Laserfiche WebLink
i~~ iiii«~ii«u iii <br />AZURITE, INC. <br />10001 CR 12 P.O. Box 338 <br />COTO PAXI, CO 81 223 <br />(71 9) 942-4 1 78 <br />FAX: (7 19) 942-4 1 78 <br />JANUARY 29, 996 <br />MR. HOWARD FIELDS <br />DOMTAR GYPSUM <br />24 FRANK LLOYD WRIGHT DRIVE <br />POBox 543 <br />ANN ARBOR, MI 48 106 <br />RE: COALDALE MINE SfTE 1996 WORK PROPROSALS <br />AS YOU MAY RECALL, THE NOVEMBER 95 HEARING BEFORE THE COLORADO MINED LAND <br />RECLAMATON BOARD RESULTED IN THE DENIAL OF DOMTAR~S REOU EST FOR EXTENTION OF <br />TEMPORARY CESSATION STATIS WHICH EXPIRED AFTER FIVE YEARS SINCE SH UT-DOWN AND <br />REQUIRED A BOND INCREASE TO $500,000.00 ON THE 100 ACRES OF AFFECTED LAND. THIS <br />BOND ADJUSTMENT WENT INTO AFFECT 12-26-95. THE BOARD ALSO REQUIRED EVIDENCE OF <br />START OF CLOSURE OF THE MINE SITE WITHIN 6O DAYS AND A REDRAFTED MINE PLAN TO REFLECT <br />A RE-CONFIGU RATON OF THE SITE TO MAXIUMUM I : I SLOPES. THE MINE PLAN CHANGES AS <br />ORDERED BY THE BOARD INCLUDE THE VOLUMES AND COSTS ASSOCIATED WITH HIGHWALL <br />REMOVAL AND LOOSE ROCK REMOVAL FROM STABLE HIGHWALLS TO COMPARE WITH THE CURRENT <br />BOND AMOUNT. HAVE BEGUN THE HIGHWALL REMOVAL COST EST MATE PROCESS BY HAVING THE <br />AERIAL PHOTO WORK AND TOPOGRAPHIC MAP UPDATES PERFORMED LAST MONTH. THE NEXT STEP <br />IS TO REDRAW EACH CROSS SECTION AND CALCULATE ACTUAL VOLUMES OF GYPSUM ROCK TO BE <br />DRILLED AND SHOT IN SEVERAL DIFFERENT AREAS OF THE MINE SITE. TONNAGE CALCULAT ONS WILL <br />BE MADE FOR EACH SECTON FOR BULLDOZING AND RESHAPING OF THE ROCK TALUS SLOPES <br />WHERE APPROPRIATE. VOLUME ESTMATES OF LOOSE ROCK REMOVAL WILL BE MADE FOR AREAS <br />THAT HAVE A STABLE HIGHWALL FACE WITH WEATHERED "VENEER~~ GYPSUM. ROAD REMOVAL <br />ESTMATES WILL BE MADE FROM THE NEW CROSS SECTION WORK. THE CROSS SECTIONS WILL BE <br />DRAWN AT I ~~:50~ SCALE AND CAN BE USED TO RECALCULATE THE GYPSUM ORE BODY VOLUME <br />AND GRADE POTENTIAL FOR POSSIBLE SALE OF THE SULPHATE DEPOSIT FOR USE IN GEM ENT <br />MANUFACTURING. AT THE LEAST, A REDRAFT OF THE SECTIONS IS NECESSARY TO SATISFY 7HE <br />STATES DEMAND TO SHOW EVIDENCE OF APPROPRIATE BONDING TO REFLECT CLOSURE COST <br />CALCULATED FROM PRESENT DAY CONDITIONS. WITH THESE FACTORS IN MIND, I AM SUBMITTING <br />TWO PRICES FOR YOUR REVIEW, INCLUDING THE COST OF CROSS SECTION REDRAFTING, MINE <br />PLAN REDRAFT AND ASSOCIATED COST ESTIMATE DETAIL FOR CLOSURE AS DIRECTED BY THE STATE <br />AND THE FURTHER GYPSUM RESERVE ANALYSIS FOR CEMENT ROCK USAGE/ POTENTIAL SALE. <br />PROPOSAL # I - WORK TO INCLUDE: HAVE UPDATED TOPOGRAPHIC DETAIL MAP BLOWN UP FROM <br />CURRENT I :2001b I :SO AND RE-DRAFT EACH CROSS SECTON (29 SECTONS IN ALU. <br />CALCULATE VOLUMES OF ROCK TO BE DRILLED, SHOT AND BULLDOZED VIA PLANIMETER <br />MEASUREMENT. ESTIMATE VOLUMES OF ROCK AND COSTS OF LOOSE MATERIAL REMOVAL IN <br />APPROPRIATE AREAS. DEVELOP EST MATES FOR STRUCTURAL AND ROAD REMOVAL COSTS. <br />REDRAFT MINE PLAN TO MEET ALL REQUIREMENT OF MINE CLOSURE UNDER THE COLORADO <br />MINING ACT. FILE ALL NECESSARY PERMITTING CHANGES WITH STATE OF COLORADO AND HAVE <br />AVAILABLE COPIES OF MINE PLAN CHANGES. WHEN THESE ACTIONS ARE COMPLETE, REFILE FOR A <br />TEMPORARY CESSATION STARS (SHORT TERM) TO ALLOW FOR NEW COMPANY MANAGEMENT TO <br />