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2015-06-26_REVISION - C1981010
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2015-06-26_REVISION - C1981010
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Entry Properties
Last modified
8/24/2016 6:08:43 PM
Creation date
6/26/2015 10:48:13 AM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
C1981010
IBM Index Class Name
Revision
Doc Date
6/26/2015
Doc Name
Revised Reclamation Cost Estimate
From
Jared Ebert
To
Tabetha Lynch
Type & Sequence
MT7
Email Name
JLE
TNL
DIH
Media Type
D
Archive
No
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COLORADO <br />Division of Reclamation, <br />Mining and Safety <br />Department of Natural Resources <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Memo <br />Date: June 26, 2015 <br />To: Tabetha Lynch, DRMS <br />From: Jared Ebert, DRMS <br />RE: Trapper Mining, Inc., Permit C-1981-010 <br />Midterm Review No. 7. (MT7) Review Memo — Updated Reclamation Cost Estimate <br />This memo serves to revise section 2.05.4(2)(b) fmdings of my original April 30, 2015 memo for the <br />Trapper Mine MT7 review. At the writing of that memo, it was thought that Permit Revision No. 7 (PR7) <br />would be approved prior to finalizing the midterm review. Given this, the liability amount originally <br />cited in my April 30, 2015 memo was based on the reclamation cost estimate for PR7 updated with <br />present day costs. Since PR7 has not been approved and is still under review; it is no longer appropriate <br />to use that cost estimate. Given this, I recalculated the liability amount based on the currently approved <br />reclamation cost estimate for the site. The current liability amount is based on a reclamation cost estimate <br />conducted for Permit Renewal No. 6 (RN6) and has been reduced based on the subsequent approval of <br />three bond release applications (SL 14, 15 and 16) and increased with the approval of Minor Revision No. <br />220 (MR220). <br />The cost estimate enclosed is based on the tasks from the RN6 estimate and has been updated based on <br />present day costs as well as taking into account the approval of SL14, 15 and 16 and MR220. For MT7, <br />the liability estimated for the Trapper Mine is $24,738,005.49. The current liability is set at <br />$27,030,843.72 and Trapper Mining, Inc. (TMI) currently has a corporate surety in place in the amount of <br />$30,173,724.00. The liability estimated for MT7 is less than the liability currently in place for the <br />Trapper Mine; thus TMI does not need to increase their bond. The primary reason why the liability <br />estimated for MT7 is less than the currently set liability amount is in regards to Task No. 025. Utilizing <br />more efficient and less costly equipment, the liability estimated for this task was reduced. Other unit <br />costs increased or decreased depending on the task but the overall result was a decrease in the liability. <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. Hickenlooper, Governor I Mike King, Executive Director I Virginia Brannon, Director <br />
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