Coal <br />Mine Bond Release Issues states that sediment ponds and related collection and diversion <br />ditches should be reclaimed promptly upon approval of Phase II bond release. Rule 4.05.3(6) <br />requires that all temporary channels for the conveyance of overland flow be removed when no <br />longer needed. Accordingly, the Division will require C.B. Minerals Company, LLC to either <br />remove the remaining sediment control structures, or submit a revision for their permanent <br />retention. Unless a revision to retain the structures is approved, reclamation of the sediment <br />control structures must be completed by September 30, 2014. <br />2. Please verify that the information in Section 2.2 - Identification of Interests of the permit <br />application package is current, including permittee ownership and control information, surface <br />and mineral ownership, and permittee compliance information. If the information is outdated, <br />please submit a minor revision to update the information. <br />Section VI - Bonding <br />The Division currently holds a certificate of deposit in the amount of $43,200.00 for reclamation at <br />the Coal Ridge No. 1 Mine, issued by Wells Fargo Bank West, NA. <br />Attached is the reclamation cost estimate for the 2014 Coal Ridge No. 1 Mine Midterm Review MT7. <br />The Division updated the reclamation cost estimate with costs last updated in the second half of <br />2013. This updated estimate represents a new liability of $28,022.72. <br />Based on the above referenced 2014 Midterm (MT7) Review Cost Estimate, the Division holds an <br />adequate amount of bond to complete the remaining reclamation required at the Coal Ridge No. 1 <br />Mine. Since the estimated costs of reclamation are more than previously calculated, the Division will <br />initiate a surety increase permitting action as required by Rule 3.02.2(4). <br />Page 9 of 28 <br />