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'L <br /> <br />eru ~vi~ <br />Ms. Janet Binns <br />Environmental Protection Specialist <br />Colorado Division of Minerals and Geology <br />1313 Sherman Street -Room 215 <br />Denver, Colorado 80203 <br />(303)866-4944 <br />NOY ~ ~ ?Opy <br />division of rylinerals and Ceolo9Y <br />701 Marice[ Street <br />Suite 733 <br />S[. Louis, Missouri 631 01-1 826 <br />314.342.3400 <br />Re: BTU Empire Corporation (Empire) -Eagle Mines (Permit No. C-81-044), Status Report on <br />Pending Litigation in BTU Empire Corp. v. Ray and Brad Bazker <br />Deaz Ms. Binns: <br />Subsequent to our October 2004 Status Report re: the pending litigation in BTU Empire Corp. v. Ray <br />and Brad Barker, the following additional related actions and submittals have occurred: <br />1) On October 18, 2004, Empire filed an Answer to the Barker's Counterclaims filing of <br />September 27, 2004 (copy of filing attached for reference). <br />2) On October 21, 2004, the CDMG notified Empire that the application for liability release <br />had been determined complete, identified several issues that need to be resolved in order to <br />make a determination on the requested liability release, and indicated that a liability release <br />inspection would be conducted within the next thirty days. <br />3) Empire is proceeding with research and preparation of appropriate responses to address the <br />issues identified in the CDMG's October 21st letter. <br />4) On October 22, 2004, Janet Binns forwarded comments received from the Bazkers on the <br />proposed liability release to Empire. <br />5) Subsequent to review of the landowner comments from the Bazkers provided on 10/22/04, <br />Empire is proceeding with prepazation of appropriate responses, to be provided to the <br />CDMG. <br />6) After contacting and coordinating with all parties involved, the CDMG scheduled the <br />required liability release inspection for November 18, 2004. <br />7) On October 27, 2004, Empire filed a motion to Remand Civil Action No. 04-MK-1992 <br />back to the District Court for Moffat County (copy of filing attached for reference). <br />8) On November 4, 2004, representatives of BTU Empire Corp. met with the Department of <br />Natural Resources, the CDMG, the Deparlment of State Parks, and the Attorney General's <br />Office to discuss inclusion of the Department of State Parks and other parties in the pending <br />civil action in order to allow for conclusive resolution by the court of their related access <br />and right-of--entry for the disputed properties. BTU Empire Corp's counsel is currently <br />working with representatives of the Attorney General's Office to clarify the scope of any <br />associated filings. <br />9) Empire provided the Office of Surface Mining, Reclamation, and Enforcement with a full <br />copy of the liability release application and all relevant updates, in prepazation for the <br />liability release inspection on November 18th. <br />