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July 19, 2007 <br />Ms. Cheryl Linden <br />ANN TATTIM <br />129 NORTH COMMERCIAL STREET <br />TRINII]AD, COLORADO 81082 <br />Phone: 719 846-0149 Fax: 719 846-0159 <br />Facsimile (303) 866-3SS8 <br />Assistant Attorney General <br />1525 Sherman Street, 7s' Floor <br />Denver, Colorado 80203 <br />Mr. Dave Berry Facsimile: (303) 832 8106 <br />Divisioxi of Reclamation, Mining & Safety <br />1313 Sherman Street, Room 215 <br />Denver, Colorado 80203 <br />RE: Permit C-81-013; Golden Eagle Mine <br />Ms. Linden and Mr.l3erry: <br />G~~~~O <br />n°t od59f~ <br />O~a~~°~~`a9a <br />RECEIVED <br />JUL 19 2007 <br />Division of Reaamation, <br />Mining and Safely <br />Mr. Kegley, Legal Counsel for Basin Resources, Ioc, and Westrnnreland Cnal <br />Company, has related the following: <br />"Basin Resources, Inc. has no assets or revenue." "'Westmoreland Coal Company <br />is not legally responsible for the debts of Basin Resources." Further, Mr. Kegley stated <br />that Basin is "a judgment proof debtor'. It is my belief that similar utterances have been <br />made to Mr. Berry by counsel for Basin Resources. <br />The current bond that is in place for the Golden Eagle mine is in the name of <br />BaSlh RESOnrCe.S and C1R1P,C' <br />Additional Provisions: "The amount of this bond is based upon <br />estimates...and does not operate to lignate, limit, enlarge or restrict the Principal's <br />(Basin) obligation to complete the reclamation plan and to comply in all respects <br />with tee permit and with applicable laws and regulaiiuus ~,ovarnu.g reclaiuatiou, <br />even though the actual cost thereof may substantially exceed the amount of this <br />bond." <br />if Basin has no assets and Westmoreland refuses to aclmowledge their <br />responsibilities as the owners and controllers of Basis then who is the Division going to <br />contact if there is a failure of revegetation on the reclaimed mine or some other <br />unforeseen calamity should occur -such as additional subsidence to our property'? The <br />need to maintain a minesite until bond release, the obligation to ensure successful <br />reclamation and the liability relative to damages due to subsidence are all debts. Given <br />Mr. Kegley's statements, who does the Division expect to pay those debts? As you are <br />Z0 3~Jt1d Wf11Cl WIP 65t09b86tL tt~tt L00Z/6tlL0 <br />