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<br />- iii iiiiiiiuiiiiiii <br />999 <br />STATE OF COLORAuO <br />DIVISION OF MINERALS AND GEOLOGY <br />Department of Natural Resources <br />137 }Sherman 51., Room ? 1 S <br />Denver. Colorado 80203 D i v 15 1 0 N o f <br />Phone. U03) 866-356: MINERAL S <br />FAX: 003) 832-8106 6i <br /> GEOLOGY <br />November 22, 2000 R E C L A M A T I O N <br /> MIN ING•SAFETY <br />James A. Kiger Bill Owens <br /> <br />Colowyo Coal Company L.P. Covemor <br /> <br />5731 State Highwa <br />l3 ere e. walcnrr <br />y E,e~~,;,.r D~recwr <br />Meeker, Colorado 81641 .,,~n~el R i„nG <br /> Drvivun DneUOr <br />Subject: Technical Adequacy (2"d Letter), Technical Revision 50, Pertnit C-81-O19 <br />Dear Mr. Kiger: <br />The purpose of this letter is to summarize proposed actions to be approved under Technical <br />Revision (TR) 50, and to request additional supporting text for the Permit Application Package <br />(PAP)("Items" as follow). <br />Upon approval of TR-50, there will no longer exist in Permit C-81-019 any reclamation cost <br />liability for any of the coal exploration holes or associated surface disturbances and access roads <br />identiFed therein. Bond coverage for such reclamation work is to be assigned under Notice of <br />Intent (NO)7 X-95-109-5 under a concurrent NOI amendment application. To include all such <br />exploration drilling, the Division of Minerals and Geology (Division) requests that Colowyo Coal <br />Company, L.P. (Colowyo) add a few exploration holes drilled within the permit boundary <br />(identified below) to the TR-50 application and the NOI amendment. <br />Although there were reductions in the Colowyo PAP reclamation cost estimate for MRs-31, 34, <br />35, and 40 under TR-43, and a closure report was submitted for work of MR-12, there has never <br />been a bond release processed under Rule 3.03. A reclamation cost liability of $66,922 [$16,723 <br />(original $8,800 and the $7,923 increase in liability of MR- l2) + $10,948 (MR-31) + $2,743 (MR- <br />34) + $5,924 (MR-35) + $16,593 (MR-40) + $14,091 (MR-44)] will thus be transferred to NOI X- <br />95-109-5. <br />The release of liability and bond coverage (in response to your request for bond release) due to <br />reclamation or disposition, reduction of liability for work not accomplished (holes not drilled or <br />roads not constructed), or retention of liability for holes and associated surface disturbance and <br />roads yet to be reclaimed will be managed under the NOI amendment application or the <br />concurrently submitted NOI bond release application. Any increase or decrease to the NOI X-95- <br />109-5 bond for existing coverage and the $66,922 transfer would be (in part) a determination of <br />the NOI bond release application. <br />