2003-04-28_REVISION - M1977208

• Permit No: M1977208
• IBM Index Class Name: Revision
• Doc Date: 4/28/2003
• Doc Name: Reclamation Cost for Demolition of the Cement Plant
• From: CEMEX
• To: DMG
• Type & Sequence: SI1
• Media Type: D
• Archive: No

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STATE OF COLORADO
DIVISION OF MINERALS AND GEOLOGY
Department of Natural Resources
1313 Sherman St., Room 215
Denver, Colorado 80203 DIVISION O F
Phone: [phone] MINERAL $
FAX: [phone] &
GEOLOGY
RECLAMATION
ApR128,2003 MINING•SAFETY
Mr. John Lohr Bill Owens
Governor
CEMEX Greg E. Walther
P.O. Box 529 Executive Director
Lyons, CO 80540 Ronald w. wttany
Division Director
RE: CEMEX, Inc., Lyons Mine, Permit No. M-1977-208
Reclamation Cost for Demolition of the Cement Plant
Dear Mr. Lohr,
The Division received the latest reclamation cost estimate for the CEMEX Lyons Mine, Peratit No. M-
1977-208 submitted by Banks and Gesso, LLC. The estimated cost to demolish and reclaim the Cement
Plant totals $7.67 million.
The estimate prepared by Banks & Gesso allows for a cost associated with on-site burial of concrete,
which is classified by the Division as "inert material." It was agreed that the on-site disposal costs can
be used in the estimate if a revision to the permit is submitted within 60-days of posting of the bond. .
Therefore, the Division concurs with the $7.67 million estimate with the condition that a technical
revision for the on-site disposal facility will be submitted within 60-days of posting the bond.
The Division currently holds a reclamation bond in the amount of $369,100.00, which covers the
estimated cost to reclaim the remainder of the Lyons Mine. The increase of $7.67 million revises the
total reclamation cost to $8,039,100.00. According to Rule 4.2.1(1) and (2), the Division may review a
financial warranty at any time to detem3ine if the amount is sufficient to perform reclamation. The result
of the recalculation conducted by Banks & Gesso indicates [hat the site is currently underbonded. This
letter is to inform you that your financial warranty will need to be revised from its current amount of
$369,100.00 to $8,039,100.00 within 60 days of receipt of this letter.
If you have any questions, please do not hesitate to contact me at 303-866-4943.
Sincerely,
Erica S. Crosby
Environmental Protection Specialist
CERTIFIED MAIL 7000 1670 0000 0689 6521
cc: Carl Mount; DMG (via e-mail)
Bazbaza Chiappone; DMG (via a-mail)
M. Danelle Volpe; Banks & Gesso, LLC.