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<br />BACKGROUND <br />CF&I Steel Corporation and a wholly owned subsidiary, Colorado-Utah land <br />Company, share ownership of the Quarry= CF&I operated the Quarry from 1931 to 1981 <br />to supply limestone to CF&I's plant in Pueblo, Colorado, where limestone was used in an <br />open hearth process to produce iron and steel produce. CF&I eventually converted its <br />manufacturing process to melting scrap metal in electric arc furnaces. That process does not <br />require large amounu of limestone and CF&I's need to operate the Quarry diminished. <br />CF&I then leased the Quarry to an independent entity from 1981 to 1991. No mining <br />activity has taken place at the Quarry since 1991. <br />The Quany is located in a narrow valley high in the mountains of Chaffee <br />County, Colorado, approximately 19 miles west of Salida and one mile beyond the town of <br />Garfield. The slopes of the surrounding mountains are heavily forested, setting the steep <br />angular cut of the mine's limestone face in stark relief against the natural landscape. The <br />cut face of the mine, without natural protection, is exposed to the effects of wind, water and <br />continuing erosion. The top of the Quarry sloughs downgrade to the heavily eroded base. <br />Colorado State Highway 115, the Monarch Pass Road, winds through the bottom of the <br />valley and climbs toward Monarch Peak. The slopes of the Monarch ski area are visible <br />' CF&I Steel Corporation also owns the Caion Dolomite Quarry itt Fremont County, Colorado, <br />consisting of two parcels that cover appro~dmately 480 and 56 acres. The Court previousty approved a sale <br />of the Cation Dolomite Quatry. The order of sale is subject to the [roaster o[ the reclamation permit by <br />Colorado to the purchaser. Until the permit transfer is complete, CFdtI remains liable for cost of reclaiming <br />the site. CF&I has not conduced nay mining at the Cation Dolomite Quarry since before the petition date <br />in this csse, November 7, 1990. Prior to the hearing on these related matters, Colorado conctded that ehe cost <br />o[ reclaiming the Callon Dolomite Quarty will be less than or equal to the 54800 financial warranty now in <br />place and CF&I consented to an estimated claim in the same amount. <br /> <br />