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DIVISION OF MINERAt6 ANp GEORQ)fY <br />Department of Natural Resources <br />1313 Sherman St., Roam 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866.3567 <br />FAX: 1303) 832-8106 <br />May 24, 2002 <br />Rick Johnson <br />United Companies, Inc. <br />2273 River Road <br />P.O. Box 3609 <br />Giel~:R+ <br />r: •r, «: <br />/U • ~ ,..: <br />ores N~~~: _. <br />~o~~`~ <br />d/$ <br />~rceO~Oa <br />® <br />" DIVISION OF <br />~ MINERALS <br /> &-..--tom <br /> GEOLOGY <br /> RECLAMATION <br /> MININ G•SAFE7Y <br /> Bill Owens <br /> Governor <br /> Greg E Watcher <br /> Executive Director <br />Grand Junction, Colorado 81501 /~ ~ /~' Michael B. Long <br />/ Division Director <br />i ~ d <br />Re: MMM /Chambers Pit, Permit No. M-1979-205, Approval of AR-O1, 62.4 acres (Phase I). <br />Dear Rick: <br />This Office has reviewed the request for an acreage release and financial warranty reduction for the <br />above referenced permit. Initial coding of the request identified it as a surety reduction (SR). However, <br />a review by this Office has identified the primary request as an acreage reduction (AR) with a surety <br />review request. The request (AR-Ol) is for the release of the 62.4 acres owned jointly by Rocks R Us <br />and Colorado Rivers Edge LLC, also referred to as Phase 1 within the Reclamation Permit Letters <br />from the landowners state an acceptance of the reclamation efforts and an impending sale of the land for <br />industriaUcommercial use. Additionally, United has submitted and received approval for TR-Ol which <br />changes the post mining land use to industrial. These letters, the aendina land sale for industrial <br />use. and the annroval of TR-Ol allow this Office to aoorove AR-Ol. the release of the 62.4 acres <br />referred to as Phase 1 <br />The request for Financial Warranty Reduction has an issue that must be addressed before staff can come <br />to a firm figure. AM-Ol (9/10/98) stipulates that if a Water Augmentation Plan is not secured within 3 <br />years (2001) a new bid for overburden to back fill the pit above water line must be supplied. <br />Discussions between this Office and United indicates that the Augmentation Plan is before the Water <br />Court, but no date for a decision is forthcoming. Please supply this Office with a new bid for 37,000 <br />cu/yd of off-site fill material, delivered. The Division also request the bid reflect what the contractor <br />would charge the State for this same material. This figure must be used for bond calculation purposes <br />until the Water Augmentation Plan is in place. The request for a reduction of the Financial Warranty <br />If you need additional information, please contact me at the Division of Minerals and Geology, Grand <br />Junction Field Office, 101 S. 3rd St., Suite 301, Grand Junction, Colorado 81501, telephone no. <br />970.2111.1117. <br />Sincerel <br />,r(~ ~~_ <br />GG. Russell Means <br />Environmental Protection Specialist <br />