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iiiiiiiiiiiiiiiiiii <br />,:.w.s~c.~;r.-u.w-,. 999 <br /><..,, <br />l1t - <br />E~ EVE D <br />C IY C K V <br />May 26, 1999 <br />MAY 2 8 ~ggg <br />Mr. Dan Mathews <br />Environmental Protection Specialist <br />Colorado Division of Minerals & Geology <br />Department of Natural Resources <br />2148 Broadway #CS <br />Grand Junction, Colorado 81503 <br /> <br />RE: McClane Canyon Mine (C-80-004); Transfer of Pervnit Rights - Granrl <br />Valley Coal Company, /ne. <br />Dear Mr. Mathews: <br />Grand Valley Coa] Company, Inc., a Colorado corporation ("GVCC"), the <br />permittee of the McClane Canyon Mine, C-80-004, has entered into negotiations with Lodestar <br />Energy, Inc., a Delaware corporation ("Lodestar"), to sell the Mine and associated permit rights. <br />Under the terms of the proposed Asset Purchase Agreement ("Agreement"), GVCC will agree to <br />assign to Lodestar all right, title and interest in Mine Permit No. C-80-004 subject to the <br />approval of the Division of Minerals & Geology. Upon consummation of the Agreement, <br />Lodestar will agree to assume the reclamation liability and obtain personal injury and property <br />damage insurance for the Mine as required by Section 2.08.6 of the regulations of the Colorado <br />Mined Land Reclamation Board for Coal Mining ("Regulations"). <br />Enclosed is an application for approval of the proposed transfer, assignment or <br />sale of Permit No. C-80-004 consistent with the Regulations. Also enclosed for your review is a <br />draft Notice of Publication which will be advertised in the Grarrd Jurrctiorr Senlirrel and the <br />Glenwood Post pursuant to the Regulations. <br />Please let us know if you need anything further. <br />Very truly yours, <br />LODESTAR ENERGY, INC. GRAND VALLEY COAL COMPANY., INC. <br />BY Q rrP <br />Enclosures ~` • ~ ~' f ~ u U~"'' ~`~` <br />/jmc:91852 <br />~ ,~ ~ ,. <br />BY.`arrJ L7 UJon~ /~lanayet^ <br />LodesmrEnergy, h,c. <br />333 [Vest Vine Sheet, Sai(e 1700 • Lexingto,,, Ke,tlucky 40507J628 <br />le[. h06/255-4006 • jax. 606/255-0330 <br />