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N pF'Cq . COLORADO DIVISION OF MINERALS AND GEOLOGY 'e"~ 1313 Sherman Street, Room 215, Denver, Colorado 80203, (303) 866-3567 PROPOSED DECISION for Approval of Permit Renewal The Colorado Division of Minerals and Geology, in accordance with C.R.S. 34-33-109(7), proposes to Approve with conditions the renewal of a permit to conduct surface coal mining and reclamation operations at the McClane Canyon Mine, Permit No. C-1980-004. This decision is based on a review of the complete and accurate application and the existing permit, including all conditions and revisions approved up to January 6, 2005. In accordance with C.R.S. 34-33-109(7)(a), the Division makes the following determinations which warrant that the permit be renewed: 1. The terms and conditions of the valid, existing permit aze being satisfactorily met; 2. The present surface coal mining and reclamation operation is in compliance with all requirements of the Colorado Surface Coal Mining Reclamation Act, C.R.S. 34-33-101 et seq., and the Regulations promulgated thereunder; 3. The renewal requested does not substantially jeopazdize the permittee's continuing responsibility on existing pernvt areas; 4. The operator has provided evidence that the performance bond in effect for the operation will continue in full force for the proposed period of renewal as well as any additional bond required; 5. Any additional revised or updated information as required has been provided. Based on a preponderance of the evidence, the pemut issued to Central Appalachia Mining, LLC meets the requirements under the right of successive renewal. The permit application will remain a binding part of the permit. Renewal of the permit will be for a term of five (5) yeazs. I conclude that there is no basis for denying the renewal. DIVISION OF MINERALS AND GEOLOGY Duector 1, /U~ FpG~ ate GRN-IS