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Mr. James R. Stark Environmental Protection Specialist Colorado Division of Minerals and Geology Department of Natural Resources 1313 Sherman Street, Room 215 Denver, CO 80203 Subject: Request for Permit Revision (PR-02) Colowyo Coal Company South Taylor/Lower Wilson Mining Area Meeker, Colorado CDMG Permit No. C-81-019 Dear Mr. Stark: RECEIVED JUL 0 3 2006 Division ~i Minerals and GeoloaY June 30, 2006 The attached information is submitted as a request for a Permit Revision to the Colowyo Mining Permit No. C-81-019 at was initially approved on November 4, 1982 for an initial five-year permit term with the right of successive ~enewals for the life of the mine as defined in the plan. The request provides for the expansion of the existing permit boundary by approximately 6,050 acres and mining of coal within the South Taylor Mining Area (Sections 9, 16, 17, 18, 19, 20, and 21, Township 3 North, Range 93 West of the 6'h Principal Meridian). Baseline data has also been presented in the document for the Lower Wilson Mining Area (Section 18, Township 3 North, Range 93 West of the 6t" Principal Meridian); subsequent approval to conduct additional mining activities within this permit boundary revision area will be requested in a separate revision request document. The attached documentation contains baseline information for the expansion of the existing permit boundary to include the South Taylor and Lower Wilson Mining Areas. Specifically the mining areas will include all or portions of Federal Coal Leases C-0123476, C-29225, and C-29226. The South Taylor mine plan provides a logical approach that will maximize coal recovery and minimize environmental impacts. Specifically the mine plan includes installation of a box-cut along the west edge of the mining area to access the coal. The pit will advance to the east with spoils placed into two permanent out of pit spoil piles and one temporary spoil pile. At the end of mine life, spoils will be transported back to the pit for reclamation purposes. The anticipated South Taylor disturbed area will include approximately 905 acres and the affected area will include approximately 914 acres. Prior to initiating mining activities in the Lower Wilson mining area, Colowyo will prepare and submit a separate mine plan and permit revision application for review and approval by the Colorado Division of Minerals and Geology. With this permit revision application; Colowyo is requesting a variance from approximate original contour restoration requirements for steep slope mining for the South Taylor mining area. A second variance is also being requested from Contemporaneous Reclamation requirements under Rule 4.13 given the mining conditions in the area. Colowyo Mine • 5731 State Highway l3 • Meeker, Colorado 81641 T+I 970 824 1500 • F +1 970 824 1504 • www.rtea.com