2005-01-04_REVISION - M1999120 (2)

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Kate Pickford Page 6 of 7 Division of Minerals and Geology January 3, 2005 submit the required bond prior to disturbance in a new phase. Rule 6.4.19 Exhibit S -Permanent Man-made Structures 14) Geotechnical Stability Exhibit: The applicant has chosen to submit the remaining setback agreements rather than adjust the Slope Stability Analysis as recommended by Mr. Sorenson of the Division. Just to clarify, the purpose of the Slope Stability Analysis (SSA) is to define the ultimate pit limit boundaries relative to adjacent structures, and to define the slopes necessary to maintain the required setbacks. The SSA is not intended to recommend mining methods or slopes of active working faces during mining within the limits of the ultimate pit boundary. As stated in the amendment application materials, in Exhibit D -Mining Plan, on page 7, in the second paragraph under the sub-header Earthmoving Operations, "Mined slopes will range from vertical to 0.5:1..." Attached please find notarized agreements for Lupton Bottom Ditch Company, and Public Service (Xcel Energy). The Kerr-McGee agreement was submitted with the amendment application. Also included is a letter to Weld County Public Works from LGE, and a response letter back from Public Works agreeing in principal to a 60 foot total setback from Weld County Road 18. Weld County does not sign off on set- back agreements until the USR permit is approved, so the actual notarized agreement will be signed immediately after USR permit approval. Also included is a signed affidavit from L.G. Everist, Inc. committing to stay back 200 feet from Weld County roads until a setback agreement is obtained and submitted to the Division. We believe the Kerr-McGee agreement covers the requirements of the DMG, even though the exact DMG terminology is not used. By creating and signing the agreement, Kerr-McGee is confident that LGE operations will not conflict with or harm their operations, and that LGE is responsible for damage resulting from its operations. I understand that the Division's recommendation date is January 10, 2005. Please contact me as soon as possible if these responses are not sufficient to satisfy the Division's requirements for approval. Thank you. Sincerely, ~~~%~~~~~~ZZC% U Maureen Jacoby ~/ Project Manager attachments: Adequacy Review Letter, dated December 2, 2004 Exhibit C-3: Mining Plan Map, dated January 3, 2005 Exhibit G: Monitor Well Locations, dated January 3, 2005 Wright Water Engineers letter report, dated January 3, 2005 Agreements: Public Service Company (Xcel Energy) Agreement, dated September 23, 2004 (2 pgs) Lupton Bottoms Ditch Agreement, dated September 24, 2004 (11 pgs)