PERMFILE46727 - Laserfiche WebLink

Home Browse Search

coal. Presently, Kerr Coal has no long-term contractual commitments although ongoing coal marketing is an important priority for the mine. Current production of approximately 80,000 tons of coal annually is being sold on a spot contract basis. Crushing and Load-Out Facilities The Kerr Cal Marr Prep. Plant operation is served by a single 94 mile rail branch line from Laramie, Wyoming. The crushing and load-out facilities are located 10 miles west of the mine at Warden, Colorado. The Wyoming Colorado Railroad is the rail carrier, and production from the Kerr Coal operation represents 809e of the total coal freight volume moved by the carrier from the North Park area. 989 of Kerr Coal's coal production is shipped by rail from the Marr Prep Plant constructed along the Branch line. The plant crushes mine-run coal to customer specifications at the rate of 500 tons per hour and then loads • the coal into rail cars at the "unit train" rates specified in the applicable tariffs covering freight rates from the mines to customers' plants. The remaining 2% of production is delivered by truck. Mine Development and Necessity for Permit & Mine Plan Approval Recognizing the limited quantities of its fee coal reserves, Kerr Coal sought additional coal reserves from the federal government as early as May 1975, when the company applied for a lease. At that time, due to the moratorium placed on regular coal leasing in 1971 by the Secretary of the Interior, the only method for Kerr Coal to obtain federal coal was under the then existing short-term criteria. Although Kerr Coal expected that the federal coal adjacent to its operation would be made available under the short-term criteria, this expectation was never realized due to the further delay caused by NRDC v. u he . Only after the effective date of the Federal Coal Management Program Regulations (43.CFR Part 3400, et. sec.) on July 19, 1919, was Kerr Coal • -6R- Revised - August, 1990