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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 />February 8, 2016 <br />To: Brock Bowles <br />From: Jason Musick <br />RE: New Horizon Mine, C-1981-008 <br />SL -17 RCE Memo <br />Per your request, attached is the reclamation cost estimate for the 2015 New Horizon Mine Bond Release <br />Application No. 17 (SL -17). The Division updated the reclamation cost estimate with costs updated in <br />October 2014 to reflect 2014 CRG, Means and CDOT rates. This updated estimate total was $367,112.14. <br />This estimate includes reclamation tasks identified in the permit and includes costs associated with SL -17. <br />When determining the amount of liability that can be released based on the SL -17 application, the <br />Division updated the cost estimate for the entire mine site based on costs updated with the 2015 Midterm <br />review as noted above and the tasks that could be removed based on work acomplished and requested to <br />be released. Below are a list of tasks that have been revised or removed based on the SL -17 application. <br />Task 027 - The costs to replace the powerlines on BB and 2700 road were part of SL -13 and should have <br />been removed with the approval of SL -13. As such, the costs will be removed via SL -17. Task 027 will be <br />removed from the RCE. <br />Task 028 - The costs to replace the telephone lines on BB and 2700 road were part of SL -13 and should <br />have been removed with the approval of SL -13. As such, the costs will be removed via SL -17. Task 028 <br />will be removed from the RCE. <br />Task 088 - The approval of SL -17 will remove all tasks associated with the BB road and 5th street in the <br />reclamation cost estimate. Task 088 will be removed from the RCE. <br />Task 089 - The approval of SL -17 will remove all tasks associated with the BB road and 5th street in the <br />reclamation cost estimate. Task 089 will be removed from the RCE. <br />Task 090 - The approval of SL -17 will remove all tasks associated with the BB road and 5th street in the <br />reclamation cost estimate. Task 090 will be removed from the RCE. <br />Task 092 - The approval of SL -17 will remove all tasks associated with the BB road and 5th street in the <br />reclamation cost estimate. Task 092 will be removed from the RCE. <br />Task 093 - The costs associated with the reconstruction of a portion of the BB road and 2700 road were a <br />part of the SL -13 and should have been removed with the approval of SL -13. As such, the costs will be <br />removed via SL -17. Task 093 will be removed from the RCE. <br />Task 094 - The costs associated with the reconstruction of a portion of the BB road and 2700 road were a <br />part of the SL -13 and should have been removed with the approval of SL -13. As such, the costs will be <br />removed via SL -17. Task 094 will be removed from the RCE. <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 />