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DESERADO MINE <br />BLUE MOUNTAIN ENERGY <br />3607 County Rd. 65 <br />Rangely, CO 81648 <br />(970)675 -4300 <br />fax (970)675 -4399 <br />May 21, 2014 <br />Mr. Zach Trujillo <br />Division of Reclamation, Mining and Safety <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />RE: Permit Renewal RN -6 — Mining Permit No. C- 1981 -018. <br />Response to Adequacy Review. <br />Blue Mountain Energy, Inc. — Deserado Mine. <br />Dear Zach: <br />RECEIVED <br />MA'r" 2 b 2014 <br />Division of Reclamation, <br />Mining & Safety <br />The following is in response to your adequacy review. Numerical comments correspond to the <br />questions and comments presented in your review. <br />1. Sections I, II.B, II.C, III, IV, and V where searched electronically to address the <br />Division's name change. Appropriate corrections were made and included in the attached pages <br />for the permit update. <br />References on page IV -56 were changed as of the last revision occurring with MR -151 <br />(06/2012). If you need a copy please contact me by email. <br />2. Page I -1 has been updated to reference the current permit renewal. <br />3. Page I -7, Section 2.03.5 has been updated to reference RN -6. <br />4. Map 120 has been revised to update the current mining projections. Map 147 was not <br />updated since this map's intent is to address Small Area Exemptions and not underground <br />development. Map 147 is updated frequently and mining progress is typically updated along <br />with these associated changes. Map 120 is referenced on Map 147 as the appropriate location to <br />review approved underground development. <br />5. Table II.13-1 on page II.B -11 has been updated to reflect our best estimates of the <br />recoverable raw and clean coal reserves as of the date of this renewal. <br />6. Table V -4 on page V -26 does not generally address topsoil salvaged from SAEs unless <br />that soil is stockpiled with that from larger areas. For the locations mentioned each has a topsoil <br />pile or piles immediately adjacent to the site and would not incur additional reclamation costs <br />relative to the regrading costs. A footnote was added to this table addressing topsoil <br />salvage /stockpiling for SAEs. <br />