REV99503

• Permit No: C1982057
• IBM Index Class Name: Revision
• Doc Date: 6/16/2006
• Doc Name: Bond Release Application /maps dated stamped 6/22/206
• From: Seneca Coal Company
• To: DMG
• Type & Sequence: SL1
• Media Type: D
• Archive: No

Seneca Coal Company
• S ~ compnr
June 2, 2006
Joady Boulware Perrett
Go Michael Holloran, Esq.
P.O. Box 773800
141 9`h Street
Steamtwat Springs, CO 80487
RE: Seneca II-W Mine Phase I Bond Release Application
To Whom It May Concern:
Seneca Coal Company, 36600 Routt County Road 27, P.O. Box 670, Hayden, Colorado 81639, is requesting release of
Phase I bond liability on 761.2 reclaimed acres of its total 4,093.0 acres currently within the pernit boundary at the
Seneca II-W Mine (CDMG Pernrit No. C-82-057, approved Demnber3l, 1985). A surety bond in the amount of $9,707,373
is currently in place of which $2,329,115 are being requested for release. Pursuant ro Rule 3.03.1, a permittee may
request Phase I Bond release upon successful completion of backfilling, regrading and drainage control in accordance
with the approved reclamation plan. Those portions of the mine for which Phase I bond release is requested were
backfilled and graded from the beginning of mining, in 1990, through 2005 in accordance with the Colorado Division
of Minerals and Geology (CDMG} Hiles and regulations. The approved reclamation plan can be reviewed in its entirety
• in the Seneca II-W Mine Pemvt Application Package located in the Hayden Public Library, Hayden, Colorado.
All affected lands within Seneca II-W Mine fall within the permanent program category. For the purposes of this Phase
I Bond Release request, the term "reclaimed" means those disturbed/mined areas where successful completion of
backfilling, regrading and drainage control, in accordance with the approved reclamation plan, has been completed.
The Phase I reclamation activities have produced a stable landform in compliance with the approved conditions in the
CDMG Pernit No. C-82-057
The following is a brief summary of the Phase I reclamation that has been completed. Backfilling and grading was
conducted from 1990 through 2005 and was generally completed within 1$0 days following coal removal and was
generally within two (2) spoil ridges behind the active pit. The majority of the grading work was performed with dozers
and scrapers. In some cases the major backfilling was done with scrapers and draglines. All azeas affected by the
surface mining operations, except as specifically exempted by the CDMG, were regraded on a timely basis ro a stable
configuration that confomu with the approved postnvtting land use (livestock grezing and wrdlife habitat). For the
most part, grading was done along contour to also **++nimize erosion. Any time operations were conducted on steep
slopes that could present safety concerns ro the operarors, grading was done in a direction other than parallel ro
contour. Exhibit C in the Phase I Bond Release application provides representative cross-sections showing final
topography configuration. Amore detailed discussion of the overall mining and reclamation can be found in the
Seneca II-W Mine Pemut Application, specifically Tab 12, Operation Plan and Tab 2Q Backfilling and Grading.
Included in the postmine regrading operation was the constmction of small swales and hummocks to minimize erosion
and to conserve soil moisture and to promote revegetation. Small stock tanks aze also utilized in the postmine grading
operations to minimize erosion and to provide water for livestock and wildlife. The locations of these stock ponds are
shown on Exhibit B in the Phase I Bond Release application. The designs and certified as-bunts for the permanent
• stock ponds can be reviewed in the Seneca II-W Mine Permit Application Tab 13, Facilities.
Seneca Coal Company • P.O. Box 670 • Hayden, Colorado 81839
Telephone [phone] • FAX [phone]