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iii iiiiiiiuiiiiiii <br />99 <br />STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resour[es <br />137 }Sherman St. Room ?15 <br />Denver, Colorado 80'-03 <br />Phone: 1303) 866 756i <br />FAX: 1303) 83? 8106 <br />March 5, 2001 <br />Mr. Keith Sieber <br />Bowie Resources, Limited <br />P.O. Box lass <br />Paonia, CO 81428 <br />Re: Notices of V iola[ion - CV-2000-013 and O 14 -Bowie No. 1 and No.2 Mines <br />Dear Mr. Sieber: <br />D I V I S I O N O F <br />MINERALS <br />Sc <br />GEOLOGY <br />REC IA NATION <br />MINING•SAFETY <br />Bill O.+~ens <br />Governor <br />Greg E. Walther <br />Executive Director <br />r~nichael B. Long <br />Drvnwn Director <br />Thank you for the letter dated February 27, 2001 (received February 28, 2001) regarding the above- <br />referenced violations. We appreciate the commitment to post the fulV bond amount for the Bowie No. 2 <br />Mine permit. Notice of Violation No. CV-2000-014 will be terminated upon receipt and acceptance of a <br />correct bond instrument for [he Bowie No. 2 Mine permit. The required bond amount for the Bowie No. 2 <br />Mine permit is $5,000,000. We understand the Bowie Resources, Ltd. will post a letter of credit in the full <br />amount of $5,000,000 for the Bowie No. 2 Mine permit prior to March 20, 2001. As discussed last week, <br />the letter of credit must comp{y with all provisions of Rule 3.02.4(2)(d). A copy of the rule is attached. <br />The Bowie No. I Mine must also be addressed in some manner. Our authority to grant an abatement <br />deadline extension beyond 90 days is defined a[ Rule 5.03.2(2). This rule significantly constrains our <br />authority to grant additional deadline extensions in the absence of violation abatement. Some form of bond <br />posting must be implemented to avoid issuance of a cessation order against the Bowie No. 1 Mine loadou[ <br />facility. We acknowledge that reclamation is ongoing a[ large areas of the Bowie No.l Mine and the <br />reclamation must continue. We recommend that in addition to the posting of an appropriate bond for the <br />unreclaimed areas of the Bowie No. I Mine, a bond release application should be submitted as soon as the <br />reclamation work is complete. Such action will significantly reduce the total bond requirement for the <br />Bowie No. I Mine. <br />Your efforts to resolve the bonding problems are appreciated, and please contact us with any questions. <br />Sint rely, <br />l1J 7 _ - <br />~ D id Berry <br />foal Program Supervisor <br />