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STATE OF COLORADO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />1313 Sherman St., Room 215 <br />Denver, Colorado 80203 <br />Phone: (303) 866-3567 <br />FAX: (303) 832-8106 <br />October 7, 2004 `/ <br />COLORADO <br />DIVISION O F <br />MIN SRALS <br />GEOLOGY <br />RECLA MATION•MI NlNG <br />SA FETY•SCIENCE <br />Bill Owens <br />Governor <br />Mr. Edward M. Gardner Russell George <br />Whitewater Building Materials Corporation ~ Executive Director <br />P. O. Box 1769 Ronald W. Cottony <br />Grand Junction, Colorado 81502 Division Direcor <br />~~ ~~ Natural Resource Trustee <br />RE: Whitewater Pit 500,Yermit No. M-1977-129, Technical Revision No. 1 Bond Calculation `! <br />Dear Mr. Gardner: <br />Enclosed please find the updated reclamation cost estimate for the Whitewater Pit. 500 that includes . <br />the costs for reclamation of the area described in your.Technical Revision No. 1 (TR-01) application. <br />The reclamation costs for the site calculated out at approximately 575,000 more than the previous <br />calculation. The majority of this difference is due to the TR-01 reclamation costs, the addition of a <br />dewatering task for the Phase 2 - Part B area, and increased general revegetation costs. <br />Approximately 550,000 can be subtracted from this estimate upon completion of backfilling the pit <br />slopes in Phase 2 -Part A. Once completed, The dewatering task (Task 01 al for this phase is no <br />longer required. Additionally, once reclamation tasks described in TR-01 are completed, only the <br />costs for revegetation failure in this area would need to be held by the state. Whitewater can request <br />these warranty releases upon completion of these reclamation-activities to significantly reduce the <br />financial warranty amount. <br />DMG is prepared to approve TR-O1 upon Whitewater's review and acceptance of this reclamation <br />cost estimate. Please review the enclosed figures as soon as possible and contact our office if any <br />calculation errors are noted. Otherwise, please notify DMG of your acceptance of this estimate and <br />the TR-01 approval will be issued. Please be aware that the revised bond amount specified in the <br />enclosed estimate must be submitted to, and accepted by DMG, before any disturbance associated <br />with TR-01 can take place. <br />If you need additional information, please contact me at the Division of Minerals and Geology, Grand <br />Junction Field Office, 101 South Third Street, Room 301, Grand Junction, Colorado 81501, <br />telephone no. 970-243-6368. <br />Sincerely, <br />Steve S. Shuey <br />Environmental Protecti <br />Enclosure <br />Office of Office of ~ Colorado <br />