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<br />' INTRODUCTION <br />' Kaiser Ventures, Inc. (Kaiser) is submitting a request to the Colorado Division of Minerals and <br />Geology (CDMG) for a Phase II bond release for the Chimney Rock Mine (Permit No. C-81-023). <br />' An area is eligible for Phase II bond release when Phase I bond release has been granted, <br />appropriate vegetation cover has been established, and erosion has been demonstratively <br />' controlled. Kaiser believes it has met these standards. <br />The Chimney Rock Mine is a relatively small surface coal mine located in Archuleta County off <br />State Highway 151, approximately 17 miles southwest of Pagosa Springs, Colorado. The mine <br />is in Sections 29 and 30, Township 34 North, Range 4 West with a permit area of 187.5 acres. <br />' Reclamation of the disturbed mine site (110 acres) was completed in several phases. Each phase <br />involved backfilling, recontouring, redistributing topsoil, seeding and mulching of the pit and <br />facilities areas. These areas are described on Figure 1. <br />' Kaiser was eligible for Phase I bond release upon completion of reclamation. Consequently, <br />during late 1991, Kaiser filed an application with the CDMG for Phase I bond release. Release <br />t of $420,000 was granted during mid-1992. This release reduced the remaining bond amount to <br />$320,000. <br /> <br /> <br /> <br /> <br />1 <br /> <br />1 <br /> <br /> <br />Up to 85 percent of the original bond for an area can be released under Phase II bond approval. <br />The original bond for reclaiming the Chimney Rock Mine was $800,000. Sixty percent, or <br />$420,000, was released during Phase I. Kaiser is requesting a Phase II bond release in the amount <br />of $200,000 which would leave $120,000 for completion of Phase III. Kaiser believes that this <br />is sufficient bond to complete the requirements of this phase. <br />The following sections provide information that justify Phase II bond release for the Chimney <br />Rock Mine. The discussion focuses on successful establishment of vegetation on reclaimed areas, <br />documentation of topsoil replacement, and control of erosion from the reclaimed areas. General <br />information required for a bond release is provided in Table 1. <br />REEF n ,ter, <br />MAR 2 0 +oq1 <br />Bivicien W kxrwraa u ~.._,.~, <br />' Rl'RN.OSJ\March 19. IV9] 1 <br />