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III. COMMENTS - COMPLIANCE <br />Below are comments on the inspection. The comments include discussion of observations made <br />during the insoect~on. Comments also describe any enforcement actions taken during the <br />inspection and the facts or evidence supporting the enforcement action. <br />This was an aerial inspection flown by Harry Ranney of the Colorado Division of <br />Minerals and Geology. 14 oblique aerial photos were reviewed in the office on January <br />9. 2001 by Kent Gorham of CDMG. The required period of time to commence operations <br />under a valid permit has now exceeded three years (November 7, 2000). Rule <br />2.01.5(21(a) requires that a permit be terminated if the permittee has not commenced <br />the surface and coal mining reclamation operations covered by the permit within three <br />years of the date of the issuance of the permit. The permit issuance date is November <br />7, 1997. The Division is currently evaluating a potential extention of f.his time <br />deadline based on information submitted by the operator. Picketwire Processing. LLC. <br />General Mine Plan Compliance <br />Based on review of the aerial photos, it appears that the mine has yet to commence <br />operations at this time. Clearly visible in the photo are Lorencito and Jeff canyons. <br />Each snow-covered road leads to numerous gas production pads. As noted in previous <br />inspections, gas development continues on the property. Even though the mine status is <br />listed as active. coal mining operations have not commenced at this time. No coal <br />mining activity was noted. <br />Page 3 <br />photo B4-00-12-27 07 Lorencito and Jeff Canyons <br />