2019-10-18_GENERAL DOCUMENTS - C1981022

• Permit No: C1981022
• IBM Index Class Name: General Documents
• Doc Date: 10/18/2019
• Doc Name Note: For SL1
• From: DRMS
• To: Oxbow Mining, LLC
• Permit Index Doc Type: Findings
• Email Name: LDS
• Email Name: JDM
• Media Type: D
• Archive: No

Eligible for Release Under SL-1
Proposed
Released Acres %of Acreage
Phase I $210,404.76 19.40 8.11%
Phase II $0.00 0.00 0.00%
Phase III 1 $0.00 1 0.001 0.00%
Total 1 $210,404.76
Table 3:Eligible for Release SL-1
Table 2 shows the maximum bond amount eligible for release per Rule 3.03.1(2). Per Rule
3.03.1(3)(d), the Division cannot release any amount under performance bonds applicable to a
permit if such release would reduce the total remaining to an amount less than that necessary for
the Division to complete the approved reclamation plan. The Division currently holds one bond
totaling $4,500,000.00. Based on the Division's review, the Division must retain a minimum of
$4,113,573.04 following the approval of SL-1. A site wide reclamation cost estimate for the Elk
Creek Mine was updated with the SL-1 application, with the total reclamation liability amount
after the approval of SL-1 equal to $3,865,886.00. The difference between the required liability
for the Elk Creek Mine prior to SL-1 and the total estimated liability after SL-1 is $458,091.80
($4,323,977.80 - $3,865,886.00). The $458,091.80 is greater than the eligible bond release
amount of$210,404.76; therefore, the actual applicable Phase I release amount to be approved
with SL-1 is $210,404.76, with the difference ($247,687.04)being associated with the lower
costs identified during the 2019 SL-1 site-wide RCE update. The remaining $4,113,573.04 is
sufficient to assure completion of the remaining reclamation work at the site if the work had to
be performed by the Division, including the cost of reestablishing vegetation on any revegetated
areas, should those areas fail (Rule 3.03.1(3)(a) and 3.01.3(3)(d)).
Elk Creek Mine(C-1981-022) Bond Release Summary
Acres Amount
Liability Pre-SL-1 239.21 $4,323,977.80
Surety Releases to Date Phase I Phase II Phase III
Acres Amount Acres Amount Acres Amount
SL-1 19.4 $210,404.76* 0.00 $0.00 0.00 $0.00
Total* 19.4 $210,404.76 0 $0.001 0.00 $0.00
*Pre-SL-1 RCE$4,323,977.80; Post SL-1 RCE$3,865,886.00($458,091.80); per Rule 3.03.3(d)$210,404.76 was released
underSL-1
Table 4: Elk Creek Mine Bond Release Summary
Reclamation work which remains to be done at the site is detailed in the revised site-wide
Reclamation Cost Estimate, attached as Appendix 2.
Any person with a valid legal interest which might be adversely affected by this proposed
decision may request a formal public hearing before the Mined Land Reclamation Board in
accordance with Rule 3.03.2(6). Public notice of this proposed decision will be published twice
C-1981-022,SL-1 Page 18 of 19