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<br />The anticipated annual level of production for the mine is expected to average 1.3 million tons per <br />year. Production at the 1.3 million tons per year level will sustain a 20-year mine life for the <br />Orchard Valley Logical Mining Unit. Expected employment at the mine, at the full production level <br />of 1.3 million tons per year is 100 persons. <br />Comoliance With the Land Use Plan <br />This application is in compliance with the existing Land use plan. The Uncompahgre Basin Resource <br />Management Plan (RMP) was completed and approved in July, 1989. The land use plan <br />determined that the application area was to be managed for both existing and potential coal <br />development. The area is acceptable for coal development and coal production could occur <br />without conflicting other land uses with a minimum of multiple use restrictions as described in the <br />RMP. <br />8. Alternative Two - Reiect Aoolication INo-Action) <br />Do not authorize a lease sale in response to the competitive coal lease application submitted by <br />Cyprus. If the decision was to reject the application, Cyprus would continue its present mining of <br />the D seam bypassing the Roatcap Creek Tract. A bypass of federal coal will most likely occur <br />because future access to the coal seams on the application lands would be both economically <br />prohibitive and technically difficult. As a result, the bypass would not only represent an <br />irretrievable loss of coal but a loss of revenue to the federal government and a loss of potential <br />energy (coal) to the nation as well. Not offering the federal coal reserves for lease would shorten <br />the mine life by 2.5 years. <br />III. AFFECTED ENVIRONMENT <br />A detailed description of the existing environment can be found in the Orchard Valley Mine and <br />Reclamation Plan, 1991, West Central Coal EIS, 1979, Uinta Southwest Utah Coal EIS, 1983 Coal <br />Unsuitability Report for the Bookcliff and PaonialSomerset Coal Planning Areas within the Uncompahgre <br />Basin Planning Area, 1989, and the Uncompahgre Basin Resource Management Plan EIS, 1989. <br />A brief description of the specific resources that are within the Roatcap Creek Tract is detailed below. <br />A. Minerals <br />The Roatcap Creek Tract lies in the Paonia-Somerset coal field which contains medium to high coal <br />development potential deposits. The main coal beds within the area are found in the Upper <br />Cretaceous Mesaverde Formation, which is overlain by the early Tertiary Wasatch Formation and <br />underlain by the Upper Cretaceous Mancos Shale. The lease application is for the 0 seam of the <br />Mesaverde Formation; it is averages 17 feet thick. Outcropping on the tract is the Wasatch <br />Formation and Quaternary colluvial deposits. <br />The Quaternary deposits are an unsorted miMUre of soil and rock formed by various mass-wasting <br />processes as landslides, earth flows, soil creep and debris avalanches. <br />The coal bearing sedimentary strata of the Mesaverde Formation is relatively flat lying with a <br />regional dip of 3.5 degrees to the north-northeast. Local dips of up to 7.0 degrees are also found. <br />There have been some faults encountered in the Orchard Valley Mine, projection of one fault <br />indicates it crosses the Roatcap Creek Tract. There is no surface evidence of faults due to the <br />colluvial deposits and surficial cover. The overburden overlying the D seam in the application area <br />is approximately 2,000 feet. <br />The potential for the discovery of conventional resources of oil and gas under the leased area is <br />very slight. Dry wells have been drilled to the Dakota Sandstone a few miles to the southwest and <br />Page 4 <br />