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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-35b7 <br />FAX: (303) 832-8106 <br />April 14, 2003 <br />Ron Thompson <br />Peak Project Management <br />3800 Co. Road 63.9 <br />Trinidad CO 81082 <br />RE: Sediment Pond Inspections, 4'h Quarter 2002 <br />Lorencito Coal Company, LLC, #C-98-084 <br />Dear Mr. Thompson: <br />The Division of Minerals and Geology (DMG) has reviewed the 4th quarter 2002 <br />sediment pond inspections for the Lorencito Canyon mine. <br />DIVISION O F <br />MINERALS <br />GEOLOGY <br />RECLAMATION <br />MINING•SAFETY <br />Bill Owens <br />Governor <br />Greg E. Walther <br />Executive Director <br />Ronald W. Cattany <br />Division Director <br />Reports were noted for ponds 6A, 7A, 8, 9, 9A, and 10A. One photograph of pond 10A <br />was included, documenting snow cover on the day of the inspection. All reports <br />included the comment that a staff gauge should be added to each pond to assist in <br />determining water and sediment levels during future inspections. Please ensure that <br />these markers are installed as soon as weather conditions permit. As noted in the DMG <br />review of the 3rd quarter 2002 sediment pond inspections, please also ensure that each <br />quarterly report includes an estimate of the available sediment storage capacity rather <br />than only a notation whether the design capacity has been surpassed. <br />We have no further questions at this time. Thank you for your diligence in pursuing <br />your monitoring and reporting as required. <br />Sint ref , ~~~ <br />K t A. Gorham <br />Environmental Protection Specialist II <br />CC: Elmer Bentley, LCC <br />