2004-03-19_GENERAL DOCUMENTS - C1980004

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Permit Transfers SO-2 Permit Transfer application was submitted by GVCC on May 27, 1999. The successor operator/permittee was Lodestar Energy, Inc. (LEI). The Divisions approval decision became final August 17, 1999. SO-3 Permit Transfer application was submitted by LEI on June 26, 2003. The successor operator/pemuttee was Central Appalachia Mining, LLC, (CAM). The Division deemed the application complete and issued a preliminary adequacy letter to CAM on July 3, 2003. Following submittal of responses by CAM, and one additional adequacy letter/response submittal sequence, all issues except right of entry had been adequately resolved. The Division stated in a letter of January 9, 2004, that because BLM bad not yet approved federal coal lease transfers from LEI to CAM, legal right of entry had not been documented and thus the Division could not recommend approval. of the pemut transfer to CAM. The status of the pernut transfer has not changed to date (March 2004), because BLM has not been able to approve the lease transfer. CAM officials have indicated that progress is being made, and that LEDs banlauptcy trustee has begun entering delinquent production data into the Minerals Management Service (MMS) intemet based reporting system, which will need to be completed before MMS can assess the amount of delinquent payments, and advise BLM of resolution, Bond Adjustments SI-1 Bond Adjustment was approved by the Division on June 29, 2001. The bond adjustment was based on the Division's reclamation cost estimate associated with review of the RN-OS pemut renewal application. The reclamation liability amount prior to SI-1 was $192,537.00, and the Division held a cash bond in that amount. The adjusted liability amount estimated by the Division, and set forth in SI- 1, was $271,563.00, The updated liability estimate included revised equipment costs, and new or amended costs for various reclamation tasks. LEI submitted a new cash bond (Bond No. 158930402) in the amount of $79,026.00 on July 12, 2001. The Division accepted the new bond on July 20, 2001. SI-1 Bond Adjustment brought the total bond amount held by the Division to $271,563.00, in the form of two separate cash bonds. This amount con•esponded exactly with the calculated liability amount. Technical Revisions TR-9 proposed approval decision was issued July 16, 1999. The revision provided information required by various stipulations that had been attached to the renewal permit issued in July 1997. In conjunction with TR-9 and the 1999 Mid-term Pemut Review, the reclamation liability amount was increased from $161,147.00 to $190,037.00, and surety bond in that amount was submitted: TR-10 proposed approval decision was issued January 18, 2000. The revision submitted by LEI set forth a number of operational amendments associated with anticipated resumption of coal production at the mine. Changes included revised screening and crushing facilities, amended mine plan map,