2016-12-23_GENERAL DOCUMENTS - C1980007

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West Elk Mine Partial Phase I Bond Release SL-10 Findings Page 4 of 8 $97,871.00 Partial Phase I Bond Release SL-08 was received on 18 May 2015 and requested a release of 10.05 acres. The release included the plugging and abandonment of 15 Mine Ventilation Boreholes (MVBs), the backfilling and regrading of 11 drill pads, and the backfilling and regrading of the associated roads and road spurs (eight total). The Division issued its proposed decision to approve the Partial Phase I Bond Release SL-08 on 20 November 2015 and released $110,452.00 Partial Phase III Bond Release SL-09 was received on 4 November 2015 and requested the final bond release of 22.1 acres. The release included the revegetation of 18 drill pads, including seven with associated spur roads, and four road segments in the Deep Creek, Long Draw, Long Draw Saddle, and West Point Road mining areas. The Division issued its proposed decision to approve the Partial Phase III Bond Release SL-09 on 1 December 2016 and released $38,462.00 The Division received MCC’s application for a Partial Phase I Bond Release on 27 April 2016. The application was deemed complete on 10 June 2016, after the Division received proof of publication of the applicant's public notice. MCC published notice of the bond release application in Delta County Independent once weekly for four consecutive weeks, beginning 4 May 2016. MCC also notified land owners within and adjacent to the mine permit area, and other interested parties of the application for bond release, as required by Rule 3.03.2(1). No comments, written objections, or requests for an informal conference regarding the bond release application were received by the Division. The Division scheduled and conducted a bond release inspection on 20-22 June 2016, which allowed time for snow to melt and roads to dry out. The site inspection was conducted in accordance with Rule 3.03.2(2). The inspection was attended by Leigh Simmons and Jim Stark (Division); Tom Medlin (OSMRE); Jessica Loveland, Kathy Welt, Weston Norris and Jim Miller (Mountain Coal Company, MCC); Dan Gray (USFS); Dave Noe, Morgan Rubanow and Alyssa Clarida (Western Slope Conservation Center, WSCC). No representative of the BLM was present, although Dave Lazorchak had been notified by certified mail. During the inspection several issues were identified:  Three sites (E3-17.5, E3-21 and E3-25) did not have borehole location markers to show the location of the abandoned hole at the time of the initial inspection. MCC later surveyed these sites and submitted photographs of the borehole location markers. These were verified during a follow up inspection on 27 July 2016.  E3-29 had been plugged and abandoned but the pad had not been reclaimed. The acreage of this pad is not included in the bond release calculation.  A small slump was noted at 09LWE4X37. Initially MCC was requested to repair the slump, however following further consideration it was determined that the slump occurred as the result of a natural groundwater seep, and was not related to the construction of the pad or the associated road. The Division, with the concurrence of Dan Gray of the USFS, absolved MCC of responsibility for repairing the slump.