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2003-04-23_REVISION - M1977208
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2003-04-23_REVISION - M1977208
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Entry Properties
Last modified
6/15/2021 11:41:42 AM
Creation date
11/21/2007 1:16:15 PM
Metadata
Fields
Template:
DRMS Permit Index
Permit No
M1977208
IBM Index Class Name
Revision
Doc Date
4/23/2003
Doc Name
Reclamation Cost for Demolition of the Cement Plant
From
Banks and Gesso LLC
To
DMG
Type & Sequence
SI1
Media Type
D
Archive
No
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Sent ey: CEMEX; 3039232199; Mer-10-03 5:t2PM; <br />STATE <br />otvtstotd of sttNC•aat,s,wo cttxocv <br />tx~n,«rlaww~i <br />t]lsslwm~nst,itaum:ts <br />osmsr. Colwaao eo2ol <br />Isar (r011 sea-~w~ <br />Froc: ttos) e32.atos <br />March 6, 2003 <br />Mr. Steve Mossberg <br />C$IvJEX <br />P.O. $ox 529 <br />Lyons, CO 80340 <br />RE: CR1v~X, lne-;~lzyons Mice, Permit No. IK-1972-208 <br />Reclamation Cost for Demolition of the Cement Plant <br />Dear Mr. Mossberg, <br />OIVIFION OF <br />MINERALS <br />AG EC `OA L/0 ap N1' <br />N fNIN f,1:fAf1E7Y <br />axl own <br />cowma <br />C.eg E 1Vald,r <br />6acaMw DLOOr <br />aaatew.cm~, <br />owuan ana« <br />Tha Division received the initial bond calculation for the Lyons Mine, Permit No. M-1977-208 <br />eoadtu:ted by CI'.MF.X's consultantBattks and.Ocsso. The Division has.the•followiag <br />comments regarding the estimate that will need tc, be addzcsscd.by the.apcratorand ... <br />iacorporatad into the reclamation cost estimate; <br />.. 1. $anks and t3esso states that etgtipmeat,steet: sttucdtres;.conveyors and offices oa the.site <br />havesalv9ge values greater'than i1u cost oframoval. Therefmre, the cost of.equipnient • . <br />ttmioval or demolition-was not •included in:tha•bond calallatiom: •The Division concurs that <br />mining equipment and machinery stored on site does not need to be •included is the ~ . . <br />reclamation cost estimate (and any contents within the buildimga). However, structtuessuch <br />as offices, steel structures (gas cooks, utility lines, etc..) and conveyors need to be included <br />in the reclamation Cost estimate. The Division does not accept the face value of salvage <br />credit for'stmctutes unless it meets the standards defined by Rule 4.12 of the Construction <br />Materials Rules and Regulations. <br />Rtile 4.12 apedfi,ca!!y outlines the requitemeats for salvage credit, lA order to detarmiae the <br />appropriate salvage cteditfor each stcuctttt~e, Cl.MBX wiU be tegttired to provide act <br />itemized listing of the appraised salvage value of each stracutro, not ineloding thq salvage <br />value of fixtures contained thareia (4.12.2(1}), The appraisal should be by a qualified <br />independent appraiser (4.9:1(2xb)(i) and 4.12.2(3)). CENILX will also aced to annually <br />verify the value of the staucture (4.12.2(1)) and to provide an annnai fee to ftmd the <br />Division's cost to establish,gad review the salvage vahte oomponant of the bond (4.1.2(9)). <br />In add46oa GBME}E would~hsve to r+pport on encxtmbrances.(4.12:2(2)) and would not be . <br />alleaett4b~estdv0~ttie'Strochlre'from the p~itatea without priox coaseaP of dtc Baird <br />'(4.- Irl(4x b(~'~.9:3(03) dtid wonld:be tr~}ttired toiasucethastuictiuas (4:12.1(a~ and ~. , <br />4.9.3(c)). A• copy of the regulations regarding Salvage credit is included for rofetenca. <br />•' Iti addition;;00 percefnt of~Qte'1',aivage valga cpuld not.bededuoted from the atnonnt of the <br />~'reguiclid~bt~n8.: Rather, some pirtcentage ofYhe total>ialvagccredit.could 6e dedut:ted to <br />a11oa foi• c~t111'actor profit and for aAmirtistrat[ve eosts.~ itu14 4.9.1E1) states that the Board <br />or Office may accept intemsts in real or persona] property as Financial Watsanties of not <br />Page 2 <br />
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