Laserfiche WebLink
COLOWYO COAL COMPANY, L.P. <br />BONDING COST ESTIMATE <br />1.0 INTRODUCTION <br />In compliance with Rule 3.0 of the Regulations of the Colorado Mined Land Reclamation <br />Boazd for Coal Mining, Colowyo Coal Company, L.P. (Colowyo) hereby submits this estimate of <br />the costs associated reclamation of the maximum disturbance configuration for the Colowyo Mine <br />for the next Five-yeaz permit term. The total estimated reclamation cost is $13,540,205. This is <br />the estimated cost, for bonding purposes, the Colorado Division of Minerals and Geology (DMG) <br />would incur, through standazd Colorado contracting procedures, to implement the approved <br />reclamation plan in the unlikely event that Colowyo were unable to fulfill the reclamation <br />obligation it's approved Permit during the next five-yeaz permit term (1998 - 2002). The <br />methods, assumptions, and detailed calculations utilized in developing this bonding cost estimate <br />are described in the following sections. <br />Colowyo's existing operations and proposed mine plans include four separate disturbance <br />• areas, the East Pit azea, the West Pit area, the Section 16 azea and the Facilities azea. The bond <br />cost estimate is formatted to provide separate costs for the four aeeas outlined above. This format <br />is designed to facilitate bond release as these aeeas aze reclaimed. <br />2.0 METHODOLOGIES AND ASSUMPTIONS--GENERAL APPROACH <br />The bonding cost estimate reflects all costs associated with reclamation of the planned <br />mining and related disturbance for the Colowyo Mine for the next ftve (5) year permit term as <br />well as remaining liabilities for previous disturbance. <br />In order to accurately reflect the anticipated reclamation costs for a maximum disturbance <br />scenario during the next permit term, Colowyo evaluated several factors, which could impact <br />reclamation costs: <br />• <br />i <br />