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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 />COLOR-ADO <br />Denver, Colorado 80203 <br />DIVISION OF <br />Phone: (303) 866 -3567 <br />IVt 1 N & L S <br />FAX: (303) 832 -8106 <br />GEOLOGY <br />RECLAMATION-MINING <br />SAFETY-SCIENCE <br />27 January 2005 <br />Bill Owens <br />Peak Project Management, LLC <br />Governor <br />34115 County Road 20.8 <br />Russell George <br />Executive Director <br />Trinidad CO 81082 <br />Ronald W. Cattany <br />Division Director <br />Subj: NOI CX 2005- 218 -01; A.P. Maxwell Development Co. LLC; <br />Natural Resource Trustee <br />Incompleteness Letter <br />Dear Sirs: <br />The Division of Minerals and Geology (the Division) has received the Notice of Intent <br />for exploration for the Lorencito Canyon Deep Mine. The Division has made the <br />following determinations: <br />1. The application is incomplete. <br />2. The project qualifies as coal exploration rather than coal mining. <br />Your project will substantially disturb the natural land surface. Therefore you will be <br />required to submit a bond to cover the cost of reclamation. The Division is in the <br />process of calculating the bond liability for the project. You will be notified as soon <br />as the calculation is finished. <br />There are four issues for which the Division requests additional information. <br />a. The application states that the area of exploration lies within the Lorencito Canyon <br />Mine permit area. Review of the maps from the existing mine permit shows that the <br />exploration area lies off the mine permit. Please amend the text of the application and <br />provide an ownership map to indicate that right -of -entry agreements contained within the <br />application are proper and complete [Rule 2.02.2(2)(e)] . <br />b. Please provide a statement from the appropriate agency (US Fish and Wildlife Service <br />or Colorado Division of Wildlife) in support of the statement that the no destruction of <br />adverse modification will occur to critical habitat of threatened and endangered species <br />[Rule 2.02.2(2)(h)]. The statement should be specific to the area of intended exploration. <br />c. The statement is made that no earth moving is anticipated as part of the project. <br />Please provide site - specific details and justification for the individual drill sites to <br />indicate that the activities can be conducted on those sites without stripping and <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />