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Septar~rr 2004 B7ZlEnpire Co~pvra[iat *LialiliryRdeaseA~w:ticn ~ Pa£el <br />1.0 INTRODUCTION <br />With this request, BTU Empire Corporation (Empire, fom~edy RAG Empire Corporation) seek <br />approval from the Colorado Division of Minerals and Geology (CDMG) for a release of liability for <br />surface subsidence effects due to underground coal mining for underground mine workings on the <br />west side of State I~gltway 13 associated with the historic Eagle No. 5 Mine (5 Mine). The Staze of <br />Colorado, through the Division of Minerals and Geology (®MG) -Department of Nazural <br />Resources (DNR), has permitted the Eagle Mines, which includes the Eagle No. 5, 6, and 9 Mines, <br />and associated support facilities and structures. <br />The DNR currently holds a reclamation bond in the amount of $3,554,044 as surety for final <br />reclamation of surface facilities disturbance associated with the Eagle Mines underground operations. <br />There is no bonding requirement for underground mine workings however, under applicable <br />Colorado law and regulations, Empire currently retains liability and responsibility for any surface <br />subsidence effects which may result from underground mining operations. The Eagle, (or Wse Hill) <br />No. 4 Mine, also located on the west side of Hrghway 13, was developed operated, closed, and <br />associazed surface disturbance reclaimed prior (pre-law) to promulgation of the Surface Min; a <br />Conuol and Reclamation Act (SMCRA) in 1978, so there is no liability associated with this mine. <br />Underground mining in the portion of the 5 Mine on the west side of State ELgltway 13 occurred <br />between the early 1970's and early to mid-1980's, when operations shifted to the east side of the <br />Hrghway. Operations in this portion of the 5 Mine were generally limited to advance mom and pillar <br />mining with very limited reueaz mining, so pillars of coal remained following completion of mining to <br />support the mine roof. Based on both historic descriptions and recent visual inspections, little or no <br />surface subsidence has occurred over the Eagle No. 5 western none workings and a recent subsidence <br />evaluation indicates negligible potential for future subsidence in all but one area. ~ <br />1.1 OPERATOR INFORMATION <br />BTU Empire Corporation is the pemrittee of record for the Eagle Mines and the applicant under this <br />request for liabilityrelease. Empire's corporate address is: <br />BTUEmpire Corporation <br />29515 Routt County Road 27 <br />Oak Creek, Colorado 80467 <br />The contact for this request is: Jerry Nettleton, Environmental `.iupervisor - (970) 870-2712 <br />1.2 PERMIT INFORMATION <br />The Eagle Mines are inactive underground coal mines that are currently in temporary cessation, with <br />site activities limited to minor reclamation and ongoing monitoring and maintenance. The Eagle <br />Mines are pemutted under an approved Mining and Reclamation Permit (Femur No. G81-044) with <br />the Colorado Division of Minerals and Geology (CDMG). The permit was originally approved and <br />issued on September 2, 1983 and was subsequently renewed on January 9, 1988 and October 23, <br />2000. Empire has applied for CDMG approval of Pemut Renewal No. RN 04 (12/11/03). A <br />decision on the renewal is currernlypending resolution of asurface right-of-entryissue. <br />877JErrpm Crnprnarim * 2951 S RCR 27 Clak Cruz, CTJ 80467 * (970) 870-2712 <br />cE, dc„~viosecenmynd~.er <br />anaroa~..,~ <br />Reusal - QYa~xr 2004 <br />