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Lorencito Mine <br />November 9, 2000 <br />Page 3 <br />7) Provide a timefrnme for responses to the pending Lorencito Canyon Mine Midterm review. <br />We now have and are processing MR-03 that is responses to the mid-term review. This <br />response is adequate. <br />8) Discuss the status of any coal sales contracts to be implemented if tl:e Lorencito Mine is <br />nctivnted. <br />Verbally, the mine consultant, Greys[one, indicated that apparently Mr. Addington is very <br />close to having valid contracts for coal to be delivered. Other than general skepticism, there <br />is no other information to refute that claim. I believe this response is adequate, even though <br />i[ may be speculation. If all other questions were eventually found appropriate, I believe this <br />response by itself would not be reason for denial of the extension. <br />In summary, I believe we need the following to grant the 6-month extention; <br />• Anew bond <br />• Railroad agreements <br />• Verification of right-of-entry (if mining is to commence prior to approval of the permit revision) <br />If you have any questions, let me know. <br />