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I. Explanation as to why the operator has not recommenced operations or begun
<br /> reclamation
<br /> Cotter has not recommenced operations at the JD-8 Mine because it is has been barred from
<br /> doing so by the injunction ordered by the United States District Court for the District of
<br /> Colorado in Colorado Environmental Coalition v. Office of Legacy Management, 819 F.
<br /> Supp. 2d 1193, 1224-25 (D. Colo. 2011), and the U.S. Department of Energy's ("DOE")
<br /> implementation of that injunction. Under that injunction, effective October 18, 2011,the
<br /> DOE was prohibited from approving any activities on lands governed by its Uranium Lease
<br /> Management Program, including"exploration, drilling, mining, and reclamation activities."
<br /> 819 F. Supp. 2d at 1224-225. Those lands include the JD-8 Mine lease tract. Although the
<br /> District Court subsequently amended its injunction to exclude from the injunction's scope
<br /> certain maintenance and reclamation activities and other work, it did not exclude from the
<br /> injunction "exploration, drilling [and] mining" on Uranium Lease Management Program
<br /> lands. Colorado Environmental Coalition v. Office of Legacy Management, 2012 WL
<br /> 628547 (D. Colo. Feb. 27, 2012). On January 19, 2018,the DOE affirmed that Cotter"has
<br /> been prohibited from operating its lease tract mines for the last six years, and remains
<br /> prohibited from operating them." See letter, dated January 19, 2018, from William L. Dam,
<br /> Uranium Leasing Program Lead, Office of Legacy Management, to Dustin Czapla, Division
<br /> of Reclamation, Mining and Safety. The Federal injunction remained in effect until March
<br /> 18, 2019, when it was dissolved by the District Court. Accordingly, Cotter was barred from
<br /> conducting mining operations at the JD-8 Mine as of the date that the Board placed the mine
<br /> in temporary cessation, effective March 18, 2013, and continuing until March 18, 2019.
<br /> Cotter has not begun reclamation of the JD-8 Mine because the mine contains valuable
<br /> minerals that Cotter anticipates can and will be mined at a profit. The JD-8 Mine contains,
<br /> conservatively, hundreds of thousands of pounds of uranium and millions of pounds of
<br /> vanadium. See DOE, Final Uranium Leasing Program Environmental Impact Statement
<br /> (March 2014), at Table 1.3-1 (estimating 330,000 pounds of uranium oxide in JD-8 lease
<br /> tract); letter, dated January 15, 1997, from Cotter, to the Division, at 3 (known economic
<br /> reserves remaining in the JD-8 Mine are approximately 245,000 tons with 61,200 tons of
<br /> additional reserves expected to be encountered). Cotter's mining plan for the JD-8 Mine is
<br /> attached as Exhibit D to Cotter's JD-8 Mine Permit Amendment Application, which Cotter
<br /> submitted to the Division by letter dated June 2, 2011.
<br /> Il. Demonstration that the JD-8 Mine's existing financial warranty is adequate to
<br /> cover the reclamation liability
<br /> The existing financial warranty of$69,950.00 held by the Division is adequate to cover the
<br /> reclamation liability of the JD-8 Mine. As specified by the Division, reclamation activity at
<br /> the JD-8 Mine would include demolition of mine structures and infrastructure, sealing the
<br /> mine portal and vents, removing ore pad bedding materials, re-contouring waste piles and
<br /> storm water structures, ripping compacted areas and vent access roads,pushing topsoil over
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