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<br />• 2 <br />The fallowing information is in response to the seven items identified in <br />' your June 15, 1984, memorandum concerning Lease Application C-26914: <br />1. Colorado Yampa Coal Co., a subsidiary of Getty 011 Company, and its <br />predecessors, Energy Fuels Corporation and Enetgy Coals, have been producing <br />coal from this mine complex since 1962. Effective June 10, 1981, Getty <br />Mining Company, a subsidiary of Getty 031 Company, acquired Energy Fuels <br />Corporation. The mine has been operated by a subsidiary of Getty 011 <br />Company since that date. <br />2. The annual production ending December 31, 1983, was 2,669,004 tons. <br />The annual rate of production ending January 31, 1984, was 2,641,503 tons. <br />3. There are approximately seven million tons of surface recoverable <br />Wadge Seam coal in the appplicant's current operation (as of January 1984). <br />4. Approximately 35 acres of the applied for lands is underlain by the <br />Wadge Seam. Due to topography and oxidation, approximately 16 acres would <br />be mineable. Based on an 80X recovery rate, Wad,oe Seam thickness of nine <br />feet, and 1,750 tons/ac.ft., we estimate there are 201,600 tons of surface <br />recoverable Wadge Seam coal. <br />5. The land description needed to remove the applied-for coal is: <br />T.4N., R.86W., Section 9, SW1/4 SW1(4. <br />Given the estimate of 201,600 tans of recoverable coal in the applied far <br />land (:lodge Seam) and the annual production of the mine in excess of 2.5 <br />million tons, the eight years of production requirement 1s weli within limit. <br />6. The mining method, as presented in the application, is feasible and <br />within the scope of the applicants operation, provided the applicant can <br />adhere to lease terms and conditions. <br />7. If the applied for lands are not leased timely, the small amount of <br />recoverable reserves and the fact that the 40 acres is bound on the north <br />and west by an existing lease (Colorado Yampa Coal Co.), and on the south <br />and east by steep topography and Middle Creel:; we would not expect to lease <br />and develop ttie lands in the foreseeable future. <br />Please advise us, at your earliest convenience, of your selected course of <br />action (process the application or amend the boundaries of C-37180 to <br />include the applied for lands). If you need more information, please <br />contact David Bray at 824-8261. <br />~~~~r~~ <br />cc: CO-921 ~~ <br />Ass~cl"e Dis';rict P.1an-'?~r <br />