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11/5/2014 State.co.us Executive Branch Mail - Re: New Elk TR68 <br />STATE, OF Hernandez - DNR Alysha <alysha.hernandez @state.co.us> <br />COLORADO <br />Re: New Elk TR68 <br />1 message <br />Simmons - DNR, Leigh <leigh.simmons @state.co.us> Tue, Nov 4, 2014 at 2:30 PM <br />To: John Terry <jterry@newelkcoal.com> <br />Cc: Ron Thompson <ronthompson @newelkcoal.com >, Louis Head <Ihead @newelkcoal.com >, <br />kent @gorhamenergyconsultants.com, Mike Boulay - DNR <mike.boulay @state.co.us >, Alysha Hernandez - DNR <br /><alysha.hernandez@state.co.us> <br />0 <br />Attached is the latest (and hopefully final) draft of the updated Reclamation Cost Estimate for the New Elk <br />Mine. <br />In the header row you'll see that it says "Permit Renewal 06 /Technical Revision 68 Cost Summary". This reflects <br />the fact that the permitting work for MT6 /TR68 has been of sufficient duration that the next permit renewal (RN6) <br />is due. Since the costs have all been updated with 2014 values it was previously agreed that this RCE can serve <br />double duty. <br />The RCE was completed by my colleague Jim Stark, whose comments are copied below: <br />Attached is the reclamation cost estimate for the New Elk Mine's Permit Renewal 06 /Technical Revision <br />68. The new liability is $4,122,800.00. This amount is approximately $10,000 less than the current bond <br />held (of $4,133,137.00). New Elk will not need to submit any additional bond monies as a result of Permit <br />Renewal 06 /Technical Revision 68. <br />The estimate includes changes to the topsoil replacement volumes, as detailed in pages 2.05- 34 -40, <br />including the new topsoil import volume for the RDA (of 14,563 LCY). It also includes the changes to the <br />reseeding plan. These changes remove live transplants over the broader mine -site and replace them with <br />six, 10, 000 SF shrub clumps (with 100 stems /acre or approximately 435 stems /acre). <br />There is still a cost in the estimate for the reclamation of the permanent ponds. Per Coal Program policy, <br />the only way to remove the costs for a permanent facility is to go through a Phase l /// //// Bond Release. <br />suspect that the reduced amount of the total liability will negate any need for a cumulative bond schedule; <br />correct me if I'm wrong. <br />If that is the case then we are very close to the completion of this arduous process. I have sent an up to date <br />list of the approved maps to Kent so that he can make the necessary changes to the table of contents. When <br />have that updated page (or pages), the letter regarding pond 8, and the proof of publication of the public <br />notice I will do a final check and then propose the decision to approve TR68. <br />Please feel free to call or email me with any questions or comments, <br />Leigh <br />.. Simmons <br />A&17 COLOIRADO <br />Division of t ectairnati,on, <br />Miim.ixig and, Safety <br />Denrartrnerrtc,;+ PalaturralFtt.sruwe:es <br />https: / /mail.googl e.com /m ai I /u/0 / ?ui =2 &i k= e29129fcb5 &view =pt &search= i nbox &th= 1497cb78l c7bedl e &si m l= 1497cb78l c7bedl e 1/2 <br />