REV104120

• Permit No: C1980007
• IBM Index Class Name: Revision
• Doc Date: 7/26/2004
• Doc Name: Bond Release Application
• From: Mountain Coal Company
• To: DMG
• Type & Sequence: SL2
• Media Type: D
• Archive: No

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\M,OUNTAIN COAL
COMPANYL.L.C.
A Subsidury ofNCh Western Resources, I.L,C
July 23, 2004
Ms. Barbara Sharrow, Field Office Manager
Bureau of Land Management
2505 S. Townsend
Montrose, CO 81401
Mr. Carl Johnston
Office of Surface Mining
P.O. Box 46667
Denver, CO 80201-4667
D L H 2001 Family Trust
44960 Highway 133
Paonia, CO 81428
West Elk Mine
P O Box 591
5174 Highway 133
Somerset, CO 81434
[phone]
Fax [phone]
Re: Mountain Coal Company LLC (MCC), West Elk Mine; Notice of intent for Phase I Bond
Release.
Dear Ms. Sharrow, Mr. Johnston & D L H Family Trust:
MCC would like to inform you that MCC is requesting Phase I Bond Release for Lone Pine Gulch
Ventilation Facilities as depicted on the attached map. This area consisted of a ventilation fan,
associated substation, powerline, and a dewatering pipeline for the west end of B Seam mine workings
from 1995 until April 13, 2001. The intent of this letter is to satisfy Section 3.03.2(1), Procedures for
Seeking Release of Performance Bond, of the Regulations of the Colorado Mined Land Reclamation
Boazd for Coal Mining, et seq.
This area covers approximately 5.5 acres of private land and is specifically located in the Southeast 't/4
of Section 18, Township 13 South, Range 90 West. The current permit was originally issued by the
Board in July 1981, reissued August 1986, January 1993, (Effective August 1991), July 1996, and
renewed July 31, 2001. The five-year permit term expires July 31, 2006. The West Elk Mine five-year
permit area contains lands in Sections 9-11, 13-3Q and 34-36, Township 13 South, Range 90 West, 6`h
PM; and Sections 23-26, Township 13 South, Range 91 West, 6`h PM in Delta and Gunnison Counties.
The area is found on the USGS 7.5 minute Somerset Quadrangle Topographic Map. The current
permit area encompasses approximately 9,696.3 acres.
The bond amount determined by the CDMG for this area is $75,561.96. This bond covers the cost of
sealing two mine portals, removing all structures associated with the Lone Pine Gulch project,
regrading the azea to original contours, replacing topsoil, and the revegetation of the Lone Pine Gulch