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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) 066-3567 <br />'FAX: (303) 832-8106 <br />January 8, 2004 <br />John C. Smith, Jr. <br />Bowie Resources, LLC <br />1500 North Big Run Road <br />Ashland, Kentucky 41102 <br />Re: Bowie No. 1 Mine, Permit Number C-1981-038, SO-4 <br />Bowie No. 2 Mine, Permit Number C-1996-083, SO-2 <br />Succession of Operator Application Review <br />Dear Mr. Smith: <br />COLORADO <br />DIVISION OF <br />MINEBRALS <br />GEOLOGY <br />RECLANATION•NINING <br />EAFETY•SCIEN<E <br />Bill Owens <br />Governor <br />Greg E. Walther <br />Executive Director <br />Ronald W. Cottony <br />Division DireROr <br />Natural Resource Trustee <br />The Division of Minerals and Geology (Division) is aware that the court in the Bowie Resources Limited <br />bankruptcy case has approved the sale of Bowie Resources Limited to Appalachian Fuels, LLC. The Division is <br />also aware that the Asset Purchase Agreement between these two companies and approved by the court allows <br />Appalachian Fuels to use the name Bowie Resources Limited. <br />However, the two recently submitted Succession of Operator applications propose to transfer the two Bowie <br />Resources Limited permits to a new limited liability company named Bowie Resources LLC, not to Appalachian <br />Fuels. Bowie Resources LLC has not submitted documentation to the Division that shows the recipient of the <br />transfer, Bowie Resources LLC, has any of the rights held by the bankruptcy court-approved buyer <br />(Appalachian Fuels) or is in any way connected to Appalachian Fuels. In fact, the corporate structure chart that <br />was included in the two Succession of Operator submittals indicates that there is no connection between <br />Appalachian Fuels and Bowie Resources LLC. <br />As such, please provide documentation or information to the Division that shows the right of Bowie Resources <br />LLC to be the recipient of the two transfen•ed Bowie Resources Limited permits (such as showing that <br />Appalachian Fuels owns or is connected to Bowie Resources LLC or has assigned its rights to the LLC). The <br />Division needs this information before we can proceed with our review of the Succession of Operator <br />applications that Bowie Resources Limited submitted on December 31, 2003. <br />Please call if you have any questions. <br />Sincerely, <br />o eph . D1~3s <br />vironmental Protection Specialist <br />cc: Keith Sieber (Bowie Resources Limited) <br />Jim Stover (J.E. Stover & Associates) <br />c:/word/bowie2/so2applicationlet I <br />Office of Office of Colorado <br />Mined Land Reclamation Active and Inactive Mines Geological Survey <br />