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COLORADO <br />Division of Reclamation, <br />Mining and Safety <br />Department of Natural Resources <br />22 January 2015 <br />Basil R. Bear <br />Bowie Resources, LLC <br />P.O. Box 1488 <br />Paonia, CO 81428 <br />Re: Bowie No. 1 Mine (Permit No. C- 1981 -038) <br />TR -59 - Incidental Boundary Revision — Loadout <br />Preliminary Adequacy Review - Addendum <br />Dear Mr. Bear: <br />The Division issued a Preliminary Adequacy Review (PAR) letter for TR -59 on January 14, <br />2014. The purpose of this addendum is to respond to a question raised by BRL and to add one <br />additional adequacy item for your response. <br />Item No. 2 of the PAR read as follows: "Minor adjustments were made to the permit boundary <br />as shown on the permit maps. Are these changes to be confined to the maps only? Please update <br />the Legal Description in the permit text, as appropriate." In an Email on January 15th, Jim Stover <br />inquired whether a metes and bounds description is required, or will a simpler quarter - quarter <br />description suffice? Rule 2.03.6(1) reads, "Each application shall contain a complete and <br />detailed legal description of the proposed permit boundary..." The Division interprets this to <br />mean that a metes and bounds description is required for those portions of a permit where the <br />boundary is irregular and does not follow along quarter - quarter section lines. In the case of the <br />Bowie No. 1 Mine, the Loadout (and power line corridor to the East Mine) appear to meet the <br />criteria. Please develop a metes and bounds description(s) for any areas of the permit that can <br />not be accurately described by reference to Sections or regular portions thereof. <br />Adequacy Review (New Item) <br />5. The Division has found that subsurface ownership for permit and adjoining areas at the <br />Loadout is not specifically addressed in Section 2.03 of Volume 7 — Paonia Loadout. <br />Rule 2.10.3(1)(a) requires that maps be included which show, "All boundaries of lands <br />and names of present owners of record of those lands, both surface and subsurface, <br />included in or contiguous to the permit area;" (emphasis added). [This requirement is <br />distinct from that found in 2.03.4(6) regarding owners of coal to be mined.] Map 1 is <br />entitled "Surface & Subsurface Ownership ", but according to 2.03.4(7) of the permit <br />(Vol. 7, page 2.03 -7), "no search for private ownership of the subsurface areas has been <br />performed ". Please update Volume 7 of the permit to address the question of subsurface <br />ownership at the Loadout in accordance with 2.10.3(1)(a). <br />© -cod <br />1313 Sherman Street, Room 215, Denver, CO 80203 P 303.866.3567 F 303.832.8106 http: / /mining.state.co.us <br />John W. Hickentooper, Governor I Mike King, Executive Director I Virginia Brannon, Director <br />