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~Rti--- <br />RECEA!!ED <br />JUN 1 S 2003 <br />Giuision of Minerals and Geology <br />June 16,2003 <br />Mr. Kent Gorham <br />Division of Minerals and Geology <br />1313 Sherman Street, Room 215 <br />Denver, CO 80203 <br />Re: Lorencito Mine -Permit C-96-084 <br />Permit Renewal <br />Response to Adequacy Review, March ] 7, 2003 <br />Dear Mr. Gorham: <br />Peak Project Management, LLC <br />3800 County Road 63.9 <br />Trinidad, Colorado 81082 <br />(719) 846-4975 <br />The 5-Yeaz Mine Plan (Map2.05.3.2) submitted to the Division 2/18/03 is hereby withdrawn. The Five- <br />Year Mine Plan approved by TR-8 is representative of the mining projected to occur during the second five <br />year permit term. The timing shown with this mine plan is being reevaluated to conform to projected <br />changes in coal mazket conditions. No mining will be projected for Year 2003, and reduced output for the <br />remaining years of the second permit term. Maps and figures that are affected by these changes will be <br />revised and submitted to the Division pending certification where required. The cumulative bond approved <br />with TR-8 should still be accurate: The timing may need to be reworked. <br />The following responses refer to issues noted in your letter of March 17, 2003: <br />Roads <br />The design information for the culvert necessary on the o)~ce access road south ofJC haul road/LC haul <br />road intersection remains outstanding. <br />Drainage has been directed to apre-existing structure passing drainage from Jeff Canyon underneath the <br />Lorencito Canyon road. Thus, no additional culverts are needed. <br />Permit Text Pages <br />7. Page 2.05-1 states production as about 2.5 million tons. Is this a reasonable estimate? <br />This discussion includes the "life of mine" for the total mine property area as shown by Map 2.05.3-1 <br />The surface mine capacity is approximately 1.2 million tons per yeaz. <br />2. Page 2.05-3 speaks to the coal Loadout. Is the Loadout part of the operational plan? <br />1 of 5 <br />