Laserfiche WebLink
1 <br />Snell &Wilmer <br />L.L.P. <br />damages under three coal delivery contracts, it appears as though the Quaker reorganization should <br />be completed this October. <br />Reclamation <br />At the August Board meeting, Mr. Berry indicated his concern with the timeline for <br />completion of certain demolition activities. [n an effort to satisfy this concern, Powderhorn <br />promptly submitted a proposed minor amendment to its reclamation plan in hopes of meeting with <br />the state to resolve any issues it might have. This revision largely involves the delay in demolition <br />of certain structures that have commercial value, delay in removal of certain service lines that <br />connect Powderhorn properties divided by the river, and delay in final closure of a portion of <br />CRDA #1 to accommodate materials at the end of reclamation. To prematurely demolish these <br />facilities merely to comply with a 20 year old mine plan would constitute waste to the property <br />Unfortunately, technical management personnel from Powderhorn and the Division have been <br />unable to meet prior to the September Board meeting as originally anticipated due to the <br />unavailability of the Board's bankruptcy litigation counsel. <br />Work continued on coal preparation plant demolition during September. Plant demolition is <br />progressing well and is expected to be completed in October 2001. Final grading of the refuse at <br />CRDA-2 is complete. The upper diversion ditch has been partially completed. Powderhorn is in <br />the process of preparing to solicit bids to place the cover material on CRDA-2, regrade and place <br />cover material on the fourth bench at CRDA-I with seeding and mulching to be completed in late <br />Fall 2001 or early spring 2002. <br />The North Decline Water Handling System contract has been awarded in accordance with <br />requests from the Division. The work is scheduled to be performed in October 2001, contingent <br />upon obtaining the necessary permits from the regulatory agencies. The Water Quality Control <br />Division advised Powderhorn that its amended discharge permit should be approved by the end of <br />September. Powderhorn anticipates that the ne~v water handling system will be completed by year <br />end. <br />Re-grading of the Roadside Refuse Pile will be partially completed by late Fall 2001. A <br />contract for the demolition and removal of the powerline and substations at the Roadside property <br />was signed by Powderhorn on July 6, 2001, and should be completed by Fall 2001. <br />Bids were solicited for the removal of the remaining structures associated with the overland <br />conveyor and the structures at the North Portal. Bids aze due on September 26, 2001. The work <br />should be initiated by November 1, 2001. Powderhorn is seeking to delay reclamation of the <br />suspension bridge so that it may maximize the commercial value of the bridge. <br />Removal of the Unit Train Loadout has been deferred to accommodate the executed <br />Lodestar agreement to ship coal to TVA at the Powderhorn loadout. Powderhorn seeks to defer <br />reclamation of CRDA-1 until 2003 so a refuse pile is open to accept coal and refuse material from <br />other reclamation activities. Similarly, Powderhorn seeks to defer removal of the office complex <br />pending the determination of commercial interest in these facilities. The Division and the Board <br />have been informed of these potentials, and Powderhorn submitted a minor revision to the Division <br />to address these issues. <br />Upon completion of this work by yeaz-end, the cumulative reclamation will far exceed more <br />than one-half of the total reclamation obligation. The remaining reclamation obligation includes <br />structural demolition, regrading the North Portal scheduled for completion in 2003 and reclamation <br />of CRDA-1 rescheduled for completion in 2004. <br />cc: Cheryl Linden Steve Brown Robert Clark <br />Dave Berry Mark Held Mike Jamison <br />ITt91.1 <br />